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MS drops Vista retail price to spur sales

updated 09:20 am EST, Fri February 29, 2008

MS Drops Vista Price

Microsoft late yesterday said it would drop the price of retail copies of Windows Vista, timing the drop with the release of Service Pack 1 for the OS. The cuts will take effect worldwide and will be largest for the top-end Vista Ultimate edition, reducing the up-front price for a full copy from $399 to $319. An upgrade version for existing Windows owners will now cost $219, down from $259. Home Premium, the most common version of the software, will drop from $159 to $129 for an upgrade-only version of the OS.

Developing nations will receive one of the larger discounts as Microsoft will stop selling upgrade editions but offer full versions at the lower upgrade prices; in these areas, a combination of piracy and a largely first-time customer base are the motivation for the drop, the company says. Prices for OEM (original equipment manufacturer) copies meant to ship with new PCs currently remain unchanged, as are prices for Vista Business and Home Basic.

The discount is primarily to accelerate sales of upgrades to users still running Windows XP or earlier versions of Windows, says Windows Consumer Product Marketing corporate VP Brad Brooks. In the year since Vista's release, the "vast majority" of Vista copies were sold as OEM versions for customers upgrading to new PCs rather than retail editions, Brooks claims. Those that have bought Vista separately from their computer have usually been early adopters, while most other customers have been more likely to buy during promo campaigns Microsoft has tested over the past year.

The move puts the price of an upgrade copy of Vista Home Premium at the same price as a full copy of Mac OS X Leopard and may be an attempt to revitalize slumping Vista sales. Despite its role as Microsoft's primary OS, it was preloaded on a relatively low 37 percent of all new PCs in 2007 and has gradually seen its sales rate slow over the past several months.

Stand-alone upgrades are also widely considered as faring poorly due to Vista's steeper system requirements, which have led to many basic systems running the software poorly. A recent lawsuit has accused Microsoft of providing misleadingly low requirements through its Vista Capable logo program from late 2006 and early 2007, which encouraged sales of computers during the months between the announcement of Vista's last delay and its actual release.



By Electronista Staff
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  1. noza

    Fresh-Faced Recruit

    Joined: Dec 2007

    0

    wow

    Windows Vista Ultimate: $319 Mac OS X 10.5 Leopard: $129 Linux (any variety): $0

    Being able to choose?: Priceless

  1. dliup

    Fresh-Faced Recruit

    Joined: Jan 2006

    0

    vista = what a joke

    OS X Ultimate can be bought along with a quiet Core 2 DUo Mac Mini that works great as a media computer for as low as $429 in the Apple Refurb Store. Yes, OS X (a much better OS), can be bought with a computer with gigabit ethernet, usb, firewire, optical audio output, media remote control, and more for just slightly more than the cost of vista.

  1. Rezzz

    Fresh-Faced Recruit

    Joined: Jan 2006

    0

    Vista = Windows Me 2007

    Vista! Talk about a t***. LOL

    Also, I'd like to have Red Hat Enterprise Linux 5 or SUSE Linux Enterprise Server 10 for free please. That would be great, m'kay?

    I agree about choice. Point well taken. Now just to get Open Document Format pushed through and things will get even better. Farewell, Office.

  1. Herod

    Fresh-Faced Recruit

    Joined: Jun 2007

    0

    you can...

    ...lower the price of a Ford Pinto as well. its still a Pinto.

  1. Monde

    Fresh-Faced Recruit

    Joined: Jan 2004

    0

    I'd consider it...

    I'd consider it, if MS paid me to use it. And if they did, which of the 6 versions would I need? Would it be compatible with my year old thinkpad? Uhhhh-I'll stick with XP and OSX. Once Vista catches up with Leopard in 2012 (hey-I'm an MS optimist), perhaps the MS market share will have dwindled enough to make Windows irrelevant. Ooopps--my bad--more irrelevant.

    BTW: Great point-dilup!

  1. climacs

    Dedicated MacNNer

    Joined: Sep 2001

    0

    re: vista=joke

    plus... you can also run Windows on your Mac mini, side-by-side with OS X.

    Really, do PC fanboys have anything at all to talk smack about any longer?

  1. Mr. Strat

    Forum Regular

    Joined: Jan 2002

    0

    Who cares?

    Even if they give it away for free, you still can't polish a t***.

  1. Athens

    Addicted to MacNN

    Joined: Jan 2003

    0

    ME

    Windows Vista is the next version of Windows ME, a stop gap c*** OS.

  1. nat

    Junior Member

    Joined: Mar 2002

    0

    PC fanboys

    "Really, do PC fanboys have anything at all to talk smack about any longer?"

    No, but that will not stop them.

  1. bhuot

    Fresh-Faced Recruit

    Joined: Nov 2003

    0

    I see riots

    I see riots now outside Microsoft headquarters because they lowered the price and some had to pay more for it because they bought it sooner. Or does this logic only apply to Apple?

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