Today we’re happy to announce new versions of Movie Maker and Photo Gallery for Windows 7 and Windows 8. We’ve added a few new capabilities while also taking advantage of some advances in Windows 8. Movie Maker and Photo Gallery are two essential Windows applications hundreds of millions of people have come to rely on for making the most of your photos and videos. And with this release, we’ve given you a few more reasons to enjoy them even more.
Note: http://windowsteamblog.com/windows/b/windowsexperience/p/essentials.aspx
If you have Windows Live Mesh installed, it will automatically be removed if you install the new Movie Maker or Photo Gallery (available as part of Windows Essentials 2012).Microsoft SkyDrive will be installed in place of Windows Live Mesh. To sync folders from the cloud to all of your PCs, you will need to install SkyDrive on all of your PCs or Macs.
Monitored install in win7 32 -- it updates some .NET stuff, & adds a few video codecs if you don't already have the Live stuff installed, so a precautionary backup might be a good idea.