
The company also hopes that third-party developers will adopt Live ID 2 and bring more users into the programme.
Website developers will implement the Live ID system by requiring users to click on a link that redirects to the Windows Live sign-in page.
After signing in, users will return to the third-party site with special data that the site administrator can use to decide what specific data and areas of a site each user will be allowed to access.
Microsoft hopes that Live ID will fare better than its predecessor, the ill-fated Hailstorm project.
Launched in 2002, Hailstorm arrived during the height of the company's anti-trust troubles.
It met with stiff resistance from privacy groups, which claimed that the system would leave user information vulnerable to attack.