Shocking discovery about Windows made; expect Windows prices to be slashed in future
An astute analyst on the Internet noted recently that the cost of Microsoft Windows is only about $0.27. Microsoft has charged a premium for MS-Windows system for years.For verification, look at the Microsoft Windows license agreement that came with your computer. It clearly states it is only worth the price of the media it came on. That media is only worth a few cents.
Therefore, in light of the actual cost of Microsoft Windows, the aging software vendor is going to need to cut its prices quite a bit.
This could lead to prices on PC's tumbling by ten or twenty percent. Most PCs have been cranking out the same hardware design for years, so there is little to them but the price of the hardware components.
Windows has not changed much either since 2001. Now that Microsoft has made back all of its minor software development investment for Windows, the price of Windows PCs can be deeply slashed.
It turns out that many PC hardware makers also charge a premium for their systems. Actual cost of their components is far less than the price they charge for products. These companies do not design their own CPUs or system software. They just sell Windows; in many cases, extremely old versions of it, it turns out.
This opens the door for deep cuts on their part. Perhaps 20% or more. Combined with the fat in the hidden fees tacked on by Microsoft Windows, the price of these systems might be ripe to drop by 30% or 35%.
While the value of antiques increases with age, aging hardware designs and old software clearly does not. This is a huge opportunity for a "give back" to the PC-buyer community.
Labels: computing, economics, humor, mswin, technology
posted by John Collins @ 4:19 PM
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