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Windows XP to Target Low-Cost PC Market
By
ChannelTimes Staff
Mumbai, Apr 5, 2008
The recently launched ASUS EEPC was well-received by the public. A MRP US $500 laptop (for the 4GB model) catering to most of the basic professional and personal needs, is sure to garner attention. Hard on the heels of the EEPC, Intel launched its Atom microprocessors for ultra-mobile PCs and other low-power devices.
With innovations targeting lower cost PCs coming thick and fast, the low-cost computer market is set to grow. In this changing market conditions, the age-old rivalry between the two major operating systems - Windows and Linux has resumed with renewed vigor.
Microsoft is never one to let an opportunity pass by. So it s not surprising the company decided to extend the deadline for Windows XP Home Edition. In September, it had planned to stop selling most Windows XP licenses by June 30, 2008. However, Microsoft will now be extending this deadline. "We are extending direct OEM sales of Windows XP Home for Ultra Low Cost Personal Computers (ULCPCs) so that they can preinstall Windows on these devices through the later of June 30, 2010 or one year after the general availability of the next version of the Windows operating system," said the company.
In this scenario it seems XP Home Edition will be available till 2011 at least (since the latest version of Windows OS has been reported to be released in 2010).
The reasons for this sudden change of heart are actually very simple. Though Microsoft will maintain it was customer demands that caused them to extend the deadline, the simple reason is - they didn't want to lose out on the ULCPC market. Linux already has a strong presence in this new, high-potential space. Most OEM in the ULPC space prefer to bundle Linux along with the machine, as it reduces costs drastically. After all, the main aim is to reduce costs wherever possible and create the lowest-priced computer in the market.
Windows Vista is the latest Windows OS. However, using Vista is not a feasible option on low-cost laptops and desktops. The reasons for this are cost and system requirements. The advanced system requirements of Vista are well above what a typical, low-cost machine would be able to support with a 512 MB RAM. Installing Vista itself could push the manufacturing cost, and hence the price of the product (retail price for full package product of Windows Vista Basic Home Edition is US $199.00.) Microsoft's original plan was to phase out most of the XP OS, in order to push the adoption of Vista. However, it seems that this is no longer necessary, with Windows XP to target the ULCPC market.
It is an interesting step by Microsoft. Just when it was being thought that Microsoft had all but lost the low-cost computer market to Linux, they have come out with a plan that could well work out. After all, Windows is the most widely used operating system globally, with many people comfortable working on it.
Intel has already announced it will be launching both Linux and Windows versions of their new low-cost laptops and Mobile Internet devices (MIDs), based on its Atom processors. Others may soon follow suite.
Meanwhile, Microsoft has stated it has no plan to extend sales of other editions of Windows XP beyond June 30, 2008. It also claims that there will be no effect on technical support plans, with mainstream technical support to be available until April 2009 and extended support until April 2014.
How successful Windows XP will be for low-cost computers remains to be seen. Linux is no push over, especially in this space, and Microsoft will be banking on the host of Windows familiars around the world to stick with it in this new world of low-cost computers.
Related links
Retail Version of Microsoft Vista is Cheaper Now
Microsoft Launches Business Club for Partners
Microsoft Announces Easy Payment Option for SMBs
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