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Microsoft Drops The Surface
Microsoft has dropped the prices on its Surface RT tablets by as much as 30%, with the entry-level 32GB model selling for $349.
The 64GB Surface RT was also discounted by $150, and now sells for $449, or 25% off its former price.
When Microsoft launched the tablet, it sold the 32GB device for $499 and the 64GB configuration for $599.
Microsoft started selling the Surface RT at the lower prices Sunday, as did some of its U.S. retail partners, including Best Buy and Staples. On its website, Staples noted that the discounted prices are valid until July 20, and only while supplies last.
Microsoft’s website, however, listed no caveats, hinting that the lower prices might be permanent or at least will be honored for longer than one week.
The prices are another attempt by Microsoft to clear its existing inventory in preparation for a second-generation line of Windows RT devices. Previously, Microsoft had launched multiple deals to rid itself of the poor-selling tablet, most recently in June when it slashed prices by 60% in a bid to get universities and K-12 schools to buy the device.
Earlier, it kicked off a buy-a-Surface-RT-get-a-free-cover deal that ran until June 30. And at several conferences, including June’s TechEd North America and this month’s Microsoft Partner Conference, the company sold attendees a 64GB Surface RT for $100, 83% off list price.
Today’s sale prices were nearly Microsoft’s cost, which according to estimates of the tablet’s component prices, runs the company at least $284 for the 32GB Surface RT.
Microsoft has not abandoned Windows RT, the pared-down operating system that powers the Surface RT, but virtually every third-party OEM has either pointedly ignored the OS or publicly announced that they would not support it with devices of their own. Instead, the OEMs have flocked to Windows 8 Pro, even though some analysts question the value of touch devices on a platform whose biggest selling point is legacy software that doesn’t support touch.
Microsoft has not revealed sales figures for the Surface line — which also includes the Surface Pro, powered by Windows 8 Pro — but estimates by research firms like IDC have been lackluster.
MS Surface Pro Sells Out
Microsoft started selling its Surface Pro tablet last Saturday, and quickly ran out of its supply of the 128GB configuration.
While the less expensive 64GB device was also listed as out of stock Saturday on Microsoft’s online store, by Sunday it was again available.
The company acknowledged the outages.
“We’re working with our retail partners who are currently out of stock of the 128GB Surface Pro to replenish supplies as quickly as possible,” said Panos Panay, general manager for Microsoft’s Surface line, in a Saturday blog post. “Our priority is to ensure that every customer gets their new Surface Pro as soon as possible.”
Numerous online reports noted the shortages, saying that some Microsoft retail stores sported Apple-esque lines on Saturday and that many Best Buy and Staples locations — Microsoft’s retail partners for the Surface in the U.S. — had single-digit supplies that in some cases were claimed earlier in the week.
Microsoft is selling the Surface Pro in the U.S. through its online e-mart, its approximately 70 retail outlets, and the Best Buy and Staples chains.
The device, which runs Windows 8 and is powered by an Intel processor, sells for $899 in a 64GB storage configuration, and for $999 with 128GB. Keyboard-cover accessories — the Touch Cover and Type Cover — sell separately for $120 and $130, respectively.