Linux Users Demand Refund For Preloaded Win 98

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January 22, 1999 (9:18 AM EST)

Linux Users Demand Refund For Preloaded Win 98

By Andy Patrizio,

The Linux community's effort to get a refund for Windows 98 bundled with PCs may spur hardware OEMs to start offering the Unix clone as an alternative operating system to their customers.

The Windows Refund Center is trying to mobilize not only Linux users, but also NetWare, OS/2, and BSD Unix users into demanding they get a refund for getting Win 98 with their hardware.

The group is trying to coordinate a "Windows Refund Day" for Feb. 15 by getting as many people as possible to request their refunds on that day.

The effort is based on language in the End-User License Agreement that comes with Win 98 that says if the customer does not agree to the terms of the agreement, they can't use the software and should return it to the PC vendor for a refund.

The long-term goal of the movement is to have Microsoft back off on its OEM contracts so companies don't feel forced to bundle Windows on every machine to save money, said Matt Jensen, who runs the Refund site.

"OEMs do see demand from Linux users and others for a choice, but they seem to be getting a lot of pressure from Microsoft, and probably pressure we don't see based on Microsoft's history," he said.

But Linux users shouldn't waste their time waiting by their mailboxes for their refunds, industry watchers said.

Part of the benefit of buying a branded machine from name vendors such as Compaq and Dell is the testing that goes on to ensure compatibility between hardware and software, said Rob Enderle, senior analyst with the Giga Information Group.

Compaq declined to comment on the refund initiative. A Dell spokesman said if a customer said he/she would not agree to the Windows agreement, he/she would be asked to return the whole system. But the company could validate and load a non-Windows OS for customers who purchase 50 or more desktops or at least one server.

If nothing else, this movement proves embarrassing for Microsoft because it highlights the dominance Microsoft has on OEMs, said Dwight Davis, analyst with Summit Strategies. Even if it doesn't exert pressure on the OEMs like it used to, Microsoft is clearly the only game in town for OSes.

That is slowly changing, however, with major OEMs considering a Linux offering. But there is a lag time between what the market demands and what vendors can offer.

"It could push hardware vendors a little faster to offer alternatives to Windows," said Davis. If that happens, then Linux users have won the battle. "I don't think the money issue is the agenda -- it's a matter of choice," he said.

A stick-it-to-Microsoft effort does Linux more harm than good, said Enderle. "If they are looking more and more like they're out to get Microsoft, the value of their message degrades," he said.

Jensen said there may be some anti-Microsoft sentiment in the group, but the majority of participants don't want to pay for an OS they don't use.