Microsoft have never officially supported JavaScript, but their own interpretation of the ECMA-262 standard, called JScript, which is on version 5 or something. Microsoft.com usings Dynamic HTML quite a lot, and therefore it seems unlikely that they will drop it.
By the way, Javascript isn't where you said it was, Microsoft VM refers to the Microsoft Virtual Machine, which is used to run Java (which Microsoft are abandoning because it's proprietory software - biggest load of bullshit I've ever heard - MS avoiding it becuase the source isn't open!).
The actual options are:
Security > Custom Level > Scripting > Active Scripting.
Quite why MS can't simply use the same notation as Opera, Mozilla, Konqueror et al, is beyond me...
Regards,
David