Hide/Show Internet Explorer Desktop Icon
By default, Windows XP does not show the Internet Explorer icon on the Windows desktop. Using the registry edit below allows you to control whether or not the Internet Explorer icon is displayed
1 [Start] [Run] [Regedit]
2 Registry Key: HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Policies\Explorer

3 Modify/Create the Value Data Type(s) and Value Name(s) as detailed below.
4 Data Type: DWORD // Value Name: NoInternetIcon

5 Setting for Value Data: [0 = Disabled / 1 = Enabled]
6 Exit Registry and Reboot
To avoid the inherent danger of editing the registry, the same results may be obtained by using the procedure detailed below.
Right click on any open area of the Desktop
Click [Properties], select the [Desktop] tab, then click [Customize Desktop] button
Select the [General] tab

In the [Desktop Icons] section place or remove the checkmark next to Internet Explorer

- srikanth dhanwada