I read somewhere, I can't remember exactly, that Microsoft was asked last year to renew its CES Keynote for 3 years, in which Microsoft opted only for the 1 year which is this coming Jan. So it wasn't kicked out, my guess they are telling the truth. I mean Windows is generally release middle to end of year anyway, and new xbox models as well so whats the point of doing it. Intel on the other hand can seriously benefit from CES as it releases its new processors shortly after.
I think that Microsoft are pretty stupid not to be there. It is simply a great place to network and see the new innovations up close. If apple did the same there products would be so much better. Even if they had a small both and handed out cheesy Microsoft stickers