Yep, I agree.
Nobody is accusing Microsoft of being overly smart about Vista. They've not only shot their foot off, they've worked their way up to the knee with a machete, and are apparently planning to poke their own eyes out by killing XP on all but trivial machines like Eee-PC.
So did they step on their own d!cks with UAC? You betcha.
With golf shoes, AFAIC.