In March, Microsoft Research launched a new and free development tool called Cliplets. The app offers a way "using semi-automated methods", for people to put in limited animation in what would otherwise be a still image. One popular image file format is GIF, but until recently the Cliplets app was unable to handle animating GIF images.
Now the Next at Microsoft blog site has announced that, due to requests from its users, the Microsoft Research team has added support for animating GIF files into the Cliplets app. You can see an example of that work on the blog (which unfortunately we cant reproduce on this page).
Keep in mind that while the Microsoft Cliplets app is free to download and use, it also does not come with any official support from Microsoft. It comes in both 64-bit and 32-bit Windows 7 versions but does not current support Windows XP or Vista. However, there are a number of tutorials that are available to check out if you are interested in working with the app. In addition, Microsoft also maintains a Cliplets message where its users offer up their own tips and tricks to the Cliplets community.
Source: Next at Microsoft blog