Windows XP prices set as code goes gold

But leading analyst says don't all rush at once.

Ian Lynch, vnunet.com 23 Aug 2001

Microsoft has confirmed Windows XP pricing which was leaked onto the web overnight, as it sent gold disks to PC makers today.

But a leading UK analyst has warned users they have nothing to gain by upgrading yet.

Although not officially launched until 25 October, machines with the new OS pre-installed may appear through direct sales channels as early as late September, following the vendors' usual four to six weeks of testing.

US Analysts say that Microsoft is counting on Windows XP increasing its revenues by up to 30 per cent in the last three months of the year.

They also say the PC industry generally is hoping for any boost the operating system can provide, to kick-start the market.

However, UK analysts doubt whether XP will be a driver for new PC sales in the way that Windows 95 was.

Clive Longbottom, principal analyst at Quocirca, told vnunet.com that Windows XP was a new operating system for "everybody", but that it wasn't the same type of landmark release as Windows 95.

"If it makes no difference to the price of a computer, then it will just keep the consumer market ticking over. It's unlikely that Windows XP without a price cut can drive an increase in sales."

Longbottom added: "Consumers who use Windows 95 might want to upgrade to Windows XP once the first Service Pack has come, and new applications have appeared that take advantage of Microsoft's .Net capabilities."

According to Longbottom, Microsoft needs the new OS more than its users do.

Although not officially launched until 25 October, machines with the new OS pre-installed may appear through direct sales channels as early as late September, following the vendors' usual four to six weeks of testing.

In the US, an upgrade to Windows XP Pro will cost $199 with the full version coming in at $299.

In Germany, it's DM489 for the upgrade version of Pro, DM249 for the Home upgrade, and DM489 for full version.

UK prices show maximum street prices of £89.99 for an upgrade to the Home edition, and £169.99 for the upgrade to the Pro edition, with the full versions costing £179.99 and £259.99 respectively.

Beta testers have given the new OS mixed reactions. You can read vnunet.com's review here.

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