Microsoft to explore cheap software for Asia
Microsoft to explore cheap software for Asia
Sean Yoong Associated Press Putrajaya, Malaysia
Bill Gates said on Tuesday that Microsoft will hold talks with Asian governments to offer tailored, cheaper versions of its Windows operating system geared toward bringing computer skills to millions of poorer people.
The discussions will grow out of a project Microsoft announced last week to offer a version of Windows, dubbed Windows XP Starter Edition, in Malaysia and Thailand under government- sponsored programs to provide more affordable personal computers to beginning users.
"We will talk with other governments about whether they have a program to get very, very low-cost computers to their citizens," Gates told a news conference during a visit to this Southeast Asian country.
"When they have a program like that, we will talk to them about which of the versions of Windows would make sense there," Gates said. "We've shown a lot of flexibility about tuning the versions to meet any government program."
Gates would not specify any country Microsoft is targeting in such talks. He was asked about the potential for such projects in China and India - the population jackpots in Asia where computer use is exploding.
Gates, who sits on a panel advising the Malaysian government on technology policies, held talks with Prime Minister Abdullah Ahmad Badawi for about 45 minutes on improving access for technology to Malaysians.
The company and Malaysian officials signed a memorandum of understanding for Microsoft to invest 10 million ringgit (US$2.62 million) to train teachers and improve information technology in 10,000 schools over five years.
The software giant faces increasing competition in developing countries from cheaper rivals - such as those based on "open source" Linux technology - plus the continual challenge from product piracy.
Providing cheaper legitimate versions of Windows could allow Microsoft to gain some share in the lower end of the market, which is fertile ground for pirates.
A legitimate copy of Windows XP installed on personal computer in Malaysia currently costs from 320 ringgit ($84) to 515 ringgit ($135), retailers say. A pirated copy can cost as little as 5 ringgit ($1.40).
The scaled-down versions of Windows that Microsoft is offering have many typical Windows features. Under a program already under way to bring computers to rural households, a personal computer installed with a Malay-language version of the XP Home edition sells for 1,147 ringgit ($300).
Gates said that making Windows "very, very inexpensive" would benefit people who want to train on Microsoft software and eventually land higher-paying employment as software-related jobs are created in Asia.
Gates, who last visited Malaysia in 2000, sits on a multinational advisory panel that helps the government formulate information technology policies, especially regarding the Multimedia Super Corridor, a business zone offering tax breaks and grants to attract companies and researchers.
Malaysia's high-tech industry centers on labor-intensive processes - such as assembling and testing components - that rank low in terms of know-how. Analysts have said the education system needs to be revamped to attract more investment and spur research and development.
Abdullah said that he and Gates discussed Malaysia's aim of providing more people with access to computers and cultivating homegrown specialists to create new software and technology for international markets.
"Those without access to IT facilities will surely be left behind in terms of modern development," Abdullah said.
Gates has already visited Australia and heads next to China.