Drop in Microsoft (MSFT) Surface RT Prices Unlikely to Spur Sales

July 17, 2013 8:39 AM EDT
Microsoft (Nasdaq: MSFT) was recently said to be cutting the price of its Surface RT tablet by around $150 on each model, meaning you'll still pay full price for the device, but now a keyboard will basically be included. Given the focus on productivity surrounding the device, the keyboard has largely been deemed a necessary accessory.

Digitimes commented on the price drop today, saying that the lower prices for the device won't have an impact on sales given that Google (Nasdaq: GOOG) Android and Windows-based touch-screen notebooks have also seen a drop in prices. Digitimes cites Taiwan supply chain sources on the news.

Speculation surrounds whether the price actions will reflect a revamp in the Surface lineup, something that is likely to happen given the rapid acceleration of competition and the fact that the original Surface line debuted around this time last year. Microsoft needs a smaller, lower-cost Surface to really grab more of the tablet market share, regardless of whether or not its a productivity machine.

Shares of Microsoft are up in early trading Wednesday.


Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

Insiders' Blog