Unable to export from smart query browse using Internet Explorer

When using the Click-Once version of CRM you were able use the native IE function that exists when Excel is installed to export various grids of information.  In the Web browser of CRM when exporting from CRM an error message is given in the Excel file after export.
In Excel the error:  ExternalData_1:Failed appear in the first cell of the file.

 
 We are currently evaluating this issue and will update this article when we have more information.

Environment

 3.0.516 Service Pack 9

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