A closer look at the Windows 7 SKUs

Today, I wanted to take a closer look at the Windows 7 SKUs since there has been some discussion about them for the last couple of days. By the end of this post, I want you to know exactly which edition of Windows 7 is right for you and help you understand how we approached addressing the large amount of feedback we received.

Our SKU line-up is based on listening to feedback from customers and partners and here is what they have told us and how we are addressing their feedback in Windows 7:

1. Customers wanted clarity on which version of Windows is the right version for them.  So…Windows 7 will be offered primarily in 2 editions: Windows 7 Home Premium and Windows 7 Professional.

2. Customers wanted upgrading to a different SKU to be easier.  So…for Windows 7, we are using a single image for all SKUs. This means the bits for all the editions are already on your computer if you are running Windows 7.  With Windows Anytime Upgrade, users can unlock and upgrade to a different SKU much easier than before.

3. Customers did not like losing features when upgrading to a different SKU.  So…in Windows 7, each SKU is a superset of the previous SKU. No features are lost on upgrade.

4. One size does not fit all—particularly with a billion users and thousands of partners around the world.  So…we are addressing the specialized needs for customers in specific markets with Windows 7 Starter, Windows 7 Home Basic, and Windows 7 Enterprise.

Let me dive a little deeper into these 4 areas and what it means for you.

Our marketing efforts, when they begin for Windows 7, will reflect an emphasis on Windows 7 Home Premium and Windows 7 Professional. With the continued hardware advancements made since the launch of Windows Vista, we think 80% of end users will choose one of these two SKUs.

  • Windows 7 Home Premium: Recommended Choice for Consumers
  • Windows 7 Professional: Recommended Choice for Enthusiasts and Small Business Customers

Essentially, when Windows 7 hits store shelves consumers will see Windows 7 Home Premium and Windows 7 Professional as the choice they will need to make.

We also make it easy for customers to change down the road. So let’s say I purchase Windows 7 Home Premium and want to upgrade to Windows 7 Professional. With Windows Anytime Upgrade I can, as it makes upgrading to another version of Windows 7 much easier now that we have a single image for every SKU. Users will be able to unlock upgraded editions of Windows 7 without original media or additional software as everything they need in order to upgrade will be on their PC already.

Because each SKU is a superset of the previous SKU for Windows 7 that means each higher edition SKU will also include every feature the lower edition SKUs has. Windows 7 Professional will have every feature that Windows 7 Home Premium has plus other business-oriented features such as the ability to join a domain.

Not every customer has the same needs. In general, we discovered that most think we should have about 2 or 3 SKUs but there isn’t much agreement what “the right” SKUs should be. So we are accommodating specialized needs for customers in specific markets. You could also think of these as niche offerings. A small percentage “niche” (like 2%) of the overall customer base is still many millions. That feels pretty big to me and we wanted to make sure we had the right solutions for them. We think it is important to respond to the needs, so we have:

  • Windows 7 Starter: Something that our OEM partners asked for is to have an offering for folks that will do very limited things with their PCs and for PCs with limited hardware capabilities. Windows 7 Starter only allows up to 3 applications to run at once. This is something that will be offered only through OEM partners.
  • Windows 7 Home Basic: Another offering that our OEMs asked for was a basic offering on Value PCs in emerging markets. This is something that will also only be available through OEM partners. 
  • Windows 7 Enterprise: An offering asked for by our best and largest enterprise customers which has all the advanced security and manageability capabilities which also includes BitLocker data protection. This is something available only through Volume License agreements. 

And, for those who want everything we have Windows 7 Ultimate.

Many of you have been asking about how to think about SKUs and very low-end notebook PCs or “Netbooks”. All SKUs of Windows 7 will work on many of these devices, with Windows 7 Home Premium as the recommend SKU on small notebook PCs with sufficient hardware. I have a Dell Mini 9 running the Windows 7 Beta (which is Windows 7 Ultimate) just fine. Brad Brooks, Corporate Vice President for Windows Consumer Product Marketing, talks more about Windows 7 on Netbooks here in this Q&A with Microsoft PressPass.

Today, 1 billion customers use Windows and the needs of our customers span a wide range. We have been listening and learning to make sure we are addressing the full range of needs while simplifying/clarifying the choices.  Our SKU strategy reflects Windows 7’s ability to work well on a variety of PCs as well as meets the needs of our customers.

So which edition of Windows 7 fits your needs? I expect for the majority of you it will be either Windows 7 Home Premium or Windows 7 Professional. For me, I think Windows 7 Professional looks perfect for my needs.

Digg This

Comments

  1. Posted on: February 05, 2009 at 4:11AM  

    Thing is, even if the marketing effort focuses on those two, as soon as Joe Bloggs see that "Premium" suffix on Windows 7 Home, he wonders, "ok, this is home *premium* which suggests it is the "best" version of home, but maybe I think that's too expensive and I'd rather the cheaper version and so I start looking but turns out I find it hard to get the Home Starter. I mean, that single word "Premium" confuses the whole thing. You'd be better off calling them clearly Windows 7 Home (if you absolutely must use a suffix) and Windows 7 Business. Home and Business are two words understood by the vast majority of the world. "Premium"? "Pro"? What have these ever meant?

  2. Posted on: February 05, 2009 at 4:29AM  

    this sounds nice...

    what about Vista user? is there an upgrade option available for us?

  3. Posted on: February 05, 2009 at 7:50AM  

    SIrus

    scegli tra 2 versioni

    Home Premium e Ultimate , lascia perdere quelle che sono disponibili per i mercati emergenti o settori specifici.

  4. Posted on: February 05, 2009 at 9:15AM  

    It's exactly the same like Vista, except Starter and Home Basic have reversed their roles as far as availability is concerned and for SKU features, the higher priced SKUs will now be supersets of lower priced ones (though I'm doubtful if Enterprise edition for example will include Media Center and DVD Maker). No lessons learnt for feature distributions across SKUs as well, still there's no Bitlocker in Professional, no Fax and full backup feature-set (Imaging and Shadow Copy) in Home Premium. A feature like EFS that has been around since Windows 2000 Professional is missing from the Home SKUs. RDP Server/Host requires Professional, WTF!

    What's missing (my guess is) from lower editions will be mostly the same as Vista: (Until that nice comparison matrix comes along *which MS should have made available* right now to eliminate all this confusion.)

    Missing from Professional:

    Bitlocker, Services for Unix, Multiple Languages (MUI)

    Missing from Home Premium:

    Shadow Copy, Previous Versions, EFS, Complete PC Backup, Deployment tools, QoS, NAP Client, Credential Providers, Smart cards, RMS Client, Bitlocker, SFU, MUI, Small Business Resources, Fax & Scan, Wireless network provisioning, Windows Mobility Center?, RDP Server (Host), Domain Join, Group Policy, Offline Files, Client-side caching (Cached Credentials), Credentials Manager, Roaming user profiles, Folder Redirection, IIS7

    Missing from Home Basic: All that's missing from Home Premium plus incremental backup, scheduled backup, network backup, Aero *animations*, Tablet features, InkBall, Mahjong Titans, Chess Titans, Fax & Scan

    Missing from Ultimate: Nice Ultimate Extras like DreamScene and games. Is there any commitment to make existing extras available for Windows 7? What incentive will users have for upgrading if they lose DreamScene?

  5. Posted on: February 05, 2009 at 11:17AM  

    "And, for those who want <b>to give us more money for the empty promise of Ultimate Extras</b>, we have Windows 7 Ultimate.  <b>Thanks for learning nothing from Vista Ultimate, Enthusiast Community!</b>"

    There, fixed that for ya.

  6. Posted on: February 05, 2009 at 11:20AM  

    I agree, allowing HTML in comments IS a risky proposition.  Let's try that again, shall we?

    ---

    "And, for those who want **to give us more money for the empty promise of Ultimate Extras**, we have Windows 7 Ultimate.  **Thanks for learning nothing from Vista Ultimate, Enthusiast Community!**"

    There, fixed that for ya.

  7. Posted on: February 05, 2009 at 11:43AM  

    I like the breakdown of SKUs... I still don't think Home Basic needs to exist, though.

    I'll likely be going with copies of Professional, although the gamer in me might go for Ultimate on my Gaming PC, heh.

    I'll likely also go with Home Premium for my UMPC and my Girlfriend's computer.

  8. Posted on: February 05, 2009 at 1:31PM  

    So, at the very least there's Windows 7 Starter, Windows 7 Home Basic, Windows 7 Home Premium, Windows 7 Professional, Windows 7 Enterprise and Windows 7 Ultimate editions. How many boxed upgrade editions will there be? Which versions of Windows 7 will be available in 64-bit?

    Doesn't anyone at Microsoft recognise the absurdity in all this?

    The excuse of satisying OEM needs is a red herring: it's a fair assumption that OEM partners and international markets want cheaper versions of Windows 7, not crippled versions. Restricting features on a single image doesn't reduce costs.

    > And, for those who want everything we have Windows 7 Ultimate.

    What's the functional difference between Enterprise and Ultimate?

    Like Vista, are customers going to be buying big-brand OEM machines bundled with a version of Windows 7 that doesn't look or work like the marketing? I'm thinking of the distinction between Home Basic and Home Premium here.

  9. Posted on: February 05, 2009 at 4:10PM  

    eddie_dane - please read the blog post. Windows 7 Starter, which is the edition that only runs 3 apps at a time, is OEM only. Consumers most likely will not see this edition on store shelves. As stated above - most consumers going out to buy a copy of Windows 7 will see Windows 7 Home Premium and Windows 7 Professional.

  10. Posted on: February 05, 2009 at 5:06PM  

    Registered to say One Very Important thing that I Absolutely think is Vital for all to know.

    Windows 7 Starter? LOLFAIL. Thank you Microsoft.

    I Look forward to your new Chains on several of my future Clients, asking "Why cant I run more?!" Oh..Your going to make me Filthy Rich.

    In the meantime, Lets all just Laugh at your Pathetic and Ill Disguised paths to Boost the Economy with a Sickeningly basic OS that I'd consider nothing more then Malware.

    Good job on the Ultimate Edition though.

    Best Regards,

    Soon to be next Rich IT.

Trackbacks

  1. Posted by: Windows 7 Product Editions announced » Kristan Kenney’s Digital Life on February 04, 2009 at 10:14PM

    Pingback from  Windows 7 Product Editions announced » Kristan Kenney’s Digital Life

  2. Posted by: Brandon LeBlanc of the Windows 7 Team Blog posts a clarifying article on the Windows 7 SKUs « AboKevins Blog on February 04, 2009 at 11:14PM

    Pingback from  Brandon LeBlanc of the Windows 7 Team Blog posts a clarifying article on the Windows 7 SKUs « AboKevins Blog

  3. Posted by: Brandon LeBlanc of the Windows 7 Team Blog posts a clarifying article on the Windows 7 SKUs « AboKevins Blog on February 04, 2009 at 11:28PM

    Pingback from  Brandon LeBlanc of the Windows 7 Team Blog posts a clarifying article on the Windows 7 SKUs « AboKevins Blog

  4. Posted by: A closer look at the Windows 7 SKUs - :: The Windows 7 Site :: on February 05, 2009 at 12:31AM

    Pingback from  A closer look at the Windows 7 SKUs - :: The Windows 7 Site ::

  5. Posted by: huhwhat.com » Blog Archive » A closer look at the Windows 7 SKUs - Windows 7 Team Blog - The Windows Blog on February 05, 2009 at 2:04AM

    Pingback from  huhwhat.com  » Blog Archive   » A closer look at the Windows 7 SKUs - Windows 7 Team Blog - The Windows Blog

  6. Posted by: RSS Digest - #38 on February 05, 2009 at 2:07AM

    Pingback from  RSS Digest - #38

  7. Posted by: Explaining Windows 7 SKUs on February 05, 2009 at 2:39AM

    Pingback from  Explaining Windows 7 SKUs

  8. Posted by: www.vesic.org - Tehnologija na dlanu » Windows 7 verzije on February 05, 2009 at 5:33AM

    Pingback from  www.vesic.org - Tehnologija na dlanu » Windows 7 verzije

  9. Posted by: jkOnTheRun » Blog Archive Microsoft Recommends Windows 7 Home Premium for Netbooks « on February 05, 2009 at 8:51AM

    Pingback from  jkOnTheRun  » Blog Archive  Microsoft Recommends Windows 7 Home Premium for Netbooks «

  10. Posted by: Kemaskini XP dan Vista Kepada Windows 7 | aMaNz on February 05, 2009 at 10:59AM

    Pingback from  Kemaskini XP dan Vista Kepada Windows 7 | aMaNz

  11. Posted by: Posts about Windows 7 as of February 5, 2009 | The Lessnau Lounge on February 05, 2009 at 11:36AM

    Pingback from  Posts about Windows 7 as of February 5, 2009 | The Lessnau Lounge

  12. Posted by: A closer look at the Windows 7 SKUs - Windows 7 Team Blog - The Windows Blog | WinSe7en on February 05, 2009 at 12:14PM

    Pingback from  A closer look at the Windows 7 SKUs - Windows 7 Team Blog - The Windows Blog | WinSe7en

  13. Posted by: Teamzille.de on February 05, 2009 at 12:15PM

    Nach der Bekanntgabe der einzelnen Versionen, die von Windows 7 verf�gbar sein werden, hat Microsoft nun weitere Details zu diesen Versionen ver�ffentlicht. Bereits bekannt war, dass der Gro�teil des Marktes mit den Versionen Home Premium und Professiona

  14. Posted by: » How would you tweak Microsoft’s Windows 7 line-up? | All about Microsoft | ZDNet.com on February 05, 2009 at 12:40PM

    Pingback from  » How would you tweak Microsoft’s Windows 7 line-up? | All about Microsoft | ZDNet.com

  15. Posted by: Anything about IT » Blog Archive » Windows 7 SKUs on February 05, 2009 at 4:11PM

    Pingback from  Anything about IT  » Blog Archive   » Windows 7 SKUs

  16. Posted by: IT PRO: Blogs: Simon Bisson &amp; Mary Branscombe: Does more than one version of Windows make sense - for Microsoft? on February 05, 2009 at 4:17PM

    Pingback from  IT PRO: Blogs: Simon Bisson &amp; Mary Branscombe:   Does more than one version of Windows make sense - for Microsoft?

  17. Posted by: XP to Windows 7 | PC Tips on February 06, 2009 at 4:04AM

    Pingback from  XP to Windows 7 | PC Tips

  18. Posted by: Windows 7 in sechs verschiedenen Versionen on February 06, 2009 at 4:50AM

    Pingback from  Windows 7 in sechs verschiedenen Versionen

  19. Posted by: WissenMusst.de on February 06, 2009 at 7:47AM

    Windows 7 kommt in sechs Geschmacksrichtungen

  20. Posted by: Satisfy Me on February 06, 2009 at 9:21PM

    If you weren't at the TED conference this week, you might've missed Bill Gates' mosquito stunt as noted

  21. Posted by: Upgrade Options: XP to Windows 7, Vista to Windows 7, Windows 7 to Windows 7 - Raymond.CC Forum on February 07, 2009 at 4:24AM

    Pingback from  Upgrade Options: XP to Windows 7, Vista to Windows 7, Windows 7 to Windows 7 - Raymond.CC Forum

  22. Posted by: Bordoni on February 08, 2009 at 11:46AM

    Windows 7... e le 4 versioni di troppo

  23. Posted by: » Windows 7 sarà disponibile in 6 edizioni on February 09, 2009 at 2:10AM

    Pingback from  » Windows 7 sarà disponibile in 6 edizioni

  24. Posted by: P??ehled edic?? Windows 7 - i-dave.com on February 09, 2009 at 11:08AM

    Pingback from  P??ehled edic?? Windows 7 - i-dave.com

  25. Posted by: BlogMS - Official Microsoft Team Blogs on February 09, 2009 at 12:13PM

    214 Microsoft Team blogs searched, 93 blogs have new articles in the past 7 days. 212 new articles found

  26. Posted by: Techronical » Blog Archive » Windows 7 SKUs Explained on February 09, 2009 at 10:36PM

    Pingback from  Techronical  » Blog Archive   » Windows 7 SKUs Explained

  27. Posted by: HP netbooks will likely run 3 versions of Windows 7 | WinSoftNews - Daily IT & Software News on February 10, 2009 at 6:45AM

    Pingback from  HP netbooks will likely run 3 versions of Windows 7 | WinSoftNews - Daily IT & Software News

  28. Posted by: Windows for your Business on February 11, 2009 at 4:18PM

    You may have caught Brandon’s post last week looking at our SKU strategy for Windows 7. In addition to

  29. Posted by: Windows 7 Enterprise Edition Customer Benefits | Windows Seven 7 on February 11, 2009 at 4:54PM

    Pingback from  Windows 7 Enterprise Edition Customer Benefits | Windows Seven 7

  30. Posted by: Windows 7 home premium como version recomendada de W7 para netbooks. | MSI WIND en Espa??ol on February 12, 2009 at 4:54AM

    Pingback from  Windows 7 home premium como version recomendada de W7 para netbooks. | MSI WIND en Espa??ol

  31. Posted by: Technology Info » Blog Archive » Windows 7 Enterprise Edition Customer Benefits on February 12, 2009 at 9:29AM

    Pingback from  Technology Info  » Blog Archive   » Windows 7 Enterprise Edition Customer Benefits

  32. Posted by: Windows 7 Enterprise Edition Customer Benefits | yoursoftwarelink.com on February 12, 2009 at 11:15AM

    Pingback from  Windows 7 Enterprise Edition Customer Benefits | yoursoftwarelink.com

  33. Posted by: Q&A from the Windows 7 Springboard Roundtable « Taking it Upwards with SBS - Dale aka SBSisyphus’ Weblog on February 12, 2009 at 2:03PM

    Pingback from  Q&A from the Windows 7 Springboard Roundtable « Taking it Upwards with SBS - Dale aka SBSisyphus’ Weblog

  34. Posted by: Frees Point on February 12, 2009 at 3:08PM

    Πριν από λίγο τελείωσε το live roundtable του springboard series για τα Windows 7, το οποίο παρακολούθησα

  35. Posted by: Windows 7 Enterprise Edition Customer Benefits|Join Our Story!|AngNetwork Blog on February 14, 2009 at 4:59AM

    Pingback from  Windows 7 Enterprise Edition Customer Benefits|Join Our Story!|AngNetwork Blog

  36. Posted by: Michael Niehaus' Windows and Office deployment ramblings on February 15, 2009 at 7:14PM

    A lot of fuss has been made about the number of available Windows 7 SKUs.  Read the full breakdown

  37. Posted by: Windows 7 Enterprise Edition Customer Benefits | Windows 7 Information, News, Downloads, Support Forums on February 15, 2009 at 8:03PM

    Pingback from  Windows 7 Enterprise Edition Customer Benefits | Windows 7 Information, News, Downloads, Support Forums

  38. Posted by: Cliff Hobbs - FAQShop.com and Microsoft MVP ConfigMgr/ SMS on February 17, 2009 at 5:27AM

    Feed: Michael Niehaus' Windows and Office deployment ramblings   A lot of fuss has been made

  39. Posted by: Cliff Hobbs at myITforum.com on February 17, 2009 at 5:41AM

    Feed: Michael Niehaus' Windows and Office deployment ramblings   A lot of fuss has been made

  40. Posted by: Jeff Vilimek » Windows 7 Enterprise on February 17, 2009 at 8:43AM

    Pingback from  Jeff Vilimek » Windows 7 Enterprise