Already been posted, but I'm happy to bash it again.
Actually, it's really cool... But note that the guy in the video has a company unrelated to MS that's been doing this for quite a while. It also looks a lot like the iPhone in some ways (the pinching pictures thing in particular).
Heck, bring it on... If it works. MS is notorious for promising how cool things will be and then delivering a piece of crap.
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Bill Gates dies and St. Peter says he'll offer Bill his choice of heaven or hell. First, St. Peter shows him hell. There are beautiful vistas (cough), young naked hotties walking around, all the tech gadgets you could ever want growing on trees, and other such things. Then St. Peter shows him heaven, where a bunch of old people are sitting around playing harps.
"So," says St. Peter, "Which will it be? Heaven or hell?"
Gates says "Well, I must say, it looks like Hell is the better choice. I choose hell."
Suddenly there's fire everywhere and Gates says "What happened to all the nice things you showed me about hell???"
St. Peter replies "Oh, that was the demo version..."