Split-Screen :: The Game-Geek’s Daily Read

The pricing of Windows 7 was announced not too long ago. It created a furore for being cheaper than Windows Vista (which was good) but still being expensive overall and limited in some basic user features. The NPD Group’s Vice President of Industry Analysis Stephen Baker spoke in his official blog post about the negatives of Windows 7′s pricing in relation to it’s features.

“Besides the fact that $119 is a price point that fits nowhere in these economic times, it is still way too much for the software. While I acknowledge that this is down from Vista pricing, that is damning with faint praise. It is in Microsoft’s best interests to erase all vestiges of Vista from consumers’ homes, and by making the upgrade expensive (and a bit painful, more on that in a moment) Microsoft is creating a large disincentive for consumers to move to a far superior platform with a better user experience. Doubling down on the disappointment is the fact that this is only a one user license. In a world (at least in the U.S.) where most homes are moving into a multiple PC environment it would enhance the consumer home experience if they could upgrade all their home PCs at a single low price with a single boxed purchase. Although I don’t think it is exactly equivalent, Apple’s Snow Leopard pricing model ($29 for a one user license and $49 for a five user license) is much more appropriate to driving adoption and raising customer satisfaction levels. This is a direction I would have much preferred to see Microsoft head into.”

However, Baker also stated that,

“PC upgrades on Vista machines bought between now and the end of October would be free from Microsoft, with any cost (normally S&H) being charged by the PC OEM. This is within expectations and is the good for both the consumers and the OEMs. We should see a very minimal stall from the transition as these very low cost upgrades are offered to consumers.”

And that, “The intention of a limited availability sale on Windows 7 (at $49 per copy) fulfilled only through the channel is a boon to the channel and the industry. It certainly addresses at least some of our pricing concerns and adds a few benefits to the marketplace.” The issue of MS delivering the perfect OS is still far off, but at least Windows 7 doesn’t seem to be spiraling into chaos like Vista.