Windows 7? Is Vista Really That Bad?

Now I thought Bill Gates was done with Microsoft? I guess not. Speaking at a meeting at the Inter-American Development Bank he hinted that a 'Windows 7' might be released "Sometime in the next year or so"

So what does that mean for Vista? Was it all just one big screw-up? Will there be no 'Vista '09'ish type update in the same vein that Windows used to update its software?

Assuming that we don't see any new software from Microsoft until sometime in 2010 (as they have been known to be a bit over confident with release dates in previous years) that would still be just three years since the release of Vista. XP was around for a good five-six years before it was succeeded.

So what do you think? Is Vista that bad a version of Windows that it needs replacing ASAP, or is this just a sign of the speed technology moves at these days?