Microsoft sucks at making hardware. It's been proven time and time again. Their software sucks too, but I'll tell you they're far better at making software than hardware.
I think Microsoft should go out and develop a bunch of applications for iPhone and iPad, like the entire office suite, and shit, make WINDOWS for iPad! Allowing someone to run an entire operating system with a file-save dialogue window with concurrent running applications within their application! HAH!
They should make the hottest selling applications for iPad and iPhone. Wouldn't that be an interesting twist to the Microsoft/Apple/Google fight that's playing out right now