PDA

View Full Version : MS Slashes Price of Windows on Netbooks



I-75
April 10th, 2009, 05:32 PM
( I wasn't going to post this, but decided to for two reasons.

One...MSFT feels Linux is enough of a threat enough to slash prices on the Netbooks.

Two...further down the article, it says that Linux has 25% of the netbook market...worldwide.

So my question is this, I was under the impression that MSFT already had price breaks/discounts for Netbook OEM's...does this mean...that MSFT cut the OEM's cost even further? I thought it was around $20 already )
__________________________________________________ _____


MS Slashes Price of Windows on Netbooks

by John Lister on 20090410 @ 11:19AM EST | google it | send to friends

http://www.infopackets.com/news/business...tbooks.htm


Microsoft has cut the price of Windows by almost 80% for the special netbook edition. However, the price is for manufacturers, meaning consumers won't necessarily see all of the savings.

Until now, computer makers normally had to pay around $70 to include Windows on their machines. Microsoft has now started offering Windows for just $15 to firms making netbooks. Of course, there's no guarantee manufacturers will pass all of those savings on; depending on how competitive the market is, they may attempt to keep back some of the $55 reduction for themselves.

Microsoft feels the price cut is necessary because of the success of open source Linux systems on netbooks. The computers are designed to be cheap and ultra-portable and, while full-featured PCs, mainly used for Internet access.
Linux a Threat

Linux has two advantages in the netbook market.

The low price of the netbook hardware means that the cost of the operating system becomes a much heftier and more noticeable chunk of the overall price. That said, the relatively low-end hardware specifications of netbooks means Windows will likely run sluggish, even though many of its features aren't really necessary.

Those advantages haven't caused major problems yet for Microsoft: 96% of netbooks in the U.S. run Windows right now. But with Linux owning a 25% share worldwide, the competition has some breathing room. (Source: computerworld.com)

Peasantoid
April 10th, 2009, 05:35 PM
Fifteen dollars? What the...

Paqman
April 10th, 2009, 06:05 PM
I thought it was around $20 already )


Me too. Frankly, Microsoft could charge $1 for XP on netbooks and they'd still be laughing, because that's one more machien that is running their system, and not a competitor's. XP is coming towards the end of it's life cycle, so any money they make on it now is just going to be pretty much pure profit.

Methuselah
April 10th, 2009, 06:11 PM
This is why I'm interested to see how they manage the transition to windows 7.

The recent avalanche of Microsoft engineered FUD might be part of a campaign to make gnu-linux completely undesired on netbooks.
I don't believe they'll want to charge little or nothing for Windows 7 OEM licenses but they don't want an unfavourable price comparison with gnu-linux netbooks on similar hardware.
So I think they'd rather it be a non-factor by the time windows 7 launches when the really cheap netbook will also disappear.

Paqman
April 10th, 2009, 06:28 PM
This is why I'm interested to see how they manage the transition to windows 7.


Me too. They've already confirmed they're going to have a lightweight edition of Win 7 designed to compete in the netbook market, but they've also said that all Win 7 licenses will have an option for a downgrade to XP.

I can't see them wanting to give away too much on price for their new baby, though. I'd love to hear what some of the OEMs had to say about Win 7. Presumably they're all going to ship it, but will they drop XP when they do?

gn2
April 10th, 2009, 09:46 PM
This is why I'm interested to see how they manage the transition to windows 7.

They've already announced that W7 licence holders can downgrade to Vista or Xp.

http://news.bbc.co.uk/1/hi/technology/7991708.stm

bakedbeans4life
April 10th, 2009, 10:58 PM
I await the acknowledgment and plaudits of a masterstroke pulled of by Microsoft, and how they should be congratulated on having such marketing nous.

Windows XP is one thing, it is but a pawn sacrificed in a much larger game (even though most Windows users don't want Vista or 7, they want an improved XP). Will Microsoft subsidise their next latest and greatest just to wipe out Linux on the netbook?

Few companies have ever gone to these lengths. The fact that Microsoft have means they are rattled. So much for having 96% install base in the US.

If this leads to the fully functional version of Windows 7 (not the 3 application crippled one) made available without restriction on netbooks, then Linux will have played a part in this. Is that not better for all consumers?

Giant Speck
April 10th, 2009, 11:00 PM
Frankly, I don't care.

What I want to know is how much Windows 7 Home Premium will cost when I go out and buy it.

Icehuck
April 10th, 2009, 11:05 PM
Frankly, I don't care.

What I want to know is how much Windows 7 Home Premium will cost when I go out and buy it.

Probably in the range of $150-$200(€114-€150) for Home Premium.

Giant Speck
April 10th, 2009, 11:09 PM
Probably in the range of $150-$200(€114-€150) for Home Premium.

That's not that bad, to be honest. I'll wait for an official announcement from Microsoft, though, just to be safe. I'm probably going to buy it regardless, but I would like to know how much it's going to cost regardless. It'll be a little more expensive here in Alaska. Though, I won't have to pay sales tax. :)

bakedbeans4life
April 11th, 2009, 01:08 AM
Yeah. Keep smiling as you live in your little dream world where I'm a Windows zealot.

I do love this forum.

Paqman
April 11th, 2009, 10:19 AM
Few companies have ever gone to these lengths. The fact that Microsoft have means they are rattled.


I don't think they're rattled at all. This kind of thing is pretty normal business practice for them. They've always used their dominant position in the market to smother opposition.