In its first bid to sell Surface tablets, Microsoft didn't fare well, and has thus chosen to take another swing at the market. This time around, Microsoft is attempting to get its Surface 2 and Surface Pro 2 tablets into the hearts and minds of consumers, and it appears to be working out quite well already.
Microsoft blogged last week that Surface 2 64GB version and Surface Pro 2 256GB along with the 512GB version is close to selling out. This is splendid news for Microsoft, a company that so badly wants to become a device and services company to compete more effectively with Apple and Google.
"It also looks like pre-order stock of the Surface 2 (64GB) and Surface Pro 2 (256 GB and 512GB) are close to selling out - also at Microsoft Stores. We're pretty happy about this of course given we just unveiled Surface 2, Surface Pro 2 and the new accessories to the world only a week or so ago," the blog post said.
Interestingly enough, we've heard this story before back when Microsoft had the Surface RT and Surface Pro on pre-order. Microsoft claimed those devices were quickly sold out; fast forward into the future, and the software giant lost a whopping $900 million due to the failure of Surface RT. It is highly possible Microsoft could truly be on the brink of going out of stock because of high demand; however, it could be that the company is playing it safe by restricting the supply of the tablets.
The biggest reason for Microsoft's $900 million write-off has a lot to do with an overstock of Surface RT tablets that failed to end up in consumer hands. This time around, Microsoft needs to keep stock low and demand high if it wants to be successful in making and selling its own hardware.
Furthermore, Microsoft should take into account that things have changed in the PC market. PC makers are no longer selling consumers lackluster Windows 8-based devices, which means the Surface 2 and Surface Pro 2 are in for some serious competition this holiday season.
One of the devices that will rival Microsoft Surface tablets this holiday season, is the Dell XPS 11 Ultrabook. It is capable of folding into a tablet and back into a traditional laptop. Price point starts at $1,000 and it is scheduled for a November release.