[citation][nom]cruiseoveride[/nom]But is it free?[/citation]
Probably not, but that doesn't matter! Almost all companies of a respectable size has bought licenses for microsoft office (perhaps in addition to using openoffice or similar package), and for those companies it's a welcome news. Everyone's connected to the internet, especially businesses. So if you have to use your mobile broadband connection to open word, fine, so be it. It's still cheaper to buy a license per employee than buying one per pc, and it'll ease servicing immensely as downtime is unlikely. We ARE talking microsoft, not google or twitter - and microsoft's never down.
I think this kind of software will become a lot more widespread as web interfaces evolve. The fact that many casual games have moved from being silly visual basic programs to being flash or java based games indicates the direction.
I tihnk only hardware intensive stuff (autodesk, high profile games, photoshop etc) and interface limited applications (plc programming software etc) will be limited for the time being. Until cloud stuff takes off, which it will as it more or less guarantees licensing money from customers, and with the option to passthru serial and usb links over the interweb.