Windows 10: With transition to Windows as service, Microsoft changes revenue recog

Discus and support With transition to Windows as service, Microsoft changes revenue recog in Windows 10 News to solve the problem; When Microsoft releases Windows 10 this summer, it will represent a shift in how the company has traditionally sold its OS. From a revenue recognition... Discussion in 'Windows 10 News' started by Brink, Jun 26, 2015.

  1. Brink
    Brink New Member

    With transition to Windows as service, Microsoft changes revenue recog


    Read more: With the transition to Windows as a service, Microsoft changes up revenue recognition

    :)
     
    Brink, Jun 26, 2015
    #1
  2. Ted Malos Win User

    How to: Reinstall or Restore your original Windows Installation After Upgrading to or Evaluating Windows 10

    Earlier press about Windows 10 hinted that the switch from IE to a new browser (Spartan?) would provide Microsoft with a pathway to somehow gain revenue from the browser. I am wondering how this may affect the ability to stay on the Win 10 technical preview
    and transition to the Win 10 sans IE system?
     
    Ted Malos, Jun 26, 2015
    #2
  3. Free Windows 10 ending again

    Why was it a marketing ploy? Wasn't it a necessary move to transition to Windows as a Service? MSFT Marketing would never have done it that way because there was no revenue stream from it. Worse, the OEMs yelled bloody murder because MSFT continued
    charging royalties on pre-installations of Windows on their products. They wanted a royalty-free period to make up for the loss of revenue from users deferring buying new devices while they could get Windows 10 upgrades for free. I see the free upgrade period
    as a means to change to a new servicing strategy. MSFT detractors are always going to find something to say no matter what MSFT does so MSFT might as well do what's best for themselves and the devil hang the hindmost. I know I saved a heckuva lot of money
    not having to buy Windows 10 for a lot of devices so whatever reasons MSFT had for doing things the way they did, it sure worked out for me.
     
    Cbarnhorst, Jun 26, 2015
    #3
  4. Mystere Win User

    With transition to Windows as service, Microsoft changes revenue recog

    This is a rather confusing spreadsheet and at first glance it appears like MS is talking about a subscription model, when it is not.

    The part of the article that comes after what Brink has quoted is this:

    In other words, it's basically like taxes and depreciation.. They're collecting money up front, but they're not applying it right away, but rather over a 3 year period.
     
    Mystere, Jun 26, 2015
    #4
  5. The change in accounting pratices probably has more to do with FASB than Windows 10

    WHY DID THE FASB ISSUE A NEW STANDARD ON REVENUE RECOGNITION?
    I do give MS credit for taking every opportunity to market Windows 10 though.

    Revenue, accounting, annual reports and FASB are quite dull reads *Wink
     
    Slartybart, Jun 27, 2015
    #5
  6. Gary Win User
    This is an accounting practice that will probably lower MS's corporate tax.
     
  7. Cr00zng Win User
    The accounting practice will probably include writing off the cost of free licenses that MS will give away for previous versions of their OS as business expenses. Spreading this cost over three years as promotion expenses will offset the income from actual license purchases to lower taxes.

    Windows 10 licenses sold as "service" also opens the door for leasing the OS in the Office 365 framework. That's not to say that it'll happen soon, but the door is open...
     
    Cr00zng, Jun 27, 2015
    #7
  8. Cliff S New Member

    With transition to Windows as service, Microsoft changes revenue recog

    *Banghead Not that Dead Horse all over again!!!Attachment 22653
     
    Cliff S, Jun 27, 2015
    #8
  9. Cliff S New Member
    Here is a way of looking at Windows as a Service(WaaS*Smile)--- You want the newest smart phone but can#t afford it to buy out right, so you go to a carrier and sign a two year contract. Now, there are one of two types. 1
    1. You signup for a phone and after 2 years, if you want the newest phone, you have to sign a new 2 year contract(Old Windows version model)

    2. You signup for a phone and after 2 years, if you want the newest phone, you trade the old one for a newer , and stay on the contract you have(WaaSb where Windows new features and technology(for your specific version of course) are added without having to buy a new OS or key).
     
    Cliff S, Jun 27, 2015
    #9
  10. Cr00zng Win User
    The makes sense, except:

    Source

    It seems that the Waas is squarely aimed at Windows 10 desktop platform...
     
    Cr00zng, Jun 27, 2015
    #10
  11. BunnyJ New Member
    That article is from: April 2014. It's not correct.
    Jeff
     
    BunnyJ, Jun 27, 2015
    #11
  12. Winuser Win User
    Just being curious. Who offers that phone plan?
     
    Winuser, Jun 27, 2015
    #12
  13. Cliff S New Member

    With transition to Windows as service, Microsoft changes revenue recog

    Here in Germany? Telekom, Vodafone, O2, E-Plus, and I believe Debitel.
     
    Cliff S, Jun 27, 2015
    #13
  14. Cr00zng Win User
    Yes, it is... Do you have a link that contradicts the quoted article?
     
    Cr00zng, Jun 27, 2015
    #14
  15. BunnyJ New Member
    BunnyJ, Jun 27, 2015
    #15
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With transition to Windows as service, Microsoft changes revenue recog

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