Microsoft announced their pricing for Windows 7 today, along with upgrade information, launch details, and a nice little preorder deal. I know plenty of users will be getting rid of Vista when 7 ships, and many have already done so with the 7 RC build.

As for pricing, upgrades will fall just a hair short of Windows Vista prices since the cut in February 2008. A Home Premium upgrade version will run $120 as opposed to Vista’s $130. The Home Premium full version will be $200, down from $240 for Vista.

The preorder prices are where the real money…isn’t. I can’t say if this is an apology to all the Vista users or whether Microsoft just wants 7 in the hands of as many folks as possible. Whatever the reason, I’m happy. Here’s a look at the price breakdown by country for the Home Premium and Professional builds:

* US: Home Premium ($49.99) Professional ($99.99)
* Canada: Home Premium ($64.99) Professional ($124.99)
* Japan: Home Premium (¥7,407) Professional (¥14,073)
* UK: Home Premium (£49.99) Professional (£99.99)
* France and Germany: Home Premium (€49.99) Professional (€109.99

Just $50 for a Microsoft OS that won’t drive me completely insane? I’ll take it.

A quick note about upgrades: Be sure you pay attention to your upgrade process, because it will vary depending on your current product. For example, Windows XP users, whether upgrading or not, will have to do a clean install. The responsibility for backup falls to the user, so don’t pop your DVDs in expecting MS to keep your data.

Vista upgraders can follow Vista upgrade paths. You will only need a clean install if you are moving from Professional to Home Premium, even if it’s Vista Pro to 7:HP. Going from Vista:HP to 7 Pro will not require a full install.

US preorders start tomorrow at the Microsoft Store and other select retailers, including Best Buy and Amazon. Don’t miss out. The offer is only good while supplies last.