CIOs: Windows XP Not Sparking New Hardware, Office XP Sales

"Why not Office XP? Too many other applications are untested [with the Microsoft office suite," said Steven Sheinheit, senior vice president and CTO at insurance giant MetLife, at the conference, which was co-sponsored by CRN. MetLife plans to move all of its desktops to Windows XP and leave Office XP dormant on the systems, with the office suite to be turned on at a later date, Sheinheit said.

Office supplies chain Office Depot also plans to pass on Office XP when it upgrades its machines to Windows XP.

"Testing the [Office XP image against multiple applications is a bigger challenge," said Patricia Morrison, CIO at Office Depot. "Users are overwhelmed in our case with that much new capability at their fingertips. It comes down to how much demand for functionality of the Office suite is different than the efficiencies you get from an IT standpoint."

Panelists said companies also are extending the life of their existing desktops. Medco Health, for one, manages its desktop refresh rate "not by months, but by decibels," said Stuart McGuigan, senior vice president of information services and technology support at the health-care provider. "The louder they yell, the more apt we are to change. If we can get by with a machine--however old it is--we will," McGuigan said.

MetLife recently extended the life of desktops to four years from three years, Sheinheit said. "We're looking to get as much life out of them as possible, but there's a point in time where the cost of support and maintenance is more than the cost of the device," he said.

Ed Coleman, chairman, president and CEO of Dallas-based solution provider CompuCom, said he wasn't surprised by the CIOs' statements.

"I think people are making upgrades by serial number, as opposed to mass refreshes," Coleman said. "That's great for people like us in the asset management space, but not for most people. Everyone is focused on not spending any money they don't have to spend right now."