Microsoft to cut manufacturer price for Windows by 70 pct -Bloomberg
CHICAGO, Feb 22 (Reuters) - Microsoft Corp (Symbol : MSFT) is
reducing the price of Windows 8.1 for manufacturers of low-cost
computers and tablets by 70 percent to compete with cheaper
products like Google Inc's (Symbol : GOOG) Chromebooks, Bloomberg News
reported on Saturday, citing sources familiar with the program.
Computer makers will be charged $15 to license Windows 8.1
and pre-install it on devices retailing for under $250, compared
with the standard fee of $50, Bloomberg reported. Any product
that meets the price limit will be eligible for the discount,
with no restrictions on the type or size of the device.
Sales of Microsoft's (Symbol : MSFT) Windows 8 system, including its latest
Windows 8.1 version, have been relatively slow since its launch
15 months ago. More than 200 million Window 8 licenses were
sold, lagging Windows 7, which sold 240 million within its first
year, according to Tami Reller, head of marketing for Microsoft (Symbol : MSFT).
The pace reflects a steady two-year decline in personal
computer sales, as smartphones and tablet sales explode. Sales
of tablets are set to overtake PCs worldwide next year.
Windows 8 was designed as a flexible new system that would
work equally well on desktop PCs and touchscreen tablets, but it
ended up alienating many traditional users, while the company's
Surface tablet has not won over many Apple Inc (Symbol : AAPL) iPad
A spokesperson for the company was unavailable for comment.
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