Following on from the announcement last month of a release date for Windows 9, which will come as welcome news to pretty much everybody in the world (we blogged about here), Microsoft are rumoured to be reducing the costs for Windows 8.1, as an added incentive to increase uptake of the software giant’s most recent flagship OS.

Bloomberg is reporting that Microsoft are prepared to reduce the cost to OEM’s by up to 70% in a bid to counter the growing popularity of alternative OSs on platforms like of Google’s cheaper Cromebook.

Targeting the low cost PC and tablet market, currently Microsoft charges OEM’s $50.00 per device that retails for under $250, this means the price will reduce to just $15.00.

Microsoft is hoping this new incentive will also help out its floundering (but resugrent, if  you believe the analysts) tablet market share, which is worth a total of $80 Billion table. This is after posting its worst annual decline on record last quarter. With global computer shipments falling and with a continued decline predicted, and the ever increasing popularity of tablets, Microsoft has to act fast to try and attract users away from Apple and Google products, who already have a huge head start on Microsoft.  

This is no easy task, as Apple and Google Chrome Operating Systems currently account for 95% of the tablet and smart phone market. However, if Windows 8.1 builds some momentum on the backup of this price drop, that could change.