The major problem MS has with win8 ARM version (or whatever they're calling it) is software. They have visions of creating a brand new, non-backwards compatible windows app market. I don't see how that can work.
The reason Apple was able to build up an entirely new app market was because they sold a futuristic, next generation phone first. Once people had enough of them in hand, they had a market they could reasonably build an app market around. By the time they introduced more new hardware like the iPad, the market was well established and backwards compatible. This was a very important chain of events, Apple could not have successfully launched a new computer (the iPad) with no software and expect people to buy the hardware. People bought the hardware in part because it's backed up by a very large and diverse app store.
MS on the other hand thinks that there's some kind of demand out there for Win8 apps that have no backwards compatibility with Windows. They think they can launch a brand new version of Windows with no backwards compatibility and no apps and sell entirely new hardware based on it. This doesn't work, it can't work, its been proven not to work!
We know the Win8 tablets based on ARM processors are DOA because of software. I have a suspicion that the Win8 tablets based on intel will be DOA based on hardware- big and bulky, poor battery life, cost too high, no real clear purpose for existing. Basically, the same reasons why windows tablets have failed for the better part of a decade. Nothing about this show that MS put on puts to rest any of those concerns. They're being quiet on many details that make or break these tablets- cost, battery life, and software.
Now I've figured this out, when will MS? After they wasted a 10 billion or so?