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When Vista launches next year, it is thought the pricing will be much lower than the current pricing structure for Windows XP.
Microsoft expect that by reducing the price, piracy will become less attractive (and the sale of more legitimate copies should cover the lost revenue). Additionally, Vista is likely to force alot of people to upgrade their computers, faced with having to pay a sigificant sum for the OS aswell as the hardware upgrades, Microsoft is worried the majority will simply wait until their exisiting system is beyond use.
Word coming from Redmond suggests the retail price of Vista will hit the shelves at just $99, with OEM versions expected to be a little over half that.
Official confirmation of pricing isn't expected until around the middle of next year.
This is great news, if it is actually true, but I really do not see it happening since there really isn't any real benefit to Microsoft. The people who actually do pirate Windows XP will most likely continue to pirate. Microsoft may pick up a small amount of people to actually buy the product that were not going to before, but not enough to really justify the lost revenue resulting from the price reduction. I really do hope I am wrong though.
I do think it will help a bit with software piracy. But, whether or not it will even their revenue out, we'll just have to see. I hand it to Microsoft for trying to reduce piracy with something like this.
I don't think it will help with piracy. If someone is going to steal something, they are going to steal it even if it is a little cheaper. But for the people who like things legal, then it would be very nice if Vista came on the market at a low price.