Office 2010 UK pricing announced, some editions 35% more expensive than U.S.

Microsoft has unveiled the UK pricing for Office 2010 today and it's not good news for Brits wanting to get their hands on a copy of Microsoft's latest and greatest.

Pricing for some versions of Office 2010 in the UK is 35% more than prices in the US. Office Home and Business will be priced at £239.99 in the UK and $279 (£176) in the US. Although the US prices do not include local Taxes, the hike in prices is still substantial.

IT Pro questioned Office Product Manager Chris Adams over the prices. "There are different market dynamics - channel margins, for example, local market conditions, foreign exchange - that we need to take on board," he said.

Boxed copies of Office 2010 in the UK will be available at the following prices:

  • Office Home and Student - £109.99
  • Office Home and Business - £239.99
  • Office Professional - £429.99

Microsoft also said it will be offering Product Key Cards for customers who purchase new PCs from retailers. The Key Cards unlock a trial version of Office 2010 that is pre-loaded by OEMs onto PCs. Product Key Cards for Office 2010 in the UK will be available at the following prices:

  • Office Home and Student Key Card - £89.99
  • Office Home and Business Key Card - £189.99
  • Office Professional Key Card - £299.99

Microsoft revealed last month that customers who purchase Office 2007 between March 5, 2010 and September 30, 2010 will receive a free upgrade copy to Office 2010. Check out Neowin's top new features in Office 2010. Microsoft Office 2010 is expected to be generally available on June 15.

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55 Comments

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Technically, if you're a university student I would bet they'll be putting the 2010 version on "The Ultimate Steal" - www.theultimatesteal.co.uk

You can get a legal, full, professional copy of Office from there for like £40, so no point buying the student edition for £100 when you don't even get half the software.

Historically prices have been high in Britain no matter which party is in power. Politics, as they say, is the entertainment division of industry. One difference between Brits and Americans is that Brits are apt to moan about prices where Americans - "The customer is king" - are apt to complain and lobby. Just trying haggling over price in the UK or asking if you can get a bulk discount!

British Prices include tax, so if you average out US sales tax at 10% (it varies from state to state) you get a clearer picture - but keep in mind that not all states charge sales tax.

When the Canon 7D DSLR first came out you had the absurd situation of Brits flying across to NY and buying it there, the pound was at that time a bit stronger against the dollar and the difference in price payed a large chunk of their return flight, a cheap holiday. That is of course illegal because they are avoiding paying her majesty's import duty, something they should be declaring on their customs forms on their return to Britain. I remember British consumers anger at the 7D pricing. Though prices of new technology drop, the difference is additionally compounded by a voucher/cash back culture in the US that Britain has only the flimsiest equivalent of.

Today, the price of the new and cheaper Canon 550D/Rebel T2i model with kit lens in the US is $899. The price in the UK is set to be £899! I am not making this up. Go and check. Adding 10% sales tax to the US price you get $988.99. Assuming dishonesty is rampant and people avoid customs tax, that price is great for the tourist industry in American but lousy for the British economy.

People in the UK have to undertsand - you elected TWO socialist governments - one in Westminster and the other in Brussels. Socialist governments hammer businesses for tax revenues. Businesses then pass on teh costs to consumers. If you want socialism you're going to have to pay for it.

Get used to it. Or better, get rid of your socialist governments. There is no free lunch (or health service).

bbfc_uk said,
Will Home and Student include Outlook instead of that pointless OneNote?!
I've never used it personally, but I've heard a lot of people swear by OneNote.

Outlook isn't really appropriate for Home and Students, because they generally do perfectly fine with free email clients.

Guess I'll just use OpenOffice instead, don't need many of Office's features. I actually use Google Docs more than anything else atm.

hotdog963al said,
Guess I'll just use OpenOffice instead, don't need many of Office's features. I actually use Google Docs more than anything else atm.

At least for SpreadSheet, it is to far inferior to Excel.

>Higher taxes, higher cost of advertisement, higher wages to pay for people who support MS operations in UK, higher level of government regulation of businesses (to enforce things that you like such as good return policies)... the list goes on...

And maybe MS is paying taxes in UK in the range of 50%....

kingco said,
>Higher taxes, higher cost of advertisement, higher wages to pay for people who support MS operations in UK, higher level of government regulation of businesses (to enforce things that you like such as good return policies)... the list goes on...

And maybe MS is paying taxes in UK in the range of 50%....

Exactly. There are all these hidden costs when doing business in any country. The price of the product has to reflect that. It is very likely that even though it is 35% more expensive than US, and they still make less of a profit from the UK market.

Almost all of MS operational costs, cost MORE in UK. Yet you are all astounded at how this evil US corporation would be so bold as to pass that cost off onto you.

Higher taxes, higher cost of advertisement, higher wages to pay for people who support MS operations in UK, higher level of government regulation of businesses (to enforce things that you like such as good return policies)... the list goes on...

You expect MS to just eat these costs? Get Real!

Islander said,
So what, that's what it costs to translate the software.

Oh wait...

Well, the UK software is partially translated (e.g. color --> colour). :)

Kirkburn said,
Well, the UK software is partially translated (e.g. color --> colour). :)

ye, realy...

Edited by xn--bya, Feb 17 2010, 7:46pm :

With all the suing going on and restrictions/edits the UK and other countries demand from MS, it makes sense its more expensive.

No surprise really .. just about everything is more expensive here than in the States .. always has been!

Does anybody really like that ribbon?

sanke1 said,
Buy if from software for students website. They so it cheapest.

I guess I would sooner pay more for the English rather than the Engrish edition.

Edited by ]SK[, Feb 17 2010, 12:22pm :

Doesn't the Home and Student edition allow you to use it on upto 3 computers? If so, then technically you're only paying £36.66 for each copy.

Also, I wish companies would quit using .99 on the end of all prices. It's ridiculous.

Ace said,

Also, I wish companies would quit using .99 on the end of all prices. It's ridiculous.

"When a price changes from $30 to $29.99, the change from three to two makes more of a difference than the value of that money could predict," says Mr Schindler. "It is like when a 39-year-old turns 40, the birthday feels like a big deal. Or when 1999 ends and 2000 starts. It feels like an emotional difference."

http://news.bbc.co.uk/2/hi/uk_news/magazine/7522426.stm


get used to the *.99 pricing (or *.88 in asia). There have been countless studies proving it's effectiveness and it is likely here to stay.

Urgh. The higher cost of living, higher taxes and less savings here in the UK should be making Microsoft reduce the price of their software...

Aren't the prices for everything in UK higher? I see MS is just following the "price in pounds = price in USD" pattern like all others.

in an ideal world it would be cheaper here as the Pound is worth more than the USD... but thats to their advantage... they can charge more as us stupid brits will pay more :(

Ricksterm said,
in an ideal world it would be cheaper here as the Pound is worth more than the USD... but thats to their advantage... they can charge more as us stupid brits will pay more :(

Economics and the value of money do not work like that. With your logic everything would be damn cheap in Japan.

Edited by AtriusNY, Feb 17 2010, 1:52pm :

Ricksterm said,
in an ideal world it would be cheaper here as the Pound is worth more than the USD... but thats to their advantage... they can charge more as us stupid brits will pay more :(

I think that the high prices has more to do with your politicians than MS. Also realize that MS has to setup shop in UK in order to support their operations there. Because the pound is worth more than the dollar it costs MS more to operate in UK. Having a superior currency isn't always the best thing for the people of the country. For instance, now that the dollar has inflated my company is getting more work from China and India (because they can afford us now). Our standards of living hasn't gone down.

I've just had a thought their charging us nearly as much as they were for a full blown operating system (vista/win7) how is that justifiable

sponex said,
I've just had a thought their charging us nearly as much as they were for a full blown operating system (vista/win7) how is that justifiable
If you read this: http://www.neowin.net/news/where-do-microsoft039s-profits-come-from you will know that both Office and OS divisions are similarly profitable, so they're charging similar prices

vanx said,
If you read this: http://www.neowin.net/news/where-do-microsoft039s-profits-come-from you will know that both Office and OS divisions are similarly profitable, so they're charging similar prices

don't take this the wrong way vanx, but that comment is pretty useless. an Os does more is more system critical and takes longer and is more complex to code then an office suite dependent on software dev team size obv. so ud expect to pay more for that. not a similar price to an office suite.

sponex said,

don't take this the wrong way vanx, but that comment is pretty useless. an Os does more is more system critical and takes longer and is more complex to code then an office suite dependent on software dev team size obv. so ud expect to pay more for that. not a similar price to an office suite.

Have you seen how staggered the Office releases have been? 2003, 2007 and 2010. A lot of development time goes into such products. And that's for Windows, not to mention MAC versions. A price of a product doesn't have as much to do with how system critical it is, but how much investment has been made into it and the array of features it presents. Besides, the longer one uses a product the greater its value, so one is able to realise the benefits of paying a substantial amount of money.

that would be becuase people expect the turn around an OS to be quicker so the OS development team would be much larger so they can turn around products quicker where as the office development team which i read somewhere (so dnt take this as god) is 50 people so development/testing will take longer. and os development cycle is on average 2-3 years (based on past 3 os's for Ms(XP, VISTA & WIN 7) compared to what you've quoted for office being on average of 3-4 year turn around not that much difference tbf.

sponex said,
I've just had a thought their charging us nearly as much as they were for a full blown operating system (vista/win7) how is that justifiable

Its priced to what the market can bare. Just like anything else.

"IT Pro questioned Office Product Manager Chris Adams over the prices. "There are different market dynamics - channel margins, for example, local market conditions, foreign exchange - that we need to take on board," he said."

he would say that. its just media spin to try and make it exceptable to charge those prices. on another note i expect to the piracy of office 2010 quite high in the UK then. higher then if they just released it with a sensible pricing.

RawGutts said,
Damn!

Microsoft loves to screw you UK guys and gals over.

Maybe they do it for the free press.


Meh, the only people this will affect is businesses and Microsoft, who will inevitably sell less at these prices. I just can't justify spending that sort of money on software, though I bought office 2007 a while back. So I won't be buying it, I'll still use it though.
In the end its Microsoft who loses out by treating people from the UK like bloody morons.

Edited by TSO, Feb 17 2010, 4:38pm :

RawGutts said,
Damn!

Microsoft loves to screw you UK guys and gals over.

Maybe they do it for the free press.

Or maybe the EU love to put restrictions on MS. They have to get the losses back somehow, and this is it.

RawGutts said,
Damn!

Microsoft loves to screw you UK guys and gals over.

Maybe they do it for the free press.

Don't forget the US were screwed over with Windows 7 prices... Therefore the tables turned and it's our turn to get screwed over with Office 2010. Although I would still pay £399.00 for Professional let us see what the online mail orders come in as. I bet Ebuyer, Dabs and Scan will probably lower their prices for competition... it the battle commence...

vice le von said,

Or maybe the EU love to put restrictions on MS. They have to get the losses back somehow, and this is it.

afaik UK is not part of the EU.

Magallanes said,
afaik UK is not part of the EU.
afaik UK has been part of the EU since the 1st of January 1973 and joined at the same time as Denmark and Ireland.