Technology review posted an article on the evolution of the web browser. There are many extensions and plug ins for web browsers as well as entire programs using the browsers application engine. These changes mange it easier for social activities, blogging, RSS feeds and other things of that nature. New browsers such as IE 7 and Firefox 2 will be out in the near future offering customers better technology than those available to us today.
The web browser has been pretty consistent over the years. Many of them have evolved and incorporated web standards and some are still working toward that. There have been incremental features such as RSS readers but for the most part it has kept the same style point and click model. Most of this I guess is dependent on how a web page is coded and used.
Now with AJAX models and integration of extensions with websites the browser and web applications allow it to feel more like a desktop application with interaction between the user and the application as opposed to just point and click with barely any interaction at all.
I think browser technology will change a whole lot over the next few years. More startup companies are coming back with some great ideas. This always invokes change and technological advance.