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Microsoft: The New Hardware Vendor

Ballmer predicted that Microsoft would become a more of a “devices-and-services company” in the next five to 10 years

Microsoft CEO Steve Ballmer put rumors of a $199 Microsoft Surface RT tablet - that even had Apple biting its nails - to bed in an interview with the Seattle Times in which he suggested the dingus would go for "probably $300" - lower than the price of a New iPad - "to about $700 or $800."

Evidently the fully functional high end is the 128GB Surface with Windows 8 Pro, which would be cheaper than the current 64GB New iPad with Wi-Fi and cellular connectivity.

He called the $199 Amazon Kindle Fire chintzy.

Of nobody has done well pricing above the iPad.

Ballmer also predicted that Microsoft would become a more of a "devices-and-services company" in the next five to 10 years.

"Software powers devices and software powers these cloud services, but it's a different form of delivery....Doesn't mean we have to make every device. I don't want you to leap to that conclusion. We'll have partners who make devices with our software in it and our services built in."

More Stories By Maureen O'Gara

Maureen O'Gara the most read technology reporter for the past 20 years, is the Cloud Computing and Virtualization News Desk editor of SYS-CON Media. She is the publisher of famous "Billygrams" and the editor-in-chief of "Client/Server News" for more than a decade. One of the most respected technology reporters in the business, Maureen can be reached by email at maureen(at)sys-con.com or paperboy(at)g2news.com, and by phone at 516 759-7025. Twitter: @MaureenOGara

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