Windows on Netbook PCs: A Year in Review

It’s hard to believe it’s been a year since we first started to see netbook PCs running Windows come to market.

Little did we know that these devices would evolve so much in such a short time. A year ago, they were Internet-centric devices defined mainly by their tiny size and low cost. An interesting concept perhaps, but sales didn’t really take off until the category evolved into the more capable small notebook PCs we see on the market today.

For example, early Internet-centric models typically offered a 7 inch screen, very small keyboard, slow legacy processors, 512MB of RAM or less, and 1-4 GB SSD storage, whereas typical configurations today have 9 and 10 inch screens, near full-size keyboards, 1GB RAM and up to 160GB storage. Netbook PCs have now extended far beyond Internet browsing to be truly full-functioning small notebook PCs.

Initially, some in the industry viewed low-cost netbook PCs as a new challenge for Microsoft and an opportunity for Linux to make inroads in the consumer market. Some believed consumers wouldn’t want or need their netbook PC to be a full-featured PC. In fact, the exact opposite turned out to be true – a number of analysts and researchers following the space see ample evidence indicating customers really DO want netbook PCs to work like their larger brethren – and that the way the vast majority of consumers make that happen is by buying a netbook PC with Windows.

As a result, the growth of Windows on netbook PCs* over the last year has been phenomenal. We’ve seen Windows share on these PCs in the U.S. go from under 10% of unit sales during the first half of 2008 to 96% as of February 2009, according to the latest NPD Retail Tracking Service data. 

*Netbook PCs are small notebook PCs with a screen size 10.2" and smaller and a price under $500.

Not only are people overwhelmingly buying Windows, but those that try Linux are often returning it. Both MSI – a leading netbook PC OEM – and Canonical – the vendor supporting the commercial distribution of Ubuntu Linux - stated publicly they saw Linux return rates 4 times higher than Windows. Why such a disparity? Because users simply expect the Windows experience. When they realize their Linux-based netbook PC doesn’t deliver that same quality of experience, they get frustrated and take it back. Here’s a telling stat: In the UK, Carphone Warehouse dropped Linux-based netbook PCs, citing customer confusion as a reason for a whopping 1-in-5 return rate.

Why are consumers choosing Windows? Because its’ easier to use, just works out of the box with people’s stuff, and ultimately offers more choice.

It’s easier to set up, easier to use, and easier to maintain – Over the last 25 years, we’ve learned a lot about what people want out of an OS, and we’ve built Windows to meet those needs, including:

  • There’s a wizard to help with just about anything, so you’ll never need to go to the command line and manually configure things.
  • Techs all over the world speak Windows, which means it’s easy to get help either online or in person.
  • It’s easy to stay up-to-date since Windows releases updates, patches and fixes on a regular, predictable schedule. And you can set your machine to download and install them automatically!

It just works with people’s stuff - A few examples of Windows unmatched compatibility are:

  • Windows supports nearly 3,000 printers, more than 700 digital cameras, more than 240 webcams and more than 180 digital video cameras.
  • Windows supports the broadest array of PC applications and games.

There’s more choice - 90+ partners ship Windows-based netbook PCs today, so you can get exactly the machine you want at exactly the price you are willing to pay.

Looking forward, we can confidently say that no matter how netbook PC hardware evolves, we’re gearing up to ensure that Windows 7 will run great on them. As we mentioned at PDC, we’ve been testing Windows 7 on netbook PCs since before Windows 7 was feature complete, and our plan is to enable these small notebook PCs to run any edition of Windows 7. From what we’re hearing, our partners are excited to get Windows 7 on these PCs as well.

The last year has been an interesting one, and seeing what’s happening in the marketplace already, and what we’re expecting in the next year, we fully expect the next generation of small notebook PCs will deliver even richer experiences and greater utility. That means that more than ever you’ll be able to find a small notebook PC that exactly fits your lifestyle and interests, just like you can with any other kind of Windows PC.

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Comments

  1. Posted on: April 03, 2009 at 9:24PM  

    Gotta love Netbook PCs, small portable, those with solid state hard drives have good battery life, they're ideal for college students moving to and from each class, or even business men and women who may need a file for a meeting, but don't want to lug their larger primary laptop.

    Companies that don't invest in netbook's in the future will be left behind, for technology centered business' they will fill the place between the desktop/laptop and the blackberry.

    All that needs to come along is a killer Netbook that blows the others away at a great price, for me that would be a Netbook with a built in webcam and maybe a special Skype Video or Live Messenger Video mode so you could get videoconferencing on the go easily, the mode could be similar to the way Quickplay is on a HP laptop where Windows is hidden away and you just get to what you want.

    Of course a Netbook like that  would need some hefty ram, so that the video can be buffered without to many writes to the SSD, but it could be nice.

    Anyway, that's just my wish.  A netbook is definitely on my lists of very useful things to own, the priority now though for me is getting a new job.

    Not as bad as it sounds my wife was just accepted to 3 year masters degree in nursing program in Boston so I have to make the move, just unfortunate that it has to be in this job market.  Even more scarey is the loans for the 90K cost of school, urrrgghhh, gotta think positive !

    If I do get a job though, a Netbook for the wife would be a goal, I can't imagine students or business' not having a real need for these things.

  2. Posted on: April 03, 2009 at 11:46PM  

    Enough to refute, or at least turn back on yourselves, and the first bullet points are pretty creaky Linux FUD but, you know, I'm actually pleased to see a marketing post that attempts to bring it without sounding desperate or misfiring completely. Good one.

  3. Posted on: April 04, 2009 at 9:30AM  

    Every new version of windows has a feature or two most everyone really likes, like a song on an album. You write that This next version promises to run on smaller slower hardware, and the underlying feeling is that the "developer story, a story that for some reason got lost with Windows Vista" will continue.

        I've got some misplaced questions about that: Will it really take advantage of quadcore/etc processors, will it truly embrace some of the latest video-card (GPU) technology, will "64-bit" mean more than it does now,

     Or will it just be prettier?

    Modifying security settings using a third party website has always been dangerous. They'll pontificate, all goes fine until half the apps crash or the whole system gives up in a bright shade of blue.

      Making a setting that this computer is on a "public network" etc was a fantastic step in the right direction. UAC is also nice, if a little confusing.

    But more is needed.

    Do I want to provide "Routing and remote access"? Do I want any remotely accessible registry paths? Don't get me started on IPV6 which can only be disabled by a Guru knowing the ancient secret.

      Make it faster. Make it easier to use.

  4. Posted on: April 05, 2009 at 5:58AM  

    <blockquote>•It’s easy to stay up-to-date since Windows releases updates, patches and fixes on a regular, predictable schedule. And you can set your machine to download and install them automatically! </blockquote>

    Yes, like Debian has been able to do since dselect in 1995, three years since Windows Update in 1998. And why is a regular, predictable UPDATE cycle a good thing? A predictable RELEASE cycle is a good thing, but UPDATES should be rolling - that is, as soon as a fix is found, it is packaged and pushed out immediately.

    <blockquote>It just works with people’s stuff - A few examples of Windows unmatched compatibility are:

    •Windows supports nearly 3,000 printers, more than 700 digital cameras, more than 240 webcams and more than 180 digital video cameras.</blockquote>

    But more works out-of-the-box with most GNU/Linux distributions. With Windows, you have to install drivers: with most *nixes, they either work out of the box or automatically install the correct drivers.

    <blockquote>Here’s a telling stat: In the UK, Carphone Warehouse dropped Linux-based netbook PCs, citing customer confusion as a reason for a whopping 1-in-5 return rate.

    --snip--

    Why are consumers choosing Windows? Because its’ easier to use, just works out of the box with people’s stuff, and ultimately offers more choice.</blockquote>

    You have essentially invalidated your own claim there: 1 in 5 people returned netbooks because they were expecting a Windows environment. In that case, that's because they didn't make it clear it wasn't using a Windows operating system.

    If we're honest, most people don't know the difference between Microsoft, Windows and Office, and don't understand that not all computers come with Windows. They don't <em>choose</em> Windows: it's just that the vast majority of machines come with Windows, and when they see something different, they become confused. When someone saw me using my machine in Ubuntu (it dual-boots Ubuntu and Windows 7) they asked "how do you get into your Microsoft?"

    <blockquote>As we mentioned at PDC, we’ve been testing Windows 7 on netbook PCs since before Windows 7 was feature complete, and our plan is to enable these small notebook PCs to run any edition of Windows 7.</blockquote>

    This intrigues me. What's stopping it running such an OS? It's an x86/64 compatible PC, it <em>should</em> be able to run any compatible OS, <em>including</em> all releases of Windows 7.

    Not wishing to sound like Richard Stallman's love child, because I <em>do</em> like Windows 7, but using the same old clichéd FUD arguments won't get you anywhere.

  5. Posted on: April 06, 2009 at 10:54AM  

    Ubuntu is making great progression towards making these easy and making things work right out of the box. Canonical has done a really good job of fine-tuning the Linux experience for the non-Linux user.

    The problem is that they still have a long way to go before they make things as easy as they are on Windows. Sure; Windows has it's problems and downfalls too, but it's still the most reliable OS out there.

    Mac is obviously a big contender and Apple has done an amazing job making things easy. Canonical should take some time and figure out what makes the Windows and Mac experiences so great. Then maybe things will change for them... Curious about how the Google OS is going? I've ready rumors they're in talks with HP to release Google netbooks.

  6. Posted on: April 06, 2009 at 12:39PM  

    I suspect the high return rate is also related to "people fighting change."  My short career has taught me that people don't like  change and want to keep on doing what they already know.  There also seems to be a positive correlation with age, the older the bigger the fight.

    For example when MSFT updated the start menu for XP the old IT guys I know changed it back to the old one even though the new menu was far superior; and these were IT people!

  7. Posted on: April 07, 2009 at 1:31AM  

    Sun really missed the boat on this one.

    I bought 2 Asus eeepc's more than 1 year ago when thye first hit the market.

    The sales staff were ill trained in Linux and were apologising for the lack of Windows Software.

    But what really killed it for me was that I bought a Huwaei HSDPA connection with my local mobile operator. Guess what, The softare included does not support Linux. I contacted the mobile operator support team for help to install it and they basically said ' We have no clue how and we ARE NOT going to help you'.

    I checked plenty of online posts on 'how to' install it and supposedly it can be done but still havn't figured it out and consequently, the 2 units are in the back of a closet and are hardly ever used :(

    Cone on SUN - Your OS concept is great but you gotta keep up with the market f you want to win the game :)

    I am still using Vista and XP on my units. I would be happy to switch to SUN tomorrow if they could come up with a user friendly product that can equal Microsoft. Sadly, they are still not there.

    Thats my $0.2 worth :)))

  8. Posted on: April 07, 2009 at 1:41AM  

    " suspect the high return rate is also related to "people fighting change."  My short career has taught me that people don't like  change and want to keep on doing what they already know"

    I most respectfully disagree, mainly because people who I've met almost always love change, it's the incompatability/learning curve they take issue with (with which they...o, whatever). Consider this telling article from Cnet, showing that MLB won't be using silverlight to stream baseball games,  WHY BASEBALL BENCHED MICROSOFT SILVERLIGHT "news.cnet.com/8301-1023_3-10212843-93.html

     My disclaimer(S) are two. One, Cnet is a little too eager to point out any Microsoft flaws to be fair and balanced, and, you know, grain of salt etc.

    Two, the " HP/Microsoft Frontline Partnership" and the related funds available to anyone who comes up with a decent Marketing campaign prevent me from sucking down the great big idea that HP is the best computer they could find.

  9. Posted on: April 07, 2009 at 7:31AM  

    I have to completely disagree with the following points:

    1. "Why are consumers choosing Windows? Because its’ easier to use, just works out of the box with people’s stuff, and ultimately offers more choice."

    People are choosing Windows because it's all thy know. The ease-of-use argument is tired and invalid. I have set up linux systems for children. Small children....ages 3-5 and they had no complaints. In fact they were quite pleased with the systems, and I ceased to hear the words "My computer's broken, can you come fix it???".

    My 50-year-old mother uses Linux, my 63-year-old father uses Linux. Neither of them have any complaints. Both of them use openoffice.org for all of thier office work. They use Evolution and thunderbird for their email clients, and they use firefox for their web browsers.

    Not a single recipient of any of the documents they send via their email clients has an issue with compatibility.

    It takes me a total of about 10 seconds to connect to a Windows workgroup with an Ubuntu machine. It takes me approximately 30 seconds just to find the right Wizard on a Windows XP machine.

    "More choice"

    Bull. I'm able to do more with a Linux machine than I am with a Windows machine.

    The amount of commercial software I am able to use is slightly reduced, but the access to thousands upon thousands of open source titles really just makes me scoff at a lot of the proprietary alternatives. Many of them are broken...and....in the case of Microsoft's products: stolen ideas.

    2. "It’s easy to stay up-to-date since Windows releases updates, patches and fixes on a regular, predictable schedule. And you can set your machine to download and install them automatically!"

    So what? I have an applet in my taskbar on my ubuntu machine that notifies me of updates. I install them just the same and I don't have to reboot every time, unless I'm replacing the kernel ("core" for the slow) of the operating system.

    Not only that, but these updates cn also be configured to automatically install...and I don't have to worry about the "Service Packs" breaking my system. Again: Your statement has been rendered invalid by fact.

    On a personal note:

    I own a Dell inspiron mini 9.

    I make electronic music. The preemptive-multitasking realtime kernel I use has a context switch time within microseconds. I get unmatched performance. That is something that could never be said for a Windows-based netbook.

    Not only that, but I don't pay a dime for the professional-quality software that I use to make the music.

    With Windows I can barely run a desktop on my little netbook.

    In Linux, it becomes a full-blown portable studio.

    If you're going to evangelize your operating system, make sure that it's at least part-way worth it's salt.

  10. Posted on: April 07, 2009 at 10:21AM  

    From what I see around, actually it seems to me that Linux share in the notebook market keeps growing as more people realize that every "new" version of Windows needs to be constantly patched  to fix its thousands of  bugs. The main reason Windows still holds a share in the market is that Microsoft unlawfully managed to monopolize the notebook market. Yet, once more David will emerge victorious against Goliath.

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  2. Posted by: TheUndeadable entwickelt on April 04, 2009 at 2:41AM

    Ein kleiner Blogpost eine Microsoft-Mitarbeiters: Windows on Netbook PCs: A Year in Review Initially, some in the industry viewed low-cost netbook PCs as a new challenge for Microsoft and an opportunity for Linux to make inroads in the consumer marke

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