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AVG Free does not do anti-spyware (only the paid version does), that's why Windows Defender is needed to complement AVG Free's anti-virus service. I wouldn't use both if there was a duplication in functionality. Before I installed Windows Defender I tried Lavasoft's Ad-Aware. This application did NOT execute on my Eee PC. It would die on load with a cryptic error message.
AVG 8.0 has Anti-Spyware protection in the free version.
It doesn't do the same job though. For example, on my main PC, Ad-Aware can remove threats and spyware that AVG ignores. Besides, Defender only eats up 30 MB of RAM. Edited 2008-09-17 02:19 UTC