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Sabtu, 07 Februari 2009
Microsoft’s Plan to Upsell Windows 7
By Nick Wingfield
A curious part of Microsoft’s retail plan for its upcoming Windows 7 operating system, disclosed Tuesday, is that the company will offer a version of the software, Windows 7 Starter, that has some serious limitations. The biggest of them: people with Starter on their PCs will be able to run no more than three programs at a time.
To many people, the Starter restriction will be, if you’ll pardon the expression, a non-starter. Between browsers, email programs, iTunes and other software, it won’t take long for the average user to bump into the three-application limit. What’s more, this is the first time Microsoft will be imposing such a restriction on an operating system sold in the U.S. and other developing markets (there’s a three-application limit on the starter edition of Windows Vista, Microsoft’s current installment of Windows, but that product is only sold in emerging markets).
Brad Brooks
If the limitations of Windows 7 Starter gets you down, Microsoft has got a plan to upsell users t
o more powerful versions of the operating system through a process that sounds as easy as buying a song on iTunes.
Brad Brooks, Microsoft’s corporate vice president of Windows consumer product marketing, says users of low-end versions of Windows 7 will be able to unlock the features of higher-end versions by simply going to a Web site, purchasing an upgrade and entering a code on their PCs. That means the advanced capabilities of Windows 7–including improved security, networking and graphical user interface features–will already be present on even low-end versions of the operating system that come loaded on PCs. But they are only acessible to users who purchase an upgrade.
That’s a big difference from the upgrade experience with Windows Vista, which required users to purchase a physical disc to step up to higher end versions.
Of course, this begs the question: why is Microsoft bothering to sell a hobbled version of Windows 7 in the first place?
One big reason: netbooks. Microsoft won’t say how it plans to price the various versions of Windows 7, but it’s logical that Starter will be the cheapest – and therefore one of the most appealing for PC makers to install on netbooks, the inexpensive class of laptops that are one few parts of the computer business growing right now.
Netbooks can be seen as mortal threat or big opportunity to Microsoft. Because they are so cheap – less than $300, in some cases – Microsoft has mainly been selling its old Windows XP operating system for netbooks, for which it charges PC makers perhaps a third of what it gets for Windows Vista, according to some analyst estimates. It plans to end sales of XP for netbooks eventually.
Brooks believes that netbooks are an opportunity, a viewpoint that makes sense as long as people are buying netbooks in addition to higher-end PCs. Brooks says Microsoft surveyed about 1,700 consumers late last year and found that 70% of them were buying them as secondary PCs, which could bolster the argument that netbooks represent new sales for the industry. Even Brooks concedes, though, that it’s difficult to gauge the extent to which netbooks are cannibalizing higher-end PC sales.
Windows 7 Starter could help prevent a downward slide in Microsoft’s profits due to netbooks. On the one hand, its limitations might minimize the sales its steals away from higher-end notebooks. But if PC makers install it on their netbooks anyway to keep prices of the machines down, Microsoft’s new instant upgrade process will be there for people who can’t stand its restrictions. Microsoft won’t say how much it plans to charge for Windows 7 upgrades; the company currently charges users $79 to upgrade to Windows Vista Premium from Windows Vista Home Basic.
Microsoft’s Brooks predicts most netbook makers will choose to install Windows 7 Home Premium on their machines, a version that doesn’t have the three-application-at-a-time limit.
But for the cheapest netbooks, he believes it’s better to have even a limited version of Windows than Linux, the rival operating system that had a big share of netbook sales when they first came out.
“We want Windows to run on those experiences,” he said.
A curious part of Microsoft’s retail plan for its upcoming Windows 7 operating system, disclosed Tuesday, is that the company will offer a version of the software, Windows 7 Starter, that has some serious limitations. The biggest of them: people with Starter on their PCs will be able to run no more than three programs at a time.
To many people, the Starter restriction will be, if you’ll pardon the expression, a non-starter. Between browsers, email programs, iTunes and other software, it won’t take long for the average user to bump into the three-application limit. What’s more, this is the first time Microsoft will be imposing such a restriction on an operating system sold in the U.S. and other developing markets (there’s a three-application limit on the starter edition of Windows Vista, Microsoft’s current installment of Windows, but that product is only sold in emerging markets).
Brad Brooks
If the limitations of Windows 7 Starter gets you down, Microsoft has got a plan to upsell users t
o more powerful versions of the operating system through a process that sounds as easy as buying a song on iTunes.Brad Brooks, Microsoft’s corporate vice president of Windows consumer product marketing, says users of low-end versions of Windows 7 will be able to unlock the features of higher-end versions by simply going to a Web site, purchasing an upgrade and entering a code on their PCs. That means the advanced capabilities of Windows 7–including improved security, networking and graphical user interface features–will already be present on even low-end versions of the operating system that come loaded on PCs. But they are only acessible to users who purchase an upgrade.
That’s a big difference from the upgrade experience with Windows Vista, which required users to purchase a physical disc to step up to higher end versions.
Of course, this begs the question: why is Microsoft bothering to sell a hobbled version of Windows 7 in the first place?
One big reason: netbooks. Microsoft won’t say how it plans to price the various versions of Windows 7, but it’s logical that Starter will be the cheapest – and therefore one of the most appealing for PC makers to install on netbooks, the inexpensive class of laptops that are one few parts of the computer business growing right now.
Netbooks can be seen as mortal threat or big opportunity to Microsoft. Because they are so cheap – less than $300, in some cases – Microsoft has mainly been selling its old Windows XP operating system for netbooks, for which it charges PC makers perhaps a third of what it gets for Windows Vista, according to some analyst estimates. It plans to end sales of XP for netbooks eventually.
Brooks believes that netbooks are an opportunity, a viewpoint that makes sense as long as people are buying netbooks in addition to higher-end PCs. Brooks says Microsoft surveyed about 1,700 consumers late last year and found that 70% of them were buying them as secondary PCs, which could bolster the argument that netbooks represent new sales for the industry. Even Brooks concedes, though, that it’s difficult to gauge the extent to which netbooks are cannibalizing higher-end PC sales.
Windows 7 Starter could help prevent a downward slide in Microsoft’s profits due to netbooks. On the one hand, its limitations might minimize the sales its steals away from higher-end notebooks. But if PC makers install it on their netbooks anyway to keep prices of the machines down, Microsoft’s new instant upgrade process will be there for people who can’t stand its restrictions. Microsoft won’t say how much it plans to charge for Windows 7 upgrades; the company currently charges users $79 to upgrade to Windows Vista Premium from Windows Vista Home Basic.
Microsoft’s Brooks predicts most netbook makers will choose to install Windows 7 Home Premium on their machines, a version that doesn’t have the three-application-at-a-time limit.
But for the cheapest netbooks, he believes it’s better to have even a limited version of Windows than Linux, the rival operating system that had a big share of netbook sales when they first came out.
“We want Windows to run on those experiences,” he said.
Sabtu, 31 Januari 2009
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