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Long live Windows Azure, the new Windows in the cloud!
The site is already live at http://www.microsoft.com/azure/default.mspx
Windows Azure is a platform to build your applications on. It provides complete scalability for your applications, making it possible for you to use 1% of a server or 1000 servers.This transition is just changing a value in configuration.
Also, high availability is assured by a network of data centers being build worldwide.
The developer experience to start developing for the cloud is seamless. New project templates will make it possible to build your cloud applications just like a normal app. After the packaging, you can deploy to the Microsoft servers.
A first application running on Azure is Bluehoo that will go live in a few hours from now. You can access it from www.bluehoo.com. It's a Silverlight application using Windows Azure in the back.