Microsoft announced another life extension for its supposedly retired Windows XP operating system, a sign that, despite almost two years on the market, Windows Vista is far from being preferred. The cut off date for PC makers to obtain licenses for the software was 31 January 2009. But now Microsoft has put in place a scheme that will allow the hardware firms to get hold of XP licenses until 30 May 2009.

Windows XP was originally due to disappear off shop shelves on 30 January 2008. It was to be removed so as to make way for Windows Vista which went on sale to consumers early in 2007.

Under the new, four-month extension, PC makers must still purchase licenses before January 31, but can choose to have the licenses delivered through May 30, 2009. This is apparently a move to keep system builders from stockpiling licenses as currency in a post XP future or at least until Microsoft can shove early versions of Windows 7 out the door in late 2009.

"Microsoft is making accommodation through a flexible inventory program that will allow distributors to place their final orders by Jan. 31 2009; and take delivery of those orders through May 30, 2009," a Microsoft spokesperson said in an emailed statement. "This is not an extension of sales."

A survey released in October by the United Kingdom's Corporate IT Forum showed that only 4% of businesses in that country are using Windows Vista on workplace systems, while 35% said they were "not yet interested" in Vista. Fifty-eight percent said they were still using Windows XP, now 7 years old. Meanwhile, IT officials for the state of Maine say their organization plans to skip Vista for state workers and will jump directly from XP to Windows 7, which Microsoft has said it plans to release in 2010.

In the meantime, Microsoft's CEO Steve Ballmer recently told the world that "Windows 7 will be Vista, but a lot better."  But another way to read Ballmer's comment is that Windows 7 will be 'Vista plus fixes' rather than wide-ranging core changes. If that's true then there's no need to wait for these improvements. Nearly all of the Windows 7 features that we know about so far can be delivered with a few OS tweaks and third-party tools for free. In some cases, you can do them even if you're still using Windows XP.

Microsoft is to release Windows 7 on November 2, 2009.  This not only provides the company with ample time to improve the OS and get it ready for the public, but it shows vendors, software partners, and consumers themselves that it's serious about getting Windows right this time. And perhaps most importantly, that release date puts Microsoft in the position it wants to be in: ahead of the holiday shopping season.