This is probably not very insightful, but I realize these days that Microsoft doesn't make software for users (consumers). They haven't in a long time. I mean, sure somewhere in the vastness that is Microsoft they do (or at least, they think about it :P), but I mean the core stuff: Windows, Office, etc.
The X-Box is definitely in the consumer category, but Vista? .NET? IE? Office?
All for businesses first, consumers second, I'll contend.
Seems like kind of a self-fulfilling prophecy for Microsoft - make it easy for businesses and developers to build and deploy software on their platform(s), and these businesses will just continue to require Microsoft software to be deployed everywhere, which makes it easy to build and deploy software, rinse and repeat.
Its not a bad business (by any stretch of the imagination :)) - and if you think about it, they were "Computing 2.0" to the mainframe industry. It just took a while for the Web to catch up - it is, of course, all the wheel of reincarnation at work.
As I said, not really insightful, but now that I work at a consumer software company, that distinction seems more meaningful.
Here's a test on this thought: Would you say that .NET was a sucess or failure for Microsoft, and why?
Still, Microsoft Live is different.
They've got a long way to go, but its definitely for People. I think THIS is the big transition for Microsoft that the Web introduced: moving from business computing to truly personal computing thinking. And its not just a clone website - there is some very different thinking involved.