Vista versions: maybe not so confusing after all

Am I the only person who’s actually happy about the mix of Windows Vista versions that Microsoft plans to offer next year? If you’re considering buying a new Windows PC, I believe your decision-making process will actually be simpler when Windows Vista hits the street than it is today. And if you’re planning to upgrade a PC you already own, you’ll find way more flexibility than you have with Windows XP.

I realize that flies in the face of conventional wisdom. One comment I read over and over again is that somebody looking for a new PC or a Windows upgrade has it so simple today, and those marketing morons at Microsoft are going to go screw it up for everybody by introducing all these confusing new packages. That conventional wisdom starts to break down the moment you look at it for more than about, oh, five seconds.

Last week I published a series of posts at ZDNet that address the widely held idea that Microsoft is making the biggest marketing blunder since New Coke by introducing too many versions. (I put together a table that clearly shows what’s in each version as well as two columns that explain the consumer features and the business features you’ll find in each upgrade.)

The core of the “Vista is too confusing” argument is that Vista has seven versions and XP only has two. Windows buyers will be paralyzed with indecision as they contemplate which version of Windows should go on their new PC. Oh, really? Look more closely.

The following table lists each current Windows XP version and its Windows Vista counterpart (if one is available).

So, let’s total it up. In the XP family, there are currently seven distinct editions to choose from. By contrast, Vista will offer a mere six. If the “too many SKUs equals mass confusion” argument were true, wouldn’t we know it already? (And if you want to argue that the 64–bit and Volume License editions of XP Professional shouldn’t be counted as separate, that still makes a difference of five versions versus six – and I contend that the one new version, Windows Vista Ultimate, fills a distinct need.)

As the table above shows, five of the existing Windows XP versions have direct counterparts in the Windows Vista family. There may be subtle differences, but they’re essentially the same thing. The biggest difference is that Windows Vista Home Premium is available for retail purchase; that’s a big change from its predecessor, Windows XP Media Center Edition 2005, which is available only if you buy or build a new computer.

Two Windows XP flavors have been rendered unnecessary. With Windows XP, you have to buy the 64-bit Professional version if you want to take advantage of a 64-bit CPU; likewise, ink and handwriting features are supported only on the Tablet PC edition, which is sold exclusively with new hardware and which is a superset of Professional Edition.

It’s probably true, as Mary Jo Foley argues, that Microsoft is going to make a big push to convince buyers to buy premium editions:

In February, company officials reiterated Microsoft’s goal to persuade more customers to opt for Vista’s premium SKUs—specifically, Vista Enterprise, Vista Home Premium and Vista Ultimate—when selecting their next-gen Windows operating system. Rather than upping Windows Vista’s price, Microsoft will be able to maintain and grow its Windows revenues by getting people to buy in at a higher price point, company officials have decided.

True enough, as far as it goes, but the argument misses two changes that are net positives for would-be Windows buyers:

Windows Vista gives Windows users an upgrade path they don’t have with Windows XP. The only supported upgrade path today is from Windows XP Home Edition to Windows XP Professional. You’d like to upgrade from your current version of Windows (Home or Professional) to Media Center Edition? Sorry, you can’t. In fact, you can’t even upgrade from Media Center Edition 2004 to Media Center Edition 2005 unless your hardware supplier provides an upgrade path for you. For most people, the only option is to buy an OEM edition and do a clean install. You also can’t add Media Center features to your Tablet PC today, nor can you log onto a Windows domain if you use Media Center Edition.

Windows Vista Ultimate Edition provides a combination of features that power users want. Today, you have a choice of two high-end Windows versions: Media Center Edition has a set of features that are appealing to digital media fanatics; Professional Edition has features that are essential to anyone who needs to connect to a corporate network. Want both? Tough. You can’t have ’em together today. Vista’s Ultimate Edition is ideal if you want access to a corporate network and a great media experience.

We won’t know how this plays out until Microsoft sets some prices and customers start buying Windows. My guess is that the price of most Vista versions will be similar to their current counterparts. Where Microsoft stands to make a fair amount of money is in upgrades – a market they don’t really have right now and which they hope to kick start via the Anytime Upgrade option. The cost of one version plus an upgrade will almost certainly be more than the cost if you had purchased the premium version originally. It should also pay off in sales of Vista Ultimate Edition, which will no doubt command a higher price than any existing version of Windows XP.

And if you’re as sick of reading about this topic as I am of writing about it, you’ll be glad to know that this is the last post I intend to write on the topic for at least six months!