Current Issue
This Month's Print Issue

Follow Fast Company

We’ll come to you.

1 minute read

Where Are They Now?

Damage Control: Microsoft Slashes Surface Pro Tablet Price By $100

Shortly after it cut 30% off the price of its Surface RT tablets, Microsoft is now lowering the price of its Surface Pro, in what looks like an attempt to limit further financial damage from poor sales.

A week after Microsoft CEO Steve Ballmer went on stage and admitted the Surface RT tablet was a flop, the company is slashing the price of its top-level Surface Pro tablet by $100.

The Surface has been selling very badly, and Microsoft recently cut about 30% off the price of the Surface RT units. The Pro is effectively a small laptop running on tablet hardware. The 64GB and 128GB tablets are now priced at $799 and $899, respectively.

Last week, Ballmer admitted to Microsoft staff at an internal meeting that they "built a few more devices than we could sell" and even that the company is "not selling as many Windows devices as we want to."

Microsoft just took a $900 million write-down on the RT units that it had planned into its finances, but which had not sold in the expected period. The new move with the Pro hardware suggests Microsoft is also trying to limit further financial damage from the Pro's sales. In a statement to The Verge, Microsoft said it's been "seeing great worldwide success with Surface RT pricing and keyboard-cover promotions over the past several months and are proud to offer Surface Pro at more affordable prices starting today," which is a not-so subtle piece of PR shenanigans.

[Image via Flickr user: Chris Favero]

Register now to make sure you have a voice in the election.