In a nutshell, Live Mesh is a synchronization tool that can "intelligently" and automatically maintain current versions of files on computers, smart phones, and the web. If you are connected to the internet, it will propagate the changes as soon as you close a file. If not, it will make the changes when you regain a connection. It makes life a lot easier as you acquire more and more techno gadgets!
Look for Live Mesh to go on one of the following iterations of Live/Azure services and software.
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