If you don’t want to spend a mint on new PC parts, there are ways to save money with OEM. Aaron explains
All users of the internet who’ve spent any amount of time looking online for hardware and software deals should be familiar with the abbreviation OEM. It’s a term we see all over the place, from Amazon to eBay. OEM deals are often cheaper than normal offers you’ll see, so they’re often very attractive.
The problem with OEM is the general lack of understanding many have, with a lot of people not knowing exactly what OEM actually means, both literally and legally. It’s easy to see that OEM deals are often much cheaper, but how is this possible? What makes an OEM deal cheaper than a normal option you may find elsewhere or on the high street? Let’s have a look.
Money-saving Abbreviation
OEM stands for ‘original equipment manufacturer’, and as you can guess from the name, it’s a special licensing deal that’s supplied to specific vendors in the production of systems. These products, which includes both hardware and software, are used to create systems and package deals. However, OEM items are also seen for sale to the general public online, which is where the real money saving comes in.
OEM deals are almost always cheaper than buying the same item in retail form, with the savings often being quite large, even as much as half price. This obviously makes buying OEM items far more attractive to the average buyer, but there are a couple of things you need to know first, with one of these being the limitations of OEM, and another being what makes these offers so cheap in the first place.
OEM deals are basically items that are not intended to be sold separately, and are solely for use in system building or creating specific bundles. You’ve seen cans of cola that say not to be sold separately on them as they’re actually part of a multi-pack, right? Well, it’s the same thing, to a degree.
Hardware manufacturers and software developers supply barebones OEM versions of their wares to system builders, and they’re used as part of a system bundle or deal. This saves both the vendor and the customer money, but it means that all parties gain. The manufacturers get money for supplying the parts, the vendor makes money on a package that has some good components and hardware, and the buyer saves cash thanks to the inclusion of the OEM items. It’s a win win situation.
It didn’t take long for people to realise that selling OEM parts could be a big money maker too, and the lower cost of acquiring these meant easy profit. What’s more, the reduced cost of the parts meant that the actual sale price to the public could be lower too, undercutting the more expensive retail versions. So a flood of OEM deals washed over the internet.
Now you can find such deals everywhere, even on sites that usually focus on retail products, such as Amazon, but how much do you actually save, and what’s the catch?
Too Good To Be True?
Depending on where you shop, the savings you’ll make on OEM deals will vary, but in most cases, it’s usually quite a lot. A £200 processor might cost closer to £100, and similar savings could be made on other hardware. You can also save on software, with one of the most common OEM deals being for Windows.
For example, on Amazon, a retail copy of Windows 8.1 Pro will set you back around £150, while an OEM copy of the same OS will only cost around £110. That’s a £40 saving, which is nothing to be sniffed at. With so much money to be saved, what’s the catch? Is this even legal? Yes, it is legal, but there’s a catch too.
Most OEM deals are barebones, in that they come without all of the usual packaging and documentation you’d expect. For software such as Windows, this usually means you’ll get the disc in a plastic sleeve with only a product key accompanying it. There’ll be no box, manual or anything else. For the most part, this isn’t a problem, but for hardware it can be a little more of a concern.
A lot of OEM hardware will also come without any official packaging or documentation. This isn’t really a problem for devices like hard disks or graphics cards, but some hardware can cause problems. OEM processors, for example, will often come without an included fan or heatsink. If you don’t have one spare or don’t buy one to go with it, you’ll have a problem. If, for some reason, you have no internet connection, you’ll even be in trouble with things like the aforementioned graphics card, as you’ll often get no drivers with the component.
On top of this, a common limitation for both OEM software and hardware is the lack of any official support. As the OEM software isn’t technically meant to be sold separately, it comes with no warranty other than any you may get from the outlet you buy it from. Usually, OEM components and software are supported by the company that’s part of the OEM, such as Dell or HP, for example. Because these are not sold by these companies as an official deal, this support isn’t available.
This isn’t going to be a big problem for users comfortable in their technical ability, able to troubleshoot and support their own kit, but if you’re new to computers or simply don’t think you have the required knowledge, it may be something to consider, and OEM may save money in the short term. In the long run, however, should anything go wrong, you may end up spending the difference.
Having to buy extra hardware such as a CPU cooler could also add to the overall price, making the OEM deal not quite as impressive. This extends to other hardware, such as graphics cards, which may ship without any of the required cables. Because of this, you should always check what you’re getting for your money, and note the overall cost based on the component and any extras you may need to buy in order to actually use it.
Also be aware of end-of-line OEM deals. Sometimes vendors will sell hardware that’s out of production and no longer available. These OEM deals can occasionally cost more than a retail version or even a new, more powerful model. Buying older, end-of-life OEM stock is useful if you need parts and can’t upgrade, but always note down the cost. If you really need an older part, check other potential sources, such as eBay auctions, as you may find them even cheaper than OEM versions.
Where To Buy?
There are many places online that sell OEM hardware and software. As we’ve already said, one of these places is Amazon, which will please many, as Amazon is a very respectable and dependable site known to all. There are a host of other outlets too, such as www.ebuyer.com and specialised vendors like www.aria.co.uk. A very popular site for components, including OEM, is www.newegg.com. This has a large selection of OEM gear, often at pretty decent prices.
You’ll also find plenty of OEM deals on auction sites like eBay, although the nature of eBay means that guarantees and any extended seller support isn’t as readily available. Unless you’re technically proficient, due to the lack of support for OEM as it is, we’d recommend you stick to retail outlets and avoid public auctions. That said, if you find a great deal and have someone who can help you out if needed, it may be worth a gamble.
Software Limits
Normal retail versions of software, including operating systems, come with licence agreements. This means that a copy of something like Windows can only be installed on one machine at a time, and this machine needs the supplied software key and be registered.
OEM software also has licensing requirements, but often this is a lot more restrictive than normal retail copies. Unlike retail copies, which can be moved from one machine to another as you see fit, OEM copies are usually tied to the machine they’re first installed on. This is the nature of the OEM software licence, as it’s supplied to manufacturers to use in specific bundles or package deals. So if you buy an OEM copy of Windows and install it, it’s locked to that system. As Microsoft’s official stipulation states, “the OEM software is licensed with the computer system on which it was originally installed and is tied to that original machine. OEM licences are single-use licences that cannot be installed on more than one computer system, even if the original machine is no longer in use.”
So you can’t simply uninstall it and then reinstall it on another PC, at least not without calling Microsoft support first. The company is known to be quite generous in this regard, and support will often help, so don’t be afraid to call and ask. If official permission isn’t granted, it’ll either be impossible to reuse or at the very least illegal to do so.
The same rules often apply to other software, such as antivirus and office suites. You need to be aware of this, as this can affect how much value the deal will be. If you plan to upgrade your PC in the near future, there’s a chance your new OEM copy of Windows will object, because the system has changed. A retail version, however, won’t cause the same problem, as the licence you purchase is for permanent use of the software and can be used on any PC, as long as it’s not used on more than one PC at a time (unless you buy a multiple system licence).
It should also be noted that OEM software often cannot be returned once opened, so you won’t be able to get a refund or replacement. Bear this in mind if you’re planning on buying OEMbased gifts for others.
That covers the basics of OEM deals and what you should look for. These offers are a great way to save money, and by shopping for a full set of OEM parts, you can build a powerful PC for a fraction of the price a package deal will cost, as long as you have the know-how. So next time you’re shopping for a component or two, look for that OEM deal and save yourself some cash.
Bargain Windows 10
Windows 10 may be available as a free upgrade for users who already run Windows 7 or above, but if you’ve yet to upgrade to a compatible OS, there’s going to be a price attached to the operating system. You can either buy Windows 10 outright or you can buy a compatible OS and then upgrade for free.
This isn’t difficult, and you can easily find copies of older but compatible Windows online. However, the cheapest cost of entry is probably going to be Windows 7. This is because Windows 7 is often the cheaper OS when compared to Windows 8, and if you shop around, you can find much cheaper OEM versions of Windows 7.
Sites like www.ebuyer.com have offers for Windows 7 Home Premium OEM for around £65, which is cheaper than both Windows 8 and even the most basic edition of Windows 10. Grabbing this copy of Windows 7 would grant you the free upgrade to Windows 10, in turn saving you some cash.
Stuck With It
Full system builds often include an OEM copy of Windows. Instead of coming with an actual install disc or boxed copy, all you get is the pre-installed OS, with a recovery partition being used for reinstallation purposes. On the PC case or underneath a laptop you’ll usually find a COA (Certificate of Authenticity) sticker, which bears the OS licence key.
Many think this key can be reused for another copy of Windows, as long as the PC the OS was installed on originally (the one with the COA sticker) has been formatted. This isn’t the case. OEM copies of Windows are tied to the PC, often the motherboard, and cannot be used on another system, so that key isn’t valid anywhere else. Only a call to Microsoft can help this. The basic rule: if your licence key is stuck to a system, it can’t be transferred.