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Microsoft prepares Windows Anytime Upgrade, v2

By | April 23, 2009, 7:35am PDT

Summary: More than three years ago, Microsoft introduced its Windows Anytime Upgrade program in a beta release of Windows Vista. In practice, Anytime Upgrade was a spectacular failure. The upgrade process itself was a cumbersome kludge, the price tag was way too high, and there was no perceived benefit in it. Like so many Vista features that were poorly executed, Anytime Upgrade has been completely reworked for Windows 7. Will it be enough to get you to upgrade?

Way back in February 2006, nearly a year before the consumer launch of Windows Vista, I noted the first appearance of Microsoft’s Windows Anytime Upgrade program in a Vista beta build. The theory behind Anytime Upgrade was a good one: if you bought a PC with one edition of Windows installed, you could upgrade online and get additional features.

In practice, the Vista version of Anytime Upgrade was a spectacular failure. The upgrade process itself was a cumbersome kludge that required physical media and a full Windows reinstall (a process that can take hours), the price tag was way too high, and there was no perceived benefit in it.

Fast forward to 2009. Windows Anytime Upgrade will be available in Windows 7 when it’s publicly released in a few months, and like so many Vista features that were good ideas, poorly executed, it has been completely reworked. What’s changed? I took a close look at a recent beta to see for myself. Here’s what I found.

When you buy a new consumer PC running Windows Vista today, you probably get Home Premium Edition. That’s going to be the most popular OEM edition when Windows 7 comes out as well. So what if you want features such as Offline Files and the ability to join a Windows domain, which are found in Vista Business edition or its successor, Windows 7 Professional? With Vista, you have to shell out $150 for an upgrade to Ultimate edition. With Windows 7, the upgrade paths are easier.

As I noted earlier this year, “each edition is a superset of the one before it. That means you can upgrade from, say, Home Premium to Professional by purchasing an upgrade key and then ‘unlocking’ the additional features.”

Earlier this month, I installed a recent build of Windows 7 and tried out the Anytime Upgrade procedure for myself. The process is, as promised, remarkably easy. I’ve put together a screen-shot gallery to illustrate the process. Here’s how it works:

1. Go to the System Properties page in Control Panel, where you can see which edition is currently installed. In this case, I have Windows 7 Professional installed. However, this process would also work with Windows 7 Starter Edition or Home Premium.

2. Click the link to “get more features with a new edition of Windows 7.”

3. Buy the upgrade from Microsoft or from a partner, such as the OEM who manufactured your PC. The top link (”Go online and choose an edition”) won’t work until Windows 7 is released and the various purchase channels are enabled, obviously.

4. Enter the Anytime Upgrade product key.

5. Go do something else for 10 minutes or so, while the system is being upgraded. The system will restart automatically as part of the upgrade.

6. When the upgrade is complete, click to begin using the new features.

What was remarkable about this process is that it didn’t require me to insert the original installation media or download any code. It simply unlocked the features in the upgraded edition, and it really did take only a few minutes to complete.

The devil, as always, is in the details. In this case, the most important missing detail is price. If Microsoft can offer easy upgrades from Starter to Home Premium and from Home Premium to Professional for $49 or less, this is a great way for Microsoft to boost the average selling price of Windows (a metric that adds directly to the bottom line) and give customers value. On the other hand, if those upgrades are priced too high, as in $99 or more, then fuggedaboutit.

The other missing piece of the Anytime Upgrade puzzle is a list of added features that Windows customers will be willing to pay upgrade dollars for. Back in February, Microsoft promised to share details about the features that will be in each edition of Windows 7. With a release candidate just around the corner, those decisions must have been made already. So why won’t Microsoft make the details public?

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Ed Bott is an award-winning technology writer with more than two decades' experience writing for mainstream media outlets and online publications.

Disclosure

Ed Bott

Ed Bott is a freelance technical journalist and book author. All work that Ed does is on a contractual basis.

Since 1994, Ed has written more than 25 books about Microsoft Windows and Office. Along with various co-authors, Ed is completely responsible for the content of the books he writes. As a key part of his contractual relationship with publishers, he gives them permission to print and distribute the content he writes and to pay him a royalty based on the actual sales of those books. Ed's books written prior to fall 2011 have been distributed by Que Publishing (a division of Pearson Education) and by Microsoft Press. As of November 2011, Ed is a partner in the independent publishing company Fair Trade Digital Exchange, which exclusively publishes his books.

On occasion, Ed accepts consulting assignments. In recent years, he has worked as an expert witness in cases where his experience and knowledge of Microsoft and Microsoft Windows have been useful. In each such case, his compensation is on an hourly basis, and he is hired as a witness, not an advocate.

Ed does not own stock or have any other financial interest in Microsoft or any other software company. He owns 500 shares of stock in EMC Corporation, which was purchased before the company's acquisition of VMware. In addition, he owns 350 shares of stock in Intel Corporation, purchased more than two years ago. All stocks are held in retirement accounts for long-term growth.

Ed does not accept gifts from companies he covers. All hardware products he writes about are purchased with his own funds or are review units covered under formal loan agreements and are returned after the review is complete.

Biography

Ed Bott

Ed Bott is an award-winning technology writer with more than two decades' experience writing for mainstream media outlets and online publications. He's served as editor of the U.S. edition of PC Computing and managing editor of PC World; both publications had monthly paid circulation in excess of 1 million during his tenure. He is the author of more than 25 books on Microsoft Windows and Office, including the recently released Windows 7 Inside Out.

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RE: Microsoft prepares Windows Anytime Upgrade, v2
JACOBSONR 14th Oct
Good day to confirm this comment I would appreciate T h e b e s t o f Z D N e t d e l i v e r e d your website very nice to everyone Yes, Oracle is the only one with shared-disk architecture, but that is there advantage. It means you can add or remove nodes and the database lives on. In a shared nothing architecture, if you lose a node, you lose the system. I'm sure Oracle appreciates EMC highlighting their advantage.I also desire to signal in your RSS feeds. Thank you as soon as once again and maintain up the great operate Awesome post! Thank you very much || thanks for nice content this is really benefit to me.
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I read somewhere...
mikefarinha 23rd Apr 2009
I read somewhere that the price of the Anytime upgrade will simply be the difference between the in store MSRP of the edition you're upgrading from and the edition you're upgrading to.

From everything I've seen and read Microsoft is doing better than I ever expected with the roll out of Windows 7. If they can get this right also it will make everything just that much better.
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it will be
crazlunatic 23rd Apr 2009
I'm almost certain it will be even if we haven't heard of it because if it's not, people will just take advantage of WAU instead of paying the full price MS wants you to pay
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It will be quite a relief
Michael Kelly 23rd Apr 2009
to know you can buy whatever PC you like without having to concern yourself with whether or not it only come in Home Premium. I can't tell you how many times I've looked at the specs of a PC and think how perfect it is, only to find it does not come in the SKU I want (which is usually Pro/Business).

If this is made easy and does not cost the customer more than it would if their SKU of choice was preinstalled, I would imagine just about all PCs would be sold with Home initially and upgraded as needed once it comes out of the box. And that's good for everybody, even MS, because people who can get exactly what they want are more certain to actually make a purchase.
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Taking a cue from shareware
urbandk 23rd Apr 2009
Unless I misunderstood, this means that all features are installed on your computer with any W7 installation, but you just purchase the rights to use them.

If you're using Home Edition, wouldn't all this extra stuff just be a lot of wasted space?
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Contributr
It's been this way for years
Ed Bott 23rd Apr 2009
The extra features don't use all that much space. Most of the disk space usage in Windows 7 is from tens of thousands of drivers and support files.
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It might make sense just to have one standard W7 box, and the consumer can buy whatever license he or she wants from either the front counter or online. Such a system could reduce the kind of confusion that surrounds an array of different W7 boxes.
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There's another side to the experience that you've, perhaps, overlooked. I remember trying to upgrade a friend's Vista laptop to Ultimate only to be stuck waiting for over a week for the OEM to ship her the new product key... so much for *minutes* away from new functionality!

A truly great experience would be this-- you select Microsoft as the source and yout get the "retail" cost of upgrading and a key generated automatically, OR you select your OEM and get OEM-based upgrade pricing... all you do is enter the OEM serial number or some other confirmation of the OEM discount being legit, and voila-- OEM price confirmed, and the new key is generated electronically during the process.
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Contributr
That is how it's supposed to work
Ed Bott 23rd Apr 2009
Obviously we won't know till after release, but you are supposed to be able to buy a key from a third party (Amazon, etc.) or purchase directly from MS with no delay. You should get a key instantly.

I know this purchjase process has been beta tested (not by me) and I have head nothing but positive reports about how well it works.
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None of this would be needed if....
BillDem 23rd Apr 2009
If Microsoft sold one version of Win 7, none of this would be an issue. Every PC would come with every part of the OS you could possibly need into the future. Every copy of the OS you bought in a store would have everything, as well. There would be no possible complications from botched upgrades. There would be no unforeseen expenses when you suddenly realize at 2AM on a Saturday that you need the ability to log into the domain at work and your crippled version of Win 7 can't do that.

I know everyone is sick of hearing it, but I'll keep singing this song forever. Sell one complete version for one reasonable price. Period.

Are you listening Microsoft? Let US choose what to leave out instead of us wasting our time trying to figure out precisely what YOU left out. Make all of our lives easier.
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That would be less profitable
urbandk 23rd Apr 2009
I'd prefer a single, standard version too, but if MS reduces the feature set in a basic installation, they get greater market penetration with reduced price and OEM installs. These basic installs then make for good soft sells on upgrades, especially for business. Having different price points helps them target different customers.

In principle, I agree, but I don't think a move like that would make business sense for them.
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MS would gladly do that
Michael Kelly 23rd Apr 2009
if only the US and EU governments would let them.

The reason they don't is because not everybody wants to pay for extra programs that aren't necessary to run a computer. And whatever "fair" price MS chooses, the people who only want the base system are going to be paying just as much for programs they do not want or need as the people who do want them. Not only that, but not charging extra for those things leverages these programs using the Windows monopoly (which Windows has been judged to be in the US civil courts) which would interfere with the sale of third party programs.

So yes, it looks nice on the surface to sell only one SKU if you like all the software. And many people do. But not everybody, and unfortunately for MS they have to play by monopoly rules with Windows.
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Agreed.
Palmetto_CharlieSpencer 23rd Apr 2009
I just purchased a new system and I specifically went with Vista Home Basic. I looked at the feature set of the other version of Vista and realized I do not, and will not, use any of them beyond what's in Home Basic. Since I was buying a Dell 'scratch and dent', upgrading to Ultimate would have cost more than the hardware itself.
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Contributr
Your "reasonable cost"
Ed Bott 23rd Apr 2009
Would you agree that Microsoft shareholders are probably interested in this decision? (I'm not one, btw.)

As a publicly traded for-profit company, Microsoft wants to maximize its revenue. To maintain the revenue would require setting the price at an average of what it is now across all versions. That would mean:

* a significant increase (in % terms) for price-sensitive buyers choosing PCs in the low price ranges.

* a very modest decrease for performance- and feature-conscious buyers who currently pay for advanced versions.

So, basically, you're asking to impose heavy tax on those who can least afford it and give a tiny discount to those who can afford to pay full price. Is that what you really wanted?
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They should add features like booting from VHD, AppLocker and BitLocker to professional edition of Windows 7
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There is an SKU Chart
crazlunatic 23rd Apr 2009
Ed, they have kind of. Go to Google and type in Windows 7 SKU Chart then look in images. It was published on an MS blog and then withdrawn the next day.
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Contributr
I know, but it's not official
Ed Bott 23rd Apr 2009
That was a preliminary chart (I had a copy under NDA and then it got yanked). I'm told that some of the features might have been changed since then.
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Available outside US this time?
chris.sparks@... 23rd Apr 2009
Version 1 of the Anytime Upgrade happily took me through the upgrade process to go from Vista Home Premium to Ultimate only to tell me at the point of upgrade that the 'service' was not available in my region, Australia. Such US-centric thinking is tedious from a supposedly global corporation.
Instead I opted for a Technet membership and I have access to every version of Windows and Office, current and previous, for the cost of a single retail license.
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Contributr
Details not yet announced
Ed Bott Updated - 23rd Apr 2009
The international market is huge for Microsoft, and given how they've fixed the mistakes of Vista Anytime Upgrade I would expect they've addressed this one, but who knows.

As for TechNet, it's a marvelous deal, but its licenses are for evaluation only. Technically (yeah, I know) you can't use your TechNet licenses on a business machine.
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US-centric...or not...
WiredGuy 23rd Apr 2009
"Such US-centric thinking is tedious from a supposedly global corporation." That's just Microsoft centric thinking. Sometimes it simply defies logic.
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Off topic a little but does this have
marks055@... 24th Apr 2009
anything to do with the In place Upgrade/Repair Install they had in Vista? I'd sure like to see the old "Repair Install" return, it was a much better way to repair Windows when the system became corrupted.
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In Place Upgrade Anytime Upgrade...
Wolfie2K3 Updated - 25th Apr 2009
While both "upgrades" involve the physical media, the In Place Upgrade adds NO new features. It merely installs a refreshed version of the OS in it's current state. The Anytime Upgrade gives you the next level (or levels) up from what you've got. So if you start with Home Premium, you can upgrade to Professional (Business) and/or Ultimate.

Incidentally, the "In Place Upgrade" is, in essence, a repair installation.
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What an idiotic marketing concept. How much is this going to be used? Even car
manufacturers learned that endless options (and prices) even when initially
installed at the factory could be resolved into three basic packages and prices, A,
B & C. If you get each package content right it works for over 95% of the
customers. How can you squeeze that last bit of juice out of the lemon?

Or is it you can't squeeze blood out of a rock?
Microsoft has de-facto Monopoly power over retailers and OEMs, via the "co-marketing" loophole. As you probbly know already, Co-Marketing money constitutes rebates on the "official" price for each given OEM tier, giving Microsoft complete power to punish and reward OEM's on the basis of price.

With cars, when Mr. and Ms. customer have spent two hours fighting wading and fighting over a confusing, long list of options with vast numbers of dependencies at dealer for brand "A" -- and then went over to competitor brand "B", which merely asked, "You want basic or most-popular or everything, with sink, brand "B" won. And now, all companies provide "packages" like brand B.

But Windows has no competition. You walk into any big-box computer store, they have Windoze computers and Apple computers. And maybe a few really sucky netbook toys, but Microsoft only allows Apple to exist-- at a big price premium, and only for the purpose of pointing a finger and pretending before the Courts that "competition does exist, look at this!".

Microsoft DOES get to squeeze the last drop of blood out of a rock. The fact that it's very painful for us "rocks" is irrelevant to Microsoft's thirst for blood, we can't and won't go anywhere else.

(It's not because we consumers are "as dumb as rocks" -- it's because Microsoft was, IS, and will always BE a criminal enterprise-- until they are controlled or punished into behaving differently.)
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Well, thats all well and good but my concern is, what about us Vista users who have already shelled out the big bucks for the Vista downgrade?
Quite honestly there is no way in hell this boy is going to dump another 2-3 hundred bucks or so into Gates' wallet & I truly believe I'm not alone here... MS better put some serious thought into this... Ubuntu is looking mighty fine these days with the release of 9.04 and with a bit of help it will run most Windows aps.
Aside from that, Windows 7 is pretty nifty but hey, I managed to break it twice beyond repair. First time I've seen the BSOD since Windows 98! Beta or not, I dont trust it & I refuse to upgrade even from Vista unless it's dirt cheap.
In any case, Jaunty Jackelope will be running along side...
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Upgrade anytime, windows 7 - All of them are just a way for Microsoft to TAKE YOUR HARD EARNED MONEY!!!!!!! I started with win 95 and now I have a full library of UNUSABLE Disks. From Win 95 - Win Vista.You buy a Damn Computer - The upgrades should be Free. MICRISOFT has you join IT'S TEST program But I have been on that list since Win 95 and Haven't received a thing from Microsoft to try. Too bad you have to buy WIN 7, or resort to P2P. GUESS BILL GATES needs my MONEY more than I do. Well DOESN'T HE REALIZE there are those on a fixed budget - 100% Disabled Veterans for example. I'm still using the computer I put together 6 yrs ago but because of my forsight I have been able to keep going without changing anything internaly. How about It Bill? How about a Break sometime?

Respecfully,

Michel L. Penrod
rockinpr@eaglecom.net
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The gorilla is: upgrading from XP to Seven without needing to find all of your old Application disks. If MS wants to get XP off of older but extremely capable boxes, this is needed. Badly. (My own box is one of these: Bought cheap, it's been upgraded over time and now contains 3G of DDR2-6400, dual core at almost 3Ghz, and a quality video card.)

Saving just the documents doesn't cut it, the Registry entries must be kept, and the supportable Apps should run as before.
Well, I know you trying to be a good capitalist, but you left
out a couple of variables.

If Microsoft took the average, and reduced it, more people
would buy Windows. So, a straight average doesn't work.
You have to try and figure out how many more people
would buy Windows, compared with your costs, which go
down when more people purchase your product. It IS
tricky, because you may lose some customers at the low
end.

But, there IS the potential for more profit if the pricing is
simpler and on average lower.
So as with 98 when will XP be useless or Not Backed up ??

Time Microsoft learnt "If it works dont touch it" or is this another Vista F**K up
Is this just another Microsoft Ploy.....The best was "Windows 98" then "XP" the rest, including "Vista" whent worth the cost.

Why do Microsof never learn "If it works dont touch it". No wonder others are now designing a better system....
It would be nice and maybe a tax write off for MS if they offered Windows upgrades to disabled persons for only the cost of shipping or a minimal charge for downloading to cover bandwidth costs. I am a disabled vet and living on SSD right now which barely gives me enough to live on, but I would still love to upgrade from Vista if I could. Are there any such programs for someone like me?
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