Microsoft would be taking up its largest cloud-computing initiative, in the form of an operating system that is tailored to serve the purpose of a lean operating system that drives PCs meant for cloud computing. For those new to the term, cloud computing is the method of computer usage, where information is stored on internet servers, while cached locally onto the machine (client) the user is working on. Think of it as thin-client usage on a macro-scale.

Later this month, at the company's annual developer conference, Microsoft would unveil this new OS, which is to be named "Windows Cloud". "We need a new operating system designed for the cloud and we will introduce one in about four weeks, we'll even have a name to give you by then. But let's just call it for the purposes of today 'Windows Cloud'," said Microsoft CEO, Steve Ballmer. This would open up opportunities for a whole new breed of applications that are suited to the platform, which is in its infancy. The move by Microsoft could be seen as the company's effort to stay ahead of internet-Mogul Google, which seems to have some very concrete plans on cloud computing. "The last thing we want is for somebody else to obsolete us, if we're gonna get obseleted [sic] we better do it to ourselves" Ballmer added.