October 27, 2006 7:09 AM PDT

Acer: Vista is an excuse for Microsoft price increases

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Microsoft is raising the price of its software as it prepares to launch Vista, according to one of the leading PC manufacturers, Acer.

According to Jim Wong, senior corporate vice president of the Taiwan-based company, the issue is simply that the basic home edition of Vista, Home Basic, which is available for preorder on Amazon.co.uk for 154.99 pounds ($293), is so basic that users will be forced to move to Vista Home Premium, at 189.99 pounds ($359). A Home Edition of Windows XP is currently available for 165.99 pounds, but has a recommended retail price of 176.99 pounds.

"The new (Vista) experience you hear of, if you get Basic, you won't feel it at all," Wong told PC Pro magazine. "There's no (Aero) graphics, no Media Center, no remote control."

Wong also said that the manufacturer's license for Vista Home Premium is 10 percent more expensive than for XP Home. "We have to pay more but users are not going to pay more," Wong said. This would mean an increase in the cost to PC manufacturers of 1 percent to 2 percent, according to Wong, in a business where the profit margin is around 5 percent or less.

At the top of the Vista lineup is the Ultimate Edition, which can be preordered for 325 pounds ($614) and, again, is significantly more expensive than the XP operating system it replaces. Windows XP Professional with Service Pack 2 has a recommended retail price of 289.99 pounds ($550), but is currently available for 234 pounds ($444).

Colin Barker of ZDNet UK reported from London.

See more CNET content tagged:
PC company, Microsoft Windows Vista, Acer Inc., Microsoft Corp., Microsoft Windows XP

111 comments

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tap... tap... tap...
The sound of the nails being driven into Microsoft's coffin.
Posted by CentrOS (126 comments )
Reply Link Flag
Face it
All of you MS haters, Microsoft is not going away any time soon. Same for all of the Apple haters... Apple is not going away any time soon either. As much as some of the people here on Cnet seem to hate other companies, their personal feelings toward their product of choice seems to interfere with actual reality.
Posted by Charleston Charge (362 comments )
Link Flag
I don't care what anyone says...
Not going to happen, even if they were relegated to the obscurity of Apple-like proportions. You wouldn't say Apple's been in a coffin all this time, would you? (That is, pre-iPod, even...)
Posted by DraconumPB (229 comments )
Link Flag
And you want what?
There is a starter version that doens't have Aero, Glass, or Remote Control in it. Well hey, I've been working with Vista now for over a year now in the various beta forms and I turn all those features off, I would be rather upset if I was forced to buy a higher grade version that included features I was going to disable anyways.

I'm glad they offer a lower version so I don't have to pay for features I'm not going to use anyways. That's forethought in offering products at different levels.
Posted by Vegaman_Dan (6683 comments )
Reply Link Flag
XP Ultimate?
There is no XP Ultimate. So how can you compare prices? This is nonsense.
Posted by roger.d.miller (41 comments )
Reply Link Flag
Frenzy
The editors are not so stupid as to not know that Windowx XP Pro and Vista Ultimate aren't even close. They know that Vista Ultimate has no corresponding edition in XP.

However, the editors are in the business of bashing MS so as to whip up the brain dead religious into a self righteous frenzy of stupidity.

Then they bash other companies to whip up some OTHER brain dead tech religious faction.

That's what they do. And if you read the stupid posts that have already been made on this topic, you see that the stupid respond very well to these tactics.
Posted by KTLA_knew (385 comments )
Link Flag
Price Hikes?
Ya think?!?!?
Posted by dwerth (3 comments )
Reply Link Flag
Not really
Vista Home Premium is more like XP + Media Center + Tablet additions. You get a little more, you pay a little more.
Also, this is the retail version. OEM copies will remain a fraction of that cost. The end user won't even notice it.

If your going to complain about Vista retail, keep focused on the EULA; that is a real problem.
Posted by catch23 (436 comments )
Link Flag
Offer two
PC OEMs should do the following:

Continue offering XP for awhile. Not everybody even wants Vista (there are some incompatibilites and the like that some people might not want to deal with). Also, obviously XP is going to be cheaper considering that it's a 5-year-old OS. Some people are OK with that. It's not like when Win was versioned by the year and people felt out of date to be running 95 in the year 1998 ('cause 98 was out).

XP is perfectly proficient as an OS if you ask me... especially when its kept up to date.

So OEMs shouldn't complain about prices rising for the new OS because all they have to do is offer a cheaper PC with XP on it in addition to the more expensive PC loaded with Vista. Consumers will still want it because the price difference will be cheaper than buying the OS on its own.
Posted by DraconumPB (229 comments )
Reply Link Flag
Good idea.....
but, like the article mentions, there is very little profit to be had in computers as it is.

The general public wants Vista, even on their $200 Black Friday special from last year that can barely run XP. Yeah, there are some people that won't want to change, but there's about as many of them as people who run Win9x, which, in the overall scheme of things, is a drop in the bucket.

Those $300 computers are quickly becoming dual-core, former Media Centers, complete with XP Media Center Edition. Said $300 basically covers the price of the hardware and OS, even with a 5% profit margin, that's leaves only $15 per computer.

OEM's aren't the only ones taking a hit from this, either. Retailers also take a big hit. In retail, no sale > naked computer sale. A naked computer means lost money, since 99% of the computers retail for less than they're bought for. So that Compaq that retails for $300 might cost the retailer $350. Even more, it can oftentimes be difficult to attach anything to those el-cheapo computers, since the people that typically buy them are either broke and need a computer for basic office-type work, or eBayers.

Yeah, it's nothing earth-shattering, and most companies as a whole, OEMs and retailers alike, won't be going out of business because of it, since most are intelligent enough to have some sort of divirsification. However, several people could be put out of a job from resulting budget cuts related to having to put out super-cheap computers that, at least on the retail end, can't turn a profit. Also, what's the point of load XP on a system that's capable of running even Vista Basic when, right now, just about any computer sold by retailers are eligible for a free upgrade to a corosponding version of Vista (home -> basic, pro -> business, media center -> premium), as a result of OEMs and retailers worrying about major holiday losses from Vista's post-holiday release.
Posted by dragonwolf87 (25 comments )
Link Flag
Good idea...
but, like the article mentions, there is very little profit to be had in computers as it is.

The general public wants Vista, even on their $200 Black Friday special from last year that can barely run XP. Yeah, there are some people that won't want to change, but there's about as many of them as people who run Win9x, which, in the overall scheme of things, is a drop in the bucket.

Those $300 computers are quickly becoming dual-core, former Media Centers, complete with XP Media Center Edition. Said $300 basically covers the price of the hardware and OS, even with a 5% profit margin, that's leaves only $15 per computer.

OEM's aren't the only ones taking a hit from this, either. Retailers also take a big hit. In retail, no sale > naked computer sale. A naked computer means lost money, since 99% of the computers retail for less than they're bought for. So that Compaq that retails for $300 might cost the retailer $350. Even more, it can oftentimes be difficult to attach anything to those el-cheapo computers, since the people that typically buy them are either broke and need a computer for basic office-type work, or eBayers.

Yeah, it's nothing earth-shattering, and most companies as a whole, OEMs and retailers alike, won't be going out of business because of it, since most are intelligent enough to have some sort of divirsification. However, several people could be put out of a job from resulting budget cuts related to having to put out super-cheap computers that, at least on the retail end, can't turn a profit. Also, what's the point of load XP on a system that's capable of running even Vista Basic when, right now, just about any computer sold by retailers are eligible for a free upgrade to a corosponding version of Vista (home -> basic, pro -> business, media center -> premium), as a result of OEMs and retailers worrying about major holiday losses from Vista's post-holiday release.
Posted by dragonwolf87 (25 comments )
Link Flag
I think Vista will be a failure
Microsoft isn't going away. But people aren't going to flock in droves to Vista like Microsoft predicts. I believe Vista will go down as Microsoft's biggest flop since Windows ME.

I've tested it. It is annoying. Some essential features are hidden, like the "run" command on the start menu. Instead of relegating all users to limited accounts and leaving the administrator account for system modification, like Linux, everyone is an limited Administrator. You try to do anything, and you get a pop-up box. Try again in one minute, same box. Do you want to log in as an Administrator to do these things easily? You have to go through 100 restarts and through complex security measures.

Microsoft has the right idea on security. They just did it all wrong, and caved in to inferior antivirus programs.

Don't get me started on the DRM.

In reality, Vista is like a mausoleum. It looks good, but its dead inside.
Posted by i_am_still_wade (250 comments )
Reply Link Flag
Time for Linux....or Mac even
I have built my own computers for 10 years always buying OEM Windows. I am not planning on buying Vista, its too expensive, to restrictive and frankly I don't see what the real benefits are.

I have already started putzing around with Linux (ubuntu and Centos) just to get my feet wet(its not been that easy). I think by end of next year when its time for my next hardware upgrade, it will be a PC running Linux or maybe a Mac book pro. M$ ridiculous pricing and product lines have seen the last of my money.
Posted by LarryLo (164 comments )
Reply Link Flag
Hmmm
I wonder why Acer isn't doing that then?
Posted by Sboston (498 comments )
Link Flag
Hmmm
I wonder why Acer isn't doing that then?
Posted by Sboston (498 comments )
Link Flag
Alternatives to the MS Gouging
Ubuntu is free, and it can only get better, for those who don't want to pay the MS extortion tax.
Posted by bigpicture (145 comments )
Reply Link Flag
Ubuntu for the mainstream? Yeah, that'll happen! Muhahaha
So, my niece needs a new computer next year. Shall I:

1) Have her mother buy her a new Apple iMac or a Dell PC w/Vista, plug it in and boot it up, or...

2) Have her mother to buy a bare-metal machine from a local PC store or a no-name online vendor, download ISOs of Ubuntu on a another machine, burn then to CDs/DVDs and and try to figure out how to load the OS. What about her digital camera? Maybe she can learn to code or compile device drivers. My niece also has an iPod and uses iTunes -- how will that work? Need I go on?

Let's get real: widespread use of Linux on the desktop will not be a reality any time soon. I know it hurts some of you to read it, but you know it's true even if you can't admit it to yourself.

-Mister Winky
Posted by Mister Winky (301 comments )
Link Flag
Re: Alternatives to the MS Gouging
>> Ubuntu is free, and it can only get better, for those who
don't want to pay the MS extortion tax

Yea, but what it comes down to for MANY (not all) is the lack of
a decent office-style product. That's one thing Microsoft did
well - whether you like their operating system or not. They have
a realy good office product and it's only available for their own
operating system and OS/X.

I'd be willing to bet that if they were forced to port Office to
Linux you'de see a lot more defections from Windows to Linux.
Probably the same affect if StarOffice was a bit more feature rich.

Charles R. Whealton
Charles Whealton @ pleasedontspam.com
Posted by chuck_whealton (521 comments )
Link Flag
Another slanted CNet article
XP came out like 4 years ago. The inflation rate has been what 3% every year? (roughly 12% overall inflation since then, not counting inflation on inflation).

Now MS has introduced a 'bigger better faster' product and increased the cost of it by LESS than the rate of inflation?

Everyone gets a free ticket when it comes to bashing Microsoft. Logic and Facts are simply not required. Just FUD away and as long as your target is MS you get a free pass. Don't try this with Apple or *Nix... the zealots will hang you!
Posted by smilin:) (889 comments )
Reply Link Flag
Bloated, Buggier, and a Loafer.
bigger better faster ?
Bloated, Buggier, and a Loafer.

every year I look forward to having a slower OS with less choice and more incompatibility...

not.

Fanboys are Fanboys no matter what they choose to worship. (everything is bad in its own way)

I guess they call it Windows Vista because you will spend your time looking around for other options.

MS says "let them eat cake"


openoffice and firefox (or opera [now free])
and plenty of other stuff just below the surface.
Posted by ColdMast (186 comments )
Link Flag
c/net Article?
Okay, it's a c/net article. But most of the article is quoting Acer sources.

Regardless of that, in high tech the tendency is for products to dramatically decrease in price over time. Consider a MS Office license for the typical home user. Five years ago if you had three computers you had to buy three copies. And any of those computers that weren't used by a bonafide teacher/student weren't eligible for the teacher/student edition pricing (or lost its license once the education relationship ended).

Today, for less than $130 you can buy the full teacher/student edition and install it on up to three PCs and run it even after the educational relationship ends. Vista fails to keep pace with that dramatic reduction in price. And apparently has a "hidden" cost increase if one wants to truly experience all the eye candy (since the basic version won't have any of that).

mark d.
Posted by markdoiron (1138 comments )
Link Flag
Move to Linux.
If PC companies are tired of Windows and Microsoft's high prices then maybe they should look at offering Linux as an alternative.

It's kind of tiering to keep hearing people complain about the cost and security of Windows and Office and yet they make zero attempt to do anything about it. Why should Microsoft lower their prices or change anything about Windows when everybody keeps selling it and nothing else.

If Acer and other PC makers want to get Microsoft attention then maybe they should start selling and promoting an alternative to Windows. If not then shut up and do what you have to do.
Posted by System Tyrant (1453 comments )
Reply Link Flag
I couldn't agree more if I wrote this myself
This is a right dead on the nail comment and I can't begin to second the motion to shut up or do whatever you need to do.
Posted by intrepi (67 comments )
Link Flag
Who do they think we are?
Why would you go out and spend the equivalent of, in some
instances, half the cost of your PC for these features?

First of all, some marketing dweeb has made a huge mistake in
trotting out 5 different versions (see 'Why Can't Microsoft
Simplify?' at www.stonethembas.com).

Secondly, they are charging premium prices to consumers and
enterprises for their inefficiency in bringing products to market
even after ripping out major features that they told these
customers to just hang in there and wait for.

Is there really anything you do in Vista that can't be done right
now in XP?

User experience? Your mileage will vary after you take the time
to learn the new setups.

Security? Just keep XP properly updated and use some common
sense on what you download and where you visit.

Search and organization? Download search applications for free.
Keep your folders in order.

Internet Explorer 7? Runs in XP. And you can stay ahead of the
browser wars with Firefox 2 anyways.

Sidebar and Gadgets? Chews up screen real estate without really
providing a whole lot of info. Again, some enterprising soul will
come out with a freeware version soon.

Performance? Are the majority of users really suffering with
email, internet and Office performance under XP?

Windows backup? You have free apps or network admins taking
care of this already.

Networking? You're paying hundreds extra for a summary map?

Sideshow? A feature in search of a market?

Speech recognition? Again, there are apps out there for XP.

Help and feedback? Already there in XP.

Windows update? Nothing new to see here.

Aero? There are plenty of theme products out there you can play
with to make XP look better. And I have no doubt some
enterprising soul will come up with an Aero theme.

To paraphrase Clara Peller: "Microsoft, where's the beef?"

I hate to make the platform comparisons, but Linux and Mac OS
X are ahead of the game here. Even if you're a devout MS person
at home, I don't think you can any longer make the excuse at an
enterprise level that you don't need to investigate other OSes to
remain competitive and cost effective.
Posted by ppgreat (1128 comments )
Reply Link Flag
I can't find a single correct statement you just made
Patched XP is not the same security as Vista.
Gadgets are new features, but have an off switch if you don't want them.
Networking is not just a new a new netmap. Go LEARN something. You're gonna get 5% faster networking on broadband without doing anything! XP can't even offload networking to a 2nd CPU core. Vista will auto-balance. Do you know how rediculously obsolete tcp/ip is in todays world? No fast recovery for packet loss on wireless, no compensation for high bandwidth high latency wan & satellite links, heck everyone is still using the nagle algorithm for congestion control. You don't appear to know the first thing about Vista.
Aero isn't just pretty either.. instead of having your powerful 3d card go to waste rendering a bitmap all rendering will be offloaded from the CPU. Find an Aero theme for XP? Sure if you want to add overhead..don't expect it to be the same though. All that extra eye-candy in Vista comes FREE ... there is actually less overhead on your computer!

Look, You clearly don't know anything about Vista. I could type half a book on all the things you have gotten wrong.

Spare everyone your FUD.
Posted by smilin:) (889 comments )
Link Flag
Networking
You don't actually understand the advances in networking in Vista. They are substantial and actually puts them far past OS X. One of the most important would be receive side autotuning (www.web100.org). This really has the potential of substantially changing the way people sue the internet. While Linux has had the receive side autotuning feature for more than a year now thats mostly because the development team used Linux as their environment and linux has a more rapid release cycle. MS adopted it around the same time for Vista but due to devel cycles its only coming out now. For some people this one change in the networ stack will be worth the upgrade costs.
Posted by rapier1 (2722 comments )
Link Flag
Wow
I don't understand how a company who sells more software than anyone on the planet can also charge more than anyone on the planet. Oh wait... MONOPOLY.

Yes it's time to move to Mac OSX. In fact, I did just last month. I'm happy as a clam with my UNIX base, and my family is digging the ease of use of the UI.

Linux still has a way to go to be useable for the average joe, but distros like Ubuntu and getting slicker every day.

Hopefully people will start to move and we'll have real competition once again.
Posted by ss_Whiplash (143 comments )
Reply Link Flag
Double wow
That someone would complain about the price of MS's OSes and then praise Apple. One inescapable conclusion follows, a Troll has just been here and left their usual contribution. We need a giant sized pooper scooper for this one!
Posted by aabcdefghij987654321 (1721 comments )
Link Flag
Acer's REAL Problem
A Reuter's article states "Although sales of computers and consumer gadgets typically grow faster in the run-up to the Christmas shopping season, Acer said fourth-quarter profit was expected to be flat with the third quarter amid falling selling prices."

Yup, Microsoft should immediately slash their Vista prices, so Acer can increase their profits.:-)
Posted by john55440 (1020 comments )
Reply Link Flag
Finally someone sees the light!
Johny, I couldn't have said it better myself! It's all about the hardware guys not being able to reduce their prices and sell the sub-$500 laptops. All Acer has to do is sell more Corel WordPerfect (like Dell did) and MSFT might start to rethink how it OEMs to Acer... do onto those?
Posted by Shecky27 (4 comments )
Link Flag
It's not just Acer
OEMs and retailers alike have feared flat-line holiday sales. I don't know about OEMs (but they probably follow a similar trend, since most depend on retailers), but I know retail does roughly half of their yearly sales during the holiday season, with a good chunk of that done on Black Friday alone. With Vista's release getting pushed back til after the holidays, many consumers have questioned getting a computer now or simply waiting until Vista comes out.

The solution: offer a free upgrade to Vista.

As it stands right now, if you go out and buy a computer, you can get an upgrade to the corosponding version of Vista (media center -> premium, etc) when it comes out.
Posted by dragonwolf87 (25 comments )
Link Flag
Same old User Comments
Microsoft is offering a new product, completely redesigned, updated, more secure and with more features (above Basic level) and everyone wants it to cost the same as the old version? What economics school did these guys go to?

That's about as logical as saying the new Camery Hybrid should cost the same that it did 6 years ago.. oh wait it wasn't out 6 years ago... hmm okay then it should cost the same as the old gasoline Camery... 6 years ago... yeah right.

Could we please keep the exagerations to a minimum:

a) This isn't the end of Microsoft. It's the next generation, and in two years it will be the standard for the industry and the home user.

b) Alternative OS's just don't cut it. Sorry Linux, I love my penguin, but the reality is, it's too hard for the day to day user to manage, and IT departments don't like mixing OS platforms on a large scale, when they buy new PC's they will have Vista on them.

C) MAC, not a bad alternative, unless you're a gamer.. then well.. I hope you're wiling to pay the extra $450 for the MAC that's as powerful as your PC, and then spend the addtional $299 to $649 for a PS3. Face it, MAC has a long way to go to truly be the PC of choice for most Gamers... and yes there's a lot of them out there. (regardless of what commercials say, my PC has been virus free for years, never gets spyware, and I edit videos, transcode, do graphics (both vector and raster) and do it all faster than my Aunt's G5, which means my PC could beat up your MAC...

D) Keep XP. Probably a good idea for people with low-mid to low-end PC's, you wont' get much out of the new OS anyway (Requires 512MB of RAM and Reccomended is 1GB, unless you gamer then it's 2GB)

Relatity is: 1: People Hate Change 2: People Hate the Winner, unless it's them. 3: Microsoft is the Big Scary Corporation Bad Guy and we all love to beat up on them. 4: In 2 years you'll be complaining that Vista needs to be updated because it's been two years since the last time you got ot complain about changes Microsoft made.
Posted by Swalters1 (11 comments )
Reply Link Flag
Wow...never have I seen someone....
Never have I seen someone so willing to make excuses for a company.

A Few things...

Your Camery comparison is flawed, let me give you a better one. How much did a PC cost 6 years ago? How much does it cost now? Alrighty then. The fact is it should get cheaper, not more expensive. I mean half the work is done in India and China anyway.

There is nothing "ground breaking" in Vista, sorry... end of story.

They put out so many version so they can justify the added price, thats it, it makes the comparison more difficult.

Finally, you have not seen the DRM EMBEDDED in it yet. wait till you can't play your BLUE-Ray or HD DVD in full res. on your pretty 20 inch monitor as its DRM compliant.

I am not suggestion M$ will be gone tomorrow...cause it won't. I am saying this OS jump will open more opportunity for people to consider other operating systems, and its inevitable that some users will switch...the more, the better. So when Vista 2010 comes out maybe they will roll back the silliness they put added to this one.
Posted by LarryLo (164 comments )
Link Flag
I assume you're a gamer
...from your response. I'm not, so I really can't comment on the
advantage of Windows vs. other platforms.

I do take issue with some of your realities, though:

1. People hate change. Actually people have no trouble with
change if they believe it to be beneficial.

2. People hate the winner, unless it's them. Actually people have
no trouble rooting for underdogs. Any Cubs fans out there? The
fact is that MS has done enough in the past, and arguably
continues to do so, to raise people's suspicions of their being
the 'winner'.

3. Microsoft is the Big Scary Corporation Bad Guy and we all love
to beat up on them. For some people this is true. The fact is
Microsoft is a convicted monopolist that, to this day, is still in
trouble with a host of regulatory agencies. And you can Google
all the stories about people who have gotten screwed by them in
the past, from OEMs to strategic partners to Mom and Pop.

4. In two years you'll be complaining that Vista needs to be
updated because it's been two years since the last time you to
complain about changes Microsoft made. YES! In the next two
years, Microsoft should instate all the features it ripped out to
make these 5 editions available at this late date.

The Vista episode is a huge embarassment to Microsoft and they
are spending an inordinate amount of effort trying to to spin the
story of the delays, its features and benefits.

Outside of the gaming argument, you really need to look at
altenatives for your day-to-day needs. There are plenty.
Posted by ppgreat (1128 comments )
Link Flag
You are right, and wrong . .
IMO:

a. You are basically correct, but almost everyone except MS says that Vista will be a slow starter with businesses. In two years, most will still be running XP.

b. Not everyone needs a fat client Windows machine these days, so the client OS isn't as important as it once was. Most of the apps we need run fine in Windows, Mac, or Linux. As a result, our plans are to severely limit new Windows purchases. (Vista needs too much hardware, and Windows needs too much support. It's just not worth it)

c. Macs are not for gamers, however these days they can be used by a major of home users and a growing number of business users. And if you spend a few minutes on Google, you'll find that in many cases they are now cheaper than equivalent PCs. Add in the fact that they need only a tiny fraction of the support that Windows does, and they become a real bargain for business users.

d. Keep XP. Yep. I think Vista offers businesses almost nothing that they need, so XP will be around for a long time.
Posted by rcrusoe (1305 comments )
Link Flag
I agree, sort of
Bench marks for the Mac have been faster with Core Duo on both PC's and Mac's.

It will not be the end of Microsoft. Of course for anyone to claim they (MS) cannot be dethroned is too say that Chevy cannot as well... oh wait. I do think that that you are correct about large scale deployments. Most enterprises have windows servers, windows clients, and utilize Great Plains, MSCRM, and sharepoint. MS will be with us for a while.

While in two years we will be whining i doubt it will be because we have had nothing to complain about. XP claimed to be the most secure operating system in the world. That's laughable. Now Vista is their most secure OS ever, which is already laughable. Although vulnerabilities will not drive major swing in market share, it will ensure that I do not run XP in my home.
Posted by ITrogue (23 comments )
Link Flag
QFT!
Quoted for Truth!
Posted by smilin:) (889 comments )
Link Flag
I think you need to be updated
Your commentary reminds me of one of the MS employees who made excuses why he was always late for work. The fact is MS has been continually updating or did you miss Windows 98 SE ? Stop and add up the patches, some of which were questionable at best, others needed yet more patching. If you want to make excuses for Microsoft's shortcomings and support their higher prices, that's fine but I think you should refrain from telling us how good it is as a lot of us bought into Windows ME, want to tell us how good it was and why the cost of it was nothing more than a gift to Microsoft ?
Posted by intrepi (67 comments )
Link Flag
Is the UK more expensive than USA?
Because even going by the "equivalent price" in US dollars, Windows XP Home (etc) are WAY more expensive in Britain than at my local Best Buy.

As far as I know, Windows XP Home is US $179, and you can get it OEM for about $90.
Posted by AgeOfPenguins_com (26 comments )
Reply Link Flag
VAT is a killer
The UK's Value Added Tax significantly increases the cost of software in the UK, hence the higher prices. The article was only using the UK available prices, not what you can actually buy the products for in the US.
Posted by Vegaman_Dan (6683 comments )
Link Flag
Cry me a river. I'm not buying it.
So, the cost of Windows Vista will be too high to make a thousand dollars profit on a high-end laptop? No one said you had to pre-load Windows on the laptop to begin with. I, for one, would prefer that you didn't. I could do without the crappy trialware and other nonsense that gets pre-loaded. Not only that, but these seem to be retail box prices. Usually the OEM versions are significantly less.
Posted by eBob1 (188 comments )
Reply Link Flag
Re: Cry me a river. I'm not buying it.
Yea, but for some reason PC manufacturers tend to bow to
Micro$oft when it comes to sending out PCs with an operating
system on it. I >THOUGHT< I read that it's because it gets them
additional discounts, though somebody could correct me if I'm
wrong.

When I had to buy a new desktop/laptop for my own use, I called
Dell and they would NOT sell me a desktop without a Windows
operating system on it.

I ended up spending more and getting a Macintosh laptop. I've
never been happier. Did it cost me more? Yea. But I'm still glad
I did it.

Charles R. Whealton
Charles Whealton @ pleasedontspam.com
Posted by chuck_whealton (521 comments )
Link Flag
I don't know what the big deal is...
I don't know what the big deal is. So raise computer prices by the 1%-2% to make up for the added cost. It is a new OS with new features (e.g. a completely redesigned GUI, Indigo, program interfacing via .NET more so than the traditional Win32 API (hehe...is Win32 even an accurate term anymore??), etc.). Afterall, I did the calculations and Vista is not that much higher priced than XP. In relation to current pricing of XP, it is well within what could be termed a "reasonable" price increase (not that MS Windows OSes are reasonably priced....).

In any event, if you don't want to pay for Vista, then goto Linux. That's what I'm doing. I'm tired of big brother and want control of my hardware and software back.

The best way to get MS where it hurts is to switch to FOSS. Is it a perfect solution? No. But if we continue to keep buying MS products, what motivation is there for MS or any other software company to change their licensing and/or priceing models?
Posted by fourpastmidnight (10 comments )
Reply Link Flag
But see....
That would be too logical. Besides, that would require *gasp* learning something new.

Which should justify switching now, but Vista, no matter how different it is from XP, is still Windows....

Remember, the general public, as a whole, is stupid.

Enough sarcasm...you're right though. What motivation does a company have to change if they can shoot themselves in the foot multiple times and still retain 95% of the consumer base?
Posted by dragonwolf87 (25 comments )
Link Flag
Hey Acer: Stop Selling Windows PCs
I have the solution: Acer can really stick it to Microsoft by no longer selling Windows PCs. They can call Apple and see if they might consider licensing OS X to them. Or better yet, they can just sell PCs pre-loaded with SUSE Linux! yeah, that'll show big, bad Microsoft who's boss!

As Acer knows, people don't buy new PCs because they want a new OS and new software pre-loaded on a new PC, everyone just wants the latest, greatest Acer because Acers rawk!!! I'm sure Vista wouldn't have driven Acer's PC sales anyhow, so it's no loss for Acer, right? Microsoft is only a liability to Acer, right?

Acer: get a grip. Without Windows, you would have no customers. PCs are so overly fast for what most people do today and so commoditized by mass production that we should expect the hardware component of a new PC to make up a smaller percentage of the overall sales price. Software provides the functionality, the marketing vehicle and the value of a new PC. The hardware is just there to run the software.

-Mister Winky
Posted by Mister Winky (301 comments )
Reply Link Flag
Acer is still in business??!!
Wow! I thought they shut down years ago - sounds like its only a ploy to get their name in front of consumers so people will actually buy their systems!
From this article, it sounds like Acer doesnt realize that since they are a manufacturer they are able to get volume discounts for windows.. Dell pays somethin like 10 or 15 bucks for a copy of windows...
Just a marketing ploy, makes Acer look bad. No one cares that the new version of windows that is sold with their PC is 40 bucks more than the old one - the costs of the OS was never broken down for the customer anyway.. Whats the big deal?? Sheesh!
Posted by explorer5 (31 comments )
Reply Link Flag
Acer is the 4th Largest PC Maker in the world! NT
NT
Posted by pmfjoe (196 comments )
Link Flag
Vista Pricing
I think the pricing on vista is out of hand. Do they really think the average person is going to fork over hundreds of dollars for an OS that does the same thing their current copy of XP can and the only thing that the new OS has is that it's prettier? A pretty, eye candy filled OS isn't worth the price they are asking.
Posted by thedreaming (573 comments )
Reply Link Flag
Uh, no
Most people will get a copy of Vista with the next PC they buy instead of upgrading, just like they did when XP came out. The price isn't significantly higher than the price for XP either, it's really just the same as always.
Posted by aabcdefghij987654321 (1721 comments )
Link Flag
uhhh
the run command is in the same place. What are you talking about? Sure it says 'start search' but if you type 'calc' in there the calculator app starts upp. Also, these people haev the prices wrong. They quoted the prices in pounds but those are the US prices no need for the 2nd conversion.
Posted by rapier1 (2722 comments )
Reply Link Flag
That price is wrong
The standalone version of Ultimate is $450. The upgrade version will be $269. The version that most people will get - premium - is an upgrade at $179 or standalone at $269. In comparison - the OS X 10.4 price is $129. But every sold version of OS X is, essentially, an upgrade. So the price differential isn't all that much (between premium and OS X).
Posted by rapier1 (2722 comments )
Reply Link Flag
5% faster networking! 1.5 x quicker apps! - Get a grip
Do you honestly think 85% of computer owners would notice those figures ever? Most are pleased when a page comes out the printer or an email ends up in the sent box. Most never tax the computer more than switching it on/off.

I dont think one of my 500 businesses or home users will want to pay more money to a) renew a computer that does everything they want already or b) have more power available than they are ever going to need or c) beta test some buggy piece of sh** that probably wont allow them to use their 2 year old printer or switch off their PC without being repremanded for doing something wrong. Most tbh have only just got used to XP as it is.

The argument is of course mute as the Vista rollout will come go and be adopted just like an army being told to invade some sovereign country by some whacked out leader - just to steel some oil.

The only hope we have is Apple planning on releasing OS11 to be run on Dell computers at a fraction of the cost of Vista hint hint Apple.
Posted by andrewpugh (4 comments )
Reply Link Flag
Hmm...
Speaking as a republican and ivy league college graduate, you are a moron.

Thanks,
Bill
Posted by hybris06 (66 comments )
Link Flag
what are you talking about?
5% faster networking? Okay, lets take a look at things. Say you are on a network that has some muscle behind it - a corporate or campus network with 100Mbps to the world. Now, say you are trying to get a file from a place 100ms away. In the default OS X environment you'll be limited to around 5Mb/s because of the 64KB receive buffer. In the same environment a Vista box will be able to get near line speed rates because of the advanced buffer management. Is a 20x increase in throughput 'insignificant' to you? It isn't to me. Sure, you can get the Mac to the same point - but it involves either playing with sysctl or downloading software that changes those settings for you.

OS X is a damn fine OS and I use it on a daily basis. But saying that Vista is useless, buggy, bloated, or whatever is simply disingenuous. All it does is illustrate a level of unthinking contempt and the resulting ignorance that it engenders.
Posted by rapier1 (2722 comments )
Link Flag
Re: Get a grip
>> The only hope we have is Apple planning on releasing OS11
to be run on Dell computers at a fraction of the cost of Vista hint
hint Apple

Unfortunately, Apple doesn't APPEAR to be interested in
releasing their operating system for anything except the Macs.

I think you can kiss that hope goodbye - UNFORTUNATELY.

Charles R. Whealton
Charles Whealton @ pleasedontspam.com
Posted by chuck_whealton (521 comments )
Link Flag
OS11 on a PC? Ha!
I highly doubt it will ever happen.
Why did Apple choose EFI over BIOS? If you read about EFI vs BIOS, there really isn't any MAJOR good reason to move to EFI. Apple chose EFI because it allows them to retain control of where people buy hardware. Want a new graphics card for your Mac Pro? Well, good luck buying one from the local superstore or computer shop, because you'll need a card with "EFI-friendly" firmware. So where are you most likely to buy it?

Furthermore, can you imagine if OSX had to be tested on the HUGE variety of hardware combinations that exist in the PC world? A large part of Apple's rapid turnover in OSes is their limited and tightly controlled hardware base. That's a benefit or a drawback, depending on one's perspective.

Apple also sells an image in addition to a hardware/software product, and that image would be obliterated if OSn ever made it onto "any old PC". They can't release a "PC version" of OSX, because that would mean multiple versions of OSX, and that would destroy the whole "there's only one OSX" thing.

Finally, Apple knows that if their OS was installed on a ton of computers out there, those crazy hackers and virus writers would start to notice that it had become a much bigger target, and that would again ruin the Mac image.
Posted by (12 comments )
Reply Link Flag
seems to me....but,
Bert, seems to me that everything you said is dead on. Yet, I'm done with PCs. I can't wait til I buy my OS 11 or whatever. Gotta put shoes on the kids feet and food on the table, not too mention gas in the car. I realize Mac's are more expensive, but it is the package they sell that attracts me.
I used to mess around fixing up my 67 GTO and my 69 Chevelle. You know, headers, bigger cam and carb, bigger tires. Louder pipes, glass packs! I should have just stuck with one decent car, not something I had to add too. Constantly. There seems that something ALWAYS has to be fixed on PCs.
I did the same to my PCs, faster this, more ram, better sound and video cards more that and ya know, I never stop having to "tinker" with my PC. I'm unhappy with the whole PC thing and I hope Apple/MAC never get as big as Gates and company. (units sold)
I'm going out to buy my MAC package, put the key in , turn it on and tool on down the open webway.
Posted by tommygunz777 (4 comments )
Link Flag
So what?
OS X could be made to run on any old PC if Apple chose to do
so, they were even working on it in the 90s when Steve Jobs was
gone with the Classic OS. Apple is always releasing hardware
revisions with different video cards, hard drives, ect. and OS X
works just fine, so compatibility isn't an issue. Also, even if OS
X were on the millions of PCs that Windows is it still wouldn't be
the security disaster that Windows is. Windows has so many
security holes it's like Microsoft built a submarine with screen
doors, OS X is much tighter on all aspects of security.

I just have one question, what makes Windows so great in your
opinion?
Posted by CharlesP2001 (3 comments )
Link Flag
FUD
EFI is being developed to replace BIOS and everyone (including MS) is moving toward it. Just because Apple decided to go straight there instead of taking the BIOS detour isn't a valid complaint.
Posted by aabcdefghij987654321 (1721 comments )
Link Flag
And the world still turns....
So I think we've just about heard it all in the comments:

"Windows is going to die"

"Move to Linux"

"Use OSX"

"Windows is going to be just fine"

"[your OS of choice] sucks, or is crap"

"Linux on the desktop will never happen"

Tomorrow the sun will rise, the sun will set, and the same arguments will be made. None of this blathering will make any difference in the world until we see something that truly shifts the operating system paradigm. So sit back and eat a friggin cheeseburger, drink a coke, and have a smile.
Posted by sumwatt (69 comments )
Reply Link Flag
 

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