In an attempt to build its social networking strategy around its area of strength - which is instant messaging – Microsoft has unveiled new online services that essentially transform its Windows Live site into a social network.

Web 2.0 industry observers have given a positive response to the changes made by Microsoft, which include updated photo sharing, instant messaging, and e-mail along with content from 50 sites.

A blogger at TechCrunch, Michael Arrington, said: “The changes transform Microsoft Live from a simple search engine, with a few other services bolted on, to a social network that pulls in activity information and content from across the Web.”

With the help of Windows Live Essentials, PC users can connect with the online content stored on Windows Live. The tools will help users manage their e-mail and calendar, even when offline, create blogs and tag and post photos.

However, a release date of Windows Live Essentials is yet to be announced by Microsoft. In a blog posted on Wednesday by Windows Live General Manager, Brian Hall, it was said that the programs will emerge from beta testing soon, and that many of the other new applications and services for Windows Live will be available “over the coming months.”

The programs will be launched in 48 languages and 54 countries, as Microsoft will integrate activities from some 50 companies and Web 2.0 services - including Yahoo Inc.’s Flickr photo-sharing service, LinkedIn Corp., Photobucket Inc., Twitter and WordPress.org - into the site through new Windows Live profiles and a news feed.