Rumors have been trickling out concerning Microsoft's plans to overhaul SkyDrive, their cloud storage platform. Today, Microsoft has officially explained their plans for SkyDrive. The previously web only application will soon be made native in the form of a Windows 8 and Windows Phone 7 apps.
The desktop app will come with drag and drop support similar to Dropbox. There will be a limit to 2GB of storage. While designed for Windows 8, the software will also support Windows 7 and Vista. Windows 8 applications will also be able to access the files hosted in the service.
There were also rumors of tiered pricing for increased storage similar to Dropbox. These weren't mentioned by Microsoft. Details concerning the Windows Phone 7 app were also scarce in today's announcement.
Source: Building Windows 8 Blog