Microsoft: An Upbeat Launch for Windows 7

The glee surrounding the latest version of Windows is a marked contrast to the grumbling that greeted its predecessor, Vista

By Peter Burrows

Robyn Beck/AFP/Getty Images

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What a difference a debacle makes. Three years ago, Microsoft's introduction of the supposedly new, improved version of its flagship operating system was plagued by problems of every stripe. Vista, then the latest version of Windows, was years late. It was released to corporations in time for the yearend selling season but not available to consumers until January.

The software itself was riddled with glitches and incompatible with millions of printers and other electronics. What's more, Microsoft's (MSFT) $500 million ad campaign hyping the software fell flat with consumers and PC makers alike. "I didn't like the Vista launch," says Gianpiero Morbella, head of marketing for Acer.

But as Microsoft CEO Steve Ballmer took the stage in New York on Oct. 22 to unveil the new Windows 7, there was more glee than grumbling. This time around, Microsoft coordinated closely with PC makers, retailers, and consumers in the runup to the launch. "They've done a very good job this time," says Morbella. The result was a relatively glitch-free introduction that features a wider array of machines at varying prices than previous Windows launches. Says Alex Gruzen, senior vice-president for the consumer products group at Dell (DELL), "the Microsoft I've been working with for the past year and a half on Windows 7 is a very different Microsoft than I've ever worked with before. The level of openness and collaboration was really new."

Disciplined Development Process

Microsoft used that collaboration to ensure the software works well with computers, printers, and other peripheral machines from the get-go. The software maker shared more information and took more feedback than in the past. And unlike with the Vista launch, some 8 million PC enthusiasts have been kicking the tires on prerelease versions of Windows 7 to try to catch bugs before the general public does. "They carried out one of the largest beta tests ever conducted," says Carlos Montalvo, a vice-president for marketing and services at Hewlett-Packard (HPQ). Cooperating with Microsoft "was deep, ongoing, and across the organization."

Indeed, sources say Microsoft's Windows team has hit nearly all of the development milestones for Windows 7. Many credit Windows chief Steven Sinofsky, who made his name by consistently delivering new versions of the company's Office suite of programs, for putting in place the strict processes and managerial discipline. For example, teams were created to manage each major PC maker's efforts to take advantage of Windows 7. If a PC maker found that a particular antivirus program slowed down the boot time by a few seconds, engineers could work on the problem. "They've been very, very true to their word on development milestones, and delivered really solid code," says Dell's Gruzen.

Acer and Dell both say that as of launch day, there will be zero inventory of Vista-based machines going into stores. Any that remains is what was already languishing in distribution channels. "Someone did a great job in the supply chain making this happen," wrote longtime PC analyst Stephen Baker of NPD Group on his blog. "This will give Win 7 a tremendous boost out of the gate." And while it took six months for Windows Vista to be introduced around the world, Dell plans to be selling in 95% of its markets around the globe within two weeks or so.

Faster Booting

The main reason for the optimism is the product itself. Partly because Windows 7 is not a total redo of Windows, Microsoft focused mostly on solving the day-to-day headaches most customers complain about, rather than on splashy but unstable new capabilities. "When there's a really exciting OS [operating system] like Win 7, we emphasize it a lot more," says David Roman, vice-president for marketing communications at HP's Personal Systems Group. Roman says his a-ha moment with Windows 7 came in February, when Microsoft released test versions of the software. "I took the beta and put it on a small netbook and discovered it was phenomenal," he says. "The performance was great."

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