Microsoft has discovered yet another method to increase the cost of PCs, as if they weren't already expensive enough.
With the rising costs of both chips and Windows licenses, it may be time to consider switching to Linux.
PC purchasers are facing increased costs on multiple fronts this year, not solely due to memory and chips. A report from the Taiwanese publication United Daily News indicates that Microsoft has discreetly increased its Windows OEM licensing fees, and the increase is larger than typical.
This adjustment could result in another 5% hike in PC prices this quarter. As if the AI-driven RAM and chipset challenges weren't enough, buyers are now facing another increase without any added value.
How much extra is Microsoft charging PC manufacturers?
A representative from a PC brand noted that while Microsoft generally raises its Windows OEM licensing fees annually, the increases have typically been relatively modest. However, this changed in July, with this year’s hikes ranging from 7% to 10%, marking a significant rise compared to what brands are accustomed to.
Additionally, the pricing varies depending on the CPU tier within the device; for example, laptops with an i7 chip incur higher licensing fees than those with an i3 or i5.
Interestingly, brands report that many consumers haven't noticed this specific cost increase, likely due to the rapid rise in component prices, especially memory, which has already surged this year.
How much have PC prices already increased?
Since last year, the demand for memory, SSDs, and CPUs has skyrocketed, driving prices up. Memory in particular constitutes a substantial portion of the cost of a new PC, which is a key factor behind the continual increase.
In Taiwan, both ASUS and Acer have confirmed an additional round of price increases this quarter, approximately 5%. ASUS also reported that some of its products now cost nearly 30% more compared to the fourth quarter of last year.
This situation isn't benefiting PC sales. Counterpoint Research predicts that global shipments will reach around 65 million units in Q2 2026, representing a 4% decline year-over-year, and marking the first decrease since early 2025. While AI PCs and the Windows migration cycle are still stimulating some upgrades, rising costs are diminishing that demand.
Rachit is an experienced tech journalist with over ten years of expertise in the consumer technology sector.
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Microsoft has discovered yet another method to increase the cost of PCs, as if they weren't already expensive enough.
The costs of PCs are rising once more. Microsoft has recently increased Windows licensing fees by as much as 10%, adding to the already higher prices of memory and CPUs.
