Windows Vista (or) Microsoft Economics

By Dave Nix

Windows, a love/hate relationship:

A large population of Windows users have had a love/hate relationship with the Microsoft software.  Many people consider the software clumsy and full of security holes.  For you Mac users who think that you have the ultimate OS, think again, the fact is the Mac OS is just not prominent enough for most malicious software writers to target it.

Perceived  reasons for Microsoft updates:

I will admit, I cringe every time that Microsoft comes out with a new operating system.  I have been working on computers before DOS was even started (not to give away my age) and have cringed every time that the OS has gone through a major change. 

The fear is not so much for the new OS, but more on what it will take to run the new OS.  Do I need to upgrade my current PC or do I need to purchase yet another newer PC.  That same concern comes into play now that I am a business owner who services customers in the same situation. 

Each time a new OS version hits the market I find that my current PC is either way to old to handle it or that I can add the hardware updates and create a temporary patch to make it work with the new OS.

Marketing Master:

What I have come to understand, though, is that Microsoft is the very best in the world at marketing.  Now don't misinterpret what I am getting at here, I don't think that this is bad at all.  In fact, it has probably done more towards the advancement of the computer and software than it has negatively affected either.  It all comes down to economics...really! 

Have you ever heard the phrase "show me the money"?  Well, even if you don't agree that this is the way things should work, it is where the advancements are coming from. 

I must plug in another line for you Mac users here - I used to work on Macs and still do software support to a minor degree.  I think that the hardware is great and the software so user friendly that Microsoft loves to steal Mac's ideas and incorporate it into Windows.  Microsoft is constantly getting sued from this practice and ends up paying tons in fines, but...economics...it's called "the cost of doing business". 

And now for a word for all you people thinking about becoming a new "Mac head", get real! the world runs on Microsoft Windows.  Unless you are living in the graphics or arts world, you will find yourself a fast-processing-safer-from-hackers outcast in the PC world.

Microsoft Economics:

Let's look at how Microsoft Economics work.  If you thought that Microsoft develops its new Windows operating systems for you to purchase at your local computer store and upgrade your current computer, you are not quite getting the economics behind the new, or any of their OS releases. 

From the first days of DOS, Microsoft has developed their operating system to be sold as part of a new computer system.  The marketing, and therefore the OS takes into consideration what the highest percentage of new computer sales are being used for. 

At first, the highest new sales and usage were in the business market, mostly mid to corporate size businesses, hence you saw the rapid development and marketing of Microsoft Office software.  Yes, I said Office. 

You see, Apple had developed a window interface and Microsoft needed that interface in order for a broad range of company computer "users" to easily use the new Office software.  Now with their new Office software, Microsoft economics marketed this software as a separate software package from it's OS and was very successful in this endeavor. 

From DOS through Vista, Microsoft Windows operating systems are designed to be marketed as part of a new computer purchase.  At first, the new PC should run the OS with some semblance of speed with a medium cost computer.  However, after the first major update, the speed will usually drop dramatically.  These updates are generally called SP# or Service Pack (#). 

Microsoft has created a vicious cycle of pushing new hardware technology to increase speed, then using that speed resource up in upgrades and new operating systems.  As far as marketing goes, it's pure genius, it pushes sales of both new PCs and new operating systems.

A note here in fairness to Microsoft:  many other software companies take liberties with any new speed from technology upgrades.  One that comes to mind the fastest would be Symantec internet security software (you probably know it under the name Norton), although they don't stand alone in this practice.

Consumer Economics:

This creates quite a dilemma for those who own a fairly new PC (say up to 2 years old) and is disastrous for those with even older ones.  For those of you who own a "fairly new" PC, you are in a position where you need to make a decision to upgrade your current PC to run the new OS or just go for a new PC altogether. 

For those of you with an older PC, you are pretty much forced into the market for a new machine.  If you think that  Microsoft changes operating systems purely for profit, stop and think for a moment and compare the cost of computing over history. 

In the 1980's and early 90's you would purchase a decent PC set up (PC, Monitor, mouse and keyboard) for $4,000 to $6,000.  Today you can get the entire system with the new technology plus a printer for around $1,400. 

In both cases the technology would take you out around 3 productive years plus another year with upgrades.  So cost has dropped drastically while technology has jumped exponentially.  I would say in this case that there is a win-win scenario between Microsoft and the consumer.