Microsoft upgrade plan gets cold shoulder [CNET News.com]

You would think that there would be downward pressure on prices of software products, because the marginal cost for a product is very small, and because many technology budgets are being reduced.  For some software products, this is true.  Especially for small products.  However, when you talk about extremely large and complex software like Microsoft Windows or Microsoft Office, there are other factors that matter.  Microsoft has strong pricing power -- enough pricing power to increase prices even when other software companies are finding that they must make do with less.  If you want to know who has all the power, it's Microsoft.  As a result of the changes to their licensing plans, Microsoft will be getting more revenue, while their customers will be adjusting their budgets to spend more money on Microsoft's software.  Is this a monopoly or what!?

1:05:19 PM