Microsoft permanently slashes price on struggling Surface Pro to $799Microsoft's Surface tablet lineup, which has thus far failed to gain traction against Apple's iPads, saw a permanent price cut this week, most notably among the high-end Surface Pro, which now sells for $100 less.
Microsoft's Surface Pro. | Source: Microsoft
The prices, which included the entry-level Surface Pro for $799, were initially enacted as a temporary measure set to expire on Thursday. But the Windows maker revealed to ZDNet that those prices are now permanent, and reduced prices have also expanded globally.
Microsoft, in a statement, attempted to portray the new prices as a win for the Surface lineup. But the company already took a $900 million charge on unsold Surface inventory earlier this year.
In July, Microsoft revealed that it had made only $853 million on the Surface product lineup in its first three months. That number was less than the write-down it was forced to take to adjust inventory, and also less than the $898 million Microsoft spent on an advertising campaign for Surface and Windows 8.
Under the new, permanent pricing, Microsoft is charging $799 for the 64-gigabyte Surface Pro with Windows 8. A 128-gigabyte version runs $899, though neither come with the keyboard accessory.
In comparison, Apple's iPad, which runs the iOS mobile operating system, starts at $499 for 16 gigabytes. For comparable capacities, the iPad still offers 64 gigabytes of storage for $100 less than Microsoft's Surface Pro, at $699, while the high-end 128-gigabyte iPad costs $799.
Beyond the Surface Pro, Microsoft has also knocked $50 off its Surface RT bundles, which now start at $399. The Touch Cover keyboard accessories are also now available for $40 less.
On Topic: Microsoft
- First look: Microsoft's all-new Office 2016 for Mac public preview
- Apple's iPhone commands record high 89% of smartphone profits while Android plummets to record low
- Microsoft Band adds MapMyFitness & HealthVault support, but still no Apple HealthKit
- Microsoft adds iCloud save support to its Office suite for iOS
- iPhone 6 launch led Apple to 47.7% share of US market, edging Android's 47.6%