Iconoid!!! Free open source app. Very, very cool desktop utility! www.sillysot.com
* Only Iconoid hides and shows the icons when you need them.
* Only Iconoid insures that when you restore icon positions, the saved positions do not overlay other icons. Iconoid goes to great lengths to insure that all Icons are visible when you restore Icon positions.
* Iconoid can be completely hidden or live in the system tray.
* Iconoid is customizable. For example, you can decide what options appear in the tray popup so that you don't have to see a cluttered list of items you don't use.
* Iconoid can determine the optimal text background color whenever the wallpaper changes -- automatically.
* Iconoid comes with complete source.
My download.com review:
Pros: Anyone who tries to keep their desktop clean probably doesn't for long as things get messy fast. I was using Desksweeper to hide my icons and Iconsaver to save my icon positions. I was thinking "Hey, wouldn't it be cool if there was a program that would auto hide my desktop icons" so that I wouldn't have to click on a tray icon everytime I wanted to hide/show them.
So I searched Google not really expecting to find anything and stumbled apon Iconoid...and so much more! It is incredibly configurable with a large array of options. You can save your icon positions or auto arrange them according to the programs built in presets. What a great find. This program is a keeper. I can't believe it's free.
Cons: Doesn't come standard with windows!