I am occasionally asked what is going on with Microlite74? The answer is nothing. People are still downloading the game (close to 3000 downloads of Version 2 so far) and, more importantly, playing the game. Version 2 seems to be far less "buggy" that version 1 was. That is, it comes able as close as a Microlite20 based system can to the feel and play style of 0e. As far as I can see, the game is pretty much finished.
The Ancient Auguries supplement added a number of optional rules and shows just how easy it is to customize M74 -- even with rules from 3.x. Optional rules for a Specialist class, Special abilities for fighters, magic-users, and clerics, a Skills system, Ritual Magic and Metamagic, Vancian magic in two forms (memorized spells and a full fire-and-forget magic system), Combat variants (Simple and complex combat stunts, no initiative rolls, overwhelming opponents), and Hit points and body points (a replacement damage and healing system) are included in this supplement.
I really can't think of much else to add. However, if you see problems in the basic Microlite74 rules or have some ideas for widely useful optional rules, please let me know. I'm not abandoning Microlite74. I just don't see a need to continually release new material for it. After all, one of the main features of an old school game is that it is easy to modify to fit your campaign and your players. You don't need an Official Supplement(tm) from The Game Designer(tm) when you can do it yourself.
I'm still considering a version of M74 which only uses six-sided dice (see Microlite74 with 2D6?), but am leaning toward making this a separate game as it really would not have much to do with the Microlite20 gamesystem.
[Don't forget that rare Traveller fanzines (Working Passage & Imperium Staple) and the RPGA limited edition AD&D Modules R1 (To the Aid of Falx) and R2 (Investigation of Hydell) are available (for Cancer Fund Donors) -- addition to the usual PDF downloads every donor has access to. There is still plenty of time to make a donation and get in on the giveaway which ends at the end of October 2009. Thanks much to those who have already donated.]