You're completely right - IE7 works fine for users. But that level of user support would be a lot easier for developers to achieve if we didn't have to code around its quirks.
My point is that it has like 95% fewer quirks than IE6. And I was referring to it as a developer.
It still is hideous. Why did they take they file/edit menus off? That was probably the worst user interface mistake in the history of Microsoft, only to be superseded by the Office 2007 interface.
