Microsoft Surface Sales Totaled Just $853 Million for Fiscal Year 2013
July 31, 2013 1:05 PM
comment(s) - last by
This is the total from both tablet launches until June 30
Microsoft has been pretty stingy about revealing sales numbers for its Surface RT and Surface Pro tablets, but the Windows maker finally threw a number out there -- just one.
From the launch of the Surface RT tablet (October 26, 2012) and the launch of the Surface Pro tablet (February 9, 2013) until the end of the company's fiscal year on June 30, Microsoft said Surface tablet sales came out to a total of $853 million USD.
Microsoft failed to mention which portion of those sales were Surface RT sales and which were Surface Pros.
In an 8-month period, Microsoft sold 1.7 million Surface tablets -- which doesn't look too good sitting next to Apple's numbers. Last November, Apple sold 3 million iPads in just three days around the holiday shopping period.
In addition, Apple sold 14.6 million iPads in the last quarter alone, and a total of 57 million iPads since the launch of the Surface RT in October.
Earlier this month, Microsoft took
a $900 million charge on the Surface
due to the flop in sales. Microsoft also
dropped the price of the Surface RT
by $150 USD.
Last month, Microsoft was basically giving Surface RTs away. It announced that it was
giving away 10,000 Surface RT tablets
to teachers at the International Society for Technology in Education (ISTE). The idea was to spread RT adoption in schools by supplying teachers with the devices and even training them how to use it.
Days later, Microsoft introduced the "Microsoft Surface for education limited time offer," which will give discounted
to schools and colleges interested in adopting the tablets.
The offer, which will reportedly run until August 31, 2013, will
sell Surface RTs
(without keyboards) to schools for only $199. If the schools want a touch keyboard with their Surface RT, the total price is $249. With a type keyboard, the cost is $289.
For the fiscal year ended June 30, analysts had hoped for earnings of around 75 cents per share ($6.33 billion USD) on revenue of $20.73 billion USD (not including the Surface write-down). Instead they got earnings of around 66 cents per share ($5.56 billion USD) once the Surface write-down was removed.
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RE: MS forgot one key aspect
7/31/2013 2:44:33 PM
Or they could have taken the same strategy they used with the Xbox and sell them at a loss to get marketshare. Just seeing how many webOS tablets sold when HP dropped the price to $200 was staggering.
They could have easily justified a $900 million loss for that, as opposed to overstock. I would have bought a Surface pro for $399. I'm holding out on Haswell, but the $999 for the base model is not an impulse buy figure I'm comfortable with...
"A politician stumbles over himself... Then they pick it out. They edit it. He runs the clip, and then he makes a funny face, and the whole audience has a Pavlovian response." -- Joe Scarborough on John Stewart over Jim Cramer
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