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CNET News.com: Microsoft outlines Windows 2000 pricing

Nov 02, 1999, 15:54 (15 Talkback[s])
(Other stories by Joe Wilcox)

[ Thanks to Ilya Tsindlekht for this link. ]

"Software makers require a license for each "seat," or PC system, on which a given product is installed, typically charging fees on a sliding scale that decreases as volume increases. Microsoft requires companies to pay for a license for each employee relying on Windows for services like network file storage or printing, but has not charged for Internet or Intranet access. In the future the software giant will also count Web surfers from the outside world who require "authorized " access."

"When it debuts in February, Windows 2000 Professional will sell for an estimated retail price of $319, the same as its predecessor, Windows NT 4 Workstation. An upgrade from Windows NT will cost $149, the current price to move from Windows 95 to NT, the company said yesterday in a briefing."

"Customers looking to upgrade from Windows 95 or 98--both consumer operating systems--will pay $219. Microsoft previously offered no consumer upgrade, forcing customers to pay full price for Windows NT...."

"There is no question they can price themselves out of that market, which would easily look to alternative [operating systems], like Linux and Unix," according to Aberdeen analyst James Gruener."

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