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Dell Indicates Windows 7 Pricing Will Be Higher

ausekilis sends us word that a Dell spokesman said, without giving numbers, that Windows 7 pricing will be higher than Vista's or XP's. "Windows 7 pricing is potentially an obstacle to Windows 7 adoption for some users, though in just about every other aspect the operating system is beating Vista, according to a Dell marketing executive. ... [Darrell] Ward continued, 'In tough economic times, I think it's naive to believe that you can increase your prices on average and then still see a stronger swell than if you held prices flat or even lowered them. I can tell you that the licensing tiers at retail are more expensive than they were for Vista. ... Schools and government agencies may not be able to afford (the additional cost). Some of the smaller businesses may not be able to enjoy the software as soon as they'd like,' Ward said.'"

19 of 485 comments (clear)

  1. Now If We Could Just Get ... by eldavojohn · · Score: 5, Insightful

    Now if we could just get Dell to put a little drop down option in its OS & Productivity Suite selection to have an option for "Ubuntu & Open Office (subtract $200)" on all of their computers. And then to have it actually be $200 cheaper with the exact hardware.

    Then we might be talking about "2009: The Year of the Recession and Linux on the Desktop."

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    My work here is dung.
    1. Re:Now If We Could Just Get ... by frecky · · Score: 5, Insightful

      You will never get the full Windows price back if you want Linux because Windows cost less with all the adware, spyware, trial that comes pre-installed with the computer.

    2. Re:Now If We Could Just Get ... by NineNine · · Score: 4, Insightful

      Then we might be talking about "2009: The Year of the Recession and Linux on the Desktop."

      Based on the last decade of Linux adoption, I think it's pretty clear that most desktop users are willing to pay a hundred bucks or two for Windows. I know that certainly am.

    3. Re:Now If We Could Just Get ... by davester666 · · Score: 4, Insightful

      Really? Most desktop users?

      I would guess that MOST desktop users haven't knowingly made the choice or are even aware that there is choice other than Windows. Some portion of computer buyers are aware of Apple computers and that they come with a different operating system.

      Sure, some of the major manufacturers have occasionally offered a couple of models of computers with some variant of Linux available pre-installed, some even targeted for home and/or business end-users. But nobody (even today) has targeted a widespread ad compaign to even make people aware that there is such a thing as a 'Linux' choice (or Ubuntu or whatever).

      Of all the computers destined for end-user use (either for business or home use), for non-techies (as in, the vast majority of people who use computers to do things, not do things to use computers), how many do you think can a) name an operating system at all (ie, Windows or MacOS), or b) name an OS other those two.

      Simply put, I don't think you can say people have 'chosen' Windows over Linux, simply because they don't even know Linux exists.

      And this is largely because of (IMHO) Microsoft's tactics in the 80's and 90's, that required computer manufacturers to either sell only computers with Microsoft operating systems or computers with non-Microsoft operating systems [or that you sell other operating systems, but the computer the customer got could only have the MS-operating system loaded (and paid for) and the customer had to erase it and install the other OS, etc].

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    4. Re:Now If We Could Just Get ... by Volante3192 · · Score: 3, Insightful

      Clearly you've never dealt with Windows on Dell systems. They have to customize that install and reinstalling results in pain most of the time.

      For one, those Broadcom wired NICs and Intel wireless NICs so popular on the Optiplex and XPS M#### lines? Not plug 'n play. I used to have to keep a USB flash key with those drivers before I slipstreamed an OEM disc with those drivers.

      And support? Well, I don't know about windows persay, but 99% of the hardware calls I make result in "load the diagnostic partition and read me back the error code." Anyway, they could just say 'No operating system support' if they really wanted to.

      Now...what Dell would REALLY lose is the bundling. McAfee or Norton (whichever is their default) and whatever flavor of the month toolbar and Roxio and Sonic would be left in the dust and that would end up bringing up the price of the system.

    5. Re:Now If We Could Just Get ... by hairyfeet · · Score: 4, Insightful

      Oh PLEASE! You want to know why the OEMs ain't selling Linux boxes now? It is because the hardware you pick up to go with your new PC at Walmart, or Best Buy, or Staples don't work in Linux, that's why. Linux is a fricking support nightmare when it comes to home users!

      I'd love to see YOU have to work support desk when someone like Dell rolled out a "home Linux" and had to deal with all the pissed off customers because they can't print with the brand new printer they just got at Walmart. I can just imagine your answer would probably "LOL Luser! LOL Winprinterz!" which is why for the foreseeable future Linux will be staying at 1% or less for home users. For servers Linux rocks. That is because it has serious money being spent by Red Hat and Novell to make sure that hardware works. Home users? It's a total crapshoot whether it will work or not.

      All those that want Linux to succeed needs to face some facts-1.-You ain't NEVER gonna get home users to do 'research" before they go shopping. It ain't gonna hapn, capn. -2.- If it don't work it is YOUR FAULT. Don't blame the manufacturer, or the M$FT monopoly, or lack of open specs. Excuses are worthless. If it doesn't work your "free as in beer and freedom" is "free as in worthless" to the customer.

      If you want the Dells and Acers and the mom & pop shops all pushing Linux and supporting it, then you have got to step up to the plate. Make DAMNED SURE that everything in Walmart, Staples, Office Depo, and Best Buy "just works" PERIOD. Because the customers don't care about "free as in beer or freedom" they just want that new all in one they picked up at Walmart to work. In Windows they get a shiny disc with a pretty animation of a friendly helper who hold their hand and walks them through everything. In Linux if you are LUCKY you get told "open up bash and type" some big ass line of arcane commands. That is if you are lucky, which is frankly unacceptable in and of itself. But more likely with consumer gear they are gonna get told "Sorry but that ain't NEVER gonna work" or worse some asshat going "LOL Winprinters!". Which translates to "Please take this machine back where you got it and demand Windows, where it will work.".

      Of this I know, because I have tried 4 times in the last 4 years to sell Linux boxes. Frankly it is 1000 times cheaper to buy a copy of XP Home and figure it into the sale price than it was to deal with the support nightmare that is consumer gear under Linux. Hell it was easier to slap Win98 and sell them than it was to deal with a brand new Ubuntu. At least Win98 supports the damned printers at Walmart.

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    6. Re:Now If We Could Just Get ... by techno-vampire · · Score: 3, Insightful
      Linux is notoriously finicky when it comes to hardware,

      Really? That's not been my experience. Nor, might I add, has it been the experience of most of the people who've experimented with Linux by booting from Live CDs. They Just Work, well over 90% of the time. They may not have the fancy drivers needed to get the optimal performance out of some of the video cards, but they work well enough to get you going until (and unless) you decide to install it.

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    7. Re:Now If We Could Just Get ... by hairyfeet · · Score: 3, Insightful

      But it IS COMPLETELY valid, and you both just broke rule #1 and didn't even catch it. Here let me repeat it for you.....1.-You ain't NEVER gonna get home users to do 'research" before they go shopping. It ain't gonna hapn, capn.

      You see, you and the poster you are replying to are perfect example of breaking rule #1, which is why I have such a hard time getting Linux guys to look at the problems. Look at you own post, quote "I did the upgrade after using 8.04 and working (somewhat) fine, to find it very fast and everything, but now I can't save my sessions (so the panel icons keep moving around and won't stay where I want them) and sound from Flash won't work (so no YouTube, etc). I go to forums and stuff but still, no one has been able to help me with it. And sound is one of the recurring issues I've had with all distros tested."

      Now let us be totally honest here: is there ANYBODY here that thinks billy joe bob and velma home users are going to do THAT damned much work and research just to be "free" of MSFT? Nope, not a chance in hell. They will do absolutely diddly squat except walk into Walmart and buy the first all in one that catches their eye. They will bring in home and when the new Dell "home Linux" doesn't fricking work they are gonna be calling having a damned fit because their "last" Dell worked and this "crummy" one don't. And Dell will have them pack it up and will ship out a Windows one. Score-Windows1 Linux Bumpkiss.

      Now I know how hard it is not to think like a geek. Hell I'm one myself. I think there is no more enjoyable way to spend a rainy afternoon that building a nice dual core PC. I like to learn new tricks, like to tweak my OS and programs, like picking up new hardware to make my PC do new things(BTW if anybody knows where to get an XP X64 driver for an Easy TV FM capture card let me know). But that is NOT how Joe Bob and Velma are. To them the PC is an appliance, like a TV or a toaster. When you need something for it you grab the first or cheapest thing at Walmart and if it don't work you say something is wrong with the PC and take it in to be fixed. And if you just bought it and they tell you your brand new printer won't work on your brand new PC? Then you ask for your money back because it is defective. Then you go out and get a Windows one because it works.

      Now I'm not some MSFT fanboy, as much as many here would doubt me. I miss the days of OS2 and Amiga and Apple System when each machine had its niche and fans. I want Linux to succeed so that I can place low cost Linux machines right next to the Windows boxes. I truly believe if it wasn't the support nightmare from hell that the better security of Linux would be great for those that simply surf and download. But to paraphrase another poster, I just want to sell the box, not be the customers "geek squad" for the life of that machine. I don't want to have to trawl forums every single fricking time that Judy needs a fricking printer. With Windows I set up the AV and antispy and then once it leaves the store I'm done. With Linux the second it leaves the store the hurt is only beginning.

      Until you can promise guys like me that Joe Bob and Velma can go shopping in Walmart WITHOUT research or having to spend hours on forums looking up "distro x" and the name of the hardware just to get something that works then it simply isn't ready for the vast majority of home users. And don't bitch when nobody sells preinstalled Linux when they are gonna be looking at 4 times higher return rates than with Windows. I bet if you talked to the support guys authorizing those returns a good 80%+ are because some piece of hardware they picked up in (insert Walmart, Best Buy, Staples, Office Depo) doesn't work. So while I'm glad Linux works for you until they hardware that home users pick up in Walmart is supported it simply isn't ready for middle America and it isn't ready to be sold at my shop. Sorry, just the way the support cookie crumbles.

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  2. It is called signaling by davebarnes · · Score: 5, Insightful

    Dell is obviously unhappy with the price and they are signalling (Cards. a play that reveals to one's partner a wish that he or she continue or discontinue the suit led.) to Microsoft their discontent.

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    Dave Barnes 9 breweries within walking distance of my house
  3. something doesn't add up here... by ecalkin · · Score: 5, Insightful

    microsoft is a company sitting on 25 billion dollars. they apparently sold $3-4 billion in bonds? they are *raising* prices during some of the worst economic times that a lot of people of have seen.

        it's like they have a pressing need for more than $30 billion?

        for a company that needs to sell operating systems to maintain their future, it doesn't make sense.

    e

  4. No, probably not by Sycraft-fu · · Score: 5, Insightful

    See that won't happen for two reasons. One is that MS gives you better licensing when you bundle Windows with all systems from a line. However the major reason is that Dell doesn't want to put up with the shit it would generate. It would be a tech support nightmare if they did that on main stream, consumer systems. You'd get a great many people doing it because it saves money. However they'd give no thought to if their apps would work or if they were willing to spend the time learning a new OS and so on. They'd get flooded with calls about it and have all sorts of angry people.

    That's why when companies do offer things like Linux or no OS options, they do so on business type machines. When they are selling to an organization with their own support, they hope you can figure out what will and will not work for you. For home users? Ya not so much. They'd buy it, try to install a game, then complain because it didn't work.

    Also, based on the prices Dell pays, it'd be $100 or less per computer.

  5. Re:Cash Cow by DreamsAreOkToo · · Score: 3, Insightful

    Unfortunately, Microsoft doesn't hold a true monopoly. You see, Microsoft competes with itself.

    Windows 7 has to compete with Vista and XP and even 2000. That's tough competition. When I need to run PC apps, XP does everything I need with the least overhead.

  6. I don't know that they are really raising prices by Sycraft-fu · · Score: 4, Insightful

    Note that Dell doesn't actually come out and say that. They aren't saying "MS is charging us $20 more per copy." They are hinting at it, but hedging their terms. What it smells like to me is Dell wants a better rate than they've been getting in the past, and this is one of the tactics they are using to get it.

    Companies posture over pricing all the time, and sometimes publicly. If Dell can get people mad at MS for their high prices, even if the prices are no higher than they normally are, then maybe they get more leverage.

    So while I have no inside knowledge of the situation, that's my bet. MS is keeping 7 prices the same, and Dell thinks they should be cut.

  7. Perceived Value by Phroggy · · Score: 4, Insightful

    Sometimes if you make it more expensive, people will buy it for that reason alone. They see the higher price, and think that there must be a good reason for it to be a little bit more expensive than the alternatives.

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  8. Re:Windows 7 still better than OS X 10.2 by jedidiah · · Score: 5, Insightful

    Being forced to run 10.2 is much like being stuck with any machine old enough to have come with 10.2 pre-installed.

    You got it free because it is OLD, not because it's inherently bad.

    This guy probably has a current Mac these days.

    --
    A Pirate and a Puritan look the same on a balance sheet.
  9. Re:Cash Cow by Chabo · · Score: 3, Insightful

    When I need to run PC apps, XP does everything I need with the least overhead.

    As long as you don't need more than 4GB of addressing space...

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  10. Small business by Groggnrath · · Score: 5, Insightful

    Some of the smaller businesses may not be able to enjoy the software as soon as they'd like

    Translation: They'll buy it anyway, because MS could shit in a box and small Businesses with little to no technical support or knowledge would still feel forced to buy it because they don't know they don't have to.

  11. Re:Cash Cow by ozmanjusri · · Score: 3, Insightful
    Windows 7 has to compete with Vista and XP and even 2000. That's tough competition.

    It's only tough competition because Microsoft hasn't brought anything new to the table with their OSs in the past decade.

    The trap Microsoft got themselves into was behaving if they were approaching the classic monopoly endgame. Capitalism requires constant improvement, otherwise customers will buy competitors' products, but once you own the market, there's no point continuing to improve your product. For software, improving your product is almost the ONLY significant cost, so when you want to maximise profit, you stop development.

    Microsoft did that. They took their foot off the pedal and relaxed. Now that freeze on innovation is coming back to bite them.

    --
    "I've got more toys than Teruhisa Kitahara."
  12. it will just help the price by Lershac · · Score: 3, Insightful

    This is just Dells message to Microsoft telling them they will not eat a higher wholesale cost. They are swinging the bat they have to make MS lower the licensing costs.

    Good for them.

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    Chuck