Although Vista sales are monstroginhugeormous that tends to be because it's boxed with virtually every new PC and Microsoft isn't best pleased with the lack of interest shown by the upgrade market, so it's slashing prices.
In the US RRPs from Vista Ultimate will fall from $399 to $319 with the upgrade version down from $259 to $219 and Vista Home Premium retailing at $129 from $159. The drops will co-inside with the mass market release of Service Pack 1, itself something of a damp squib. UK and European Vista cuts have yet to be announced, but they will be coming along with reductions for 70 other countries around the world.
The move is necessary too because standalone sales of Vista currently count for under 10 per cent of all licences sold meaning the operating system is clearly seen by many as something than happens to come with a new computer, rather than something to be desired in its own right.
Of course the problem in all this is Windows XP is also soon getting a boost of its own - and a free one at that. Service Pack 3 is said to speed performance of the comparatively spritely ageing OS by as much as 10 per cent. So the question remains: why pay money for something which is guaranteed to slow your system down?