Dell’s Linux Ads: Microsoft’s Nightmare Before Christmas?
For at least the third time in recent weeks, prominent Dell newspaper advertisements feature the Inspiron Mini 9 Netbook running Canonical’s Ubuntu 8.04 (that’s a small Linux notebook, folks). The VAR Guy hears Microsoft “has gone postal” over the Linux notebook ads. You might even say this is Microsoft’s nightmare before Christmas. Here’s the complete scoop.
The VAR Guy first noticed Dell’s newspaper inserts featuring the Inspiron Mini 9 running Ubuntu in October. Different versions of the ad seem to arrive at The VAR Guy’s front door each Sunday. The latest Ubuntu Netbook ad was part of a Dell multi-page insert that shipped with Newsday (Long Island’s largest newspaper) on Nov. 16.
Here’s a look at the ad (the Linux Netbook is on top; the Windows XP Netbook is below). And The VAR Guy’s pithy blog continues below — including Microsoft’s alleged reaction.
Redmond Roars
At $349, Dell’s low-cost Ubuntu Linux system is “giving Microsoft fits,” according to one source familiar with the Microsoft-Dell relationship. “It’s one thing to have Dell ship Linux to consumers,” said the source. “It’s quite another to have Dell advertising Linux to millions of consumers in a Sunday newspaper heading into the holiday season.”
The VAR Guy has already explained why Linux Netbooks are impacting Microsoft Windows sales and profits. And don’t forget: More and more businesses are running Ubuntu on selected desktops and servers. Check out the Works With U 1000 — which tracks Ubuntu business deployments worldwide — for details.
For the record, Dell’s multi-page ad was filled with Windows Vista and Windows XP systems. But that one little Linux Netbook ad shows big changes are under way in the PC market, The VAR Guy believes.
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Dell recommends Vista sometimes. Priceless.
Dell recommends GNU/Linux sometimes. Amazing!
Dell needs to push the envelope in its competitive environment. If M$ punishes Dell, Dell may just push harder. With declining rates of growth of client systems, M$ cannot afford to lose Dell. Dell sees little or no growth in M$’s standard markets. The emerging markets are agnostic and competition is a recent import.
It is about time OEMs looked at what customers wanted instead of what M$ says they want. The netbook is now a year old. Perhaps next year we will see Dell recommend GNU/Linux on more diverse models. That is what M$ fears but can do nothing to prevent in an IT downturn. They cannot claim sticking with M$ provides huge growth. Going to GNU/Linux can be profitable.
Merry Christmas!
I think the most amazing thing about the advert is that it shows two identical pieces of hardware, differing only in price and OS — an unescapable spotlight on the “Windows tax”. I suspect this will lead a lot of people to ask “is the Windows Experience *really* worth $50?” Especially when it then requires using those preciously small netbook resources to run Antivirus, Antispyware, defragging, and also keep all your antivirus/spyware signature files up to date (paying for that priv.). Meanwhile, for $50 less, more of the resources they purchased go to doing what they want (no AV, no AS, no defragging, no recurring AV/AS subscription costs). One of the big pro-Windows arguments involve software — namely games and 3rd-party apps. A netbook is clearly not a souped-up gaming rig, and the small screens, CPUs, and drives make using things like Photoshop, Illustrator, AutoCAD, or video-editing software a drag.
-gumnos (a Mini-9 Ubuntu owner)
gumnos: two small corrections to your post. The windows system has 8gb storage vs 4 on the ubuntu system. Plus it appears the Linux system lacks a camera that’s built into the windows system. The VAR Guy will double check the facts with Dell later today.
It’s interesting to note though that if you go to the website:
http://www.dell.com/content/products/productdetails.aspx/laptop-inspiron-9?c=usamp;l=enamp;s=dhsamp;cs=19amp;ACD=10550055-2187655-
They don’t mention the webcam. But they do allow you to take 2 of the windows XP based machines and reduce the price by $40 by having ubuntu instead.
the advertising is interesting, but having ubuntu available as an option on their website days far more I think.
Gummo most people don’t understand all the stuff you listed. They just by the machine and use it. When it gets too slow (accumulated crap) they think it has worn out and replace it. Reaally they do.
You won’t find any of these in Australia. As far as I’m concerned Dell can jump themselves.
If we have the choice of buying the hardware with Windows or with SomethingElse (or no OS) then it’s no longer fair to describe a “Windows tax”. We finally have some choice and are *not* obliged to enrich Microsoft, so the whole tax metaphor is redundant (or do you live somewhere that taxes are optional?). It’s a very nice situation, despite the small hardware differences consumers can see that actually Windows isn’t free, it has a price to be paid out of their own pocket. If Windows ships on 90% of these machines then we can all feel embarrassed at everything we ever said about MS/OEMs/Retailers re tax,choice,usability,warranties etc and if the proportion sold with Windows plummets we can go around feeling smug and righteous because the world shifted a tiny little bit on its axis.
Microsoft will eventually cut the price for those NetBooks from 50$ to 5$. It’s the usual way the fight (Linux) and so far it has worked very well (Linux still like 1% desktop market share).
So the most important issue Linux has to solve on the desktop is qualitative software because in many cases it still unfortunately looks quite amateurish (especially the GUI, i.e. totem). That’s the very first thing normal users notice, but something that Linux fans often fail to admit.
Microsoft may be perfectly happy with the Linux netbook offering from DELL…consider this
This may sound cynical but be careful about assuming that you are not paying Microsoft tax when you buy the Ubuntu system from Dell. You do not know what their business relationship is with Microsoft. We do not know the details. I have heard of vendors paying Microsoft on a per-unit basis for any computer sold. So it may be that when you buy your Ubuntu system from Dell; Microsoft gets paid anyway. I would want to hear about that from Dell because they have been in bed for so long with Microsoft that I would be suspicious of their relationship.
So the $50 price difference is because of what? The difference in what you would need to cover for the OS is more than $50. On top of that there is more hardware resources on the MS unit (more storage, camera) as compared to the Linux one so this should make the difference even greater. I have heard that Microsoft gets paid for ad ware that comes along for the ride with the OEM Windows system; so perhaps that makes up some of the difference but I do not believe this accounts for the small difference between the systems. Does MS get paid when you buy Linux from them ????
Consider also that Microsoft needs to be able to report that Linux is competing with them to satisfy the oversight they are under due to the DOJ findings against them several years ago. Just a little net-book offering with major vendors may be just what they need to satisfy the DOJ.
If you are concerned about the MS tax, then perhaps consider buying from a vendor that has not had an ongoing relationship with Microsoft. One of the Linux system vendors that have been selling for some time now. Besides that, I have not been impressed with Dell’s service as of lately.
http://www.linux.org/vendor/system/index.html
Go to Dell’s Mini-9 product selection page, and you’ll notice that you can get Ubuntu on any of the models. The more expensive ones even have a “Build yours with Ubuntu for $” button, offering a discount. Even if you pick the lowest end model, which is advertised in that ad for $349, while you are customizing it you can add in a bigger drive or the webcam for a little bit more money. It is completely incorrect to think you need to buy the Windows version to get all the best hardware.
Here’s the link to Dell’s Mini-9 product selection page. http://www.dell.com/content/products/productdetails.aspx/laptop-inspiron-9?c=usamp;cs=19amp;l=enamp;s=dhsamp;ST=dell%20mini%209%20(exact)amp;dgc=STamp;cid=34900amp;lid=871959
gt;cases it still unfortunately looks quite amateurish gt;(especially the GUI, i.e. totem).
Im a KDE and XFCE user and must say I have to agreed with this.
My sister bought one and while the wifi is a thing of beauty now, the audio video components are just horrible to work with.
I ditched the wonky and ugly Totem and Rhythmbox for VLC and Amarok and the useless Pidgin for Kopete because Kopete has joined the 21st century and you can use video with it.
The default fonts are limiting as is the Gnome lack of flexibility but when it comes to it, she can IM, browse/email and write letters in .doc as well as watch and listen to her shows on the usb key.
But I cant say Im very impressed by the Ubuntu Gnome interface (and Kubuntu was so bad when I used it 2 years ago is what moved me to PCLinuxOS 2007).
Honestly, the gOS we installed for my mom is still the best and easiest to use.
Not trying to start a religious war 🙂 Just curious, Rob what did you find so bad about Kubuntu? I’ve been using Kubuntu for at least 2 years and haven’t found anything so bad that it is a problem. And we replaced Vista Pro on my wife’s Thinkpad with Kubuntu nearly two years ago.
She’s a technophobe and was really distressed at how poorly Vista performed (it came factory installed, but only 1 Gig of RAM). Her first experience with a Linux version (Kubuntu) has been great. She has no problems whatsoever using the notebook.
So, again, just wondering what specific issues you had seen with Kubuntu? It may be that you were running something totally different than we are.
I do agree that I find KDE to be much nicer than Gnome, and I’ve used Gnome for about 1 year at work before switching to KDE there as well.
Regards,
Burt
Burt,
You must not have tried any other KDE centric distributions. Kubuntu really is garbage as far as a KDE distro. Canonical sees it as a red headed step child. If you want to use a distribution that does KDE right then you would use something like Mepis, OpenSuse, Mandriva, Fedora, Slackware, basically anything besides Kubuntu.
The KDE/Gnome debate all comes down to personal preference.
I really hope i will be able to buy theese in sweden soon. I dont care one bit about support for swedish keyboards etc, i want one anyway but i cant buy one even if i would give triple the money for it.
“You must not have tried any other KDE centric distributions. Kubuntu really is garbage as far as a KDE distro. Canonical sees it as a red headed step child.”
.
People keep saying this but don’t put any specifics on it. I moved from Gentoo to Kubuntu about 2 years ago. Personally, I haven’t seen this as a huge deal. I just haven’t seen a major impact.
.
So, please tell me. What does Kubuntu do that’s all that wrong? Specifics, please. Preferably with links so I can go see for myself.
To be honest I am surprised that the XP version is more expensive than the Ubuntu version.
For the OEM, they can, if they so desire, screw enough dollars out of the makers of the AV, Crapware and Demo packages that you usually preget on these PCs to offset the XP License completely. Now, M$ are only charging about $15-$25 for XP to the OEMs…
What strikes me most is that even the Windows XP notebook doesn’t show an identifiable Windows logo or desktop, so people do not get that feeling of familiarity. I think this is very telling since I believe it says that Dell would rather have you buy Ubuntu 😉
Users need to have their expectations changed by us techies.
i.e. Here is a Linux box, it will do web/mail/word processing/spreadsheets – covers most users needs.
Forget about the defacto standard OS; it’s had its day as a monopoly, now there are alternatives. Promote their benefits.
I don’t see car owners beating each other up so hard over why they didn’y buy diesel instead of petrol or make x instead of Audi/Ford/GM/Honda/Jaguar/Nissan/Peugeot/Renault/Toyota/VW.
There’s lots of choice in the vehicle world (even if multiple brands owned by large corporations). The controls and instruments are not exactly the same and yet drivers manage when they replace their cars with different make/model. It’s not too much to train PC users to be in the same frame of mind over OS.
OpenMann: Great analogy! I couldn’t agree with you more…
Wait until January 2009 when HP will be able to introduce their Linux netbook at the $299 price point… No one at HP will say why they are holding off Linux until then, but unofficially I have heard they have a contract with Microsoft that prevents selling Linux through 2008.
I disagree with the previous comment that Gnome software (Totem) looks amateurish. It is designed to be clean looking. That said I think the netbook makers are just getting a handle on interfaces that will sell. HP has allready produced a thing of Linux beauty on theirs. There will be many stylish Linux netbook interfaces- just like with mobile phones.
MS would love to limit our freedom of choice.
I try to customize the ubuntu version to have 8 GB SSD and 0.3M pixel webcam and I find the price is $ 399 !! Wow the Windows is free !
gt; Wow the Windows is free!
No Zayed, the Windows version Needs the 8GB to load the OS – 4GB isn’t enough. So, yes, the Linux version costs the same, but you get to use that extra 4GB, which, with Windows, is occupied by bloat.
Re Gumnos and further to the comments made…
Do not forget the 3D desktop effects which are available on Ubuntu and not XP. Many people are familiar with the marketing push exerted by M$ to upgrade to V$ta (and the need for expensive hardware), especially to get the desktop effects. To see such effects and more on the “low-end” machine does make many people question the advertising, despite their limited hardware knowledge. I’m showing more and more people, especially retailers, a netbook (ASUS 901) which, as a shop demo unit running XP, has become totally transformed when booted into an Ubuntu desktop from flashdisk; full desktop effects, and the desktop clarity is a big improvement over both XP and V$ta (on the same machine).
If only you’d shown the ad big enough so that people could read it …
Excellent news! I’m glad they’re pushing the gnu/linux systems as they’re much better than xp anyway.
Hey Jimmy @25: Don’t you think The VAR Guy gave Dell enough free publicity??? Serving as a distribution system for Dell’s newspaper ads wasn’t the business model The VAR Guy had in mind.
Kidding aside, tho, our resident blogger will try to post a bigger version of the ad when he returns from a business trip. Thanks for reading.
Zayed, you must be choosing the wrong option. The 16GB Ubuntu version is $40 cheaper than the identical Windows XP version.
if you count all the applications that comes with ubuntu that you don’t have to buy license for, that itself gives more value than the windows XP version. unfortunately, the ad did not emphasized on that.
‘The VAR Guy hears Microsoft “has gone postal” over the Linux notebook ads.’
From who? Source? I wouldn’t doubt that they are monitoring it, but to suggest this is a ‘nightmare’ for Microsoft and that they would be ‘going postal’ over ads just seems a little exaggerated/sensational.
On a side note, please don’t resize a 1.2MB image using html instead of in an image editor. Easily could have lowed the size by a factor of 5 and would have been a clearer image… plus it helps us mobile people out 🙂
Weizbox: To give you some peace of mind, TheVARguy.com’s co-founder has personally interviewed Bill Gates, Jim Allchin, and many of the folks who have had a hand in Windows since about 1992. So, this site is pretty well-sourced in Redmond. 😉
Weizbox: Also, an apology about the image. Our resident blogger will give your recommendation a try.
I just love the fact the intel Logo is right there beside the Ubuntu Mini 9 with “Do More” in big bright white letters. Classic!
Videos Featuring the Ubuntu Mini 9
http://uk.youtube.com/watch?v=pcwxR9kFEnE
http://uk.youtube.com/watch?v=-hSxsDS4aCw
I doubt if people that buy their pc at DELL get completely rid of the windows tax, but I prefer the tax going to DELL than M$.
The ads might very well help Linux arriving at the critical mass required to be taken serious, which will in turn resolve driver problems etc….
I agree with OpenMann’s car analogy. ‘Four wheels and a motor’ works for most people to get from point A to point B. I’ve found most users have not even been able to abstract that the web browser is a distinct application – for most folks ‘the blue E IS the Internet’. I would think an Ubuntu desktop would definitely ‘cover’ more than 50% of all users basic needs. And even that percentage would indeed scare Microsoft.
Microsoft are already scared. They’re doing all they can right now from slashing prices to practically bribing governments to keep their market monopoly.
Microsoft are desperate and panicking.
AikiWolfie: Guess what — Dell is back with more Ubuntu netbook ads today. And now the systems include web cams, etc. The VAR Guy will be back with a blog a bit later about the ads. Good to see Dell offering customer choice even as MSFT battles hard to be the “preferred” or “recommended” OS supplier with PC companies.
I just got one of those ads in the paper. This is beautiful. It’s not much, but I’m not sure I would have believed something like this possible about 3-4 years ago. Just one more crack in the dam. Can’t wait to watch it burst. It’s well past time for competition and innovation to come to the general PC market.
LaptopLinux: You’ve summarized The VAR Guy’s thoughts well. An ad campaign like this would not have occurred even two years ago.
This is simply pay-back to MS for Dell (amp; others: HP) getting mixed up in all the ‘Works with Vista’, ‘Vista Certified’, etc, etc, prior to Vista’s public release…
“But that one little Linux Netbook ad shows big changes are under way in the PC market”…. That there might be some competition to the inconsiderate incumbent, Linux rises and asks for attention. The little competitor could be heard saying that he can provide all the familiar functions, doing so without the lock-in, and yet the incumbent giant feels the gnats bite….
FWIW, Linux and Dell go back a few years: http://www.theinquirer.net/inquirer/news/296/1037296/dell-to-pre-install-red-hat-linux
Spuffler: Yes, Linux and Dell go back a few years. Red Hat’s biggest reseller is Dell. And full disclosure: The VAR Guy purchased a Dell Ubuntu PC within days of Dell announcing the systems.
This is certainly interesting. I checked it out, and found that if I upgraded to a 1.3 camera, a 64 GB Solid State Hard Drive, and 2 GB of RAM, it is still within a reasonable price range. It also looks like it’s just 32 watts with all those bells and whistles, which makes it practical to use in combination with a Solar Panel.
However, I am very disappointed in dell that this is the only laptop model they offer which allows Ubuntu to be an option. The Models I would prefer all require Vista and I’d rather go without any computer than use Vista.
Further proof that Microsoft still believes that software shouldn’t be free. And how they do not want anyone else on top if they can’t be. MS needs to stop being so money hungry and they may not lose to Linux..or people will just come to realize that one of the money linux distros is right for them.
Josh-Ubuntu user.
So Microsoft can’t handle a bit of competition? They bring out a new OS and they expect everybody to replace their PCs, not any more .
We bought 2 vista laptops with Office 2007 gave them out to teachers 24 hours later I had them given back “can I have my old machine back please?” that’s happened 4 times now with each machine they are junk.
In the school I work in old PCs are now wiped and loaded with Ubuntu they work great.
Respect to Dell for having the balls to stand up to MS in the fist place and sell Ubuntu Machines .
Tombstoner: The VAR Guy thinks Microsoft will win back some folks with Windows 7, but winning back critics like you — and your frustrated former Vista users — may be a bit more difficult.
Those who went to Ubuntu or Mac OS X aren’t likely to come back to the Windows world, The VAR Guy thinks.
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