Microsoft Hikes Windows 11 License Fees 7-10%

Microsoft has reportedly increased the price of Windows 11 licenses for PC makers, with a 7% to 10% hike. This price increase may lead to a 5% increase in PC prices in the third quarter of 2026, especially for PCs with faster processors.

The price increase is higher than the usual single-digit increase, and it may affect the pricing of PCs. Microsoft charges OEMs based on the CPU tier inside the machine, so a laptop with an Intel Core i7 processor will owe Microsoft a larger share than a laptop with a Core i3 chip.

The price increase does not affect people who purchase Windows separately, and Windows 11 Home remains priced at $99. However, the increase may have already been reflected in current product prices, with the bigger rises in fees having been given to PCs with faster processors.

## What it means The price increase is a significant change from the usual single-digit increase, and it may have a notable impact on the PC market. PC prices are already facing various pressures, including the RAM crisis and other increased component costs, and this price hike may add to the burden on consumers.

## Why it matters The price increase may lead to a 5% rise in PC prices in the third quarter of 2026, which could affect the purchasing decisions of consumers. The increase may also have a ripple effect on the PC market, leading to higher prices for other components and affecting the overall cost of PCs.

The PC market is already experiencing a surge in demand for memory, SSDs, and CPUs, which has led to higher prices. The addition of a significant price hike from Microsoft may further exacerbate the issue, making PCs more expensive for consumers.