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The update will include several new features that take advantage of features in Windows 7:
Full Image-based Backups of Windows 7 PCs. After the Windows Home Server Connector is installed on your Windows 7 PCs, Action Center should no longer display that your files are not being backed up.
Windows 7 Libraries Support. Music, Photos and Videos shared folders from your Windows Home Server will be added to Windows 7 Libraries. Content saved to these shared folders will be able to be quickly accessed through your Windows 7 Libraries. And any application, like Windows Media Player and Windows Media Center, will be able to access content saved on your Windows Home Server through Libraries as well.
Windows Search 4 is now included. With Windows Search 4, PP3 offers improved query search times, indexing times and reliability. Easy search through a Library in Windows 7 with files stored in multiple locations.
Windows Media Center Enhancements. Archive old recorded TV shows onto your Windows Home Server in a variety of formats. Use Console Quick View to see statistics about your Windows Home Server through Windows Media Center.

* Full Image-based Backups of Windows 7 PCs. After the Windows Home Server Connector is installed on your Windows 7 PCs, Action Center should no longer display that your files are not being backed up.
* Windows 7 Libraries Support. Music, Photos and Videos shared folders from your Windows Home Server will be added to Windows 7 Libraries. Content saved to these shared folders will be able to be quickly accessed through your Windows 7 Libraries. And any application, like Windows Media Player and Windows Media Center, will be able to access content saved on your Windows Home Server through Libraries as well.
* Windows Search 4 is now included. With Windows Search 4, PP3 offers improved query search times, indexing times and reliability. Easy search through a Library in Windows 7 with files stored in multiple locations.
* Windows Media Center Enhancements. Archive old recorded TV shows onto your Windows Home Server in a variety of formats. Use Console Quick View to see statistics about your Windows Home Server through Windows Media Center.

There is no set release date for the Power Pack, but Microsoft states that it will be available shortly after the General Availability of Windows 7. If you’re interesting in being involved as a beta tester, you can sign up as a beta participant at Microsoft Connect. Exisiting Windows Home Server customers will receive Power Pack 3 for free via Windows Update.