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Windows 7 demand surprises MS

Johannesburg, 27 Oct 2009

Microsoft's much anticipated replacement for the disappointing Vista operating system has been out of stock at some retailers.

Stores have reported that stock is moving quickly after the official launch of Windows 7 on Thursday, but distributors are unable to keep up with demand.

Distributor Comztek has had issues with getting the basic edition from Microsoft. Heinz Stephan, technology director at Comztek, says the software giant alerted him on Friday that it was out of stock of Home Basic.

Stephan says demand for the operating system has been good. However, the past weekend was the first that Windows 7 was on the shelves, so the distributor did not yet have any sales figures available. However, he expects the new system to outsell Vista “three or four to one”.

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Incredible Connection CEO Dave Miller says the launch of the new system led to extra sales of notebooks. “Since the launch of Windows 7, we have sold 491 units over all the platforms, the most popular being Windows 7 Home Premium, followed by the Ultimate Edition and then Professional.”

DionWired - a subsidiary of giant Massmart - says it experienced late deliveries.

Massmart group corporate affairs executive Brian Leroni says the company only sold 19 units between Friday and Sunday across the Windows 7 range. The entry-level package performed the worst, and didn't sell at all, while the top of the range item sold the best with eight boxes sold.

Makro general merchandise director Derick Kalan says it was unable to supply Windows 7 Basic on the Microsoft launch date due to unforeseen problems with its software distributor. However, as a solution, the company is offering customers Windows Professional at the same price as Windows Basic - R1 499. Windows Premium and Ultimate are also available, says the retailer.

In demand

Colin Erasmus, head of the Windows business at Microsoft SA, says the company is “pleasantly” surprised that the new operating system is selling so well.

He adds that many of its distributors, both at head office and regional level, sold out of Windows 7 within hours on Thursday. This was especially seen with the higher-end versions, particularly Windows 7 Ultimate, he adds.

“We saw the same happening at some of the larger retailers in Johannesburg. And we also saw some of the specially-promoted Windows 7-powered hardware flying out of stores,” says Erasmus.

The company was also surprised at the level of awareness around the product, its launch and its features because of the lukewarm reception Vista received since its launch just over two years ago.

Erasmus says, while the computer-using public was aware of Vista, they were also cognisant of its shortcomings, and were not keen to move from XP to Vista.

“From our base, in Nelson Mandela Square, we spoke to a host of general consumers - they all knew about the product, with depth of knowledge to varying degrees, and they knew that Windows 7 was the step forward from Windows Vista. We also fielded a host of queries from customers who'd already bought and installed the product,” notes Erasmus.

At the launch last Thursday, Microsoft SA MD Mteto Nyati admitted the much criticised Vista had been a problematic system, but added that he expected Windows 7 to achieve a better adoption rate. “The operating system is meaner and cleaner than its predecessor. It has gone back to the first principles.”

Globally, Microsoft is pleased “by the early positive response we are receiving” for Windows 7, says Microsoft COO Kevin Turner.

Related story:
Windows 7 hits shelves

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