Just how screwed up is that?

UPDATE: More info on the stupidity. (We've heard all along that MS wanted to go the 'Software as Service' route... looks like they've taken their OS one step closer. And what's with prohibiting users from putting .iso files on some versions of Windows???? )

UPDATE 2: Paul Thurrott tackles some of these rumors - to say that they're all hooeeey. Frankly, if you read his overview of what's going on it's part Jedi Mind trick ("these aren't the droids you're looking for"), part appology ("it's always been like this... so sit down and shut up"), and part Kool-aid ("Microsoft knows better than you what you REALLY want"). Yes, it looks like some licensing things people were complaining about were overblown, and I'm guilty of posting links to them here. But there are also some lame problems. e.g., Paul points out that no one in their right mind would ever want to virtualize something other than Vista Biz and Vista Ultimate, and I think of software developers and testers... That, and any of the licensing things that people were worried about ONLY affect Power Users - so, in Microsoft's opinion, there's nothing to worry about. pfffbbbt.