There was existing precedent for a tiny version of Windows that is barely enough to run a single program. The original Windows version of Microsoft Excel came with a runtime version of Windows 2.1, so that customers who didn’t have Windows could still use Excel.
Fun fact, the “DOS” version of AOL did the same thing but with GEOS. Pretty impressive that it all fit on one 1.44MB floppy.
If it does work, though, it’ll be pretty sweet.