News - Microsoft Surface for $199, are they crazy?

[HEXUS]

Yes but no but yes etc.

Read more.

[tickedon]

I'll take two at $199.

Although I expect we're more likely to see it at $299-399.

[Biscuit]

I really don't see that happening...

[cheesemp]

Not going to happen. Google are selling the nexus for that and not making any money. $299 maybe, just maybe but $399 sounds more like it.

[sykobee]

If they do that, there will be a whole bunch of really pissed off OEMs, and that pissed-off-ness could linger for quite some time.

For Microsoft it is par for the course to steal their partner's business from under their feet.

Wonder if some of those OEMs will gain a sudden high interest in producing the next generation of Android/Chromebooks.

[Zerox]

I bet that Microsoft have annoyed the OEMs enough through the mere existence of the 'surface'. I would have expected Microsoft to price the surface on par, or slightly undercutting (if possible) the iPad, as it seems that that is the best jugular to aim for.

$199 sounds too good to be true, therefore it probably is.

Well played "anonymous source", you have successfully created a rumour and temporarily destabilised the interwebz. Please eat your cookie whilst stroking your manly stubble.

[howdee]

$199 price leaked could just as well be true if they mean that's the cost of the base spec'ed device when signing for a monthly plan with some undisclosed mobile carrier and not counting monthly fees. I wouldn't be too surprised if $199 also comes out to be about as much as it costs to produce such a device at entry specification for MS. There shouldn't be much IP licencing costs associated with it at all, mostly kept neatly in the house, assuming those gum-like keyboards aren't made by Nokia (they used to make rubber boots, didn't they?) and, pardon my sarcasm, don't use Dr. Levine's therapeutic magnets to attach to the base of the unit. The rest of the device is pretty standard affair nowadays.

[brasco]

There will be no carrier, these are wi-fi only tablets aren't they? Quite likely the second point, cost to produce.
Are they pulling a Sony ala PS3? Smart idea, it would be a total game changer if it did sell for $199.

[heXuser]

yeah that price is crazy but then there is other tablets that can be had for 200 "without keyboard", so i dunno. (Maybe that price is without keyboard dock)

The specs are not soo good anyway, so at 200, it might be just worth it, or maybe MS built a much cheaper version (plastic & other components/materials etc) since MS said they couldn't mass build with the materials that were shown initially, again i dunno.

[brasco]

The specs are not soo good anyway

That worries me a little, I know quite a bit about desktop hardware but little about tablets, what's bad about these specs vs others like ipad nexus etc?

[howdee]

There will be no carrier, these are wi-fi only tablets aren't they?

Honestly, I didn't care much to even check, but really? Wi-Fi only? So not only does it look like a toilet tile, it will even have as much sense carrying around? Ouch!

[brasco]

Haha, it's not like the UK 3G network can do anything useful anyway! It will come for sure, Ipad 1 was Wifi only no?

[Spud1]

it would be a total game changer if it did sell for $199.

But would it? It's the apps that make a tablet successful - and Microsoft are starting new, again..there is no way this could be a game changer, even at that price.

It didn't work for RIM - their playbook has excellent specifications and is a joy to use - but the lack of widespread App support has killed it, despite it being available for nearly £100 now. It didn't work for HP, although admittedly they have not even attempted to recover after their own fire sale. Not convinced it will work for MS either, especially with the very quirky UI.

Anyway this $199 price is just hearsay that is being reported so much that it is gaining credibility - it's all speculation at the moment.

I would expect the cut down/basic RT unit to sell for $300-400, and the much improved, useful Pro unit's to sell for around the $800-$1000 range. Just a shame we have to wait 3 months longer to get our hands on the Pro units..those are the ones that are genuinely exciting.


edit: To those "concerned" about the specifications - remember that they are 100% irrelevant at this point as you have nothing to compare it to. It would be like comparing the iPhone 5 specs with <an android phone> - pointless as the operating system is so different and has different requirements. Android is rather "spec hungry" compared to iOS/Windows Phone - but on iOS/WP7 you can get the same performance with lower specified hardware.

So a spec comparison to a different device type is 100% pointless - wait till the OEMs announce specs of their own W8 tablets..then you can compare/qq

[crossy]

The latest price we have is only for the Windows RT Surface but it’s an amazing price rumour – the Windows RT Surface tablet will launch on October 26th for only $199. An “inside source” revealed this information to Engadget at the recent TechReady15 conference held by Microsoft. [snipped]

If we look at that price and assume it is for real then we would guess Microsoft is following the familiar old console loss-leading pricing strategy. Aiming to get lots of people to buy into the platform and then make money out of the software – Windows Store/Marketplace, 30 per cent from all sales.

That sounds like a pretty sane idea to me - launch an app-supported "bargain bucket" device to get people interested and then upsell to the "proper" units. Personally speaking, at £199 I'd be sorely tempted (finances permitting) to get one to have a play with.

However, like most, I remain skeptical and I would have thought that the "normal" pricing level for such tablets would be more likely, so instead of £199, it'd be £399. And at that price I'll pass - preferring to spend that kind of cash on a down-payment on a Transformer Infinity Prime, or perhaps 10" Galaxy Note.

[martian_aphid]

It's ok for them to play a loss-leader on the xbox becuase that is a device designed to go against direct competitors but if they do the same with surface they will put it in direct competition with their partner OEMs, and unless they are giving them windows 8 for free, there would be absolutely no way for them to compete. As such the $199 rumour when scrutinised doesn't seem feasible unless MS want to completely destroy the MS tablet market outside of the Surface. I think the $300-400 is likely though I can see it being closer to the $400 mark - if they can get closer to the $300 mark (sans touch cover) they have a decent chance of taking market from apple whilst not eating away too much of their partners' market share.

[0iD]

I love the rumour mill pre-relese anything Micro$oft. The channel just gets encumbered with ever more outlandish speculation.