You can now drag images directly from your computer into a new message when composing the message.

Editions included:
Standard, Premier, Education and Partner Editions

Languages included:
All languages supported by Gmail

How to access what's new:
- Compose a new message in Gmail.
- Drag the image into the message from your computer.
- Resize the image if necessary and send the message.
Note: Only supported in Google Chrome browser for now.

For more information:
http://gmailblog.blogspot.com/2010/05/drag-images-into-messages.html

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