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Well it will be replacing GIF's soon enough. The whole logic behind using GIFs was because they are smaller file size and they could have a transparent background and work in all browsers. Now everyone is on fast connections so size of graphics is not as important to some extent and now all browsers support PNG format which provides a transparent background to an image without the crisp cutout. Have you ever looked at some Gifs in photoshop and noticed the black background and the choppy outline of the image?
trust me png is better and great for all browsers now and excellent for importing into Flash also.
bye bye Gif.
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