With each new version of WordPress are included some new features that make life super easy. The version 2.8 which was just rolled out earlier this year included easier navigation, additional plugin installation support and a few other really helpful features.
This time, WordPress is going a step further and including a much needed image editor in the next version of WordPress. The following screenshot, courtesy of WP-Engineer, confirms this:
It will most probably not replace the image editing software generally used by bloggers but provide a convenient and quick way to editing images on the fly. Reportedly, WordPress 2.9 will also allow have a new filter to set the excerpt length and a Trash bin to store your deleted items in case you want to restore them.