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Microsoft holding Surface 2 NYC launch event on Sep. 23

  • Microsoft (MSFT +1.2%) had already suggested new Surface models would launch this year, but their arrival dates had remained a question mark.
  • First-gen Surface sales have underwhelmed, particularly for the ARM-based Surface RT. FY13 (ended in June) Surface sales only amounted to $853M, and Microsoft took a $900M Surface RT inventory charge in the June quarter.
  • The rumor mill indicates the Surface Pro 2 will have an Intel Haswell CPU, better battery life, an adjustable kickstand, and up to 8GB of RAM. The second-gen RT model will reportedly have a better display (1080p) and improved battery life. Both models are expected to offer new Power Cover (keyboard with built-in battery) and docking station accessories.
  • But more than any hardware improvements, the consumer reaction to the software improvements delivered by Windows 8.1 could determine whether the new Surface models fare better than their predecessors.
  • With OEM partners largely turning their backs on Windows RT in the face of weak demand, Microsoft could soon have the RT tablet market mostly to itself.
Comments (12)
  • Bouchart
    , contributor
    Comments (755) | Send Message
     
    What we need are more tablet computers. There just aren't enough of those out on the market.
    9 Sep 2013, 02:22 PM Reply Like
  • Derek A. Barrett
    , contributor
    Comments (3534) | Send Message
     
    The key is pricepoint, which needs to come down drastically
    9 Sep 2013, 02:29 PM Reply Like
  • slam stocks
    , contributor
    Comments (1270) | Send Message
     
    Absolutely agree. I wanted one and the price with all the extras was comparable and in some cases more than an IPad.
    9 Sep 2013, 04:28 PM Reply Like
  • racchole
    , contributor
    Comments (309) | Send Message
     
    Or just need people to realize that for a few bucks more, you get a real tool over the iPad toy.
    9 Sep 2013, 05:11 PM Reply Like
  • Derek A. Barrett
    , contributor
    Comments (3534) | Send Message
     
    Maybe racchole, but on the other hand that has never been Microsoft's strength. Apple is the premium brand and Wintel has always been the open commodity brand.

     

    I literally grew up with Microsoft since MS-DOS 1.0, however, I must concede that the iPad is considered the de facto standard in the industry which everything else is measured against. I think them trying to market their tablets as a premium item is a big mistake.

     

    Perhaps if the other OEM's can come up with a discount x86 (not ARM/RT) tablet it might make sense to sell Surface at a premium, but until then I think this is a bad strategy.

     

    You should be able to get a real tool for less, which is always what Microsoft has offered and how it has destroyed the competition over the years.
    9 Sep 2013, 07:57 PM Reply Like
  • racchole
    , contributor
    Comments (309) | Send Message
     
    Derek, thanks for the comment, and I think you are absolutely correct.

     

    I will say (not so much towards your point, but a generality): 2 years ago, I was selling iPads to my customers for at-work BYOD usage. 2 years later, and I am only quoting Surface 2s. Few orders I will admit, but from what I have seen, the iPad has not gained traction in any enterprise-type marketplace.

     

    That being said - I think my original comment was short-sighted, and price-point is a serious consideration for the Surface 2. MSFT is still between a rock and a hard place, as it should have pushed other OEMs to manufacturer Windows 8 tablets(PCs). It may have put itself in a position to compete with itself.
    15 Dec 2013, 04:09 PM Reply Like
  • PS5150
    , contributor
    Comments (9) | Send Message
     
    The key would be a more productive populace. If more people worked rather than played, the Surface would be selling better. With America's labor participation rate dropping it makes it harder, for Microsoft to maintain profitability for products like the Surface.
    9 Sep 2013, 06:28 PM Reply Like
  • GregScotts
    , contributor
    Comments (82) | Send Message
     
    "The key would be a more productive populace. If more people worked rather than played, the Surface would be selling better. With America's labor participation rate dropping it makes it harder, for Microsoft to maintain profitability for products like the Surface."

     

    Quoted for hilarity.
    9 Sep 2013, 06:48 PM Reply Like
  • jammerculture
    , contributor
    Comments (393) | Send Message
     
    So very very true.

     

    In fact, you can apply this to the whole economic "recovery"
    9 Sep 2013, 07:37 PM Reply Like
  • Island_Dweller
    , contributor
    Comments (359) | Send Message
     
    Much like the many devices and services in the tech world, and particularly with Microsoft, 2nd and 3rd gens will start to gain traction. How much traction we'll know by the end of the holiday season.
    9 Sep 2013, 07:32 PM Reply Like
  • Doug Meeks
    , contributor
    Comments (1105) | Send Message
     
    I'm impressed with Haswell. Nobody is going to let the MacBook Air and this new Surface dominate the battery life game, Haswell will take market share.
    9 Sep 2013, 08:35 PM Reply Like
  • jhesr
    , contributor
    Comments (350) | Send Message
     
    If Microsoft is coming out with a docking station then its basically going to be scorched earth against their OEM partners. I guess its a moot point anyway as the PC industry is already fubar. If MSFT can grab all the meager profits from the shrinking Wintel platform, then I suppose it will add up to a decent amount.
    20 Sep 2013, 11:57 PM Reply Like
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