This new update from the Joint United Nations Programme on HIV/AIDS (UNAIDS) and the World Health Organization (WHO) estimates that by the end of the year 33.4 million people will be infected with HIV, ten percent more than one year ago. Almost every country in the world has seen new infections in 1998, but new cases have been concentrated in the developing world, home of 95% of all HIV-infected people and 95% of AIDS fatalities. As this report reveals, AIDS and its repercussions, such as declining life expectancy, increased orphanhood, and overburdened health care systems, now pose one of the most serious threats to development.