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Web blunder leaks Vista price tag

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Tags: vista, microsoft windows, microsoft

By Ina Fried

Published: 29 August 2006 09:05 BST

Microsoft on Monday briefly posted pricing for Windows Vista on its Canadian website, giving a glimpse of what the company will charge for the new operating system.

Microsoft listed Windows Vista Business at a price that equates to $341 in US currency, seven per cent less than what Microsoft charges in Canada for Windows XP Professional.

Microsoft quickly removed the price information but blogger Ed Bott, who spotted the price list earlier on Monday, included the price list in a posting on silicon.com sister site ZDNet.com.

A Microsoft representative said the company "inadvertently posted Windows Vista Canadian retail prices" on its website but said it has removed the posting and is not ready to share US pricing information. The company said it would announce those prices when it ships the "Release Candidate 1" test version, due out by September.

The posting indicates that the Home Basic edition of Windows Vista will be priced the same as Windows XP Home, at US$233. The Home Premium version, which includes support for Media Center and tablet PC abilities will sell for 13 per cent higher, a price that equates to about US$269.

The company is still wrapping up development work on the oft-delayed Windows update, which will come more than five years after its predecessor, Windows XP. After issuing the near-final release candidate next month, the company hopes to finalise the code in November in time for a mainstream launch in January.

Microsoft has yet to announce publicly its pricing plans but has said they will be generally similar to Windows XP prices, with a higher tag planned for Windows Vista Ultimate, a new high-end version that combines advanced media features with business-oriented features.

Windows unit head Kevin Johnson said at a July meeting with financial analysts: "We don't expect significant changes in our pricing strategy. However, Vista Ultimate is a new [product], and we will sell that at a modest premium to today's offerings."

The information that was posted on Microsoft's Canadian website suggests that the premium will be hefty indeed, with that version priced at what equates to US$449.

Gartner analyst Michael Silver said: "The thing about list prices for full versions is that no one pays them, anyway. Most people will get Vista as part of a new PC, and the price will be buried in with the cost of the hardware."

And those who are upgrading their existing PCs pay the lower upgrade prices, Silver said.

On the upgrade front, a Vista Ultimate upgrade is priced somewhat above today's cost for upgrading to XP Professional. Windows Vista Business, meanwhile, is priced slightly below the XP Pro upgrade price. The upgrade to Windows Vista Basic is priced at the same rate as that for XP Home Edition, while Vista Home Premium is priced 54 per cent higher than the basic edition.

The software maker announced in February it plans to sell six versions of Windows Vista, including Vista Starter, which will be sold only on new PCs in emerging markets.

Ina Fried writes for CNET News.com

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