As Microsoft’s Windows 8 launch edges closer and closer, it has now been revealed that Microsoft may be planning to phase out its points system within Windows 8, returning to hard cash as the main currency.
Currently, Microsoft Points are used to purchase items such as music downloads and movie rentals or purchases in Windows 8. However, it now looks as though Microsoft is enabling payment options via credit card within Windows 8.
The Evolution of Microsoft’s Payment Systems
Previously, within the beta versions of Windows 8, Microsoft had enabled Points-only purchases. This system was similar to that already available on Xbox Live and the Zune marketplace, which required customers to purchase points equivalent to 80 points for $1. The points system was initially introduced to create a unified currency across various Microsoft platforms, simplifying transactions for users who frequently purchased digital content.
However, the points system has often been criticized for its lack of transparency. Users found it confusing to convert real money into points and then use those points for purchases. This confusion sometimes led to overspending or underutilizing purchased points, leaving small, unusable balances in users’ accounts.
Potential Benefits of Switching to Hard Cash
Switching to hard cash as the main currency could offer several benefits. First and foremost, it would simplify the purchasing process. Users would no longer need to convert their money into points, making it easier to understand the actual cost of digital goods and services. This transparency could lead to increased customer satisfaction and potentially higher sales, as users would feel more confident in their purchases.
Moreover, using hard cash would align Windows 8 with other popular digital marketplaces like Apple’s App Store and Google Play, which already use real currency for transactions. This alignment could make Windows 8 more competitive and user-friendly, attracting more customers who are accustomed to straightforward payment methods.
Microsoft has yet to announce anything official about the new payment options and whether they are phasing out the older Points system. However, they have been questioned about the move, and as soon as we hear anything about it, we will keep you updated as always.
In addition to simplifying transactions, the move to hard cash could also streamline Microsoft’s accounting and financial reporting processes. Managing a virtual currency system requires additional layers of complexity in terms of tracking, reporting, and converting points back into real money for financial statements. By eliminating the points system, Microsoft could reduce administrative overhead and focus more on enhancing user experience and expanding their digital content offerings.
Furthermore, this change could pave the way for more flexible pricing strategies. With hard cash, Microsoft could easily implement discounts, promotions, and dynamic pricing models that are more challenging to execute with a points-based system. This flexibility could help Microsoft better compete in the fast-evolving digital marketplace.
Source: Verge
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