Is it a Web-surfing portable toilet or a public relations nightmare--or both?

Microsoft reversed its position for the second time in 24 hours Tuesday over whether it had ever planned to launch a portable toilet with a built-in Internet terminal in Britain this summer.

On Monday, the world's largest software maker had said the "iLoo," which was described in minute detail in an April 30 press release by its British subsidiary, was a hoax and apologized for any "confusion or offense."

But Microsoft switched its story Tuesday and said that the iLoo had been a legitimate project by its British MSN Internet service that was terminated after the initial announcement prompted controversy, ridicule and disgust.

"Corporate headquarters in Redmond, Wash., looked at it and decided maybe this wasn't a good idea," said Lisa Gurry, MSN group product manager.

Gurry said the iLoo had been intended as part of a public relations campaign to promote the company's money-losing MSN service in unexpected places. The same campaign had previously featured Web access on London park benches and beach chairs in France.

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