Why Microsoft Corporation (MSFT) Is Blank On Windows 10 Support?

Microsoft Corporation (NASDAQ:MSFT) has created great expectations for the release of Windows 10. The company has talked about its exciting features. The software major also has indicated that it would provide a free upgrade to the users of Windows 7 or Windows 8. However, the company is quiet on the question of support after the device is sold. That meant some arm-twisting usage conditions cannot be ruled out for getting support throughout the life of the device.

Windows Enterprise

Microsoft Corporation (NASDAQ:MSFT)’s silence has led to speculation. Much of the speculation has centered on Windows Enterprise, which would would be sold to only enterprises through an agreement. The agreement is known as the ‘long-term servicing branch’. The normal practice was to enter into a Software Assurance annuity upgrade. That ensures that there were no issues as far as the support is concerned for the Windows Enterprise edition.

The company is going to release multiple editions of Windows 10. Having talked about Enterprises edition and leaving the other editions exposed to several kind of speculations raised the real intention behind it. Traditionally, The company has provided ten years of support to all the customers. The support is divided into two phases. While the first five-year period is known as ‘mainstream’ support, the second five-year period is called as ‘extended’ support. In the extended period, the company provides only updates to security.

Farm Factor

The company’s CFO, Amy Hood, indicated earlier that the life time of the devices would be determined by form factor. That is a point to be watched and provided some speculations on the possibility of having different life-time support for usage. That also meant that the company is changing its pattern of revenue generation in line with the changes happening in the technology world.

For instance, smartphones or tablets will have more or less a similar type of life span. Similarly, notebooks or the desktops or the 2-in-1s would have a different life span. For the smart devices, the average life time is said to be two years. For the notebooks and the desktop, the life time is extended to three years and four years respectively.

Analyst Comments

Analyst West, Miller, who works with Directions on Microsoft Corporation (NASDAQ:MSFT), said that there could be two possibilities. One is that the company is not sure about the support to be extended. The other is that they would not have been excited in announcing any bad news.

Another analyst, Andrew Storms, VP of security services at New Context, said he would not be surprised if the software company preferred to put some riders. For instance, if the customers dumped its Internet Explorer, then they will not be getting any patches. There is also every possibility that if Microsoft Corporation (NASDAQ:MSFT) resorts to this type of tactics, the issue might be taken up with the regulator.

Viraj Shah

Viraj Shah has completed M.Com (Finance) and is currently pursuing his CFP. He tracks US markets along with other global markets like India very closely. He is very passionate about stocks, real estate, and technology. He also believes that money can always be made in the market.

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