Microsoft Chairman Bill Gates on Tuesday showed off new features in Windows Vista and Office 12, due late next year. He told an audience of software developers at the Professional Developers Conference, to expect a wave of tech buying to accompany the arrival of the newest versions of Microsoft's flagship products reports USA Today Windows Vista will offer improved graphics and security, connect better with corporate databases, and be able to search hard drives more efficiently.

Originally scheduled to arrive in 2004, Windows Vista has been beset by delays mainly due to Microsoft's efforts to deal with security holes in Windows and its Internet Explorer Web browser.

Office 12 will introduce a new user interface. It will use tabs to access functions, instead of dropdown menus, making "the capabilities of the product far more discoverable," Caposella said. Some tabs will intuitively appear and guide the user to features useful for the task at hand.

Some companies and government agencies, particularly in Europe and Asia, have switched to Office-like programs based on the free Linux operating system.

"Every time Microsoft nails additional, insubstantial bells and whistles on a new version of Office, they increase the relevancy of Linux alternatives," King says.

"It's a risky thing to change the interface of the world's most popular application," Microsoft Chairman Bill Gates said. "You'll get some element of shock."