Microsoft will be offering the basic version of Windows 7.0 at $15 a piece. It is less than one third of what each Windows license usually costs. Windows 7.0 does not fit in the traditional fat-profit business model of Microsoft. After all last year the Windows division made $13bn profit on $16.9 bn of revenues!

After years of countering threats on all fronts Microsoft is determined to fight back.. Microsoft is launching Windows 7.0, designed with reliability in mind rather just form, at $15 for basic license. It will then allow consumers to upgrade on the fly by giving credit card details. It is launching new Ads to attack the “coolness” of Mac. It is working hard to drive Linux out of netbooks.

All in all Microsoft seems to be succeeding in its effort to retain OS hegemony. But in future we have to see if Android will be able to threaten the monopoly.