Yup, that was what I understood it to be, I’ll admit to just skimming the article, but it seemed rather directly that?

Windows 365 is a service that streams a full version of Windows to devices. So far, it’s been limited to just commercial customers, but Microsoft has been deeply integrating it into Windows 11 already. A future update will include Windows 365 Boot, which will enable Windows 11 devices to log directly in to a Cloud PC instance at boot instead of the local version of Windows. Windows 365 Switch is also built into Windows 11 to integrate Cloud PCs into the Task View (virtual desktops) feature.