Regardless of what we feel about Microsoft and it's products, the statement: "Increasingly, people want a Windows experience on all of their devices" is largely true for the vast majority of computer users. I wouldn't extend that statement to phone users, but for future tablets and netbooks, I certainly would.
Given that ARM devices are approaching traditional PC territory, Microsoft doesn't really have a choice but to port Windows to the ARM platform. It will likely not be the most efficient, most secure or most reliable, but I would bet that it will be the biggest selling.
Re: "The next version of Windows—presumably to be called Windows 8"
As far as what it will be called, I wouldn't put money on "Windows 8" right now. Let's see. We had: Windows 1.X, Windows 2.X (renamed Windows 286), Windows 386 (renamed Windows 3.0), Windows 3.11, Windows 95, CE (renamed Windows Mobile at somewhere around V6), 98, NT, 2000, Me, XP, Windows Tablet PC, Windows Media Center, Vista and 7.
Given that sequence of names, I think it's pretty obvious that the next name in line is "Windows Bunny Rabbit."
Vaporware - more hot air from a company that excells at hot air, smoke, and mirrors. Microsoft's bloated and buggy code base will hardly run on a 3 GHz dual core desktop PC. They will never strip out enough of the bloat to make it operate on an ARM processor in a reliable manner. Microsoft's software is a nightmare of unreliability and security holes that should be kept from spreading like the virus that it is. As far as presuming that Microsoft's next living dead software will be called Windows 8. Ha! Maybe it will be called Vista 2 or Windows You. Their marketing people are not only deceptive, ala the unveiling of the latest XBox which was modified for the demonstration, they also have no concept of what a positive image consists of.
nteresting blog below by Bill Dally, Professor at Stanford University and Chief Scientist at nVIDIA... With WINDOWS now supporting ARM, existing ARM cores can power tablets and netbooks, but there is opportunity to develop a high-performance ARM core/chip for desktops, higher-end notebooks and servers. nVIDIA is doing it today, and I expect others (eg TI, Marvell, maybe even Apple or IBM, in partnership with ARM) to do the same. Processors for Windows PCs is a huge, profitable market!