Microsoft has understood the potential of the Indian market and its need for solutions custom built for India like localization of languages. Techtree has an article on Microsoft launching a Windows XP Starter Edition for India. Quote:

"Microsoft has launched "Windows XP Starter Edition for India," the latest version of its local language operating system which was introduced last year.

Microsoft says the new version has been released in response to extensive feedback from first-time users, and promises to offer multi-language support allowing them to seamlessly switch between English, Hindi and Tamil as computing interfaces.

The latest version introduces beginners to computing by providing a simple operating system for entry-level PCs. It incorporates features specifically designed for beginners such as customized support in local languages, bi-lingual user interface, pre-configured PC settings, etc. "

It has also introduced Works 8 - a productivity application suite.