Vista: Too Pricey for Emerging Asia?

Microsoft's latest improvements add costs that may be prohibitive for users in critical economies and send them to rivals or pirated copies

Microsoft has to do more if it wants to boost Windows Vista sales in Asia's emerging markets as affordability is still an issue, an analyst says.

According to a statement Thursday on Microsoft's first-quarter earnings for fiscal 2007, Allan Krans, an analyst at research house Technology Business Research (TBR), noted that while enhancements included in Vista offer security and functionality improvements, the operating system also requires a heavier hardware configuration compared with Windows XP.

Although the costs of a dual-core processor, added memory, and graphics processors may not be prohibitive for users in the Americas or Europe, any additional cost on a PC can have a substantial impact in emerging geographies like China, Krans said.

View: Business Week

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