Software giant Microsoft recently started pre-orders for its Surface tablet, and for the first time revealed its pricing structure. For the Windows RT flavor, prices start at $499 for a 32 GB model, putting it in direct competition with Apple 's newest 16 GB iPad. This will be hard for Microsoft to compete, since no other company to date has successfully challenged the iPad at the same price points. In comparison, Amazon.com is launching its 8.9-inch Kindle Fire HD next month, which starts at $299. Pricing right in the middle of these two players at $399 would have been a better strategy, putting it up against the previous-generation iPad 2.
It's been a frustrating path for Microsoft investors, who've watched the company fail to capitalize on the incredible growth in mobile over the past decade. However, with the release of its own tablet, along with the widely anticipated Windows 8 operating system, the company is looking to make a splash in this booming market. In this brand-new premium report on Microsoft, our analyst explains that while the opportunity is huge, the challenges are many. He's also providing regular updates as key events occur, so make sure to claim a copy of this report now by clicking here.
The article Where Microsoft Should Have Priced Surface originally appeared on Fool.com.
Evan Niu, CFA, owns shares of Apple. The Motley Fool owns shares of Apple, Amazon.com, and Microsoft. Motley Fool newsletter services recommend Amazon.com and Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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