Nick Wingfield of the Wall Street Journal reported some significant news regarding Microsoft this past Friday, and agreed with what they had to say.
Microsoft CEO Steve Ballmer at CES 2009
First, let me tell you this were mostly business deals that will greatly benefit Microsoft. Two of them involved raising the profile of Microsoft’s Windows Live Search service, and the last bit of news concerned the next version of Windows, Windows 7, the successor to Windows Vista, due out later this year.
These news bits were all connected to Microsoft CEO Steve Ballmer’s keynote address at this past week’s Consumer Electronics Show (CES) in Las Vegas. This was Ballmer’s first time delivering Microsoft’s keynote address at CES. Previously it has been done by Bill Gates, but Bill Gates stepped away last year from day-to-day matters to become more involved in his philanthropic projects.
Verizon and Windows Live Search
Steve Ballmer announced that Microsoft had a 5 year deal with Verizon Wireless to make Windows Live Search available on Verizon’s mobile phone network. Microsoft and Google have supposedly been in a bidding war to provide their search services on the network. The deal is estimated to cost a minimum of $650 million with Microsoft paying on a per phone/handset basis.
This bodes well for Microsoft, as they have been trying earnestly to get an advantage on Google. For example, Microsoft’s efforts to acquire Yahoo!have been reported for a long time in the news. Microsoft is the third most popular search service after Google and Yahoo!, but the Verizon deal will get them more visibility.
The Verizon deal will take off in the early half of this year.
Dell and Windows Live Search
Microsoft also secured a Dell, I mean deal, to have Windows Live Search and the Windows Live toolbar setup as the default search service and tool on Dell’s line of consumer and small business computer systems for the next three years. Microsoft already has similar deals with Hewlett-Packard (HP) and Lenovo.
The Microsoft/Dell deal displaces an existing deal between Dell and Google. Windows Live Search will start appearing on new Dell systems starting in February.
Yusuf Mehdi, Microsoft Sr. VP
Microsoft Senior Vice President Yusuf Mehdi admits that Microsoft needs more deals of this sort to truly compete with Google, but that “These two partnerships are very significant for us, because it…gives an opportunity to put our search offering out before a broader audience now in a pretty mainstream way, and I think you should think about it as the first step of us slowly bringing up the dial on how we start to promote our product.”
Steve Ballmer’s other big announcement was that a “test version” of Windows 7 — the successor to Windows Vista which is expected to be released late this year — is now available. The test version, also known as a “beta” version in the computer industry lingo, is available for consumers to tryout on their systems.
Let me warn you that test or beta copies are far from being final, and that bugs do exist in these programs, and that harm could be done to your system and files. Do not use it on your primary computer. The purpose of beta versions if to help Microsoft determine what bugs exist and how to fix them. It is strongly recommended that should you decide to “try it out” that you back up your entire system first, and, I repeat, don’t use it on your primary computer system.
Microsoft has setup a page discussing things you should know about the beta version, and they have another page for information on the upcoming Windows 7 and its features.
The beta version expires on August 1, 2009. You will need to install a prior version Windows on your system before that date.
Tune in tomorrow morning when I discuss the new features of Windows 7, as well as my theories on how it will be received.
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