Microsoft Knocks $US100 Off Its Surface Pro Tablet

Microsoft knocked off $US100 from its top-of-the-line tablet, the Surface Pro, this weekend. The hybrid tablet/PC now
starts at $US899for the model with 128 GB of storage.

We first spotted the price drop on The Verge.

The news comes a few weeks after Microsoft cut the price of its cheaper Surface RT tablet, which competes with the iPad, from $US500 to $US350.

But that wasn’t the end of Microsoft’s recent Surface woes.

The company was forced to take a $US900 million writedown on the Surface RT due to unsold inventory. Later, it was revealed that Microsoft’s entire Surface business only generated $US853 million in revenue for the company. Compare that to the $US25 billion in revenue Apple brought in from its iPad business during the same period.

This could also be a sign that Microsoft is gearing up to launch a new generation of Surface tablets that run on Intel’s new “Haswell” processors. Those processors are very powerful and allow incredible battery life.

NOW WATCH: Tech Insider videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.