INTRODUCTION

One of the problems that some OEMs faced with Windows NT included licensing disagreements, product delays, and long testing processes. Did you try to first buy Windows NT that was preloaded with your new computer system purchase? If so, you should know that the companies who tried to be the first, who had this OS product preloaded on their machines, include PC vendors that sell direct or build to order.

Gateway 2000 Inc., Micron Computer Inc., and Advanced Logic Research, Inc. were among the first who expected to start delivering Windows NT 4.0 preloaded on systems. However, other OEMs were significantly delayed from having Windows NT 4.0 installed due to contract discrepancies. Windows NT 5.0 has proved to be more stable and more secure, therefore it is expected to start shipping on the majority of business machines.

OEMs also realized that there is a 20% hike in royalties for Windows NT 4.0 than for Windows NT 3.x. However, it isn't as much the pricing as it is Microsoft's desire to charge for the operating system on a per-processor basis.

In fact, when Windows NT 4.0 came out, many OEMs saw an interesting parallel between this Microsoft product and that of Windows 95. When an OEM doesn't build their systems to order (i.e., Gateway 2000, Inc. does build to order) it takes eight to 10 weeks to get the product launched.

Microsoft doesn't even ship the OS product to the OEMs until they sign the licensing agreement, these terms are...