This update wasn't the ms installer fix, was it?
My PC went berserk following that, came right after a restart but the behaviour was worrisome, and apparently rare amongst the people I asked.
Is there an error number relating to this in the log anywhere, and does it point the way to any help from MS?
(Programs>admin tools>event viewer)
[EDIT] If it's the tabbing options you like about IE7, consider Firefox. Tabs, trouble-free, lower web vulnerability, cures unknown diseases etc