Microsoft’s head is in the clouds. Not only is it promoting Game Pass as the premiere way to play Xbox without actually buying an Xbox, but the Redmond, Washington tech giant’s new plan for Windows is a $350 mini PC called Windows 365 Link that doesn’t have the company’s mainline OS installed on it.

Microsoft is going small with its newest hardware product, a cloud PC that will connect businesses to the company's Windows 365 services. Windows 365 Link, which the company is touting as the "First Cloud PC devices for Windows 365" will cost $349 (why not $365?

“The launch of Microsoft’s Surface devices previously spurred a wave of innovation among other device manufacturers,” said Downes. “Similarly, Windows 365 Link is expected to ignite advancements in the thin client market, which has seen limited hardware innovation in recent years.”

Dubbed Windows 365 Link, the new Microsoft device will sell for $349 starting in April 2025, geared for volume purchases by businesses.

Microsoft is announcing some new hardware today, but it’s a bit different from a typical Surface device. The Windows 365 Link, which launches in April for $349, is a mini desktop PC that exists exclusively to connect to the Windows 365 cloud service rather than running Windows locally.

Microsoft is planning to launch a new purpose-built miniature PC for its Windows 365 cloud service next year. Windows 365 Link is a $349 device that acts like a thin client PC to connect to the cloud and stream a version of Windows 11.

Microsoft on Tuesday debuted Windows 365 Link, a tiny $350 computer that will go on sale in April and runs the OS and all applications from the cloud. Why it matters: The new computer is designed for businesses who want devices that are more secure and easier to manage.