How do you think Dell and Ubuntu should market Ubuntu-Dell computers?

[aysiu]

At this point (beginning of May), all we know is that Dell is planning to sell "select" Ubuntu-preinstalled desktops and laptops, starting in the US, and possibly branching out to other countries, depending on how successful their efforts are.

We don't know a whole lot else.

The success of this campaign depends partly on how well Ubuntu developers did with Feisty Fawn. It also depends partly on how well Dell does its testing and gathering of hardware for compatibility.

But certainly a lot of the success of this endeavor will be in how (or if) it's marketed by Dell and by Ubuntu.

If you were those two companies, what would you do to make this a success? What are you hoping to see from Dell and Ubuntu in terms of implementation?

[raymac46]

Well hopefully they'll have some sort of theme that Ubuntu and Dell can give you everything you need (Web surfing, email, IM, office apps, photo management, music & video) and nothing you don't (worms, viruses, spyware, crashes.)
That's sort of the philosophy behind the "I'm a Mac..I'm a PC" ads but hey, it seems to work.

[mech7]

Probably on price as most Dell's are usually marketed as cheap computers.. and probably on default software, free office package, free image editor installed etc.. no adds in messenger and so on :) Comparing to only wordpad on windows :)

[PriceChild]

I think Dell really have to market a bit of "no need to buy another piece of software" with "16 thousand applications in official secure repositories" etc. etc.

(or however many pieces of software there are in there.)

I'm not sure what Canonical can do... I guess they've just got to rely on Dell making their support options visible for this deal to work with them. Who knows what's been agreed between them.

[madcow72]

I just found out about this new move by Dell. I'm really excited, actually! I would think that if they truly marketed the benefits of choosing ubuntu, it may anger Microsoft more than they must already be, yes?

[dca]

I don't have a warm and fuzzy feeling... Being a pessimist, I think it will end up back-firing. I was hoping that the end result will be a PC(or laptop) that prices itself a couple bills lower (okay, well more than that) than a comparable machine running WinXPSP2. It's not looking that way. Linux as a whole has proven its superiority over Windows on the server side for years on ALL levels. None the less, I couldn't think of a better distro to offer on the desktop (or on a server for that matter, I use it) than Ubuntu.

Now the other side: don't think it's sour grapes for SLED or Red Hats new desktop vers... In a nutshell, I don't think they even wanted their vers to be offered because you can't get any further away from the enterprise than offering your desktop distro on an entry-level Sempron/Celeron PC...

[waxapple]

If they are going to offer hardware choices, it'd be nice for them to mark clearly which builds require proprietry drivers.

But that's not from a business perspective, more a moral one.

With regards to marketing success, perhaps slightly higher spec machines on the basis that you wouldn't be paying for the Vista, and point it out in their marketing campaign.

[aysiu]

If they are going to offer hardware choices, it'd be nice for them to mark clearly which builds require proprietry drivers. My understanding is that they wouldn't include hardware that requires proprietary drivers.

[Kobalt]

My understanding is that they wouldn't include hardware that requires proprietary drivers.
That would be top-class serious work...from an open source point of view. Is Dell ready to involve that much ? I doubt.
Still a very good news for Linux/Ubuntu though.

[Rob Alderson]

I think the tag line should be "Now YOU have a choice"

[aysiu]

That would be top-class serious work...from an open source point of view. Is Dell ready to involve that much ? I doubt.
Still a very good news for Linux/Ubuntu though.
They sound as if they're involved: Linux: Driver Support is Key (http://direct2dell.com/one2one/archive/2007/03/28/9655.aspx)

[mech7]

In a nutshell, I don't think they even wanted their vers to be offered because you can't get any further away from the enterprise than offering your desktop distro on an entry-level Sempron/Celeron PC...

Lol do you know how many workstation in enterprises are Dell, allot i can tell you :)

[billdotson]

I hope this goes well. If Ubuntu gets enough sales and people like it we may yet see popular software for it e.g. Adobe Photoshop or Quicken. And who knows.. maybe a couple of games :)

They really need to market it as being free, having entirely free software, easy to use (as long as you don't go around screwin w/ stuff internally... IMO driver support will have to be top notch.. not only with the hardware w/ the computer but there needs to be a sort of compatibility list for other hardware that works w/ Linux.

[aysiu]

I don't know about enterprise, but in my past two jobs in education (secondary and post-secondary), every non-Apple computer has been a Dell.

[prizrak]

My understanding is that they wouldn't include hardware that requires proprietary drivers.

Not according to what I read. They said they will do their best but if they have to they will install binary.

That would be top-class serious work...from an open source point of view. Is Dell ready to involve that much ? I doubt.
Still a very good news for Linux/Ubuntu though.

Well this is actually gonna go into my marketing response as well. The thing is that if they market it to businesses they are unlikely to need any specialized hardware. No need for a 128meg nVidia and 7.1 surround in a dev rig or an office "typewriter".

The marketing should focus HEAVILY on business side of things. The machines should be marketed for developers, IT personnel and certain staff. They should be marketed to the enterprises as a way to secure their network for the "secretary" who won't use much of the capability. IMO it's a little too early to target home users, those who know what Linux is will get it either way those who don't won't bother trying. It should also be targeted at K-12 organizations. Teaching someone to type doesn't require a 4billion GHz Oct core 50, and a 100+ software package.

If it is to be marketed to the home users it should be marketed for those who just want a simple web appliance. That means cheap Celeron systems with integrated GFX and so on. It may not be the greatest image for Linux right now but it's the safest bet.

As aysiu said before we should undersell Linux otherwise the expectations may be too high and dissapointing.

[prizrak]

I don't know about enterprise, but in my past two jobs in education (secondary and post-secondary), every non-Apple computer has been a Dell.

I'm at a Fortune 500 company that spans a couple of continents and you could not find a non Dell system here. In fact the ONLY system that is not a Dell is my laptop because I bought it myself :)

[aysiu]

As aysiu said before we should undersell Linux otherwise the expectations may be too high and dissapointing. Thanks for noticing. With the number of "This isn't Linux for human beings" threads and "Tired of Windows troubles? Get Linux" articles out there, we need all the underselling we can get.

Tell people it's an email/web/word processing/music listening computer. That's all most people use computers for anyway. Once they discover they can do more, it'll be a pleasant surprise.

[prizrak]

Thanks for noticing. With the number of "This isn't Linux for human beings" threads and "Tired of Windows troubles? Get Linux" articles out there, we need all the underselling we can get.

Tell people it's an email/web/word processing/music listening computer. That's all most people use computers for anyway. Once they discover they can do more, it'll be a pleasant surprise.

Sometimes I feel like there are only a handful of Linux users that are grounded in reality to some extent. Though I suppose as all moderates we are not nearly as vocal :)

[aysiu]

Sometimes I feel like there are only a handful of Linux users that are grounded in reality to some extent. Though I suppose as all moderates we are not nearly as vocal :)
Yeah, it's funny. I view myself as a moderate, but I've been accused by both sides of being either too anti-Ubuntu or too pro-Ubuntu. Go figure.

[IgnorantGuru]

I'm excited to read about this because I believe the more linux is widely used, the more it will be supported, which translates into more hardware and software for your's truly. :)

I do have a few concerns...

1) I hope Ubuntu does not compromise their style for mainstream users. I hope they stick to a nice light, secure dist that you can add tons of software to IF YOU WANT IT, rather than responding to whining users by producing bloat and a lot of fluff by default. When the internet became mainstream it brought in a lot of money and users, but it also brought in spam, viruses, bloatware, and other maladies that did not exist when it was just us Ignorant Gurus. I hope Ubuntu separates what will no doubt be a fluffy Dell desktop from its standard desktop.

2) I'm a little concerned with when novice Ubuntu users are prompted to update their kernel or do a dist upgrade. That has been shown to bring a lot of systems down. Windows updates have their own problems, but I have never had them hose my system like Ubuntu updates have (well, the service packs maybe). At the very least, users should be severely threatened if they attempt to update something like a kernel.

3) I hope proprietary drivers and closed software don't gain a foothold in the open-source community via deals like this - more than one company has traded its ethics for money (SUSE, anyone?) I'm very glad they chose Ubuntu rather than going the SUSE/MS route.

Well done, Dell! I have a whole new appreciation for Dell today, both for their linux/Ubuntu choice, and for the way they LISTENED. All in all I think it's an exciting time for linux. Aside from a few snags, most people I have put on linux like it much better than windows, so I have little concern about that. Maintenance can be tricky though, but most people trip on Windows maintenance too.

Overall I think Dell will find maintaining a linux fleet to be easier, simply because it's a) more consistent, b) less crippled by licensing and anti-copy issues (that create a LOT of the headaches in Windows World), and c) inherently more secure. I know I prefer maintaining linux machines for users, so why should Dell be any different?

[macogw]

That would be top-class serious work...from an open source point of view. Is Dell ready to involve that much ? I doubt.
Still a very good news for Linux/Ubuntu though.

Currently, Dell uses open source drivers from kernel.org any time they are available instead of using the manufacturer's binary drivers. Given the kernel devs' offer of open source drivers for anything with specs, it shouldn't be hard for Dell to get drivers for whatever they have that doesn't already have them.

I hope they market the "it comes with all this software PLUS you can get more free software easily" thing. The repositories are a great thing.

[az]

But certainly a lot of the success of this endeavor will be in how (or if) it's marketed by Dell and by Ubuntu.

If you were those two companies, what would you do to make this a success? What are you hoping to see from Dell and Ubuntu in terms of implementation?

The endeavour in of itself is irrelevant. This will not make Dell its' next billion dollars. What is important is the path this puts both of those entities on.

For Canonical and GNU/Linux (and free-libre open source software) this improves awareness. This turns linux into a concrete choice instead of a quirky toy that some people play with. The result is an increase in marketshare.

Once free software marketshare reaches an inflection point, the laws of the market will come into play and the things that linux users struggle with will resolve on their own (hardware vendors will sell their stuff to linux users, so they will make more money if they supply proper drivers or specs to a community of user who will write the drivers for them, ISVs will offer their expertise to companies who chose to use free-libre software, proprietary software will have to take interopreability seriously, etc....)

So we don't need to worry about addressing every single flaw or shortcoming. No software is perfect. When you consider where free-libre software comes from and what it has achieved, you do end up with the impression that it has a brighter future. Whether this deal sell a million units or not is not going to determine whether Dell continue to support linux. It will set the tone for how aggressive they think they will need to be to ride the wave.

This is Canonical's business strategy today; they provide services and support. Dell wants be be ahead of the game (and they are, because linux is not all that popular yet) and be the seasoned veteran hardware provider who can give the customer what they want. They will soon want linux.

[Mateo]

They will be marketed at the general audience, not at the linux community. Big corporations do not sell to niche markets. What they willl do is market it as a low-end inexpensive computer for general users. People who want the cheapest possible computer (so they don't have to pay the windows license).

Which is why they made a mistake by including Ubuntu as the distribution. They should have chosen one of the ubuntu distros that includes the mp3, dvd support, etc by default.

[IgnorantGuru]

Which is why they made a mistake by including Ubuntu as the distribution. They should have chosen one of the ubuntu distros that includes the mp3, dvd support, etc by default.

Interesting point - I wonder how they will handle that. Surely they won't leave the machine blind and deaf. ???

[chriswyatt]

I'm sure that sort of functionality will be included by default. Dell wouldn't want people calling up their technical support lines saying 'My DVD won't play' etc., etc.. This won't be a standard Ubuntu distro, it will be a Dell one.

[IgnorantGuru]

I'm sure that sort of functionality will be included by default. Dell wouldn't want people calling up their technical support lines saying 'My DVD won't play' etc., etc.. This won't be a standard Ubuntu distro, it will be a Dell one.

I agree it would seem necessary. How do you think Dell will accomplish that without hitting the same legal issues Ubuntu does? Will they buy licenses?

[Mateo]

good question. isn't the dvd css thing "illegal"? they'd have to make their own dvd thingy. that would be strange. I always assumed that they'd just have a standard ubuntu installation, which means bad things for a normal user. But I guess it would be smarter if they altered it a bit.

[macogw]

good question. isn't the dvd css thing "illegal"? they'd have to make their own dvd thingy. that would be strange. I always assumed that they'd just have a standard ubuntu installation, which means bad things for a normal user. But I guess it would be smarter if they altered it a bit.

Well, if they pay the licensing fees to MPAA and use DeCSS, then they can't get in trouble since they paid the licensing fees, same for LAME & mp3.

[Mateo]

They might not do that though. The appeal to them for selling ubuntu is that there is no cost to them. If they now have to pay licensing fees, this lowers the incentive for selling linux. I think they might just elect to have a bare-bones ubuntu install.

[macogw]

The appeal is that users want it and say they'll buy it. My dad's computer just died. Maybe I'll tell him to get an Ubuntu one from Dell. Yes, it costs Dell a lot less, but the CSS/MP3 licensing isn't nearly as much as a Windows license is. It's a few bucks per computer. They can do that just fine, and if they don't, well, the "easy codec installation" thing is there still.

[Mateo]

But you have to assume that most of their customers will be first-time linux users. They wouldn't be doing this just to get the current linux market - big companies do not make large business decisions to get a niche market. You have to assume that they're going to target non-linux users who are just looking for a cheap computer. Therefore it needs to be as cheap as possible. It all comes down to how much these licenses cost; I don't know how much it is. If it's significant then it takes away the incentive for Dell to make linux computers. If it's not significant then it doesn't matter. Obviously they would want them to be preinstalled since this will help them get more customers.

[prizrak]

But you have to assume that most of their customers will be first-time linux users. They wouldn't be doing this just to get the current linux market - big companies do not make large business decisions to get a niche market. You have to assume that they're going to target non-linux users who are just looking for a cheap computer. Therefore it needs to be as cheap as possible. It all comes down to how much these licenses cost; I don't know how much it is. If it's significant then it takes away the incentive for Dell to make linux computers. If it's not significant then it doesn't matter. Obviously they would want them to be preinstalled since this will help them get more customers.

a) Dell is marketing their computers to companies right now. They have said a few times that they will offer Linux on their business machines as opposed to home user machines. This very much takes away from mp3 and dvd playing issue.

b) Dell already pays for MP3 and DVD playing licenses with every computer. They have MusicMatch Jukebox software that plays MP3's and they all preinstall a DVD player such as WinDVD. If they are going to start marketing their systems to home users they will likely port MMJ to Linux and make a deal with LinDVD* (same people as WinDVD). Even with all the licenses you are still not paying for Windows which helps ALOT.

*LinDVD is actually currently used in HP laptops for the one touch DVD playback. It's a mode in which you pop the DVD into the system and instead of loading Windows it will load a stripped down version of Linux (from ROM) that only runs LinDVD making it much faster and less power intensive to watch them.

[tehbeermang]

How should they market it?

A quiet super bowl commercial.

Scene: typical office with a penguin sitting on a desk, enjoying a cup of coffee from a mug with a dell logo, clicking his mouse and looking at the computer screen. The Penguin turns and looks into the camera and says "I'm ready. Are you?"

Then turns his attention back to the screen and takes a sip of coffee.

Fade to black.

Dell Logo, Ubuntu Logo, web URLs underneath each.

"Linux is Ready."

[karellen]

How should they market it?

A quiet super bowl commercial.

Scene: typical office with a penguin sitting on a desk, enjoying a cup of coffee from a mug with a dell logo, clicking his mouse and looking at the computer screen. The Penguin turns and looks into the camera and says "I'm ready. Are you?"

Then turns his attention back to the screen and takes a sip of coffee.

Fade to black.

Dell Logo, Ubuntu Logo, web URLs underneath each.

"Linux is Ready."

I like that :)

[iPower]

less hell than before

[DoctorMO]

How should they market it?

A quiet super bowl commercial.

Scene: typical office with a penguin sitting on a desk, enjoying a cup of coffee from a mug with a dell logo, clicking his mouse and looking at the computer screen. The Penguin turns and looks into the camera and says "I'm ready. Are you?"

Then turns his attention back to the screen and takes a sip of coffee.

Fade to black.

Dell Logo, Ubuntu Logo, web URLs underneath each.

"Linux is Ready."

Why don't we make that? doesn't sound overly complex, do we know anyone who's good as 3D modelling and then we'll need someone to do animation. surely we must have the talent! Only I think we should skimp the Dell branding :-P I know someone who is good at shooting and directing for any live scenes (wife)

[sc30317]

They should just basically tell users the awesomeness of ubuntu, and also mention that it will be less expensive

[tehbeermang]

Why don't we make that? doesn't sound overly complex, do we know anyone who's good as 3D modelling and then we'll need someone to do animation. surely we must have the talent! Only I think we should skimp the Dell branding :-P I know someone who is good at shooting and directing for any live scenes (wife)

Animation? How about kicking it old school and building a muppet? ;)

[gashcr]

2) I'm a little concerned with when novice Ubuntu users are prompted to update their kernel or do a dist upgrade. That has been shown to bring a lot of systems down. Windows updates have their own problems, but I have never had them hose my system like Ubuntu updates have (well, the service packs maybe). At the very least, users should be severely threatened if they attempt to update something like a kernel.


I am not worried about this. I'm pretty sure canonical will work around Gutsy and further distros so upgrades within those new Dell machines will be flawless. I am also sure new installers will be improved, grandma's prove to be exactly.

[gashcr]

Animation? How about kicking it old school and building a muppet? ;)

Cool!! A tux muppet, jaja. I'll work on that

[dhruva023]

I think, we should help dell in marketing ubuntu.

i think we should start making some banners.

[tbroderick]

The best marketing is going to be the price. Hopefully, Dell's Ubuntu PCs will have a price point that makes them a viable option.

[forrestcupp]

I doubt if they will put much into marketing it at all. There will be news reports like we have already seen, and other than that, it will probably just be another choice on their website. Most people here are dreaming. There will be no tv commercials. I haven't even seen any normal Dell commercials for a long time.

About including proprietary drivers. If they aren't marketing toward current Linux users like people have been saying, it would be a mistake to not include proprietary drivers. Most people who aren't current Linux users don't have moral objections to proprietary software. They just want a good system that works. Look at the current video card situation. IBM works but is pretty low-end. ATI is not an option; it just doesn't work very well with open source or proprietary. Nvidia open source drivers don't work with opengl stuff. So if you want a setup that works with everything, you're either stuck with very low-end, or proprietary drivers. And like everyone is saying, they will be marketing to people who probably don't have moral objections to proprietary software.

[gigaferz]

Honestly....Will you (anybody) buy a DEll?

If you do some research, the "economic" models are really outdated technolgy, low ram support, no pci/pciE slots available/ basically no upgrade option or very limited.

There is a reason why hardware manufacturers do not put much attention to linux, the reason is $$money$$.

If you still can run your 8 year old pc, with linux , why upgrade?

We can assume that MS has somekind of agreement with the vendors, so they keep selling, (if you remember everything has for use with Windows)

So if microsoft promises a OS that will require new hardware to run it, the hardware manufacturer will be happy!

I am excited about Dell going with Linux, but anybody with some basic knowledge about how the companies make money or how bussiness work, has to see that it does not look that profitable.

Would you as a bussinessman in some company put effort and time, targeting a market where people did not pay for the OS?

Personally I will be upgrading in about 4 or more years from now.

Do you think some banners will help?

How much is the cost of a tv spot? if those were cheap, we would see the MAc vs windows adds every day,, we might watch them every 2 months...why? because those are expensive.....

What about you?

Do not get me wrong, I am excited about it and everything, but will it work?

[aysiu]

I am excited about Dell going with Linux, but anybody with some basic knowledge about how the companies make money or how bussiness work, has to see that it does not look that profitable. So Michael Dell doesn't have "some basic knowledge about how the companies make money or how businesses work"?


How much is the cost of a tv spot? if those were cheap, we would see the MAc vs windows adds every day,, we might watch them every 2 months...why? because those are expensive..... I don't know where you live, but I see those Mac v. Windows ads every day. I also see Dell Vista ads about once a week on TV.

[gigaferz]

Yeah , I know, Obviously , he is the bad *** at Dell.

Probably there is some project going on right now,(i think it has to be hardaware related, or maybe winning a government contract) but like any other person is just my honest opinion,
and as said, "It does not look profitable", I did not state that It will not be.
I am just another John Doe in this world, just an user, the same way I can say " that movie is lame", i just expressed myself. Not because the movie was lame doesnt mean the actors ,directors or producers, do not know what they are doing, of course they do , they are wealthy!.
I know that I do not know (nor many) what is really going on on those companies.

And looking at the size of the share of macs after years of trying(quite minimal), I am asking If you would buy a Dell? (by you I mean anybody)
Millions of people using windows, Can you imagine all the time and cost for all sizes of companies to learn linux?
Many, many people that use computers everyday, year after year, do not really how to look for a misplaced folder, not even the right click feature.....
I am not making fun of them, Not at all, because the same way they do not as much about computers, I do not know about engines, about,accounting, etc,etc....(I dont really know a lot, just the basic stuff to help out people,)

Many people that hang out in the forums, even guys that are pretty knowledgeable.. are just especulating what is this all about.

But it is just my opinion, and It was never my intention to "start something".

I live in California, 559, Central Valley.

But I really would like to see something , a change.

Why you did not questioned me about "targeting a market where people did not pay for the OS"

And you personally , will you buy a Dell?

*****Answering the question (sorry)

The best bet is to promise security (yes i said promise)

And target people that barely know about computers....Not because itll be a scam , simply cause might not notice a difference between windows and ubuntu.

To convince an advanced user to switch, (the kind of guy that thinks that knows everything) It'll be a pain, if not impossible.

And also offer.. FREE Reliable Software.

And go to the major retail stores, comparing a vista or xp fully loaded in $$ against an Ubuntu fully functional and Loaded!!!

There's a lot of talented people out there,,, what about youtube,googlevideo, etc???
It would be nice to start promoting it like that...


(note: I apologize, this is not the right thread for me to post this, I just realized what is the main subject)

[az]

They might not do that though. The appeal to them for selling ubuntu is that there is no cost to them. If they now have to pay licensing fees, this lowers the incentive for selling linux. I think they might just elect to have a bare-bones ubuntu install.

The appeal of linux is many things.
1. Anything but vista
2. No malware
3. No vendor lock-in
4. It's cool and people are asking for it.
5. etc...

The profit margin for selling computer hardware is really really small. Hardware vendors make money by selling windows. Selling a computer without windows will probably mean a smaller profit margin, actually,


They should just basically tell users the awesomeness of ubuntu, and also mention that it will be less expensive

It may actually cost the same or even a little more. It would cost Dell more money to get a support system up-and-running than if they just stuck to supporting one platform. The cost will be passed on to the customer, of course.

[KiwiNZ]

The appeal of linux is many things.
1. Anything but vista
2. No malware
3. No vendor lock-in
4. It's cool and people are asking for it.
5. etc...

The profit margin for selling computer hardware is really really small. Hardware vendors make money by selling windows. Selling a computer without windows will probably mean a smaller profit margin, actually,



It may actually cost the same or even a little more. It would cost Dell more money to get a support system up-and-running than if they just stuck to supporting one platform. The cost will be passed on to the customer, of course.

yes the margins are very low, the profit doesn't really come from selling windows , the OEM margin in that is very low. The profit comes in Services.

[ronocdh]

How should they market it?

A quiet super bowl commercial.

Scene: typical office with a penguin sitting on a desk, enjoying a cup of coffee from a mug with a dell logo, clicking his mouse and looking at the computer screen. The Penguin turns and looks into the camera and says "I'm ready. Are you?"

Then turns his attention back to the screen and takes a sip of coffee.

Fade to black.

Dell Logo, Ubuntu Logo, web URLs underneath each.

"Linux is Ready."Why don't we make that? doesn't sound overly complex, do we know anyone who's good as 3D modelling and then we'll need someone to do animation. surely we must have the talent! Only I think we should skimp the Dell branding :-P I know someone who is good at shooting and directing for any live scenes (wife)
I just wanted to give this a little bump... I personally don't have the necessary skills, but, well, doesn't someone? =) Unfortunately my Digital Media major friends aren't into Linux at all (won't stray from Adobe software).

[poofyhairguy]

yes the margins are very low, the profit doesn't really come from selling windows , the OEM margin in that is very low. The profit comes in Services.

Not completely. I bet service is a very high margin item for Dell, but since not many consumers elect to purchase extended warranties (it has a bad taste in mouth of many people) Dell and all the big retailers also use software as a way to increase their margins.

Not much is made off the Windows, that is for sure- unless the user wants the "Business" or "Ultimate" versions. But money IS made when the user purchases Office or Anti-virus software (which is common for Windows consumers because most lack knowledge of free alternatives). Dell sells Office 2007 for $150 on new computers, just like in the stores. But you know they get the OEM licenses cheaper. I bet in many cases associated software purchases made with a single system can produce as much or more margin then selling a few machines with no extra options at all...

I imagine Dell will try to make money off Linux systems the same way it makes money off the XP systems it reintroduced. If you look for the XP systems on its website:

http://www.dell.com/content/topics/segtopic.aspx/winxp_dimen?c=us&cs=19&l=en&s=dhs&~ck=mn

you will notice that each system model is the lowest cost version in its category. This is fine for cheap people, but bad for those that want a medium good system. Why? Because the cheapest systems on the Dell website have the least off the "retail price"- as you build them up you pay more for each upgrade than if you started with a system with that upgrade. If you put together an awesome XP system on Dell's website now, you pay hundreds more than for a Vista system.

One good thing about Dell going that route is that often people look at the cheapest system in the category to compare price (so Blogsters will find that Dell's cheapest Ubuntu system won't cost more than the Vista one and throw a fit about it). Another good thing is that any nerd like us should only buy a Dell when you are using one of the coupons floating around the net, and those so far work on both XP and Vista systems. As long as those best deals work on the Ubuntu systems too, everything will be in good shape....

Either way, the only measure of success early on with be the sales and not the margin. I bet Dell wouldn't mind some financial losses moving into a new market, as long as the total number of sales proves the market is there. Time will tell...

[prizrak]

If you still can run your 8 year old pc, with linux , why upgrade?

Warranty maybe. Remember the main focus for Dubuntu is organizational rather than personal. Organizations tend to replace systems as they run out of warranty. There are plenty of things that require a high power computer (especially if we are talking organizations) beyond the OS itself. Think for instance of developers, if you are creating a large project you will need something with more power.

On a personal level people don't really upgrade systems all that much. I know plenty of people running 4 year old machines with XP on them and they don't care about Vista or upgrading. They will buy a new system when the current one breaks, won't make much of a difference what OS they run.

Another way to make someone upgrade (this is mostly for laptops) is to stop producing spare parts. Say Dell sells an Inspiron today and then in a year from today they switch to a different model and stop making the battery for the previous one. Batteries last for just about a year so that if you still want a laptop and not a nice low profile/low power desktop you will get the new model.