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CNET News.com: Microsoft licensing deals confuse customers, study says

Aug 05, 2000, 19:09 (9 Talkback[s])

[ Thanks to Douglas D. Darnold for this link. ]

"Regardless of the philosophical aspects of the debate, one thing is certain: Unless businesses buying Windows on new PCs take the right precautions, they could be compelled to pay twice for the operating system."

"Depending on how you re-image your machine, Microsoft wants to charge you twice," MacDonald said. "And they're actually using this in contract negotiations with clients... The practice of "re-imaging" PCs is a common one, including doing so using software provided by Microsoft with its Select volume-licensing program. MacDonald says that until recently, Microsoft treated that as an acceptable practice."

"This is a way to generate additional revenue," he said. "Microsoft uses changes in licensing terms and conditions to increase the amount of money organizations pay for their products, while ostensibly keeping list prices flat. This has been a consistent strategy for years, but this is just a very odd twist on that."

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