At the top layer, you've got software strategy.

"They needed someone with the vision as to what the corporate software strategy should be and the will to invest in those opportunities."

The software strategy represents a sharp reversal from the founders' intentions three years ago.

The software strategy, analysts say, does seem to be Loudcloud's best path forward.

These new chip and software strategies will move into the marketplace, step by step, over the next year or two.

Gates says that he will spend almost all his time focused on the company's software strategy.

But so far a common software strategy has not emerged.

Until the two companies form a common software strategy, they will be at a disadvantage, some analysts said.

MS only seems to want to do that if its software strategy has failed.

He said Multiflow designers were designing a new computer to speed its original software strategy.