It's still long enough that it needs a table of contents with links, as well as long enough that the only people reading it are people looking for legal recourse.
I caught myself actively reading the agreement like it was a blog post. The questions helped frame what I was about to read, and made the answers feel a lot more accessible.
(It also helps that the answers seem like they were written for normal people to understand. They're a little wordy, but in a thorough-yet-not-quite-legalese-y kind of way.)
Still, a lot better than a lot of other TOS out there that you can't properly read even if you want to because ALL CAPS EVERYWHERE.
For humans: http://creativecommons.org/licenses/by/2.0/
For lawyers: http://creativecommons.org/licenses/by/2.0/legalcode
Granted, Microsoft's lawyers probably wouldn't approve (because people might argue that they're agreeing to the simplified terms that have wriggle room and not the iron-clad legalese).