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In February 2014, Bloomberg reported that Microsoft would be lowering the price of Windows 8 licenses by 70% for devices that retail under US$250; alongside the announcement that an update to the operating system would allow OEMs to produce devices with as little as 1 GB of RAM and 16 GB of storage, critics felt that these changes would help Windows compete against Linux-based devices in the low-end market, particularly those running Chrome OS. Microsoft had similarly cut the price of Windows XP licenses to compete against the early waves of Linux-based netbooks. Reports also indicated that Microsoft was planning to offer cheaper Windows 8 licenses to OEMs in exchange for setting Internet Explorer's default search engine to Bing. Some media outlets falsely reported that the SKU associated with this plan, "Windows 8.1 with Bing", was a variant which would be a free or low-cost version of Windows 8 for consumers using older versions of Windows. On April 2, 2014, Microsoft ultimately announced that it would be removing license fees entirely for devices with screens smaller than 9 inches, and officially confirmed the rumored "Windows 8.1 with Bing" OEM SKU on May 23, 2014.

When did Windows 8 decrease the price of Windows 8 for devices that cost less than $250?
February 2014