Microsoft Says No Profit In Vista-XP Downgrades
CWmike writes "Microsoft has denied that it makes money when users 'downgrade' Windows Vista to XP, as a lawsuit filed last week alleges. The lawsuit, submitted last week, stems from the $59.25 fee that a California woman was charged in mid-2008 when she bought a Lenovo laptop and downgraded from Vista to XP. In fact, it's computer makers, not Microsoft per se, that charge users the additional fees for downgrading a new PC from Vista to XP at the factory. For example, Dell Inc. adds an extra $20 to the price to downgrade a PC. However, Microsoft may profit from the way it structures downgrade rights."
It doesn't matter if your machine comes with vista or xp because you're probably going to pony-up the dough for MS Office, and there's the profit. As long as Microsoft keeps you on a Windows platform, be it vista or xp, they've got that Office gravy coming in.
Run and catch, run and catch, the lamb is caught in the blackberry patch.
For something that was readily available not less than a year ago (do you really think that all those unsold XP CDs just vanished into thin air), it makes absolutely no sense to me that people should be charged EXTRA to use something that to many people and organizations is still considered a valued piece of software.
Then again, this is Microsoft we're talking about. It's not supposed to make any sense. Carry on.
Maybe their whole production process is customized with a Vista image. Imagine that you now have an employee that needs to yank out the vista hard drive, throw in an xp hard drive, and then have another employee make sure that it is an XP system before it ships out. Not to mention the cost of changing the OS sticker on the laptop...
Even if Microsoft was making money off a so-called downgrade, why is that grounds for a lawsuit? Are companies only allowed to profit from certain product lines now?
While it is possible that PC makers are capitalizing on what people don't want, I find it is more likely that Microsoft has a lot to do with encouragement to include/install Vista and/or discouragement to install/include Windows XP.
I suspect all that needs to be revealed is the ways in which Microsoft influences this activity.
Look, Microsoft, I've tried my best. I've been on Slashdot for going on a decade now and I *still* use Windows. I use all the classic excuses, y'know? I like my games. I like it when things just work. I hate the command line. Hell, I even spent an hour last night fiddling with Ubuntu just so a couple of my *NIXy friends would stop giving me the stinkeye, and even though it took me nine reboots to get the goddamned CD out of the drive I *STILL* went back to XP, just to hear that familiar bootup chime. But y'know what? This kind of shit is getting harder and harder to defend. Seriously. Pick your battles, you jackoffs. Those of us who keep drinking the Kool-Aid are starting to eyeball Mother McGee's Homemade Colon Tonic, if you get my meaning.
Microsoft is in fact a company (And a big one). It's a company that provides products and services for money. People seem to think that's somehow a crime, forgetting that their own revenue come from selling services. So if you are not happy with what you bought and ask something extra, you should be charged. If Microsoft doesn't charge you for it, talk to me and I'll receive something for their work (now that doesn't make any sense, right?)
Can they also prove black is white and avoid being killed by a zebra?
---- Booth was a patriot ----
But if you read TFA, it states that MS is not charging consumers for the downgrade, the OEMs are. Therefore they are not being paid to "not deliver the good" As always, don't let inconvenient facts get in the way of a good anti-MS rant.
some farmers are paid to NOT grow corn or wheat so the supply is not too high, helps to keep the price of corn and/or wheat higher...
Politics is Treachery, Religion is Brainwashing
Redmond, WA - Microsoft today denied reports of having profitted from the release and sale of its operating system Windows Vista, saying "It has not performed as well as we'd hoped." In a press conference on Monday, Steve Ballmer, the company's charismatic leader, said "While we'd like to blame the recession on flagging sales of Vista, we realize that it's more likely that Vista is to blame for the recession." A Microsoft employee who declined to give his name, added "Yeah, we put Vista on new guy's machines as a sort of hazing ritual around here. When they eventually beg for XP, we pretend to fire them, it's hilarious!"
Ballmer would make a TERRIBLE heroin dealer.
Does anyone believe what MS says anyway?
Seems to me they lie pretty obviously to support lagging sales drives.
"98 is no good, use Millenium, it's better!"
"Millenium? Pfft, use Win2k!"
"Win2k is inherently flawed, XP is better!"
"XP is not good enough, use vista!"
"Vista isn't good enough, use Win7!"
And they make "improvements" every time, but the same subset of design flaws remain? What's wrong with this picture?
Why is the 64 bit heroin so much more expensive than the 32 bit black tar? Don't I get the first hit for free?
Many people are paid to not grow corn.
I was just making a general comment. People are paying money to avoid using Microsoft's products. Regardless of who they are paying, my point stands.
If you're not happy with Vista (and I can certainly understand that) and you feel you're being winked-and-nudged by the hoops you have to jump through to get XP, maybe you shouldn't still be giving MS the cash.
What if everyone that wanted XP didn't buy Vista to downgrade and instead wrote to MS that they wanted XP without hoops?
Sure, the first few hundred will be laughed at by customer support. The next thousand maybe not so much. And after a hunderd thousand customers called (and sales not made) you can bet XP is all over the shelves again.
Sometimes life can be so easy, but we choose to make it difficult.
The check's in the mail, I'll respect you in the morning and we don't make any money on giving you permission to install a copy of an OS we built 8 years ago and really all we're giving you is a number to use that's tied to that particular hardware and you better pray to God (or whatever flying spagetti monster you pray to) that the hardware doesn't take a shit because then you'll lose your OEM licensing rights because it was tied to the old hardware and there's not a damn thing you can do. /deep breath
Did I mention....don't get me started?
WTF? Over?
Microsoft Says No(t As Much) Profit In Vista-XP Downgrades (As We'd Like)
I think the primary concern people have is that Microsoft is encouraging OEMs to bundle their software in such a way as to force users who want to buy an XP PC from those OEMs to buy Microsoft software twice. Bundling is often something companies do to make a profit by screwing customers, and Microsoft has used bundling in the past to screw customers, and has been slapped for it.
That said, this seems to me like people whining, when they could more easily just shop around for an OEM that doesn't do what they dislike. OEMs are not like cable companies. There are 1000's of OEMs, and chances are slim that you won't find one you dislike with just a little searching.
In my experiance when you look at a machine that is availible with various editions of vista and with downgrades to XP the price of a downgrade is usually quite close to the price with the edition of vista it is being downgraded from
The catch is that you can't downgrade home editions of vista. So if you want XP you have to buy vista buisness (or ultimate but that is even more expensive) even if you would have been happy with XP home.
note: i'm known as plugwash most places but i screwd up registering that here somehow in the past and now can't register
Then why dont they start shipping XP? May be there is something else to it, than directly making a profit. May be, they can charge the OEMs more for Vista, since the OEMs can inturn charge the customer extra for downgrades. Guess how much vista would have been worth, if no body could downgrade to XP from vista and XP was available in retail.
Frankly, I dont expect MSFT to do anything that does not directly correlate to immediate profits.
Damn, if people are paying to downgrade it tells a lot about the quality of the product, don't mean to take this discussion back to which OS is better but still it speaks a lot about Vista's under performance.
This is a little OT, but Cringley has a blog post/podcast entitled "Bob the Impaler" where he discusses Microsoft's profitability, and how they've developed a structure of hiding profit to fly low on the radar of the Federal Trade Commission. I have a feeling that these unprofitable up/down grades are somewhere in that fat...
Cringely's home page it's about 2/3 down the page.
-Runz
Bad example. As "a car" you can choose another car to buy. Also $50 added to the price of the car is no big deal. Espectially as most car buyers bring the price down from the sticker.
I don't know.. Square Wheels I don't want square wheels I may buy it if you take $1,000 of the price and Ill gladly pay $50 for the Round wheel upgrade.
If something is so important that you feel the need to post it on the internet... It probably isn't that important.
...grade. An XP "downgrade" can only be purchased with a Business or Ultimate version of Vista. So if a customer is looking at a configure-to-order laptop such as with Dell or Lenovo, then in many cases customers have to upgrade their OS from Home Basic or Home Premium in order to get the XP downgrade option.
Is this charging more for XP...in many people's minds, yes. But legally (Full disclosure: IANAL), they are paying for the Vista upgrade, not for the XP downgrade.
For every user that buys a Vista license and then downgrades, MS gets to claim that as a Vista sale. The higher sales numbers serve as marketing copy. It's artificially inflating their sales.
"Immune to viruses"? Bollocks. If you were talking about OpenBSD you might have something (although even there I'd question you), but to claim that for OSX is just idiocy.
I am trolling
Not quite correct. FTA:"...when Dell was accused of gouging customers by charging $150 to downgrade a new computer to XP. Dell countered that although it did charge $20 to install XP on the machine, as well as to cover the cost of the additional media, the bulk -- $120 of the $150 -- was the price of upgrading the PC from the standard Home Premium to the more expensive Business edition . . . Well, if you want XP you're SOL, that'll be $120 to 'upgrade' the Vista you want to 'downgrade'.
The cheapest OEM version of XP only cost 109.99 for us mere mortals (you know Dell gets it cheaper)and the difference between that and Home Vista Premium is only 16 bucks. So I don't think Dell is really telling the truth here.
Lenovo charges for the downgrade as well. But they justify it by letting you 'upgrade' back to Vista after you've downgraded, if you should choose to upgrade at a later time. Them giving you that 'option' will cost you $70 a pop.
Like the GP said, there is something wrong about an industry where one is paid to not deliver goods.
Who cares if they're making a profit. There is a serious lack of options out there for new consumer level systems. I can't walk into Best Buy without being assaulted with Vista desktops. Sure, there are a FEW Linux netbooks but whats wrong with just selling hardware? I'd love a clean system upon purchase.
Bored at work? Play Game!
The only thing I could think of is that she tried the upgrade after the sale, which would have an added media cost.
According to Lenovo's Self Maintainer program, The R61 XP Pro Recovery CD's (P/N 44Y2596) Retails for $36 even. Labor claim is anywhere between $20 and $70 depending on what you have to replace (Systemboards are $70 for example) and are set by Lenovo at entitlement. If it's a warranty claim, Lenovo reimburses you the labor. The only way Lenovo would reimburse a OS Reinstall is if the Hard drive went bad, which would then cover the recovery media as well as the hard drive and labor associated with the repair.
My guess is that Lenovo charged her for the Media CD's, and added labor and tax to the mix.
If they charged her extra before or during the sale, that makes no sense, unless she was buying a consumer Lenovo (which they don't offer XP on), or was trying to upgrade a thinkpad to XP from Vista Home Basic, which has an extra cost. (XP and Vista business is around the same price, but Home basic is cheaper than either XP or vista. They also do not offer XP home on thinkpads, only XP professional.)
In Soviet Russia, Trojan exploits YOU!
There's no fucking profit in forcing me to use an upgrade that requires me to purchase more hardware. If I have to buy 2-3 more gigs of ram and I have to have a higher capacity HDD and I have to buy a flash device for readyboost, and I have to buy a better video card, well, that means that my costs are greater than the lack of profit Microsoft experiences.
This is a total crock of shit. Who cares if they make a profit. It's about me. It's not about me doing something for them. They shouldn't have produced such a piece of shit as Windows 7 if they didn't expect to have users desire the stalwart OS that they prefer.
Vista and Windows 7 are the same thing except some security features and a new taskbar. It still isn't worth upgrading.
You can lead a man with reason but you can't make him think.
...except it is Microsoft that's forcing OEMs to charge for the downgrade.
As the "owner" of the product, Microsoft still has all the control.
Microsoft still gets to engage in price discrimination that they can
use as a blunt instrument to keep their bigger resellers in line.
A Pirate and a Puritan look the same on a balance sheet.
Upgrades usually involve a fee...so this kinda makes sense if you're cynical enough.
Question everything
Really, I don't hear many complaints anymore and I see more and more people with computers with a black task bar and transparant title bars. I assumed that after the service pack it would be allright and that system requirements had reached the required level.
Dennis Onstenk
Microsoft mandates that you must upgrade to Vista Business to downgrade.
So unless Microsoft is selling the Basic and Business versions for the same price, they ARE profiting from the downgrade.
Parent is misleading. OSX is not immune, does not (in most cases) require a hardware change, need to pay for itself since it is cheaper than vista, have anything to do with id theft and mean you can't control your botnet (client vs. server plx).
Always back up, never back down. ---- Think you're cool 'cos your uid is prime? Take mine, modulo the one digit integers
An XP "downgrade" can only be purchased with a Business or Ultimate version of Vista. So if a customer is looking at a configure-to-order laptop such as with Dell or Lenovo, then in many cases customers have to upgrade their OS from Home Basic or Home Premium in order to get the XP downgrade option.
Is this charging more for XP...in many people's minds, yes. But legally (Full disclosure: IANAL), they are paying for the Vista upgrade, not for the XP downgrade.
If I present you two hardware-wise identical laptops, both downgraded (or upgraded, being that Vista is a POS) to WindowsXP, but one was running Vista Home and the other Vista Business, would you be able to tell the difference? Would there be any difference at all, between the two laptops? Of course not.
It's very easy to argue that Microsoft is in fact milking the customers for all they're worth, by actually charging them for the downgrade to XP.
"The agriculture ministry is not in charge of Gundam" - Japanese ministry official.
...load. No one wants to get anything lower than Business or Ultimate.
Profit? That's funny. There should be a massive loss here on account of the horrible flop of Vista. Taxing XP loyalty (I use loyalty loosely) makes the loss less horrible. If Microsoft wasn't a giant, it would get thrown out of the market for making customers pay for its mistake. As it stands though, we have no choice.
> Dell Inc. adds an extra $20 to the price to downgrade a PC from Vista to Windows XP
So, how much does it cost to downgrade to Windows ME?
Even if Microsoft doesn't make physical cash from this you can bet they insisted on a contract which says: "If you don't charge $60 extra for XP we send the guy with the chairs.".
No sig today...
1999 called, and they want their rant back!
Seriously, can we stop with the Microsoft-is-Eeevil and I-had-to-pay-microsoft-tax crap? Or is it a religious mindset that won't let you see the truth? It's impossible to convince a flatearther that the world is not flat, a troofer that 9/11 wasn't an inside job, and a Microsoft-basher that the world isn't secretly being run from Redmond.
We all have choices. If you choose to use Microsoft products, then the only one you can blame is yourself. I built a new computer over the weekend. It does not have any Microsoft product installed. Not Windows, not Office, nothing. There was no Microsoft tax. The computer was CHEAPER than the equivalent Dell.
Don't like that choice? Then buy an Apple. I know it's fashionable to pretend that Macs aren't really computers, but it's not much different from pretending that the world is flat. They're not much more expensive, much more stylish, and slightly more reliable. Don't like that choice either? Buy a computer with Linux, or without any OS. You won't find them at your local BigBox store, but you can find them online. So stop whining and start exercising your choice. If you don't it will just atrophy.
Don't blame me, I didn't vote for either of them!
No one's forcing you to buy Windows. No really. If you don't like Dell's business model of One-Size-Fits-All "customization", then go elsewhere. Or build your own. Or buy a Mac. Or buy a Linux system online. But for the love of God stop whining about how unfair the world is. Everyone who managed to pass kindergarten already knows that, so STFU!
Don't blame me, I didn't vote for either of them!
If a vendor has entered into an agreement with MS that states that all PCs must ship with Vista, then that was their fault.
Microsoft declines to ship new Windows XP Home Edition licenses to vendors, except on netbooks. Is it the vendors' fault for not shifting production entirely to netbooks?
Maybe in the world of exotics and classics. I can't think of any instances where common cars for the masses like Camrys and Explorers have appreciated in value.
And SEC must regulate market capitalization of all NASDAQ listed companies to no more than TWICE their quarterly revenue. This will
Please vote your opinion.
I'd like to buy homeland for our 10 million people. http://twitter.com/mahadiga
Please do not buy software from Microsoft.
Because you do not OWN the software you brought from Microsoft. You don't OWN any product unless you can MODIFY it.
I'd like to buy homeland for our 10 million people. http://twitter.com/mahadiga
All you need is the drivers to downgrade. Don't use IBM or Dell's method, boot from the cd and install windows XP and install the drivers from the web site. People should pay for being ignorant.
I never said once, anywhere in my post, that it was unfair. Just stupid and wrong.
So clearly it is not I who needs to "STFU". I think you need to LTR. (Lern 2 reed)
Disclaimer: I am an advocate of Linux and haven't used Windows (other than an occasional VM or a customer's machine) for a few years.
Support costs for another OS are far from insignificant. If a large organization sells machines with an OS they have to be able to support it if they want to compete, and training or hiring techs for a completely different OS just isn't cheap.
The inroad that I think Linux may have with big OEMs is that eventually the training costs will offset the savings in license costs. If it hasn't yet, or if it wasn't perceived to have done so by management, it would make sense for them to drop it.
Personally I think companies that are looking more long term will be the first to realize it's worth it and really commit.
My laptop didn't offer a downgrade to XP at all, but I wanted this particular one specifically because of the feature set and graphics chip model which was hard to find other sources for, for peculiar but important to me reasons. I had to pay full retail to buy XP for this thing, which was a lot, but worth it since some of my software still doesn't run on Vista today. (which includes the VPN software supported/provided by my employer, they do not currently support Vista)
If you paid for Vista w/ downgrade but did not receive BOTH sets of CD's, then you got screwed, and you should take it up with Lenovo.
We buy our laptops from HP (Compaq's, not the consumer crap), and when we do that we get the following media with the laptops:
Vista Business x86
Vista Business x64
Vista 32-bit and 64-bit drivers
XP Pro
XP pro drivers
With regard to your partition-only problem, use one of the million of free drive imaging systems to pull it off, and pull that into your VM. It means you'll never be able to install fresh, but there's no reason you cant use your XP install in a VM.