Microsoft says that in an effort to reward loyal customers, it will pre-sell its Windows 7 operating system for half of its expected retail price through July 11. The software, complete with a large complement of fully tested hardware drivers, is expected to make its debut on October 22.

Customers who place an order now for Windows 7 can choose the Home Premium version for $50, or the Professional Edition for $100.
The Windows 7 Home Premium version is expected to retail at $199 or $119, if the purchaser is upgrading from Vista or Windows XP.

Windows 7 Professional will retail for $299 for the full version or $199 for an upgrade from Vista or Windows XP. Windows 7 Ultimate, which isn’t part of the sale, will retail for $319; an upgrade version will be available for $219. Microsoft will also provide free upgrades to Windows 7 for computer purchasers who buy new equipment prior to the official OS release date.

In all likelihood, Microsoft is doing at least three things with its half-price sale. First, it’s encouraging users who have downloaded the Windows 7 Beta or the Windows 7 Release Candidate to move to the actual product and is using the half-price sale as a measure to gauge the public’s genuine interest in the product. Second, it’s attempting to secure a better market position after seeing sales in its Client Division (which is responsible for Windows) drop by 16% in the second quarter of 2009. Third, it’s trying to stave off the loss in revenue that typically precedes a new Windows release.

To the last end, Microsoft says it will defer its pre-sales revenue to the fourth quarter, when the product is actually released. The company expects this move to boost its fourth quarter revenue by about $300 million.

The company is going out of its way to make sure that nothing upsets the release plan. Following the release of Vista, the OS was dogged by consumer complaints that drivers for common hardware products were unavailable, and that computers that had been sold as “Vista-capable” were not able to run the latest version of the OS. While early reports seem to indicate that Windows 7 is stable, it remains to be seen whether the public will take a half-price gamble on that.

Consumers can purchase the half-off software directly from Microsoft, or other software retailers like Amazon, Best Buy and New Egg.

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Microsoft will launch a free anti-malware beta service today. The new service, called Microsoft Security Essentials, will replace its Live OneCare product. The new service will run on Windows XP, Vista and Windows 7 and will be available in a limited number of countries, including the United States, Brazil and Israel. The company also plans to make a simplified Chinese version later this year. Malware is one of the primary drivers for Windows security enhancements.

MSE Replaces Live OneCare

Microsoft Security Essentials will compare signatures of known malware products with file downloads to determine whether the user is inadvertently downloading malware. If the downloaded file passes the first test (no malware signature match), Microsoft Security Essentials will check its Dynamic Signature Service to see if any new malware signatures match the download. If the download seems like it may be malicious, the DSS will request a code sample to create a new malware signature. New signatures will be published three times daily. If users of the new MSE enable auto-updates, their computers will be protected automatically, even from hours-old malware releases.

In addition to being able to detect and reject malware downloads, the service can sniff out root kits and other malicious code that could impact a computer. The service scans the PC when the CPU is otherwise idle so it does not interfere with the normal operation of the computer.

MSE may not make nice with other anti-virus programs you may have installed on your computer. Running MSE and another antivirus product simultaneously will cause MSE to send up a warning about the unnecessity of running more than one anti-virus program.

Do you really need MSE? MSE might be a good idea for you if you have no other anti-virus or anti-malware program on your computer, or you’ve stopped updating the program you have. It’s always a good idea to have anti virus and anti-malware programs on your computer.

I’m not sure I agree with the “wisdom” Microsoft puts forth when it warns users about not needing more than one anti-malware program. Some malware programs are just better than others, and malware can be notoriously difficult to track down. Having one semi-competent anti-malware program loaded and running may give users a false sense of security about how well their computer is protected. There are multiple anti-malware programs that work well together, but MSE will have to prove itself as reliable before I’ll tell anyone that it’s the only anti-malware program they’ll ever need.

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Predicting the future of computing is always challenging, but if Microsoft research chief Craig Mundie is correct, the computer could take a much more active role in everyday tasks. Mundie says that touchscreen technologies, particularly multitouch capabilities, will transform the PC from a desktop creation to a central control device. The company is working on drivers and software needed to integrate this technology into future computers.

As users become more adept at interacting directly with the computer screen, tablet PCs – which Microsoft has long been a proponent of – will become more mainstream, perhaps replacing the desktop in the form of tabletop and wall mounted “room” computers.
Windows 7, which is in the testing stages right now, will feature support for both touch screen and multitouch screen technologies. In addition, Mundie says that future computers will become more adept at accepting voice commands and control gestures, making them more accessible and easier to use.

What’s Beyond Windows?

In February, Microsoft hosted TechFest 2009, its ninth annual research preview, which allows company employees see the technologies that Microsoft is actively developing. This year, the company’s research arm showcased “natural user interface” technologies that enable users to interact with computers in their homes, offices and automobiles using touch and voice recognition interfaces.

Among the technologies that Microsoft is working on is a way to allow people to use their physical space to interact with computers. For example, a “keyboard” that is projected onto a tabletop or wall surface could enable users to enter information into the computer wirelessly and eliminate the need to keep keyboards around.

Microsoft is also working on technologies that will improve the teleconferencing experience, to make it more realistic and a more viable and cost-effective travel alternative.
Touch screen capabilities could be added to even small devices by using the space on the back of the device for input and control, rather than using the front face of the device. That could enable more natural interaction with portable game consoles, mobile devices, and even wristwatches with a touchscreen interface integrated on the wristband.

Gesture-driven devices and those with voice recognition could enable mobile users to have access to phones, email and other networked services in the car, and in other areas where strict operator attention is required. Although voice recognition and hands-free calling are available for drivers now, the new technologies improve navigation, control and recognition capabilities of the devices, enabling more natural interaction and increasing the number of voice- and gesture-controllable features.

Photo Credit: Ron Wurzer, Microsoft