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Windows 10 Price: Is Microsoft dreaming up subscription model?

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Windows 10

Microsoft is considering moving away from a one-time purchase model for its upcoming Windows 10 operating system.

Kevin Turner, Microsoft’s Chief Operating Operator, revealed the possible shift at last week’s Credit Suisse Technology Conference.

When asked whether Microsoft was setting up to lose money on Windows, the COO replied: “We’ve got to monetise it differently. And there are services involved. There are additional opportunities for us to bring additional services to the product and do it in a creative way.”

“And through the course of the summer and spring we’ll be announcing what that business model looks like.”

Turner added: “At the same time it’s wonderful to see these nine-inch and below devices explode, because that was an area, candidly, I was blocked out and I had no share of what was getting built. So it’s a very fascinating transition for us.”

Unfortunately we won’t know what shape Microsoft’s new monetisation strategy will take until summer or spring.

This does give us a potential clue as to when Windows 10 will be arriving however, as it seems unlikely the software will land before Microsoft has finalised its payment approach.

The likeliest scenario is that the Windows 10 price reveal will coincide with Microsoft’s Build conference, which takes place in San Francisco from April 29 to May 1 next year.

While Microsoft is keeping hush on the specifics of possible Windows 10 pricing for now, the firm is no stranger to subscription models (read: Office 365), and some kind of tie-in with Office could be in the works.

Read More: Microsoft Surface Pro 3 review

Via: Windowsreport

ElectricSheep

December 10, 2014, 12:54 pm

I'm not a fan subscription based software (save for cloud storage) and hope MS don't go down that road just yet, or at least if they do then they should also offer an outright, one-off purchase price alongside subscriptions...unlike Adobe CC (yuk). I don't like having to fork out cash every single month or year to keep the same program functioning and up to date, maintaining access and use of my files. Subscriptions are good for limited projects, but I like the buy it once - own it forever approach. Offer both, if you have to.

Everlast

December 10, 2014, 2:05 pm

Microsoft OS business is in real trouble with its business model. While 5-10 years ago it was acceptable to pay £100 for a new OS every 2-3 years, now companies that finance their operating systems through sale of hardware (Apple) or advertising (Google Chromebook) and a huge number of tablets, gave customers alternatives where they expect to get FREE annual updates. Not to mention Linux platforms like Ubuntu or Mint that matured enough to be fully usable Windows replacements.
In addition the continuous reduction of hardware prices, with laptops now starting at £200, make these £100 for the OS a huge chunk of the price, and this is for the cheapest version. Windows 8.1 PRO is £190 which makes them totally irrelevant on today's market.
Ironically, they are starting to look like Nokia looked 7 years ago.

Their biggest problem is that they can not directly apply any of the competitor's models. They cannot make Windows free without changing it, because they will be operating at a loss. they cannot cover the OS development through hardware sale, because they will have to manufacture a huge share of world's PCs at very competitive hardware prices and they don't have such capabilities. They cannot cover the development cost through advertising like Google, because their business customers would not be positive to this.
Perhaps some sort of mixed model, like maintenance subscription model for businesses and advertisement supported model for home users with option for subscription.

Prem Desai

December 10, 2014, 2:36 pm

It would depend on what's on offer.

Their current Office 365 at £79 a year is a no-brainer as your can install the latest version of office on 5 PCs or Macs. Mobile apps were also included but now they're free anyways. In addition, they chuck in 1Tb of Onedrive space. Overall, the package is real good value.

They'd have to do something similar for windows to make it attractive .....

Keith

December 10, 2014, 3:18 pm

I've just gone for the 365 subscription, bargain!!!..
So yes, if they can do the same for the OS, call me interested.

toboev

December 10, 2014, 8:55 pm

Maybe business models that cross subsidise one product from another, effectively dumping the 'free' product in the market and destroying the market thereby, should be taken to task by the likes of the EU. We delude ourselves if we believe there is such a thing as "free" in commercial business, and the only guarantee of "cheap" (i.e. value for money) is a properly functioning market.

toboev

December 10, 2014, 8:56 pm

and of course, a subscription model is effectively a personal data harvesting model also...

riversdirect

December 10, 2014, 11:28 pm

I would not pay a subscription. I've stopped reburying some of my favorite applications because they went to subscription. For example Adobe CC Master collection. I will never upgrade and pay for a subscription. Same with Norton antivirus. If Windows goes to any subscription I will go to Mac period.

PJ Matthews

December 11, 2014, 7:53 am

Let's be honest, the OS is now just a gateway to other mainly Internet connected services. Microsofts model needs to move towards these other services like Office, like their app stores where both Apple and Google make money.

However I believe the OS should be free. If you want people to be in your own walled garden, you need to give them every reason to want to be there.

BizarroHitler

December 11, 2014, 8:19 am

I don't see the big deal with the Adobe CC. If you just want Photoshop its $10 USD a month and you get Lightroom as well. Figure a new version of Photoshop is $600-700 USD or $300 USD for the upgrade version, so instead you pay $120 a year and they release a new version every 2 years or so, so its actually slightly cheaper to have Adobe CC and you get Lightroom too, I don't see how this is a bad deal or why people dislike it so much, especially the larger suites which are an even better deal.

Jedibeeftrix

December 11, 2014, 8:28 am

No. Never.

I want to [buy] Windows10. I will not subscribe to it.

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