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Careful What You Wish For
by Andrew McCaskey
Be careful what you wish for: In this case, you don’t want Best Buy to be too successful with their software removal service on new PC’s.
Dell and HP are particularly sensitive to the the fees or $2-4 per program that software companies pay to them for installing a sample copy of their programs onto each new PC that ends up in customer hands. PC margins are so thin, that these sorts of fees, spread across runs of hundreds of thousands of units – are a major source of profitability and revenue.
If retailers become adept at removing these programs for a fee, the software vendors will discontinue the program, and as consumers, we will end up with higher hardware prices.
A lot of channels (through Dell direct, through Walmart/Sams/Costco) are not going to offer the cleaning service. But, at $44Billion per year in sales, Best Buy could be a trend setter that ends up costing you more to buy the system you want.
Not that you aren’t already paying more to get Vista Premium so you can downgrade that new box to XP.
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