During the short demonstration, the presenter took a photo with his mobile phone which then wireless synced with the Live Mesh computer. At present the Live Mesh can only be accessed via the browser when on your Windows Mobile device.
The keynote presenters, Dr. Neil and Amit Mital teased spoke of a broader vision of unified device management to remotely manage health, status, location and capability of devices; unified application deployment with synced configurations and settings for those applications; and finally unified data management across any device.
They gave an example of syncing a Zune to your Live Mesh cloud, vs your local PC, which seems rather ambitious. The Live Mesh client for Windows Mobile is expected to arrive within a few months.