Six Sevens Is 5 Too Many
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News Analysis. It's official: Microsoft will release at least six versions of Windows 7. Some things Vista shouldn't have been carried forward. |
I understand that Seven is based on Windows Vista. But Microsoft shouldn't make the same dumb marketing mistakes. At most, there should be two versions of the latest Windows. I strongly recommend that there be only one.
Microsoft is trying to perform some amazing magic here, using a little artful distraction to make six somehow two. In a Q&A posted at Microsoft's press site, Mike Ybarra, Windows general manager, explains:
With Windows 7 there will be two primary editions: Windows 7 Home Premium, and Windows 7 Professional. We think those two SKUs will meet most customers' needs. Windows 7 Home Premium is the recommended choice for consumers ... Windows 7 Professional is the recommended choice for small businesses and for people who work at home.
The key word is "primary," meaning there will be other versions but emphasizing only two as important. The full list:
- Starter Edition
- Home Basic (available only in emerging markets)
- Home Premium
- Professional (replaces Business)
- Ultimate
- Enterprise
I'm being a little generous to Microsoft here. The number of versions is 11, not six, when factoring in 32-bit and 64-bit editions. I expect the OEM market to consolidate around 64-bit Windows, as it already has for computers shipping with 4GB or more memory. I shouldn't forget the "N" versionsthose without Windows Media Playerrequired by European trustbusters. They may soon demand yet another version without Internet Explorer.
Same, Same, Same
The Windows 7 version lineup essentially is the same as that of Windows Vista. There's no substantial change here. Nor is there any real change in availability. Most PC buyers choose from one of two Vista "primary editions": Home Premium or Business. Already, OEMs offer few Basic and Ultimate SKUs. The majority of new Vista PCs ship with Premium and some with Business. Vista Home Basic offers too little, and Ultimate costs too much. If there's so little demand, why should Microsoft keep those versions at all?
That raises a second question: Why have both a Basic and Starter Edition? Wouldn't it be more sensible and less confusing to potential customers for there to be one or the other, not both? By the way, Starter will come in a 32-bit version; no 64-bit.
I'm simply dumbfounded by Microsoft's version strategy. Is there no one at Microsoft listening to the market? At times like these, I see monopoly thinking at work. Microsoft increased from three Windows XP versions (counting Starter) to six with Vista. But the market consolidated around two editions. In a competitive market, Microsoft wouldn't have six versions where the market demanded two.
There are some subtle SKU changes that warrant further review:
- Starter Edition will be distributed only by OEMs, but be available worldwide. The broader availability, which includes the United States, is new. So where might Starter show up? Netbooks, perhaps? If that sounds like a loony notion to you, read the next two bullet points.
- Home Basic is going to emerging markets. There's something so American-capitalist about the distribution. How many cast-off products end up in overseas markets because we don't want them here? Basic is too basic for us, but not for, say, BRIC countries, eh? Domestically, Home Basic won't be a choice for mininotebooks (such as netbooks).
- Home Premium will be the costlier choice for mininotebooks. Right now, Microsoft licenses Windows XP Home for mininotebooks, which is laughable but necessary. OEMs pay Microsoft much less for XP Home than for Vista Premium, and presumably its Windows 7 successor. XP Home will be available for mininotebooks until 2010.
- Ultimate is the promise Microsoft made to beta testers that won't be kept. Microsoft sees Ultimate as being like a Home Premium + Enterprise SKU. That means many features people are testing now won't be broadly available, particularly considering how Microsoft is playing down Ultimate's availability. Mike Ybarra says Microsoft will distribute the "Windows 7 Ultimate edition to meet that specialized need." Ultimate is "designed for PC enthusiasts." Home Group will be available on all versions, but, as with Vista, BitLocker and other so-called business features will not be.
Microsoft will offer a Windows XP to Windows 7 upgrade, or so I heard from Microsoft's PR agency after inquiring this afternoon, Feb. 3. But there's a strangeness to it that has me cautious. Windows XP upgraders must do a clean install. They can't install Windows 7 over XP. Instead, they must use a backup utility to save their stuff, do a clean Seven install and then restore their stuff. Windows XP is not a "current" version. I strongly suspect there will be fine print somewhere, such as higher fees for XP upgrades.
Speaking of upgrades, that's the other problem with all these damn versions. While most people will eventually buy Windows 7 on new PCs, many more will buy retail upgrades early on. Multiply just Home Premium, Business and Ultimate by upgrades and full versions and you've got lots of potential confusion. For Windows Vista with Service Pack 1, major retailers like Amazon.com offer two to four versions per SKU: full version 32-bit and 64-bit, and upgrade version 32-bit and 64-bit. From the Microsoft Store, that works out to 10 versions among four SKUsBasic, Premium, Business and Ultimate.
Apples and Oranges
d
Apple has got a much smarter SKU strategy. One version. One price. All the best features are available to all upgraders. There's no confusion about who gets what features. Apple's upgrade rate is phenomenally better than Microsoft's, typically better than 80 percent. By comparison, only about 10 percent of enterprises have deployed Windows Vista, more than two years after it became generally available.
Some people will argue that the comparison is apples with oranges. Microsoft sells more to businesses, while Apple's success is more with consumers. The two markets have different needs, with businesses needing to ensure compatibility of applications and processes across all platforms. I disagree with this thinking.
Windows 7 will be Microsoft's most Mac-like release:
- Seven will be hugely compatible with existing applications and hardware, easing business upgrade hassles.
- Windows 7 demands fewer hardware resources than Vista. Seven runs well on older hardware.
These are good reasons to make upgrades as easy as possible. One version. One price. Simple and straightforward marketing.
Something else: Microsoft's version strategy is hugely inconsistent with its stated objectives relating to converging digital lifestyles. Home life and work life have converged for many people. New Windows 7 networking features seek to solve some of the problems of taking a laptop to and from work.
The version strategy separates many home and work functions and features, when they should be available for both lifestyles. Vista Home Premium isn't enough for work purposes. So Microsoft offers Ultimate. With Windows 7, Microsoft is pushing Premium for home and Professional for work, and the features aren't looking like they will meet enough personal and professional needs. If Ultimate is the solution, then why is there a Q&A with Mike Ybarra talking about how the software is for "enthusiasts" and "that specialized need"? Neednot even plural?
Microsoft didn't listen to my "less SKUs is more" advice before Vista launched. Nothing will change the strategy for Windows 7. So I'll ask: Do you agree? Are there too many versions? Just enough? Not enough? Please answer in comments or by e-mail.
[Please send your tips or rumors to watchtips at live.com]
Related Posts:
- Next Windows 7 Milestone: Release Candidate, Microsoft Watch, Jan. 30, 2009
- Windows 7: Model for Microsoft Reinvention, Microsoft Watch, Jan 28, 2009
- Can Microsoft Blame Netbooks?, Microsoft Watch, Jan. 26, 2009
- Six Sevens Is a Bad Idea, Microsoft Watch, Jan. 26, 2009
- Don't Try This with Windows XP, Microsoft Watch, Jan. 26, 2009
- Why Work When Windows 7 Is All Play?, Microsoft Watch, Jan. 13, 2009
- Did You Get Windows 7?, Microsoft Watch, Jan. 11, 2009
- Are Telco Subsidies Coming Back?, Microsoft Watch, Dec. 9, 2008
- Does Windows Have a Future on Netbooks?, Microsoft Watch, Dec. 7, 2008
- Origami: Flattened by Netbooks?, Microsoft Watch, Sept. 29, 2008
- XP Pro Execution Set, Home Gets Reprieve, Microsoft Watch, April 3, 2008
- Microsoft's Big Problem in a Small Box, Microsoft Watch, Dec. 7, 2007


Comments (60)
Microsoft is really being squeezed by the netbook dilemma: offer full-featured Windows for netbooks at full price, and lose market share? Or offer it at a cut-down price, and lose profits? Or make it a cut-down Windows at a cut-down price, thereby sacrificing both profits _and_ market share?
Looks like it's gone for the most Linux-friendly option.
Posted by Lawrence D'Oliveiro | February 3, 2009 6:18 PM
Joe,
would you agree that the number of sku are all releated to pricing and getting the most out of users? while its too early to get a price list, I did notice a "price increase."
# Home Basic (available only in emerging markets)
This was the cheap Home Basic version that was OEM for about $50 US wasn't it, as opposed to about $100 for home premium? To me that spells a $50 price increase to anyone buying a computer with seven on it, that would have been a home basic computer before. Squeezing an extra $50 out of the mature markets may not go over as well as MS thinks. After all, this is in the middle of a major recession.
Posted by chips b malroy | February 3, 2009 6:21 PM
Nice shot, Microsoft. Right in the foot. Again!
Posted by mgo | February 3, 2009 6:21 PM
Having multiple versions allows Microsoft to pump up revenue while being able to point to Home Basic as proof that the Microsoft tax is not growing and growing and....
Its all been done before by other over the hill tech companies who try to use marketing to increase revenues when their products no longer can.
Posted by Phil | February 3, 2009 6:27 PM
The least expensive computer on the Apple web site is $599. Dell has two PC models at $279. For the $599 Apple price point, Dell sells you hardware that blows away that of the MAC.
If you want a better OS, take the $279 Dell and add Ultimate. Now you're at $429, $170 less than the MAC.
So do you think maybe Microsoft doesn't offer one version of the OS because the typical PC consumer won't pay for it? I completely don't get all the commentary that choice is a bad thing, and it's 100% clear by now that PC buyers want inexpensive options in a way that just doesn't come up with Apple buyers.
I'm not trying to start a PC v. MAC war, just saying that the fact that Apple has only one OS is irrelevant to the conversation. It's a bogus comparison.
Posted by DaveN | February 3, 2009 6:50 PM
# Starter Edition
# Home Basic (available only in emerging markets)
# Home Premium
----------------------------------------------------
The Starter Edition in XP, was sold for $3 to foreign governments, if I remember right, to pass on to students etc. It was crippleware, as some of the multitasking features were disabled, max of 3. So one wonders if the Seven Starter edition will be the same crippleware as the XP version was. But if it was only $3 on a low end laptop, not a netbook, I might pay $3 for the pleasure of reformatting it.
Still, if the Home Basic versions and the Home premium are the same as their conterparts in Vista, then in the Mature markets, like USA, Canada, and the EU, will have seen a $50 price increase on low end computers that would have had Home Basic on it. Home Basic (Vista) being the one that has the ongoing Vista Crappable lawsuit.
Somehow, I would expect more consumer lawsuits over this price increase.
Posted by chips b malroy | February 3, 2009 6:57 PM
The Redmondites just don't get it any more. As their products (Windows, Office, VS & .NET, etc...) get more and more bloated their marketing drones become more and more brain dead. They're certainly leaving the door wide open for Apple and/or Ubuntu. Let's see if either is good enough to step in.
Posted by mikey | February 3, 2009 7:28 PM
Well Joe, yes and no.
Versions only available in emerging markets don't really count, unless you are in that market, since that version isn't available anyway.
I like the idea of a "light" version however I feel it should be an install option as opposed to a separate version, that said I could see the need to have separate pricing for it if it were available to consumers. Since it is only available to OEM's you would think they could have worked something out with the OEMs using the "standard" versions. Having a Home and a Business version seems unnecessary from my point of view too, but once again licensing, not to mention there has always been home and business versions of Windows in one way or the other, it's all about the licensing and here I can see a need for it. Enterprise and Ultimate are totally unnecessary, the business version should include everything, features that are relevant to home should also be merged into the home version where applicable.
So to sum up there are really only 5 versions, 2 of those are definitely superfluous, 1 is iffy and I see a need for the other 2.
Also, I really think 32 bit and 64 bit versions should be included in one box.
Posted by JMB | February 3, 2009 7:34 PM
I think they fear a sub-$100 netbook so they are offering a cheap version of Windows which is heavily restricted. I think they are happy with netbooks being about $250 with $50 going to Windows.
I wonder why they consider drive encryption to be a business-only feature surely home users want security too?
Posted by billybob | February 3, 2009 7:53 PM
Joe is this a typo?
# Starter Edition
# Home Basic (available only in emerging markets)
----------------------------------------------------
did you mean that Starter Edition is only available in emerging markets? Cause this is differnet marketing of Seven than Vista and a major major change in pricing if so.
Posted by chips b malroy | February 3, 2009 7:59 PM
Apple has a miniscule 3% worldwide market share, and they don't participate in many market areas, so they don't need multiple versions of OSX.
OEM's preinstall the appropriate Win7 version, so there is no consumer confusion on new machines.
As for boxed retail upgrades in the US, it's going to be Home Premium, Home Premium, and Home Premium.
Posted by JohnJ | February 3, 2009 8:27 PM
A correction Joe, 32-Bit or 64-bit Windows 7 is not an edition, its a platform. They target processor architectures. Editions focus on features. So, 32-bit Windows 7 Home Basic vs 64-bit Windows 7 Home Basic is identifical in features except for memory limitations.
Posted by Andre Da Costa | February 3, 2009 8:33 PM
So if Seven Starter is Three Dollars, isn't this almost like giving it away for lower priced computers? Would not the reason be to stop the spread of people using Linux?
Posted by sam | February 3, 2009 9:02 PM
I think this is fine.
We will never see Starter Edition, it is only for very specific purposes. Likewise, Home Basic is only for emerging markets, again for very specific purposes. We won't see any of these.
Home premium will be the one most users will buy, and will be the one most see.
Professional for businesses, Enterprise for big business that need it specifically. Ultimate for the nerds that just HAVE to have absolutely everything.
I think this is good from Microsoft. Again, most users will only ever see Home Premium, or at the worst.. Home Premium and Professional. Everything else is for very specific purposes that we WON'T SEE TO STOP WHINING ABOUT NOTHING.
It's not like you'll be going into a retail store and see all 6 boxes scattered around with no idea what to choose... geez.
Posted by Don | February 3, 2009 9:15 PM
[quote]
chips b malroy :
Somehow, I would expect more consumer lawsuits over this price increase.[/quote]
Huh? What would be the basis of a lawsuit? If you don't like the price of something, don't buy it.
Posted by MGP | February 3, 2009 9:20 PM
Hi Don :
You said:
"We will never see Starter Edition, it is only for very specific purposes."...............
Do you have any idea as to what those very specific purposes are? I would be interested in knowing. Thanks.
Posted by sam | February 3, 2009 9:20 PM
[quote]sam :
Hi Don :
You said:
"We will never see Starter Edition, it is only for very specific purposes."...............
Do you have any idea as to what those very specific purposes are? I would be interested in knowing. Thanks.
[/quote]
Ed Bott goes a little further explaining Starter. Not that it's gospel, but he's usually pretty well on the money.
http://blogs.zdnet.com/Bott/?p=659
Windows 7 Starter Edition, with its artificial restriction on performance (you can only run three simultaneous programs) will be available for sale worldwide, but only as a preinstalled operating system on OEM-built PCs “limited to specific types of hardware.” Microsoft is clearly confident that it has pared down the resource requirements of Windows 7 Home Premium so that it will run acceptably on the generation of netbooks that will be current when Windows 7 arrives later this year. It’s hard to imagine the Windows 7 Starter Edition name being much of a selling point. Microsoft may even be taking the calculated risk of discouraging Windows 7 from being installed on underpowered notebooks and triggering disappointing reviews.
Posted by MGP | February 3, 2009 9:27 PM
Interesting, the XP Starter edition was sold to poorer countries overseas, but mostly to universities for students, by their governments, if I remember correctly, and for $3. It does not follow that a Seven Starter edition will be $3, but could be.
sam I don't think it for netbooks as M$ will want to still sell XP Home for more money, but it could be. Don says its for specific purpose, and I think he is most likely correct. Maybe Obama really wants the gov and schools to stop buying Windows and use linux, to save taxpayers dollars. A $3 starter edition might be M$ way of saving this market. And if you look around at all the gov's that are switching to linux because of cost and malware, it makes more sense for M$ to do this.
But with no Basic version in mature markets, Home Premium will be a $50 price increase for OEM's to suffer during a bad recession.
Posted by chips b malroy | February 3, 2009 9:37 PM
Joe,
Windows is the "all things to all people" O/S, which means it's supposed to meet the computing needs of countries that rampantly counterfeit software, to PC /gaming enthusiasts who'll spend $500 on a video card, to finally businesses of all sizes. How well it does all this is surely a great "NT" posting, but the fact remains that M$ has to drive differentiation. Apple, only the other hand, mainly caters to the high end consumer and business segments with their desktop and server O/S.
However, everyone knows that taking a middle of the road approach such as:
Starter which would target emerging markets and netbooks via OEM only.
Consumer Edition which would target everything else that's consumer driven that doesn't need domain membership.
Professional Edition that target all sized corporations and potentially high end PC enthusiasts who want to join computers into domains.
Would cannibalize their Windows revenue, which is exactly why they don't do it. For now, especially with the release of W7, they'll have the O/S that should correct the vast majority of Vista's perception issues and allow them to drive somewhat meaningful product differentiation across all segments of desktop, laptop, and netbook categories.
Posted by jay | February 3, 2009 9:40 PM
Joe, you forgot one version; several of the posters corrected it:
Windows 7 XP, Just Hold the 7.
Someone asked if XP was continuing to be offered for a low, low $3 price to stop the spread of Linux? I don't think so. As Andre and others remind us, Linux is only a toy, it doesn't support any applications, you have to be a programmer to write and compile any applications you want to run, it doesn't have a GUI, and everyone in the known universe runs Windows already.
So why is Microsoft giving XP away for so little when Vista is just so sweet and pure and wonderful and Windows 7 is nirvana?
Why would Microsoft want to undercut their very latest works of purity and excellence? Can't Vista or 7 run on netbooks or on computers in other countries? I thought these versions were perfect and wonderfully compelling and had no equals? Vista is definitely not bloated nor a memory hog, so why isn't it being put onto netbooks and on computers around the world instead of dredging up that old and tired XP?
It can't be because of Linux.
Maybe XP is really Vista SP4???? What else could it be? After all, Microsoft wouldn't have spent all those years and billions of dollars to replace XP and then turn around and continue to sell XP, let alone give XP away for practically nothing.
Maybe it's the after-effects of the brain-damaging toxic fumes released by Mt. St. Helens. It can't be because of Linux.
Posted by Philosopher | February 3, 2009 9:41 PM
en.wikipedia.org/wiki/Windows_Vista_editions
"Windows Vista Starter
Much like Windows XP Starter Edition, this edition sells only in "emerging markets" such as Brazil, People's Republic of China, India, Indonesia, Mexico, Pakistan, the Philippines, and Thailand — mainly to offer a legal alternative to using unauthorized copies. Microsoft does not make it available in the United States, Canada, Europe, Israel, Australia or New Zealand (although users can install a three day trial-version from the 32-bit DVD).[4] Vista Starter has significant limitations, such as only allowing a user to launch three applications with a user-interface at once, not accepting incoming network-connections, and a physical-memory limit of 1 GB. It retails only as a 32-bit system.[5] It supports only AMD's Athlon XP, Duron, Sempron and Geode processors, and Intel's Celeron, Pentium III processors and certain models of Pentium 4. The usable portion of the hard disk has a limit of 250 GB. Starter Edition comes with some desktop-wallpapers not found in other versions of Vista."
--------------------------------------------------
To give folks some idea of what Seven Starter might be about. Its reads as very crippled.
Posted by chips malroy | February 3, 2009 9:57 PM
Since when did consumer choice become a bad thing? Sure maybe there are some less intelligent people out there that may get confused by the number of SKUs but I would argue that those people are more likely to buy a computer from an OEM with the OS pre-installed anyway. Sorry on this one Joe - I think your advice to MS on this was off the mark.
Posted by Travis | February 3, 2009 10:07 PM
To say we will never see Seven Starter, cannot believe. Why else would MSFT start allowing OEM's to put in on computer anywhere, unless they had plans to sell it. So yes, they are targeting sale around the world with Starter, but what hardware and who is the question. Netbooks maybe?
Posted by sam | February 3, 2009 10:07 PM
Gee Sam,
Glad I went thru all that copying and pasting to answer your question for ya. Makes me feel like it was all worth it (Not!). Read, will ya!
Posted by MGP | February 3, 2009 10:15 PM
@chips
"Somehow, I would expect more consumer lawsuits over this price increase."
It's a good thing that you're not a lawyer, that is nothing but FUD.
--------------------------------------------------
@Don
"It's not like you'll be going into a retail store and see all 6 boxes scattered around with no idea what to choose... geez."
You're as right as rain. It will be no different than what you're seeing with Vista, usually two versions, Home Premium and Ultimate mainly.
--------------------------------------------------
@JMB
"Also, I really think 32 bit and 64 bit versions should be included in one box."
I agree also. More and more people are migrating over to the x64 platform.
Posted by Diamond Dave | February 3, 2009 10:32 PM
Travis;
"Since when did consumer choice become a bad thing? Sure maybe there are some less intelligent people out there that may get confused by the number of SKUs but I would argue that those people are more likely to buy a computer from an OEM with the OS pre-installed anyway. Sorry on this one Joe - I think your advice to MS on this was off the mark."
Choice is a really good thing and Microsoft is doing just that, offering people choices and a variety to fit their needs.
It is naive of anyone on this board to assume that one size fits all. Perhaps, this is why Linux has so many distros for this obvious fact.
I also agree that Joe Wilcox has missed the mark on that one key point.
"...People can choose whatever color they like, as long as it's black" Henry Ford.
Posted by Diamond Dave | February 3, 2009 10:39 PM
A company named Apple has a product called OS X. It comes in one, full-featured version, and it retails for $40/install in the family pack. They also have a very capable suite of productivity applications and an industrial-strength server solution at much lower prices than the equivalent Microsoft products. So far Apple has insisted that OS X is only for machines made and sold by Apple. But a funny thing is happening, more and more of Apple's profits are coming from the iPhone and iPod, and I can see a day coming when they may decide to exit the desktop and laptop hardware business altogether. Imagine what would happen if Apple announced one day that OS X is now available for any machine, and the price per license is a flat $30 retail, or $20 for OEMs. Want the iLife apps too? -- $49.95 retail, $30 for OEMs. OS X server? $1K, unlimited seats.
Mr. Ballmer has imagined that day, and it's keeping him awake at night. IMO that is the real reason why Microsoft is trying like hell to get W7 out the door as quickly as possible.
Posted by Alan | February 4, 2009 12:20 AM
One complaint I've read (I think in comments on this blog) about some MS technology is that people don't want to have to pay full price if they only want half the features. They'd rather have a cheaper version that only includes the main features.
So Microsoft are apparently listening and are giving just this. If you don't want all the features of Ultimate you just have to pay for Basic. If you're buying a home computer and don't want business features, you buy a version of Windows that doesn't have those.
Maybe there's been some sort of brain-washing chemical in the drinks here, but that makes perfect sense to me. If Microsoft were offering just one or two version, there would probably be complaints from loads of people saying that there wasn't enough choice.
It seems to me that whatever decision Microsoft makes, people will say it's the wrong one.
Posted by Jess Meats | February 4, 2009 4:08 AM
"If you don't want all the features of Ultimate you just have to pay for Basic."
According to the article Basic will not be available to the western world.
Instead your choice is either Starter which only runs 3 applications at a time and is limited to 600x800, or go with Home Premium.
I think they are trying to make cheap netbooks look like 3rd world computers. They are hoping that Linux will get lumped with these low cost devices and become a separate sub category of netbooks which nobody wants. I expect Microsoft to come up with a new market segment like sub-netbook or something.
Posted by billybob | February 4, 2009 8:01 AM
@Joe
"The Windows 7 version lineup essentially is the same as that of Windows Vista. There's no substantial change here."
That's probably because Windows 7 is Windows Vista compiled without the debug flag set. And a few GUI changes, but that's it.
Posted by Gerardo Tasistro | February 4, 2009 11:28 AM
@Jess Meats:
Re: "So Microsoft are apparently listening and are giving just this. If you don't want all the features of Ultimate you just have to pay for Basic. If you're buying a home computer and don't want business features, you buy a version of Windows that doesn't have those."
But notice that it's Microsoft that is making the choice of which features to include, rather than the people making the choice of which features they want.
For example, I've heard people complain that BitLocker is only available to high-end versions via enterprise licenses, when in fact many low-end home users would like the security that BitLocker would bring to their laptops.
PC manufacturers call it "build to order". You can put a $1000 video card into a home system if you want, and Dell won't refuse to sell it to you on the grounds that "home systems don't need high-end graphics".
Is it unreasonable for people to want to define their own subset of features and not be forced into a vendor's predetermined package? Of course not!
Re: "It seems to me that whatever decision Microsoft makes, people will say it's the wrong one."
And yet, Microsoft's market penetration, vendor lock-in, and lobbying efforts ensure that their money-making monopoly keeps on filling their coffers.
Microsoft doesn't really care what people say as long as people buy Microsoft. So why should you care what people say? You shouldn't.
The lead dog is always hated by the other dogs, regardless of whether the lead dog earned its position or was given it by favor. And the lead dog always hates any other dog that looks as if it wants to become the lead dog.
Posted by Philosopher | February 4, 2009 11:46 AM
M.S. can make as many versions of Windows 7 as they want, but for the majority, only Home Premium and Ultimate will even matter. And soon 32 vs 64 bit will be moot as the majority will need 64 bit. The starter and basic editions are niche products and will mostly be pre-installs. They fit their need on low-end hardware, where I think Vista missed out in favor of XP and Linux distros. Probably a smart move by M.S. But we will have to wait and see.
Posted by Ridley | February 4, 2009 11:50 AM
Hi Jess,
Good to hear from you again. Its good you were not laidoff.
Your comment above:
"If you don't want all the features of Ultimate you just have to pay for Basic."
Its been pointed out that "Basic" is not available anymore in the Western world. Which means in effect you will end up with OEM Home premium at about a hidden cost increase of $50. Other have pointed out that for OEM's, only Home Premium and Professial will be available for the Home OEM user market. But this is not quite true, as Starter is being sold as OEM only on some computers.
Do you Jess, have anymore information on Starter Edition that you could share? Will it be a $3 price like the old XP Starter was? What OEM computer will Seven Starter be targeted on? Since Starter can now be sold in Western areas, then it stands to reason that MS wants to do this.
Posted by chips b malroy | February 4, 2009 12:27 PM
The Starter version is being marketed as some kind of Linux killer, there is no other use for it in Western countries.
Posted by sam | February 4, 2009 1:02 PM
"The Windows 7 version lineup essentially is the same as that of Windows Vista. There's no substantial change here."
Improved backup in Home Premium and Media Center included in Professional are notable changes. The comparison to Apple is mostly meaningless. They don't compete in nearly as many segments or geographies. About the only relevant point there is their greater adoption rate for new versions. Something MS should look to for an idea of what's possible, albeit across a much more limited base of what would probably equate to PC enthusiasts. That was really the target for Ultimate and it clearly failed.
Posted by Paul | February 4, 2009 1:29 PM
@sam
"The Starter version is being marketed as some kind of Linux killer, there is no other use for it in Western countries."
In a word: Ridiculous; MS Starter isn't even in the same league as Linux -- Anyone thinking this, doesn't know much of either of the operating systems. Not attacking you sam, just saying...
sam, you may be implying that the "Starter Edition" is in fact equaled to or greater than the options and functionality of a "typical" Linux Distro.
There's obvious reasons, though Microsoft thinks so. Why it isn't being offered in this hemisphere?
What else, Money -- Microsoft follows the money. People who have "money" might settle on Starter here. Then Microsoft would be the one being fleeced.
The demographical choices are somewhat obvious, it is to go directly after Linux in these third word countries and such.
Will it win?
No, not really, not much at all -- That's the optimistic view.
Actually, It will spend more time and money to chase Linux. Microsoft should have stopped years ago with chasing, or playing someone else's game.
Microsoft chronically is addicted to a game called "Catch-Up."
Let's look at it this way. Suppose there's a Netbook OEM that falls for Microsoft's bidding, and it usually does. It has a Netbook to import to the African Continent, it will cost the consumer there, let's say $250.00 for this device. If it has Microsoft installed, no matter what the OS, but we'll say Starter for the sake of argument. You know the price will have to be absorbed some how, right?
1. Either through the OEM, and fat chance on that...
2. Microsoft takes it straight up the backside... Little chance of that, I mean the could, refer to Zune, XBox 360 and some other things. It's more likely than scenario 1, right?
3. Joseph Mogambi gets stuck with the bill -- Very likely, now the box costs him, say $275.00 or more -- Likely a bit more or the MS Shareholders will toss Ballmer a fit!
Joe gets home and realizes, and he will, when comparing the same Netbook with his friend that is running Linux, a full Distro configured specifically for whomever Joe's friend is -- Same Netbook, identical. Poor, Joe, he realizes he's been had, and out $25.00 additional bucks with less than half the functionality.
Sure, he can get Open Office for free, but his buddy already has it installed, runs faster, smoother...
Joe isn't impressed with his choice, now what?
Microsoft has just done two traditional things;
1.) Sold an inferior OS in comparison to Linux in this scenario.
2.) Left Joe feeling that he may have to defend his poor judgment somehow -- Being sarcastic, sorry -- But actually leaving Joe pissed off because his perception of Microsoft is akin to a thief lifting him on some cash he could of better used somewhere else.
By the way, anyone can get a hold of "Starter" if the really wanted to -- It's not hard.
I just got done watching a video where a couple of guys put on Vista Home Premium on a Netbook -- I don't know why anyone would really want to, but I think it was a proof of concept.
They already done so with XP Professional. Now that brings me to the next thought. Suppose Microsoft comes out with a version of Windows that will run wonderful on a Netbook. Something like the OS that they created from the W2K operating system for the 1st generation XBox.
I wouldn't put it past them to try to undermine the Linux Netbook community...
But it will fail. I mean, come on, Starter is anemic at best. Is Microsoft going to spend millions in research and development of a "killer" OS to go after the Netbook?
And will it spend millions more in advertisment to these places?
I leave that to you all to speculate amongst yourselves...
Posted by Diamond Dave | February 4, 2009 1:51 PM
Corolla:
S
SE
LE
CE
XLE
..
..
Sounds familiar? Yet we all love Corolla... Why not win7.
Posted by walletless | February 4, 2009 2:14 PM
I could not imagine that M.S. will have a Windows 7 Starter Edition in the Western World for $3. I don't care how hobbled it is. Maybe as an OEM only for large P.C. manufacturers. But not for system builders. I still think it is too early and the final info just isn't available yet. Interesting to ponder though...
Think about this. The original Windows 1.0 was $99. Windows XP Home upgrade was $99. Windows Vista Home Basic upgrade - $99.
Another thing. The original price for Windows Vista Ultimate was a whopping $400! But how could many of those be sold? If you were building a new system, you would use an OEM. If you already had XP, you would get Ultimate upgrade.
If M.S. keeps the the pricing of Windows 7 Home Premium upgrade in the $150 range, it may be a worthy upgrade. I remember M.S. offering an upgrade from Windows 98 to Windows 98 SE for only $19.95, and I think about the same for Windows 98 SE to ME (which in hindsight was acutally a downgrade). How about a bargain upgrade from Vista to Windows 7?
Posted by Ridley | February 4, 2009 2:31 PM
What is noticeable, is the fact that Basic version is gone from Western countries.
Basic being the version that M$ faces the class action lawsuit that could be expensive here in the USA.
Beyond that, look at where Vista Basic OEM was used. Mostly on sub $500 laptop and lower end desktop computers, but not netbooks, as XP home was used and is used there. Now at least in the Mature markets, the western countries, the OEM computers that would have run Vista Basic, will now come with Seven Premium, at $50 more.
Expect those computers to have an additional $50 M$ tax added on them. This is nothing more than a PRICE INCREASE on the lower end of the market, that Micro$oft thinks can bear it.
Posted by Chips B Malroy | February 4, 2009 5:07 PM
news.google.com/news/url?sa=t&ct=us/4-1-0&fp=498acc11f081ce31&ei=dxqKSb-jHaOQmAeE-P2vDw&url=http%3A//www.computerworld.com/action/article.do%3Fcommand%3DviewArticleBasic%26articleId%3D9127373%26intsrc%3Dnews_ts_head&cid=1300746649&usg=AFQjCNHSruSK0kQ2ww5b-vatU-lmfSwxsQ
"Microsoft Corp.'s plans for Windows 7 could be setting up the company for a consumer backlash similar to what it has faced with Vista, a research analyst said today."
The biggest complaint that people have against Linux is a lack of applications. But running a close second, or perhaps even a tie, is that no matter how good Linux is in the area of simple email, browsing, opening documents, and watching videos, LINUX IS DIFFERENT THAN XP and PEOPLE DON'T LIKE IT BEING DIFFERENT.
So why was it a surprise that VISTA IS DIFFERENT THAN XP and PEOPLE DON'T LIKE IT BEING DIFFERENT.
And since Windows 7 is so similar to Vista (duh, it had to be, considering how quickly it was released), why is it a continuing surprise that WINDOWS 7 IS DIFFERENT THAN XP and PEOPLE DON'T LIKE IT BEING DIFFERENT.
As I am often reminded by the Windows adherents (and rightly so, I admit), most people don't like anything that is different from XP, no matter how good it might be.
Posted by Philosopher | February 4, 2009 5:55 PM
DaveN, not talking about price comparisons with Apple but a simple concept like, I want Windows, Buy Windows...
How about if they sold a single mid-range version, and then you can upload the fancy stuff when your online would have to be better than this.
The world of PCs should not be this confusing. Apple sell PCs as appliances and after using the iPhone I can better see how the concept works. I dont know what hardware it has, I dont know what type of OS running because it doesnt matter to the vast majority of users on the planet.
Microsoft still carry on like the OS matters to anybody...
Posted by dateman | February 4, 2009 6:22 PM
"Microsoft didn't listen to my "less SKUs is more" advice before Vista launched. Nothing will change the strategy for Windows 7."
We now understand MS strategy. They found someone who's always wrong and are just trying to do the opposite. Have a good day and remember the next time you talk to M$ tell them overcharging for a product is a great idea.
Posted by Mike Potter | February 4, 2009 7:28 PM
Mary Jo Foley has written an article about Windows 7.
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"Microsoft’s worst nightmare: Windows 7 deemed less secure than Vista"
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http://blogs.zdnet.com/microsoft/?p=1898&tag=nl.e550
Posted by Goblin | February 4, 2009 7:39 PM
Goblin;
You bet me to it... I just finished reading it.
Posted by Diamond Dave | February 4, 2009 7:49 PM
How can you bring up Apple here? How many OEMs do Apple have? Other than consumers, how many enterprise customers do Apple have? The only comparison is Apple - 1 version to Windows 7 Home Premuim. Period. MSFT has to worry about different kinds of user base not just hip fanboys.
I agree that 6 is too much, but again some of them are in emerging markets only. Is the writer out of his mind? Can't you get sensible writers anymore?
Posted by guest | February 4, 2009 8:43 PM
The thing I don't get is the Starter edition.
Among its limitations is the fact that it can only have 3 concurrent applications running at a time.
(I suppose one could make the joke that, on netbooks at least. Windows 7's memory requirements only leave room for 3 applications at a time.)
But the question is, why such an arbitrary limitation, even for the lowest class Windows version? In my mind, that makes any modern Linux distro indisputably better that Windows 7 Starter edition. Which begs the question: Why would anyone in the market that 7 Starter is supposedly going after choose it over Linux? They'd be paying for an intentionally crippled product instead of getting a superior product with all features unlocked for free.
Posted by Will | February 4, 2009 9:01 PM
Does anybody else find it repugnant that a tried and confirmed monopolist, can dictate to OEM what version of its Operating Software, can be put on certain types of computers.
Examples:
XP Home--only on Netbooks
Seven Starter Edition--only on certain hardware by OEMS--to be announced yet what hardware.
I think MS may have overstepped it legal limits here, and needs to be dragged back to court.
Posted by Chips B Malroy | February 4, 2009 9:19 PM
Chips B Malroy :wrote
"Does anybody else find it repugnant that a tried and confirmed monopolist, can dictate to OEM what version of its Operating Software, can be put on certain types of computers."
----------------------------------------------------
Yes, but I also find it repugnant that I can only use Apple's OSX only on Apple computers. If we didn't have these marketing "tactics". I would be able to go into any computer store and order any OS that I wanted on my new computer. Order it, and twenty minutes out the door with the OS of MY choice...not the kind of "here take it or leave it sucker" BS with the added MSFT tax.
_____________________
It sucks that IF I wanted a brand new high end desktop with XP on it, I can't buy it at any brick and mortar store...except maybe Micro Center and thats IF I get Vista business with "downgrade rights". I mean WTF?. Downgrade rights? What about my rights? My money?
________________________
Well I deal with these "problems" by using Linux. Vista was what bought me to Linux in the first place. No WGA to deal with, no "downgrade rights" to figure out, no need to buy extra ram to make it run faster, no need to hack it to make it run faster. No virus or malware problems, and..did I mention...no cost?
Posted by Ralph | February 4, 2009 10:39 PM
Ralph,
I agree. It that simple. Even though Mac is not a monopoly of the same type as MS.
----------------------------------------------------
Its nice to see thinkers who use other systems, wither that be Mac, XP, Linux, or whatever, that still value freedom.
Posted by Chips B Malroy | February 4, 2009 11:41 PM
And here is it, if you can shift though all the ms pr on this link:
Microsoft Outlines Windows 7 SKUs; Targets Netbooks
http://www.pcmag.com/article2/0,2817,2340311,00.asp
"Starter is described as a "worldwide entry-level SKU". "Windows Starter has been our entry-level offering in emerging markets with Windows XP and Windows Vista," Microsoft's documents say. "With Windows 7 we are making Windows 7 Starter our worldwide entry-level offering for small notebook PCs (also known as netbooks)."
----------------------------------------------------
So sam was right, it is for netbooks that M$ cannot compete with charging for XP home, they wil basically give it away for $3 or appox. but it may backfire, if MS thinks they can squeeze more money from the sub $500 low end laptops to pay for the freebie netbooks. Some bright OEM will start selling Linux on them.
Posted by chips b. malroy | February 5, 2009 1:35 AM
Some of the comments I see here are truly arrogant. My first computer course was in BASIC (IBM) with punch cards in 1974. Yet I am not so enamored of my experience as to say I even know ALL of the features of XP, much less Vista or 7.
Do I think six versions (10 SKU's?)are too many? Yes, decidedly so. But I have yet to see a full list of 7 features to determine which one(s) I need. I know my choice will be between Home Premium and Professional but I don't know for sure which of those will better meet my needs.
The main thing we, as users, need to see is a list of the "gotchas!" in each version, such as memory minimums and maximums, max hard drive size, etc.. Personally, I have MediaCenter XP and Vista Home Premium on my main desktop and laptop, respectively. I have four computers, three printers and two set-top boxes networked with several external hard drives attached in various places on a regular basis. What version will network best with OSes from 98 SE to Vista? Will the network run with 7 on the main desktop, with all of the equipment seeing all of the others?
My second response regards Apple not being a monopoly. What are you people smoking? How many times have fanboys paid to upgrade their software since Version 10 arrived? How much have they paid? What exactly do you think Apple would do if it had Microsoft's market share? Finally, does it not strike you as somewhat odd that Apple market share did not increase until the great switchover to Intel and Boot Camp and/or Parallels? Give me a break!
Posted by Phillip Wade | February 5, 2009 2:19 AM
I will presume Mr Wade that you are not refering to my comments being arrogant, so lets look at yours:
-
"What exactly do you think Apple would do if it had Microsoft's market share? "
-
Ive had this conversation, and already said "probably the same as Microsoft", pretty obvious really. I think any company would. That does not make it ok though.
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Quote "I have MediaCenter XP and Vista Home Premium on my main desktop and laptop, respectively. I have four computers"
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So maybe, as an XP and Vista home user, you can explain firstly the benefits of Vista over XP. Gottchas if you will.
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Quote "I know my choice will be between Home Premium and Professional but I don't know for sure which of those will better meet my needs."
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and how many alternatives have you researched to see if they suit your needs? As Ridley is finding out with the help of Chips, theres a big wide world out there, if an alternative is not suitable, why?, lets have a debate, and if you are very happy with your current xp/vista rigs, what are the advantages of W7 thats encouraging you to purchase it? (which at the moment is still in beta stage, the RC may be greatly better or significantly worse, we dont know yet.)
Posted by Goblin | February 5, 2009 2:37 AM
@chips
I don't have any information on the different versions of Windows. I could probably find out, but I expect most of what I would find would have "Microsoft confidential" written on in big letters.
The people making decisions about Windows are in a different team, a different department and even a different country to me, so I'm not in a direct line for any insider information.
@Philosopher
From your comment, it seems to me that in your ideal world, you would like to be able to have "pick and mix" features. You would like to have a check list and decide yes or no to all the potential features. But that would take us from a list of six variations (which people are saying is too many) and give us hundreds of thousands. People complain Microsoft's pricing is confusing already!
It seems to me that some people are complaining about there being too much choice now, but you and others are complaining that there's still not even. It looks like Microsoft have aimed at the middle ground and have ended up pleasing no one.
Posted by Jess Meats | February 5, 2009 3:13 AM
If you are a home user planning on upgrading your Windows O.S., you should be aware that you really only have 2 choices: Home Premium and Ultimate. Anything below that will have some type of hobbling. And you most likely do not want a buisness version. So your choices get narrowed to 2. So look at the specs and requirements and choose the one that will have the features you want or need.
The largest sales of Windows are on new P.C.'s. So if you are purchasing new, research well. Find out how much it will cost to do an upgrade if you will want a higher end version on your new system.
Posted by Ridley | February 5, 2009 10:50 AM
@Jess Meats:
Thanks for the reply, of course we would not want you to do something that would get you into trouble with the company (Microsoft) that you work for. As you see, I am ferreting out the details slowly anyway.
----------------------------------------------------
Another point about Seven Basic, which will not be sold in western countries (mature markets). Those who bought computers with Vista Basic on them, were usually computers that would not have enough resources to run the "fuller" versions. If this is the case, then there may not be an Seven "upgrade" path for those computers.
Posted by Chips B Malroy | February 5, 2009 2:40 PM
'Parking ticket' scam brings malware infection
http://www.vnunet.com/vnunet/news/2235808/parking-ticket-scam-brings
----------------------------------------------------
Yep, its windows again.
Posted by Chips B Malroy | February 5, 2009 3:21 PM
Hackers Using E-Ticket E-Mail to Spread Malware
http://www.pcworld.com/businesscenter/article/158983/hackers_using_eticket_email_to_spread_malware.html
----------------------------------------------------
if you guessed Windows, that is a good guess.
Posted by Chips B Malroy | February 5, 2009 3:24 PM
Pinch Trojan lives on after authors' arrests
www.theregister.co.uk/2009/02/05/pinch_trojan_toolkit/
"Pinch is a Trojan creation toolkit credited with enabling virus writers to infect hundreds of thousands (if not millions) of Windows PCs."
----------------------------------------------------
New variant of Pinch Trojan detected with 4000 users already infected
www.securecomputing.net.au/News/136357,new-variant-of-pinch-trojan-detected-with-4000-users-already-infected.aspx
Malware Targets E-Banking Security Technology
voices.washingtonpost.com/securityfix/2007/11/new_malware_defeats_sitekey_te.html
Posted by Chips B Malroy | February 5, 2009 3:30 PM
@Chips B Malroy:
Thanks for the links!
And, maybe we are all being to harsh on the mortgage lenders, financial wizards, housing market speculators, politicians, and pyramid scheme operators. Maybe they really didn't steal all of this country's wealth. Maybe they just hid it securely away from the hackers!!!
;-)
Posted by Philosopher | February 5, 2009 4:22 PM
Very interesting aricle. Really useful and cheers for the related post tips. Cheers for sharing your comments.
Posted by peterK | March 10, 2009 4:25 AM