While I am probably not the biggest fan of the Ribbon that was first introduced in the Office 2007 desktop apps, I have to admit that having that functionality in a browser-based solution looks really slick! Even more important though is that this significantly reduces the click distance for any task in SharePoint and makes the whole solution much more attractive, both objectively and subjectively.
I think that Microsoft is on to another very smart move here also: Silverlight (and AJAX), now being an integral part of any SharePoint installation, will help to rapidly increase the installed base of Silverlight.