City Desk Fog Creek's 
City Desk sounds like a product built sensibly off user behavior. In designing the web publishing system, Joel
- Avoided a web-based application (can't do good GUIs over the web)
- Used the right tool for the right task (use databases for databases, not XML)
- Assumed people couldn't control the server (they usually can't)
- Built for Windows only (no brainer--everyone has it)
- Made it really easy to use
I don't know how the product will do against competitors, like 
Grey Matter, 
UserLand, or even 
Blogger (the system I use), but there's probably a space for an easy-to-use desktop web publishing tool on Windows. Until Microsoft bundles a version and kills the space.
 
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