Two new demo videos of the Windows Phone 7 operating system show how Office-based attachments can be opened and edited in Outlook Mobile without having to leave the email application.

Released by Microsoft, the demos reveal the freedom of the OS to allow the user to fiddle with a document or Power Point presentation and then send it back out, all within Outlook itself.

The videos also show the ability to add extra information to work-in-progress projects, while collaborators can add SharePoint notes. In addition, the phone's built-in microphone can be used to add audio.

It is this sort of flexibility that Microsoft hopes will stand the Windows Phone 7 OS apart from the iPhone's. The ball's in your court Apple...