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November 5, 2009 9:37 AM PST

Windows 7 sales outshine Vista

by Lance Whitney
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Judging by its initial sales, Windows 7 is certainly proving more popular than Vista.

Windows Vista
Credit: Microsoft

Microsoft sold 234 percent more boxed editions of Windows 7 than it did Vista in the initial releases of both products, according to research released Thursday by NPD Group.

In actual dollars, Windows 7 has also been more successful than Vista. However, early discounts on pre-sales copies and a lack of a promotional boost behind Windows 7 Ultimate led to revenues only 82 percent greater than those of Vista.

"Ultimate was a much bigger part of what Microsoft did with Vista, whereas this time I think they not only kept the price very high, but really kept the focus on the Premium product and the Premium three-pack," explained the author of the report, NPD's Stephen Baker, to CNET News. "Most of the promotional fire that they've put out there has been focused on those, for example, 'Buy a computer, get a $50 copy of Home Premium.' The pre-sales were all pretty much focused on Home Premium."

The numbers provided by NPD include both the initial sales of Windows 7 following its release on October 22 and pre-sales data from the discount program that Microsoft launched in July.

NPD declined to release actual sales figures for Windows 7, but the percentages help tell the story.

Web statistics firm Net Applications also found early adoption of Windows 7 to be strong.

(Credit: NPD Group)

Sales of PC hardware running the new OS didn't fare quite as well. Though growth in PC sales for the Windows 7 launch was at its highest level for the entire third quarter, it wasn't as strong as during the Vista launch, showing a 6 percent decrease from Vista's initial days.

A mixture of different factors affected the sales of Windows 7 PCs, notes Baker. Vista was launched in January, which traditionally offers a better sales environment than October. Also, the new OS was hurt by sales of PCs with older operating systems, which made up 20 percent of all sales during Windows 7 launch week. In contrast, PCs with older operating systems made up just 6 percent of all sales when Vista hit the market.

Baker doesn't think the current recession had a bearing on the lower PC sales for Windows 7's launch. "We've seen pretty strong sales growth on computers all year regardless of the recession," he said. "People have been buying more units of PCs all year than they had in 2008. At least from a unit perspective, we haven't really seen much impact on the consumer PC market from the recession."

Lance Whitney wears a few different technology hats--journalist, Web developer, and software trainer. He's a contributing editor for Microsoft TechNet Magazine and writes for other computer publications and Web sites. You can follow Lance on Twitter at @lancewhit. Lance is a member of the CNET Blog Network, and he is not an employee of CNET.

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Add a Comment (Log in or register) (32 Comments)
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by rapier1 November 5, 2009 10:31 AM PST
Once again, commence the OS flamery. Don't be shy, let your obsessive compulsive religious like devotion to the operating system of your choice fly!
Reply to this comment
by jspencer09 November 5, 2009 10:46 AM PST
You are correct, and the flame wars will begin shortly. But for my .02, modern-day OS are homogenous, and boil down to preference. Whatever you can do with your OS, I can do with mine. From a functional standpoint they're all the same.
Argue ad infinitum about how yours is prettier faster stabler better suited to <insert bias here> but use what you want and realize that you made a good choice.
Competition's good for the market, and all modern OSs can help you get your work done.
by TinyIoda November 5, 2009 10:46 AM PST
Why do you (and others) feel the need to say that?

If you don't wanna see flame wars.. find another place to do your reading!
And, if you're trying to incite such comments... find another place to do your reading!
by Get_Bent November 5, 2009 10:50 AM PST
This message brought to you by MS-DOS 6.22 ....
by Random_Walk November 5, 2009 10:57 AM PST
"Why do you (and others) feel the need to say that? "

Explaining that one is easy: It's an attempt to present oneself as being superior to the 'dirty' debates of which OS/company/whatever is better, while at the same time participating in it.
by rapier1 November 5, 2009 11:12 AM PST
@Random_Walk,

Actually I take the time to make statements like this because I want to make sure I give you an opportunity to speak. As for the superiority thing... yeah, that works for me.
by Random_Walk November 5, 2009 12:08 PM PST
Nice accusation - where'd you get it? ;)
by eyepoker November 5, 2009 10:49 AM PST
don't encourage them!
Reply to this comment
by Random_Walk November 5, 2009 10:59 AM PST
"Sales of PC hardware running the new OS didn't fare quite as well. Though growth in PC sales for the Windows 7 launch was at its highest level for the entire third quarter, it wasn't as strong as during the Vista launch, showing a 6 percent decrease from Vista's initial days."

So IOW, all the growth is coming not from ordinary folks looking to purchase a new machine, but from the Windows enthusiast community, mixed with folks who are eager to dump Vista (or perhaps have been waiting to upgrade XP, meaning that there's a two-year pent-up demand among such folks...)
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by superswiss November 5, 2009 11:09 AM PST
Isn't this always the case. How many regular folks do you know that actually upgrade their OS before they buy a new computer? Regardless of whether they are Mac or PC users.
by Random_Walk November 5, 2009 12:09 PM PST
"How many regular folks do you know that actually upgrade their OS before they buy a new computer?"

I was thinking of it this way...

Folks who aren't in any hurry to buy a new computer, or bought one recently (12-18 months ago) with Vista are likely more eager to buy an upgrade/retail package than they would be to buy a whole new computer.
by Splashes November 5, 2009 11:07 AM PST
I'm feeling all hopeychangey, so I'll say "Yes we can!" sell more 7 than Vista. A quote from PT Barnum comes to mind.
Reply to this comment
by jaybee75 November 5, 2009 11:13 AM PST
Not too surprised by the hardware sales part, Vista was too much for the average PC that was already owned back then, Win7 is more friendly resource wise so the need to upgrade isnt as strong.
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by Unknown2You November 5, 2009 11:23 AM PST
I wasn't eager to dump Vista, but most of us are eager to try something new. I didn't mind paying my ETF to get rid of my BB Storm on VZW to go get the iPhone 3G when it came out.

I also have Linux on my machine, but since I am not that good with the command prompt language I tend to stick with Windows because, for me at least, it seems easier.
Reply to this comment
by jabberwolf November 5, 2009 12:10 PM PST
Hey I liked Vista (64 only).

But W7 just seems that much better.
I'm happy, sorry to the flamers about that - wish I could whine and gripe, but I cant.
Reply to this comment
by CorwinB November 5, 2009 3:31 PM PST
Agreed. Vista 64 is a nice OS on a decent machine.
by CorwinB November 5, 2009 12:10 PM PST
The funny thing about this is that it has little difference from Vista. It just runs better on a larger variety of machines. I do have to admit that it is a little faster than Vista, but I'm one of the few that has had a good experience with Vista so I'm in no rush to change my OS.
Reply to this comment
by lvcsslacker November 5, 2009 1:15 PM PST
To be completely fair, vista wasn't horrible. It just had a lot of little nigglings could have been ironed out to make the user experience a little bit nicer. Small things that seem like a good idea make some of the biggest annoyances during an end user experience.

Been on both sides of that coin...
by CorwinB November 5, 2009 3:23 PM PST
@ lvcsslacker
well any of those little annoyances could usually be fixed by adjusting settings manually. Other stuff was fixed in service packs. Which is why I waited till the spring to get it(also because I was waiting for the Phenom II). Driver issues have not been an issue for me so I lucked out. Although I don't have any 10 year old peripherals so that had a bit to do with it. I have had a good experience with Vista, but I am self sufficient in fixing those minor things and most people are not. That is probably why I am happy with it.
by clynx November 5, 2009 1:15 PM PST
I just wanted the 8 gigs of memory I got to work properly. That is the only reason i got win 7, otherwise it is garbage. Definitely a rip off after the price I paid to use Vista, it should have just been a Service Pack Fix.
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by CorwinB November 5, 2009 3:16 PM PST
If you got 64 bit vista you shouldn't have had a problem with 8 gigs. I run 8gogs on mine no problem.
by Zaunto November 5, 2009 1:31 PM PST
Yea.

Have fun with Windows 7. After my Vista Laptop went south on me, I revived my XP laptop and guess what? It booted up faster and runs faster than my Vista laptop ever did. I'm not doing a wipe and install of Windows 7 because I have a working laptop that doesn't need to be replaced. Microsoft can have your money. I'm saving mine for an iPhone. LOL!!!!
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by webnuts4u2 November 5, 2009 2:52 PM PST
I just wish that MS would not be so intent on reaming me and would allow me to purchase an upgrade of my Vista Ultimate for around $50. After all, it's really not that full of new features, just stabilization and optimization of the problems that existing in the copy of Vista that I bought.
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by CorwinB November 5, 2009 3:30 PM PST
Don't know which version you installed but the 64 bit one seems a lot more stable than 32bit. If you have the 64bit one then you just need to tweek some settings and you have 99% of what Windiows 7 has. Fix the rest with freeware and don't wast your money on 7 unless you need a new PC. If you cant fix your problems the way I described then you trusted Microsoft's Vista compatibility tool way to much installed on a PC that is to old. In which case you need an new PC. If you cant get vista running well on your rig then 7 likely will have a little trouble too.
by freebird1974 November 5, 2009 6:37 PM PST
As long as I can find XP drivers for new computers I will stay with XP. I will wait until everyone has Windows 7 and has had a chance for it to screw up and for Microsoft to fix it a half a dozen times, then I will make the switch but if it turns out to be another ME, Vista then I will just stay with good Ole XP
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by beat_elite November 5, 2009 9:10 PM PST
I was soo glad that I waited for the new Windows 7 PCs to come out because I found a PC with better specs and for $100 less (on sale). All the new Windows 7 computers I've been noticing also have way better specs for around the same price as Vista comps (I.E Core 2 Duo T6500 processor PCs gets a boost to T6600 and Ram is upgraded from DDR2 to DDR3)
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by KandyMan114 November 5, 2009 11:41 PM PST
whoa, a thread about win7 with no mention of osx anywhere in the comments?? Are you people losing your touch for flaming??
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by jragosta November 6, 2009 8:13 AM PST
"Vista was launched in January, which traditionally offers a better sales environment than October. "

Huh? Retail sales of ANYTHING in January stink. Most stores could almost shut their doors for the entire month and not miss anything.

October is a little early for Christmas shopping, but Christmas sales are already starting to trickle in. Given how long people have been waiting for an upgrade to Vista, most people expected hardware sales to be through the roof on Vista's release.
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by jragosta November 6, 2009 8:14 AM PST
"Vista was launched in January, which traditionally offers a better sales environment than October. "

Huh? Retail sales of ANYTHING in January stink. Most stores could almost shut their doors for the entire month and not miss anything.

October is a little early for Christmas shopping, but Christmas sales are already starting to trickle in. Given how long people have been waiting for an upgrade to Vista, most people expected hardware sales to be through the roof on Vista's release.
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by lickmoreshoes November 6, 2009 8:00 PM PST
vista home premium is a fine system. Although vista basic is crappy.
Reply to this comment
by ppgreat November 8, 2009 5:19 AM PST
No flame wars here. Just to mention that some of the software I use on the PC side isn't ready for Windows 7 yet.

Also, I would like to see a more in-depth analysis on the report that PC sales did not surge with the uptick in Windows 7 sales.
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by bomber6400 November 10, 2009 9:36 PM PST
The XPS documents are so much better than Adobe PDF's, it will be the standard for XML solutions, Microsoft got it right on this one.
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