If you were looking for big announcements regarding Mesh at PDC – you may be slightly disappointed, then again, this may a couple of birthdays rolled into one!
The 3rd major company to take the leap (after Amazon’s S3 and Google’s App Engine), Microsoft are attempting to hit the ground running and shake up the cloud industry with the release of Windows Azure. To quote from the official site, Azure is a 64-bit operating system on top of which your cloud services will run and more importantly, scale.
There aren’t a lot of demo apps that currently exist – although perhaps the best application that I can use to demonstrate the (future) power of Azure is Live Mesh. As you can see from the following architecture overview Mesh is an integral part of Azure and the services strategy at Microsoft (in fact, Live Mesh’s logo has now become the overall icon for Live Services) and is itself built on top of Azure:
You can Register for the Tech Preview (includes download links), and while you’re waiting for an invite you can play around with the SDK local environment (which should simulate Azure). Note that you will require Vista or Windows Server 2008 to run this (XP not supported) and the correct bit version (32 will not work on 64 under WOW).
Instead of waffling about what Azure will be, I’ve found the following links to be super helpful:
Video: Introducting Windows Azure
Video: Windows Azure for Developers
What will be your first cloud app?

