Linked by Thom Holwerda on Wed 16th Sep 2009 18:01 UTC
Windows Microsoft has been very protective over its OEM pricing, and while various figures float around the web, the company has never really confirmed or denied any of them. At the Jefferies Annual Technology Conference, however, Charles Songhurst, general manager of Corporate Strategy, revealed some of the pricing details for OEMs.
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Strange pricing structure?
by kenji on Wed 16th Sep 2009 18:57 UTC
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I have never seen the price of OEM software fluctuate with the price of hardware before. Is this common?

I thought OEM software pricing was based on volume, not actual retail price. Although it must be elegant for MS to just say to OEM builders, 'give me 5% of your PC hardware revenue'.

Reply Score: 1

Thom_Holwerda Member since:

I actually find it a very elegant structure, if it really were as simple as that. I also find it perfectly valid: let's face it, these large OEMs would not push as many machine if they could NOT ship Windows.

Windows is true value for these OEMs provided by Microsoft (from a business point of view), so seeing this as a sort of 5% "tax" doesn't seem too weird to me.

Reply Parent Score: 2

rockwell Member since:

Not to mention Windows (and/or OS X) is a true value for the person who wants a computer that works without having to recompile their kernel to enable an Nvidia driver, or dick around with software updates that break working configurations (wireless on ubuntu).

Which pretty much covers 98.99% of the computing public.

Reply Parent Score: 1