Google, Yahoo, Amazon, and other web-based services companies offering functionality and apps for free that Microsoft currently charges a boatload for.
What are they smoking? What exactly do Yahoo and Amazon offer that equals to Windows or Office?
And no, Microsoft does not charge anything for Wordpad (equivalent of Google Docs). In fact, Wordpad is open source - it's been shipping as "RichEdit control code sample" since Visual Studio 4.0 (1996 if I'm not mistaken).
How many years need to pass for people to realize that no, a browser isn't an OS, and no, browsers don't represent any "paradigm shift", simply because winword.exe can learn to do HTTP much easier than browser can learn an equivalent of Win32 API.