X Omega (a.k.a X# or XEN) will be made available this year!
Looks like MS is moving forward with the new .NET language XEN err... X Omega as they are now going to call it. The details I've read about X Omega thus far look very promising. I can't wait to get my hands on it to play with it for real. Here's some links to more info:
http://www.microsoft-watch.com/article2/0,4248,1529588,00.asp
Programming with Circles, Triangles and Rectangles