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investorsbusinessdaily

Is Windows 7 Microsoft's Lucky Number? Software Giant Touts Faster, Friendlier OS

  • On 7:10 pm EDT, Thursday October 22, 2009

Microsoft brought out a secret weapon to launch its new Windows 7 personal computer operating system: a 5-year-old Asian-American girl named Kylie.

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The adorable youngster made a splash last year in Microsoft's (NasdaqGS:MSFT - News) "I'm a PC" commercials when, at the age of 4, she demonstrated the benefits of Windows PCs. The commercials helped to counter the negative image of Windows PCs being hard to use that was portrayed in Apple's (NasdaqGS:AAPL - News) Macintosh ads.

At a launch event Thursday in New York, Kylie came on stage to introduce Microsoft CEO Steve Ballmer. The software leader also played some new commercials featuring Kylie for the attending media.

Kylie's presence at the event and in new commercials is meant to reinforce some of the key benefits of Windows 7, namely that it's simple to use and features a lot of fun multimedia applications.

Microsoft needs a hit with Windows 7, the latest version of its flagship product, which runs 95% of the world's personal computers. Poor reviews and numerous complaints greeted the previous version, Vista.

Only a small percentage of Windows users upgraded to Vista, which was launched in January 2007. Most have stuck with its predecessor, Windows XP, which is now 8 years old.

Microsoft took to heart feedback from millions of Windows Vista customers and Windows 7 beta testers, Ballmer says.

With Windows 7, Microsoft tried to clear up the major gripes with Vista. Users complained that Vista was slow to boot up. They grumbled about Vista's annoying security alerts and the fact that common tasks took too many steps.

"Windows 7 works the way you want to work," said Ballmer, who admitted he's a salesman at heart. "You want that computer to fire up quickly? Boom. You want it to feel responsive? Boom. You want longer battery life. Boom. We needed to make those things work -- simpler, faster, more responsive, leaner, less busy. And I think we've accomplished that with Windows 7."

Windows 7 also offers new features such as built-in touch-screen capability and more streaming media applications. It has improved wireless networking and photo- and video-creation tools.

Kylie's new commercials show her using a PC to stitch together a panoramic photo from multiple photos she took and also make a photo slide show.

Onstage, Ballmer gave her a pink netbook as a gift and she gave him a hug in return. "Kylie sure has done a good job in those commercials, and I'm very thankful for that," he said.

In a dig at Apple, which doesn't license its OS to other PC makers, Ballmer said Microsoft's numerous hardware vendors provide computer shoppers with a huge choice of machines in terms of type, size, color and price.

PC makers offer netbooks, ultrathin notebooks, traditional notebooks, traditional desktop PCs, all-in-one desktops and high-end gaming machines, he says.

Ballmer displayed Dell's (NasdaqGS:DELL - News) upcoming Adamo XPS notebook, which at 9.99 millimeters is advertised as the world's thinnest notebook PC.

Best Buy (NYSE:BBY - News) is offering 45 to 55 models of Windows 7 PCs in each of its stores, says Jason Bonfig, the electronics retailer's vice president of mobile computing.

Best Buy cleared out its inventory of Windows Vista machines over the last four weeks, he says.

"We think Windows 7 will be nothing but a positive for our business," Bonfig said. Best Buy is seeing a lot of interest in Windows 7 in its stores and on its Web page, he says.

In the months ahead, Best Buy expects to see more vendors offering all-in-one desktops, in which the computer is integrated with the monitor, Bonfig says.

Microsoft showed off new applications for Windows 7, including a new Kindle book-reading program from Amazon.com (NasdaqGS:AMZN - News) and live-streaming CBS television shows.

Microsoft's Windows 7 launch event in New York was more subdued than previous Windows OS kickoffs. The company also held events in major cities worldwide, including Tokyo, London, Paris, Munich, Dubai and Beijing.

Windows 7 is the work of 3,000 Microsoft software engineers and involved the cooperation of 50,000 third-party software, hardware and peripheral vendors.

Microsoft shares edged up a penny on Thursday. The Redmond, Wash., based company is set to report fiscal first-quarter earnings Friday.

Market research firms Gartner and IDC expect Windows 7 to contribute to a refresh cycle for commercial PCs in 2010.

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