People is already moving away from having a desktop at home, and younger people are not even interested in having laptops, phone and tablet seem to suffice for most of them. From that perspective it makes sense to have a cloud computer that you can use no matter what device you own. Businesses are already moving this way with different types of VDI and cloud-native apps.

For us hardcore computer users, most likely we'll finally jump to full-time Linux, but for work will still use the Cloud Windows when/where required.

For me it would be better to just have both options, and let me select, but knowing MS, they will make it near impossible to chose (like they currently do with the online account vs local account to sign in to the computer).