It was believed that Microsoft is working on a Cloud Edition of Windows 10, but unfortunately, it has not seen the light of day today. Fortunately, Microsoft's arduous efforts to develop "Cloud PC" are unlikely to go in vain, as the successor to Windows 10 Cloud Edition is reportedly in the development stage.
According to one of the guides, Windows 11 SE might be the successor to Windows 10 Cloud Edition. The mentor managed to get his hands on OS, and while installing it, he discovered that it requires users to have an online account because offline account creation was broken in OOBE. The instructable also noted that the settings page on the regular version of Windows 11 and the cloud version of the operating system were not the same.
Interestingly, Microsoft Store is blocked by default in Windows 11 SE, so you can't install Store apps. Fortunately, Win32 applications seem to work, according to the guide.
Based on information about Windows 11 Cloud PC, Windows 11 SE is likely to be based on Azure and Windows Virtual Desktop. The purpose of the cloud PC is to give users the opportunity to deploy and manage their Windows 11 computers in the cloud from anywhere and at any time provided the user is connected to the Internet.
Unfortunately, we don't have much knowledge about Windows 11 SE at the moment. We hope Microsoft will give us all the details about Cloud PC at its June 24th event. It's also possible that Microsoft won't talk about OS in the event, instead, it might allocate another event that discusses the OS.
Update:
Meanwhile, famous Microsoft journalist Mary Jo Foley, while replying to us on Twitter, claimed that Windows 11 SE is S Mode SKU for Windows 11. She also claimed that the software giant is not in Mood mode to pull the plug on the development of S mode. In other words, Windows 11 SE might just be another name for Windows 10 S mode.