Microsoft sets limits on low-cost Windows PCs
updated 01:55 pm EDT, Mon May 12, 2008
MS limits low-cost Win PCs
Artificial limitations are being imposed on some forthcoming low-cost Windows PCs, according to documents Microsoft has sent to PC builders. Although the company plans to offer a sharp discount to ultra-low cost PC (ULPC) builders on the price of Windows XP Home, in order to foster the adoption of Windows over Linux on devices like the Eee PC, vendors are being asked to limit screen size to 10.2 inches, and hard drives to 80GB. Furthermore, no qualifying ULPCs with XP will be allowed to have a touchscreen, more than 1GB of RAM, or anything better than a single-core processor running at 1GHz, except for certain chips like Intel's Atom N270.
The reason for the restrictions is said to be Windows Vista, as Microsoft does not want ULPCs reducing demand for more conventional computers equipped with its newest OS. "It allows PC makers to offer a low-cost alternative, and it prevents eroding of pricing and margins in the mainstream OS market," comments analyst Roger Kay of EndPoint Technologies Associates.
Microsoft's new marketing scheme is launching in June, with prices based on the relative wealth of a computer's market. For systems sold in First World countries, XP Home will cost $32; in poor countries such as China and India, by contrast, the OS will cost only $26. The deeper discount comes into play with the additional Market Development Agreement, which can drop the price another $10.










Starting to smell like...
05/12, 02:11pm reply
...monopolistic behavior to me.
lockhartt
Fresh-Faced Recruit
Joined: Apr 2000
limiting windows
05/12, 02:14pm reply
more than it already is???
climacs
Fresh-Faced Recruit
Joined: Sep 2001
DVD
05/12, 02:53pm reply
Is DVD playback also prohibited? All i want is a low cost portable with dvd playback. The touchscreen ban is a bit strange, i wonder MS is planning to bring a small tablet on the market.
Peter Bonte
Fresh-Faced Recruit
Joined: Aug 2001
monopolistic?
05/12, 02:54pm reply
All they're trying to do is keep people from selling the cheaper Windows for ULPC on machines that would be considered not ULPC.
But being Mac users, we're never restricted by arbitrary limits, right?
testudo
Fresh-Faced Recruit
Joined: Aug 2001
re: monopolistic
05/12, 03:09pm reply
The mac is closed, and windows is open for all compatible hardware. yes or no? What is up with the touchscreen limitation, why can't this be a feature for the ULPC?
Peter Bonte
Fresh-Faced Recruit
Joined: Aug 2001
Electronista vs. MacNN
05/12, 03:10pm reply
This was cross-posted on the front page of MacNN, parent site of Electronista. However, it simply isn't Mac-related news. Please stop this. Why have multiple sites if everything is cross-posted?
njfuzzy
Fresh-Faced Recruit
Joined: Apr 2001
testudo almost got it...
05/12, 03:37pm reply
"All they are trying to do is keep people from...."
Another MS motto.
Doofuses.
robttwo
Fresh-Faced Recruit
Joined: Nov 2005
26
05/12, 03:47pm reply
26 dollars for an ancient OS seems like a pretty nice profit margin for MS
rytc
Mac Enthusiast
Joined: Jan 2001
F*** MICROSOFT!
05/13, 05:59pm reply
They just create limits to ensure early death... PERFECT I SAY!! :)
Guest
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Joined: Nov 1999