If MS does this, it may force others to follow suit, namely Linux and other branded Unix flavors. This may cause a problem for IBM, BEA and other companies that want to sell you an application server (with web service enhancements). If MS drops the WS stack in the OS, this may cause IBM do to the same and then the Linux flavors may have to get in the game as well. I'm no rocket scientist, but this doesn't sound like good news for BEA and the other web service platform vendors. They would have to claim that either they had a superior implementation of the stack or rely on sales from the tooling (IDE, etc.) - which is a tough business. I also anticipate OEM relationships between groups like RedHat and groups like Systinet, Cape Clear and The Mind Electric...
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I'm no Kernel specialist, but wouldn't the X-Kernel architecturesupport the WS-* stack?
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