Microsoft's internal presentation recently disclosed its long-term strategy for Windows, underlining a significant shift towards cloud computing, extending beyond the commercial sphere to address consumer requirements.
The "state of the business" presentation of June 2022 emphasized Microsoft's strategy to utilize Windows 365 as a conduit to stream a comprehensive Windows operating system from the cloud to any device.
The FTC v. Microsoft hearing has brought this informative presentation to light, illuminating Microsoft's comprehensive gaming strategy and its correlation with other business sectors. Microsoft's "Modern Life" consumer sector views the transition of Windows 11 to the cloud as a long-term opportunity. This transition intends to exploit "the cloud and client" synergy to deliver advanced AI-supported services and promote seamless roaming of users' digital experiences.
Windows 365, a service that provides cloud-streamed full Windows functionality to devices, has been primarily aimed at commercial customers. However, Microsoft has been integrating this service with Windows 11 extensively. A forthcoming update will unveil Windows 365 Boot, enabling Windows 11 devices to log directly into a Cloud PC instance during startup, bypassing the local Windows version. Moreover, the integration of Windows 365 Switch into Windows 11 aids the incorporation of Cloud PCs into the Task View feature.
The strategy of transitioning Windows to the cloud for consumers aligns with Microsoft's acknowledgement of the need for custom silicon partnerships. Steps in this direction have already been taken, particularly with the ARM-powered Surface Pro X devices. In late 2020, Microsoft's exploration into designing its ARM-based processors was reported by Bloomberg, potentially aimed at servers and Surface devices. More recently, speculation has surrounded Microsoft's development of its proprietary AI chips.
Another point of focus in the presentation was Microsoft's strategy to consolidate Windows' commercial value and counter the Chromebook threat as a part of the "Modern Work" priorities in the 2022 fiscal year. Long-term commercial opportunities encompass the promotion of cloud PCs via Windows 365.
Microsoft's recent unveiling of Windows Copilot, an AI-backed assistant for Windows 11, reaffirms the company's dedication towards AI integration. Windows Copilot complements Windows 11 by offering services such as content summarization, rewriting, and explanation. Presently in internal testing, Microsoft intends to roll it out to testers in June, followed by a broader release to Windows 11 users.
Windows Copilot is just a part of Microsoft's broader strategy to integrate AI into Windows. Joint ventures with AMD and Intel aim to enable more Windows features on next-generation CPUs. There have even been hints about a potential Windows 12 from Intel and Microsoft in recent months. During CES earlier this year, Windows Chief Panos Panay declared that AI would be instrumental in revolutionizing Windows' functionality. All these efforts align with Microsoft's broader vision for Windows, as indicated in the internal presentation, to enhance AI-powered services within the Windows ecosystem.
Microsoft's Long-Term Vision: Windows Transition to Cloud-based Experience
