Windows 7 Sales Up, But is it Really a Hit?

The numbers are in and Windows 7 sales are strong, but with lagging PC sales and increased competition from other operating systems, is Windows in trouble? Apple recently reported one of its best quarters ever, and interest is high in current and future products coming out of Cupertino. Then there's the recent release of the latest Linux distribution, Ubuntu 9.10, and let's not forget pressure from Google Chrome OS, scheduled for release in the second half of next year. Put it all together, and we may be slowly approaching the end of Windows' dominance.

Windows 7 by the Numbers

Windows 7's U.S. sales were 234 percent higher over the first few days of its availabilty compared to Vista sales over a similar time period. But to get there, Microsoft had to go the extra mile and offer what were, by Microsoft standards, some deep discounts. The average selling price of Windows 7 Home Premium Upgrade was $76, according to market research firm NPD group, which is significantly less than the advertised presale price of $120. By comparison, the original preorder price tag to upgrade to Windows Vista Home Premium was $160 in 2007.

Despite these discounts, PC sales are lagging, down 6 percent compared to Vista's launch period. This may include a number of factors including the availability of other versions of Windows (XP and Vista), which NPD says made up 20 percent of computer sales during the Windows 7 sales, as well as the reluctance among Vista owners to buy another new computer after upgrading just a few years ago. But if Windows 7 is set to boost a lagging computer market, as some researchers believe, current PC sales may be some cause for concern.

Apple Growing

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