Pender's Blog

Blog archive

Windows 7 To Jack Up Netbook Prices?

Apparently, Microsoft is considering charging netbook makers way more for Windows 7 than it charges now for XP, which could eat into netbook manufacturers' profit margins. After all, as the linked article notes, low price is a major benefit of buying a netbook, so OEMs can't just tack an extra $50 onto the price of something that only costs maybe $300 to begin with.

Well, they could, but then they'd have to work hard to differentiate between the netbook and the low-end standard laptop -- something Microsoft surely knows, as the company seems to have little love for netbooks and lots of love for higher-end laptops that offer bigger profit margins on Windows. Microsoft might want to watch out here, though. It's not just old foe Linux (or expensive foe Apple) that's competing for netbook operating-system market share. Intel and Google are also jumping into the mix, and while they obviously don't have the gravitas of Windows behind them, they usually don't do things halfway.

Not only is Windows 7 not a sure-thing seller on netbooks, we're willing to say that Windows itself won't be, either, if Microsoft makes the OS too expensive for OEMs and messes with the basic pricing structure of netbooks. Netbooks are like laptops, but they're not laptops -- they're a different category of device, and Windows doesn't necessarily conquer every new device that comes out. Need an example of that? Think Windows Mobile.

Have you considered selling netbooks to your customers or using them in your business? We love this topic at [email protected].  

Posted by Lee Pender on June 17, 2009


Featured

  • Image of a futuristic maze

    The 2024 Microsoft Product Roadmap

    Everything Microsoft partners and IT pros need to know about major Microsoft product milestones this year.

  • SharePoint Embedded Becomes Generally Available

    After a six-month preview, SharePoint Embedded, an API-based version of SharePoint that developers and ISVs can use to embed Microsoft 365 capabilities into their apps, is now generally available.

  • Copilot in Microsoft 365 Getting Agents, Extensions and Team (Not Teams) Support

    Microsoft is adding more functionality to its Copilot AI assistant aimed at improving business collaboration, processes and workflows for Microsoft 365 users.

  • Microsoft Giving Startups Templates To Build AI Apps

    A new perk for businesses enrolled in the Microsoft for Startups Founders Hub program aims to fast-track their ability to build AI-powered applications.