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Microsoft Raises Windows OEM Fees 10%, Pushing PC Prices Higher

Simon Ellis 0 comments 2 min read

Microsoft reportedly raised Windows OEM licensing fees by 7% to 10% since July. Retail Windows 11 prices remain unchanged, but PC manufacturers may pass costs to consumers.

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PC buyers should expect higher prices for new laptops and desktops starting this summer. Microsoft has reportedly raised the licensing fees it charges computer manufacturers for preinstalled Windows copies. This cost increase is significantly larger than the company's typical annual adjustments and adds to existing supply chain pressures. The change affects the baseline cost of hardware, which manufacturers often pass on to consumers.

OEMs face higher costs while retail Windows 11 prices remain steady

The fee hike applies specifically to original equipment manufacturers (OEMs) who preinstall Windows on new devices. It does not impact standalone retail licenses for Windows 11 Home or Windows 11 Pro. Those retail versions remain priced at $99 and $199 respectively, according to available information. The increase targets the wholesale channel where Microsoft sells operating system rights to PC builders.

Industry sources report that Windows OEM licensing fees increased by 7% to 10% since July. This jump is considerably larger than the usual few percentage points Microsoft adds each year. A PC industry executive confirmed the deviation from the standard annual adjustment pattern. Microsoft declined to comment on the specific figures when asked by reporters.

These higher licensing costs come as the PC industry already faces memory shortages and rising manufacturing expenses. Manufacturers may raise retail prices for laptops and desktops to offset the increased Windows fees. The additional expense could make new computers more expensive for everyday users. This trend adds financial pressure to an already tight hardware market.

Microsoft's licensing policy shift directly impacts the cost structure for new PC sales. The 7% to 10% fee increase is a notable departure from historical norms. Retail consumers buying standalone licenses will not see a price change for the software itself. However, the cost of new preinstalled systems is likely to rise in the coming months.

Source: NotebookCheck

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