Microsoft’s Live Clipboard is great stuff. Plus it’s not dependant on Microsoft Live at all. Microsoft are just proposing the standard and providing a nice little desktop integration app for their Windows users.
Have a look at the screencasts. There will definately be UI issues to be worked out. This functionality should really live in the browser, detecting microformats and providing the grab UI. But it’s nice that we don’t have to wait for the browsers to aggree on a standard. Hopefully it will be easy for them to integrate post-hoc, to supplement this interface where it appears on the web, and emulate it where it doesn’t.
This is very important for the web as a platform.