Why did Microsoft delay Windows XP SP3

The Microsoft Security Bulletin MS04-044 clearly stated that that the update for this issue will be included in Windows XP Service Pack 3. And now Microsoft has officially confirmed that Windows XP SP3 is in the pipeline and that it would be released after Windows Vista sometime in 2006.

This announcement is significant as it is in sharp contrast to Steve Ballmer previous remark that Microsoft might indeed ship SP3 for Windows XP before Longhorn (read, Vista).

Microsoft has come under increased pressure from Google and other competitors, which have won customers by putting out products more quickly. This re-org at Seattle may be one of the several reasosn to to delay shipment of XP SP3 in favor of Windows Vista.

1. Microsoft has generated enough buzz about Windows Vista at PDC while demonstrating new ground-breaking features like WinFX and Avalon (Sparkle). Microsoft would not like to stop the momentum by releasing another XP update.

2. When Windows XP SP3 is released, users are sure to find bugs and security issues. Microsoft would have to devote resources to fix them. This would clearly shift the focus of development teams at Seattle from Vista and Microsoft is trying to prevent that scenario by delaying XP SP3.

3. Windows XP Service Pack 3 could just be a regular customer fix and not any major upgrade - it could comprise of just IE7 and some security features. Therefore, Microsoft wants to keep the customer attention focussed on Vista.

When everybody was talking about the upcoming Office Vista UI, Microsoft secretly rolled out Office 2003 SP2 with a new anti-phishing feature and other regular fixes. Probably, they want to do the same thing with XP SP3.