Joe Wilcox blogs about the arguements for and against Integration in Longhorn. Here is a choice quote:

All of these new integrated scenarios share one thing in common: They are, at the least, partly proprietary or tied to Windows. They also could discourage developer involvement in other platforms. I want to be clear: That discouragement isn’t necessarily through any onerous means. Based on what Microsoft showed off this week, the company has started down the path to delivering excellent tools that would let developers more easily create applications. Microsoft shouldn’t be faulted for outflanking its competitors with better tools.

That said, the tools also leverage off Microsoft’s existing Windows monopoly. Competitors don’t share that advantage and may want to plan a response now. Microsoft disclosed enough information this week so that competitors would have plenty of opportunity to respond. After all, Longhorn is as much as three years from release.