In the past few days there have been stories circulating about Microsoft and OEM versions of its operating system. One was good, one not so good. But first, what does OEM mean?
OEM is an acronym for Original Equipment Manufacturer. An original equipment manufacturer is a company that builds products or components that are used in products sold by another company. This can apply to software or hardware. For example, many cellular phones are made by HTC, but resold by other companies. In fact, if you look at their product page, you’re bound to recognize phones. (Sometimes ODM or Original Device Manufacturer is used for smaller electronics, such as cell phones).
In the case of software, and particularly operating systems, the software is sold from the OEM (say, Microsoft) to the manufacturer of a PC (say, Dell) who then ships his PC with the OS installed.
In one of the stories this week, Microsoft said it was OK for consumers to buy the much cheaper OEM version of Windows Vista, as long as they adhered to the licensing rules of that version. Which means, in a nutshell, you cannot legally transfer the software to another PC (unlike the retail version), and you will not be getting support from Microsoft for the product. When you normally buy a Dell, who do you get support from? Dell. Since you are “the OEM” in this case, who do you get support from? Yourself.
For someone like me, this is fine. I don’t generally need support unless it’s a hardware issue. For John Q. Public, this is not such a good deal.
The other story involves Microsoft not honoring vouchers for upgrades to Windows Vista, from people who purchased OEM versions of Windows XP. In this case, Microsoft is asking for people to submit a receipt showing they purchased a PC. If they bought OEM software, like above, they don’t have that receipt … or even the PC. In this case, the people were somewhat misled by the retailers; in fact, if you look at Amazon.com’s site, the limitations of OEM Vista are clearly explained, and that’s not the case for OEM XP.
Bottom line: OEM software is something you really need to be careful about buying. If you’re a techie like me, or are sure you can get support from say … a family member, you might want to go for it. Just don’t expect Microsoft to help you, or to honor any vouchers, as in the case of XP.
