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Re: [News] [Rival] Microsoft Prices Unsustainable, New Business Models Sought

In comp.os.linux.advocacy, Hadron
<hadronquark@xxxxxxxxxxxxxx>
 wrote
on Wed, 18 Jul 2007 21:04:45 +0200
<gmps2pa5yq.fsf@xxxxxxxxxxxxxx>:
> alt <spamtrap@xxxxxxxxxxxx> writes:
>
>> On Wed, 18 Jul 2007 10:45:47 +0100, Mark Kent wrote:
>>
>>> Roy Schestowitz <newsgroups@xxxxxxxxxxxxxxx> espoused:
>>>> Microsoft in China
>>>> 
>>>> ,----[ Quote ]
>>>>| So perhaps a question that might be worth asking is if Windows and Office 
>>>>| only costs $3 in China, how sustainable are it's prices in other markets? 
>>>> `----
>>>> 
>>>> http://weblog.infoworld.com/openresource/archives/2007/07/microsoft_in_ch.html
>>> 
>>> This is about simple business economics.  If you can get US$3.00 for a
>>> copy of windows in China, it's more than you get for a copy of Linux, or
>>> an illegitimate copy of Windows.
>>> 
>>> The real question is how long before it's recognised that Linux, free,
>>> is better than $3.00 for Windows.
>
> More to the point, when will people realise that Linux, costing nothing,
> is better than Windows costing 300$ or so.
>
>>
>> And you can be sure that once they have the market "sewn up" that the
>> price will go from $3.00 to $300.00.
>
> Common business practices.
>
> Instead of whinging and whining like a little girl here, why don't you
> petition Chinese web sites and actually advocate Linux for reasons other
> than it not costing your tight back pocket a single penny.

If one assumes 1 GB download and storage, then one might
get $3.00 for that Linux system too.  But lessee...

If one assumes a 1.5 Mb/s link at $20/month, then one is
looking at a download capability of 1.5 Mb/s / (10 b/B) *
86400 s/day * 30 day/mon = 388.8 GB/month, and $20/month /
(388.8 GB/month) = $0.05144/GB.

According to EBay, a Maxxtor DiamondMAX 6H5OOORO 500 GB ATA
hard drive costs $145.00, or $0.29/GB.  outpost.com (Fry's
website, basically) offers $149.99 for 500 GB Seagate
units, or $0.30/GB.

DVD media for burning purposes costs $22.95 for 50 discs --
about $0.46/disc (not including S&H).

Total cost thus far: $0.81 -- and much of that is the disc.

So....how does Microsoft account for the market costs
($349.18) of the rest of Vista Ultimate? ;-)  A 99.77%
margin verges on the ridiculous.

-- 
#191, ewill3@xxxxxxxxxxxxx
Useless C++ Programming Idea #40490127:
for(;;) ;

-- 
Posted via a free Usenet account from http://www.teranews.com


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