But...
Will those prices increases be reversed when the GBP goes back up?
No thought not!
Microsoft has increased hardware prices in the UK for a second time this year, citing the decreased value of the weaker sterling currency when repatriated as dollars. Its top-of-the-line Surface Book will today set users back a whopping £3,049, £400 more than it would have cost if purchased yesterday. Price increases across …
My guess is real prices won't actually rise until the glut of Surface Pros 3/4 are shifted. It's just a ploy to get rid of stock before Surface Pro 5 launch.
And if Microsoft integrate the SSD (like the macbook Pro w/touchbar) I'll be telling them to fcuk off too. I'm not paying Apple or you for designs which potentially fleece the customer. Taking advantage of those data loss situations is pure greed, as well a Potential Data security issue. No, I don't trust your staff.
And if people say I should always have a backup, we all know there are situations that arise when there wasn't one, hence why Apple wants to milk this potential revenue stream.
and go find an alternative.
or
go buy it in the USA and if you choose the place carefully you can avoid all sales tax. But don't tell anyone especially HMRC otherwise they'll be after you for the VAT.
It is moves like this this that really make people sit up and think again before contunuing their love-in with MS.
It is moves like this this that really make people sit up and think again before contunuing their love-in with MS.
That was my initial thought: with this sort of pricing it makes MacBooks attractive again, although those you can't take apart and use as tablet which is a neat idea. I haven't seen one op close yet so I don't now if the pen registration is accurate enough to replace a Wacom Cintiq (ditto for the scaled up Apple iPad thing) but that would be the one use that could make me buy something that expensive.
Apple already put up their prices - MS are just the latest in a long line. http://www.bbc.co.uk/news/technology-37799235
http://www.cnbc.com/2017/01/17/apples-uk-app-store-prices-will-rise-25-percent-following-brexit-currency-fluctuations.html
>Apple already put up their prices - MS are just the latest in a long line.
Thanks for the links, if you read carefully, the first mentions hardware price hikes, the second AppStore (software) price hikes.
In this article, MS, who had already increased the price of the surface in 2016 (22%) is increasing it somewhat more, another 10%, iirtac.
my dog is the terrierist
Likewise. In fact he's worse - he a *double* terrierist (JRT/Staffie cross).
But he's still frightened of the cats.
So there you go America - a solution for your little terror-problem[1] - moar cats! Cats with everything! Brewhahaha!
Sorry. Got carried away.
[1] More in the eye of the beholder, than in actuality.
Lets take each statement individually:
"Everyone goes out and buys a PC with Windows", have you checked the level of PC sales lately?
"buys and Office 365 subscription" - Not happening in my business. If you want to send me a document use pdf.
"installs MS SQL server" - If I wanted an SQL database, which I don't TYVM, like a lot of other people, I'd use MariaDB
"no one gets fired for buying MS do they." - they do if they drag an organisation into a world of MS mediated misery.
SO , a little hyperbole, but clearly the way things are headed. Additionally, lifting the "No-one ever got fired for buying IBM" saying is looking a little sick now donchathink?
>Same old same old, you'll whine but you'll pay, because no one gets fired for buying MS do they.
Ok, ok... We'll only buy 16% less... which is the reason they've switched to subscriptions - you can't easily terminate them.
However, if people suddenly see their opex rise, they are going to start looking for other solutions. Maybe ones which allow them to sweat the assets.
see http://www.xe.com/currencycharts/?from=GBP&to= &view=1Y
In the couple of months before the Brexit vote the 1 UK Pound was worth around 1.45 US Dollars. Over the last couple of weeks it has hovered around 1.25 US Dollars which is a 14% drop.(up from a low of 1.20 US dollars in January) To get back the same US Dollar value the UK prices would have to go up by 16%. Anything more cannot be put down to currency exchange changes but I do not think M$ are guilty here.
Putting up the Surface prices by 15% does not seem unreasonable by these measures; they were poor value before June 2016 and they still are.
I'm pretty sure that the people at Microsoft report their quarterly results in dollars. When they sell to customers in other countries, they account for value added tax where applicable, shipping if necessary, cost of support (employing locals), regionalization (spelling checkers with colour and favourite), etc...
If the value of a local currency drops too drastically relative to the value of the dollar, Microsoft must increase prices to cover the exchange rate related losses.
If the market can't or won't bare the adjustment, they will incur a different set of losses and choose to stay and fight or give up and leave.
Microsoft probably waited for the pound to reach a level they expect be stable and made a big painful adjustment that should compensate for possible further minor shifts allowing the U.K. Market to adjust to the change and go on as normal. I also assume they are not sitting and celebrating this change or even taking pride in it.
Consider as someone living in Norway, our currency devalued by 50% during the oil crisis and hasn't recovered even though oil more or less has. We feel your pain but also understand that $1 is $1 and it takes more crowns to make a dollar today than 3 years ago.
The lead into the article is "Microsoft has increased hardware and software prices in the UK for a second time this year, citing the decreased value of the weaker sterling currency when repatriated as dollars."
.... all I ever hear on this subject is that American corporation tax is so high MS, Apple et al leave the money in <insert tax haven here> rather than repatriate it, therefore surely the currency fluctuation isn't relevant and 'losses' are entirely theoretical. The Donald even made one of his revolutionary / exciting / mad / deranged / hysterical speeches to the GOP on the subject
http://fortune.com/2017/01/17/trump-gop-corporate-taxes-imports/
Why can't Apple grab the opportunity now and elbow in on the corporate market for real?
Some kind of normal file system access where the user knows where things are and can copy them without using the cloud would be a great start.
A simpler way to deploy your own apps would be a good continuation.
I think this would go a long way towards sinking MS.