Business users shunning 'pure' Windows 10 for downgrade version

Enterprise users want more time to get used to new OS, claims analyst Context

The downgradable version of Windows 10 has been adopted much quicker than the "pure" version in the business sector, according to Context, which claims more than half of all Windows business shipments in western Europe have been the downgrade version.

The downgrade version provides users with a Windows 10 licence, but gives them downgrade rights to Windows 7 and Windows 8.1.

Marie-Christine Pygott, head of personal systems research group at Context, said that the downgrade version accounts for 66 per cent of all Windows business sales through distribution in western Europe. The pure Windows 10 version accounts for just 15 per cent.

She said: "[The downgrade version] has been a very popular option with businesses, because it allows them to continue using Windows 7. But they also then have a license to upgrade to Windows 10 as and when they think it necessary.

"In the commercial environment, you have a slower conversion rate with any operating system. Consumer is always the first segment to adopt a new operating system, then business is much slower to adopt. What the downgrade version does is it allows businesses to continue with the operating system they know, are used to, and trust, but at the same time they have a license to upgrade when they are ready."

In the consumer market, Windows 10 penetration through distribution is at 96 per cent.

Today is the last day Windows 10 is available as a free upgrade and the Anniversary Update comes out on Monday.

Pygott believes that a lot of companies will transition to Windows 10 in the next few quarters, but said it could be the end of the year or next year before the market sees a full refresh.

She explained: "It is a slow process but it is not out of the ordinary. It is what is to be expected. The overall market has been relatively slow over the past few quarters. So Windows 10 in itself over the last few quarters wasn't really an incentive for commercial users to refresh their products. But that will happen at some point."

Microsoft had aimed to have one billion users on Windows 10 by FY18, but recently admitted that it would not hit that target. It attributed this to changes in its phone hardware business, which saw the vendor announce last year that it would be cutting 8,000 jobs.

Microsoft said in a filing yesterday that it would be cutting another 2,850 jobs, primarily from its smartphone hardware business. This is included in its plans to cut 4,700 jobs by the end of 2017.