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It’s his last time to host a Microsoft CEO Summit as company chairman before answering philanthropy’s call, so Bill Gates decided to use the opportunity for one more demonstration of Microsoft Research prowess. Gates allowed the high-profile executives attending the annual meeting of high-dollar minds to see Microsoft’s Touch Wall, which threatens the existence of whiteboards and Magic Markers in all those sterile conference rooms around the world.

So far it’s been a good year for touch-screen technology, big and small; besides the iPhone and all its competitors, there’s the touch technology on display during coverage of primary elections on CNN. Microsoft’s offering is basically its Surface computer mounted vertically and expanded out to a 50-inch screen. Gates showed off interactivity with documents, Tablet-style writing and easy access to applications like PowerPoint, and promised that the technology would not be all that expensive. Still, after the showing this week in Redmond for the business elite, you can expect corner offices in corporate headquarters across America to be the first places for the Touch Wall to show up.

Read [Seattle Times]

In a recently published open letter to the Yahoo! Board of Directors, Carl Icahn makes things pretty clear, he wants to dump the entire current board. He is not very happy with the way the current board acted with Microsoft’s offer of $47.5 billion and feels the $33 per share price was a “superior alternative” to what Yahoo could do on their own.

“It is clear to me that the board of directors of Yahoo has acted irrationally and lost the faith of shareholders and Microsoft.”

In a long and thorough letter he present a list of 10 members that he feels should replace the current board. The new list includes not only himself, but also Lucian A. Bebchuk, Frank J. Biondi, Jr., John H. Chapple, Mark Cuban, Adam Dell, Keith A. Meister, Edward H. Meyer, Brian S. Posner and Robert K. Shaye.

While Carl Icahn is going after this with full force, even if he were to get the newly proposed board in order, there has not been any word from the Microsoft camp as to whether or not they would come back and continue the deal.

Keep reading to check out the full letter…

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The wrappings come off a couple of cool applications this week:

Even though Google Sky was first to allow wannabe astronomers to surf the heavens from their computers, Microsoft Research’s Worldwide Telescope is getting some good reviews for ease-of-use and the sheer wonder of its visuals. The app, previewed at the TED Conference in February, is now public and uses images from the Hubble Space Telescope and the Chandra X-Ray Observatory Center, among other sources. Sorry, Mac users aren’t invited to this sky party; this window on the galaxy is Windows only.

You like to watch. Admit it. You know you do. Uh...we are talking about live car chases on local TV, right? If you live in the Chicago area, you can now watch those who do the watching of vehicular perps around the Loop. AirFox Live is the Fox affiliate’s website for its chopper video, streaming live from a number of cameras on the helicopter. The nice bonus is live GPS tracking on a map. I’m linking to the AirFox Live site but I first read about this on the Lost Remote website, which does an excellent job of tracking technology developments within the news business.

Read [Worldwide Telescope] Read [AirFox Live] Read [Lost Remote]

Microsoft is touting two new LifeCam models which are uniquely designed to have a bendable attachment base. These new webcams which mold to any surface are the LifeCam VX-5000 and VX-500. In addition, Microsoft is also releasing the LifeChat LX-2000, a full-size headset which is bendable as well.

Both of these LifeCams are affordable, easy to use and come with individual features. The LifeCam VX-5000 which comes a colored ring around its front, which you can choose to have in either Cool Blue, Lucky Green or Fire Red. This LifeCam is equipped with Windows Live optimization as well as the latest version of the LifeCam software. Its features include; Windows LiveCall Button, LifeCam dashboard, advanced VGA optics with VGA sensor at 640 x 480 resolution, built-in unidirectional microphone, 3x digital zoom and pan and tilt features.

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After announcing the launch of its latest BlackBerry handset - the BlackBerry Bold, Microsoft and RIM have announced an agreement that will bring Windows Live Messenger and Live Hotmail to all BlackBerry handsets. This would allow users to access both their Windows Live Messenger and Live Hotmail using their e-mail addresses and passwords, just once.

With Windows Live Hotmail and Live Messenger on their BlackBerry devices, users will be able to the following; set an automatic message delivery and message synchronization using push technology, utilize a dedicated inbox for Windows Live Hotmail messages delivered automatically to users’ handsets, display HTML e-mail with graphics, web links and contact photos, send instant message and join group chats, see status and preferences of Windows Live Messenger contacts, customize status message, save conversations, display avatars, send and receive picture and files, and use more than 60 emoticons.

Windows Live Messenger and Live Hotmail will be available for the BlackBerry beginning summer of this year in multiple languages.

Read [Microsoft Press Pass]

The Zune has some reason to celebrate, and while they are still far from Apple and the iPod, they have just reached the respectable 2 million sold mark. This new level comes just about one year from when Microsoft announced they sold the first million Zune’s, and with the increased sales some increased market share comes as well. Microsoft has been (albeit small) affecting the market share of some others such as Creative, who recently saw a two-percent drop. While the Zune has still not been able to affect the iPod with any major significance, its seems to be in the game for the long haul and has only been improving since its initial launch back in November 2006.

Via [electronista]

$899 million euros or $1.4 billion is definitely a huge sum of money and it seems like Microsoft would not just want to lose that amount over an anti-trust ruling that the EU has slapped Microsoft in February 2007. The fine was a result of a case filed against Microsoft for failing to comply with a 2004 ruling. So, Microsoft is appealing the EU ruling and hoping against all hopes that the EU would heed its plea to overturn the ruling or at least reduce the fine.

If you recall, sometime in 2004, the EU slapped Microsoft with a $768 million fine after it failed to comply with an anti-trust ruling that ordered Microsoft to provide rival companies with data that would allow their servers to connect to the Windows platform which was the predominantly used operating systems in majority of the PCs in 2004. In return, Microsoft is allowed to charge reasonable royalties for giving rival companies access to its Windows Platform.

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Microsoft has brought back their “Ultimate Steal” promotion, and once again are offering a great deal on Office Ultimate. Microsoft is currently running the promotion for students which will allow them to save $620, which is 91% off the retail price of Microsoft Office Ultimate. The office suite normally retails for $680, however up until May 16 anyone with access to a .edu address can take advantage of this deal.

Based on the website for the promotion, you must be an active student, meaning you are currently enrolled in a class, however the New York Times is reporting that all you need is an active .edu email address. Well, I have a spare $60 lying around, just a shame I don’t still have access to my old .edu address.

Read [The Ultimate Steal] Via [Lifehacker]

Software giant Microsoft and Korea-based car company Hyundai reportedly have partnered so the former could provide music for the latter’s cars. By 2010, Hyundai cars to be distributed in North America only are expected to feature a voice-controlled system that is connected to the vehicle’s stereo and other mobile devices.

No official specs have been revealed yet but it is safe to say that Bluetooth connectivity will be present aside from the direct cable connections that we usually find in car’s audio system to play portable devices such as the MP3 players and mobile phones. SlashGear even made a prediction that text messages could be read out loud by the system. 

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Microsoft has released Windows XP SP3 to the masses and also re-added Vista SP1 as an automatic update. After having some recent compatibility issues, Microsoft had delayed SP3 for XP and although SP1 for Vista remained available, it had to be manually downloaded.

It seems everything has been fixed and both updates are now available and waiting to be installed. Simply wait for Windows Update to kick in, or if you feel like you cannot wait any longer lunch the Update get the satisfaction on having an up to date system, at least for a little while.

Via [Engadget]