Microsoft settles on six versions of Vista

Although it is still working to finish the code for Windows Vista, Microsoft has reached a decision on which versions of the operating system to offer.

Microsoft has settled on six versions, including an Ultimate edition that will combine the best of the company's corporate and consumer features. The company is aiming to have all of the versions ready for launch in the second half of this year.

Barry Goffe, a director in Microsoft's Windows client unit, said: "We're really trying to make sure we have the right set of offerings for different customers."

Consumers will also be able to buy either Vista Home Basic or Vista Home Premium, in addition to the Ultimate edition, while businesses will be able to choose Vista Business or, if they have a volume licensing deal, they can opt for a higher-end Vista Enterprise edition. Microsoft also plans a Vista Starter edition that will be sold only on new PCs in emerging markets.

The final versions which Microsoft is due to announce today are similar to the ones Microsoft has long been considering, with one exception: there is no version specifically for small businesses. Instead, Microsoft is adding a number of small business features, including advanced back-up and additional tutorials, as part of its Vista Business edition.

Microsoft is also doing away with the notion of Media Center and Tablet PC as distinct flavours of the operating system, as was the case with Windows XP. With Vista Home Premium and Vista Ultimate, consumers will be able to buy a machine that has both Media Center and Tablet PC capabilities. Tablet PC functions will also be included in Vista Business and Vista Enterprise.

With Windows XP, Goffe said, people "really have to compromise".

He continued: "Either I get all the great media experience or I get all of the mobility features. What if I want a great home experience and a great business experience?"

Goffe said Windows Vista Ultimate is Microsoft's answer to that question. "More and more customers are using the same PC at work and at home, particularly small businesses," he said. "We are delivering an offering that brings everything together." Ultimate combines features from the Enterprise and Premium versions.

Another of the new packages for Microsoft is Windows Vista Enterprise, which is limited to customers that have a Software Assurance contract or an Enterprise Agreement licensing plan and adds several features which won't be in the standard business version.

It will include two features designed to help with compatibility issues. This means a new subsystem that can run Unix Applications and Virtual PC express and a limited version of Microsoft's emulation software which will allow Vista Enterprise users to run an older version of Windows as a virtual machine. Vista Enterprise will also have built-in support for BitLocker, an encryption feature that prevents others from accessing data if a PC is lost or stolen. BitLocker is also available in Vista Ultimate, which includes all of the features of Vista Business and Vista Home Premium.

Microsoft has been planning for some time to offer higher-end versions of its OS with Vista. CEO Steve Ballmer first noted that an Enterprise version was coming at a financial analysts' meeting last summer. Microsoft had also long hinted that with Vista, customers would be able to buy a machine that had both Tablet and Media Center features.

Vista Starter is similar to the starter edition of Windows XP. Like its predecessor, Vista Starter will be sold only on new PCs and in emerging markets. XP Starter was limited to three applications running simultaneously, each with no more than three simultaneously open windows. Goffe said Vista Starter will have similar limitations.

Directions on Microsoft analyst Michael Cherry said six versions of Vista is too many. "I could see two versions," he said. "I could see business and a consumer version. Businesses might not want all of the entertainment features on the desktop."

Microsoft did not disclose pricing for Vista, although Goffe said Vista Business will be priced similarly to XP Professional, while Vista Home Basic will have a price tag akin to Windows XP Home. Vista Ultimate will be the highest priced of the products.

Because of the European Union mandate, Microsoft will also offer two flavours of Vista that have Windows Media Player removed: 'Windows Vista Home Basic N' and 'Windows Vista Business N'.

All the flavours of Vista will be able to run in either 32-bit or 64-bit mode, with the exception of Starter, which will be 32-bit only.

Goffe said the goal with Vista was to have multiple versions to meet varying types of users: "We've really tried to take into account those different needs."

Directions on Microsoft's Cherry disagreed with that approach, saying more versions makes it difficult for consumers to figure out what they need and for PC makers and retailers to educate people about all of the differences.

He said: "What I have to contrast it with is Apple. They only have one version of OS X."

Ina Fried writes for CNET News.com