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.

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Comments

  1. Posted on: February 06, 2009 at 12:47PM  

    Let me start of by saying I'm loving win7 beta. (The media center updates are amazing, especially for HD tuner owners like myself)  I even liked vista when it was first in beta, so I'm not a MS hater or a mac cool aid drinker :-)

    However... I'm agreeing with 7flavor (page2)... except for the superset, I don't see how this line up is any different than vista.   How can MS say they've learned and are addressing too many versions when nothing has really changed?

    I currently have Vista Home Premium and I'm really annoyed that Remote Desktop and a decent backup tool are not in that sku.  The Backup utility in XP was significantly better.  I don't want bitlocker, I just want a decent tool.  You're telling me home users don't want full image backups?  Is MS going to make me pay the obnoxious price for ultimate?  Common!

    IF THE FULL IMAGE BACKUP ISN'T INCLUDED IN WIN7 HOME PREMIUM, I'M GOING TO BE A VERY UPSET CUSTOMER.

    So the supserset issue... is Home Premium or Professional a higher version?  Is professional going to have media center?

  2. Posted on: February 06, 2009 at 2:07PM  

    "So which edition of Windows 7 fits your needs?"

    I don't have a clue.  I'm just going to spin the Vista wheel like

    PC did in that Mac commercial.

  3. Posted on: February 06, 2009 at 2:10PM  

    "3. Customers did not like losing features when upgrading to a different SKU. "

    Microsoft had to learn this through feedback?

  4. Posted on: February 06, 2009 at 4:07PM  

    Personally I Agree with your comments opinions and description so the SKU's.

    A number of other webSites keep going on about making Win 7 SKU' like WinXP.

    That is just nuts, Win 7 has greater advancements and capabilities, but, there are a lot of "New" PC's out there that are a lot less advanced.

    I am currently testing Win 7 on 2 Laptops and one Desktop, my laptops are Lenovo 3000 n100, which is working fairly well, so far (about a month), only a few minor bugs (but it is still BETS mode), the other laptop is my wife's mini toy, Acer AspireONE, (about 2 weeks), quite a few more bugs, but mostly all of the were related to internal hardware, got most all of the figured out and fixed. I think the Starter/Home Basic version would be better for this one. (My Wife is not a Geek, like me)

    The Last is my BIG Desktop, Gigabyte-(self built) x64, I am about to install Win 7 x64 and run a lot of extensive Programs for testing and functionality, I am an Engineer (Mechanical, Electronic) and run AutoCAD and a few Electronic CAD/PCB software as well as CST (Computer Simulation Technology) software that take extensive resources of my system. This should tell me if it can handle it. (Vista FAILED, constantly) Currently I use Windows XP x64, and it does extremely well.

  5. Posted on: February 06, 2009 at 6:35PM  

    So to recap the versions, we have:

    Starter (OEM)

    Home Basic (OEM)

    Home Premium (Retail)

    Profressional (Retail)

    Enterprise (Volume Lic.)

    Correct?

  6. Posted on: February 06, 2009 at 6:47PM  

    If I sell a PC with Windows 7 Starter on it I would not be selling a PC that the client wants, having come from an XP experience. This sound like an excuse to force Starter onto pre-loaded PCs and force the client to upgrade at a cost.

  7. Posted on: February 07, 2009 at 9:21AM  

    Not again!  Don't you guys ever learn? This is the kind of thing that makes Microsoft a laughing stock and gives Apple all the fuel they need for their next round of ads. Windows 7 is the best version of Windows ever, the great programmers responsible for it don't deserve to have their work trashed by this kind of greedy and stupid marketing. Microsoft shoots itself in the foot. Again.  

  8. Posted on: February 07, 2009 at 4:54PM  

    I think everyone is blowing this starter edition out of proportion.  I doubt that companies like Dell will even offer to sell a laptop or desktop with this version on it.  I think it's a great idea for those that have netbooks right now and don't need to run all that much on it.  It keeps the cost down for those, and also the resources used by the OS.  

  9. Posted on: February 07, 2009 at 9:12PM  

    I honestly think you should get rid of all the 32bit OS's... I mean don't you think it's about time to start revolutionizing the PC's again. I look at it this way. When i was growing up I saw all kinds of innovations from this company and now I think that its time to make that step... Kill off all the 32bit OS's and just stick with the 64bit.. Force people to change the way they program and do things like you did with Windows at first.. If anything i see that this company hasn't done much to prove they have what it takes to stay around.. Even though WIndows 7 is a godsend.. compared to Vista and XP.. I still think it should just be 64bit.. because the standard for a PC today is 2GB RAM... we all know thats going to change in the next yr.. also .. its basically higher than that now for most gamers and application users.. I just say kill it and make it what it should be .. THE BEST DAMN OS AVAILABLE but only in 64bit ... The future is that of the 64bit era... Anyway im done ranting.. Nice job on the New OS i cant wait to get the 64bit version in which im using now as my OS.. of windows 7.... laterz..

  10. Posted on: February 08, 2009 at 11:04AM  

    Lets see, a lot depends on price/performance. I don't particularly agree with all the sku's but the real question is price. the features between Vista home premium and Vista ultimate is so negligible for me that I can't justify the price difference. I am an enthusiast, but the beta of Windows 7 Ultimate just like Vista Ultimate it fails miserable when it comes to options and control. I will anthologize Windows 7, to Windows XP. Windows 7 is just for the most part is Vista made pretty, Where as Windows XP is just Windows 2000 made pretty. It's not a straight line analogy, Windows 7 has definite advantages, over Vista more so than XP had over 2000 in the same time frame.   But the economy is going to play a strong issue with Windows 7, not Microsoft's fault it's just bad timing for Windows 7.   Now would I pay a premium price for Windows 7 ultimate, absolutely, if and only if Microsoft relinquishes control over to me and allows me to choose what I want and stops choosing for me. Un-lock the UI, Allow me to be a true administrator, give me the control I had with Windows XP and I'll pay a premium price to have it "my way" so to speak.  Continue on this trend in believing that only Microsoft is omnipotent and that they know better than I do on what I want and my money will stay in my pocket or possibly go elsewhere.      The balls really in Microsoft court, Either make it really economical, low cost solution, or give me the true incentive to be Ultimate and give me ultimate control, either way it makes no difference to me. I'd love to pay $$$ for full control, again Microsoft wants to be Omnipotent,   when that finely stops that's when, I'll pay the ultimate price until then it's just  like Baskin-Robbins 32 different flavors all vanilla...

Trackbacks

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

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  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

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  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

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

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  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

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  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

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

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

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

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

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  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

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

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

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  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

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

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

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

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