Microsoft to insert ads in its software?

Many of us are tired of ads. They're on television, on the radio, in newspapers and on the internet. Technology has cleared a lot of the muck out, since you can zap past ads with a TiVo or other DVR, you can subscribe to satellite radio and do away with ads completely, and you can even use software to block ads when using a web browser. But what happens when ads are embedded in the software you use on that PC?

Along those lines, Microsoft seems to be considering making up some revenues with advertising instead of direct product sales may be in its future for some or all of its products.

Microsoft Corporation (NASDAQ: MSFT) seems to be stealing some plays from Google Inc.'s (NASDAQ: GOOG) strategy book. But if a consumer pays for that nice piece of Microsoft software, how well will any advertising be tolerated? Not at all.

But the world's largest software company has apparently patented a system that can insert ads into any PC application, and even into the operating system (like Windows Vista) itself. That right there should throw millions of computer users into a tizzy. Granted, it's just a patent application, but it's a scary one.

The future of Microsoft's software products being tied to an ad-serving "mother ship" that would deliver ads right to the computer desktop for seemingly relevant consumer and business needs sounds a little fishy. But perhaps there will be an advertising-subsidized version of future Microsoft operating systems in the near future? Are you ready for an ad for Avery label sheets when typing that list in Microsoft Word 2007?

[Disclosure: I own MSFT shares as of 7-23-07]