Microsoft Plots Cloud-Based Windows 11

Microsoft plans to offer a cloud-based Windows PC to every person, just the way it currently offers a cloud-based Xbox console to users for streaming games. As part of its blockbuster court hearings challenging the US FTC, some interesting internal documents have been unearthed, one of which details plans for an increasingly cloud-based future for Windows that can be streamed on any device. 

Unfortunately, there is no word on how much Microsoft is going to charge for its consumer-focused Windows 365 service."Build on Windows 365 to enable a full Windows operating system streamed from the cloud to any device," it says, under the "Long Term Needle Moving Opportunities" section of Microsoft's internal note. 

Windows 365, which was introduced in 2021 at Microsoft's Inspire event, sells a cloud-based virtual Windows PC that you can take with you anywhere and log in to your workflow on any device of your choice, as long as you have a steady internet connection. Microsoft won't be the first player here, as third parties like Amazon, Citrix, and Shell have also been offering similar services for a while now. 

In Microsoft's case, Windows 365 has been limited to its enterprise customers, so far. But it looks like the company wants to offer the service to every regular Windows user, as well. While that is a sound strategy for enhancing the revenue stream, actually selling the service and arriving at the right cost model would be the tricky part.

Windows 365 is currently available across Business and Enterprise tiers in the USA. It starts at $32 per month for each user, and offers a dual-core CPU in the cloud with 4GB of RAM and 64GB storage. The top-tier Business plan boosts the cloud PC specs to an 8-core CPU, 32GB RAM, and 152 GB of storage at $162 per month. 

For comparison, the Xbox Game Pass subscription service, which is available to gaming enthusiasts across the world, costs $9.99 for the basic tier. According to internal documents seen by Windows Central, Microsoft is reportedly planning a family plan for its consumer-focused Windows 365 tier that will allow parents to keep an eye on their children's computing activities and hop in if they need help. 

But it looks like Microsoft will follow in the footsteps of its Xbox gaming strategy to hawk Windows 365, too. It is no secret that Microsoft sells consoles at a loss and recoups the costs from services like the Xbox Game Pass subscription.

Recently, it was revealed that the company even shifted the resource allocation to focus more on boosting the cloud infrastructure instead of ramping up the production of its short-in-supply Xbox consoles. The focus is evident and the foundations are ready. It's just a matter of time before Microsoft decides on a price that is palatable to an average Windows user and offers enough benefits for them to consider splurging on it.