We also know of discussions, albeit not at the highest level, where some product strategy embracing Linux is the topic. When Microsoft can conceive of a strategy that can leverage the enthusiasm over Linux to their own benefit, they will move forward with it. Investing in Apple is another example. Many people went back to a simple financial argument that Microsoft is not going to do anything to risk the licensing fee they get for Windows from every desktop that it is preinstalled on. Marketing prowess is a real strength for Microsoft and they have incredibly strong relationships in the OEM market to leverage.
Marketing can be very powerful.
If anyone can figure out how to charge for Linux, it is Microsoft. Indeed, many corporate IT strategists may breath a sigh of relief when Microsoft releases a Linux distribution, under the assumption that they will be able to maintain the same relationships with VARs and systems integrators and that the integration of Linux into Microsoft shops will be smooth because of this. Who knows, maybe Linux adoption will help them with the Department of Justice. The adoption of a competitive operating system could blunt the argument of a Windows monopoly. We can't predict all of the possible outcomes, but we think a linchpin of any strategy will be continuing dominance of personal and business applications.