New licensing fails to hold back XP

Companies are steadily moving to Windows XP despite Microsoft's recent licensing changes, according to a survey by analyst IDC.

Customers already using Windows are unlikely to switch to rival operating systems, despite user dissatisfaction over changes in the licensing, said Al Gillen, research manager at IDC.

Under Microsoft's new Software Assurance scheme, firms are required to pay a yearly subscription for updates. These changes will cost British industry £220m per year, claimed blue chip user group The Infrastructure Forum.

But having delayed the cut-off date for registering with the scheme from 28 February 2002 to 30 July, Microsoft appears to have allayed fears. Only 15 per cent of respondents said that changes to licensing had been an incentive to look at alternatives.

"Microsoft has acknowledged that there is a degree of pain involved moving across to any such scheme," said Tim Jennings of industry watcher Butler Group. "People will come to terms with the way software is moving away from product-based to service offerings."

While Microsoft will take comfort from the figures, IDC research also shows that many firms are still implementing Windows 2000 and are unlikely to upgrade to XP for some time yet.

Three quarters reported that they were only at the initial stages. "Movement to Microsoft's latest operating systems will proceed on their schedule, not on Microsoft's schedule," said Gillen.

In November, the software giant had claimed an "enthusiastic response" to the launch of XP. The company was unavailable for further comment.