Saturday, November 21, 2009

Why Windows 7 Will Not Drive a Monster PC Hardware Refresh Cycle

Why do conventional wisdom and analyst palaver assert as a matter of metaphysical certitude that the launch of Windows 7 will rapidly drive a robust PC refresh cycle?

Dell, in its attempt to move past its startlingly poor quarterly results announced last week, once again pointed to this theoretical groundswell of enterprise spending as the engine for its increasingly more theoretical turnaround. But even as Microsoft touts the record-setting sales pace of Windows 7, new PCs don’t appear to be riding those coattails.

Two reasons why:

  • No new hardware required: Unlike previous Microsoft OS platforms, Windows 7 does not require upgraded hardware to run as speced.
  • Learning to love lean and mean IT: The corporate recovery, as anemic as it is, is being driven by cost reductions and tighter controls on expenditures. Now that companies are much used to doing more with less — and getting good at it – CTOs and COOs will likely wring more value out of their current systems and upgrade more slowly and cautiously than they have in the past.
  • For consumers, PC deals matter more than the OS: While it has made sense to wait for Windows 7 to arrive before buying a new PC, Windows 7 has not been a driver. Cheap netbooks and low-cost laptops are the stars of the consumer space — which has been driving the computer industry recovery – and Windows 7 just comes with it.

[Via http://commercialspeech.wordpress.com]

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