Price cut for Microsoft Surface RT might not lead to a jump in sales

Last weekend, we told you that Microsoft had put into effect a price cut for the Microsoft Surface RT tablet. The new prices tag the 32GB model at $349 (a 30% discount) and the 64GB version at $449. Will this help the moribund line come to life? According to Taiwan-based supply chain makers, the answer is a resounding "No!" Microsoft is believed to have sold 900,000 units in the first quarter with that figure dropping in the second quarter.

The reason why the newly instituted price cut might not help the Microsoft slate is that it is taking place during a period of time when Android tablets and Windows powered touchscreen notebooks have also had their prices reduced. Microsoft is hoping to clear the shelves ahead of its next-generation Microsoft Surface RT tablet. Rumors going back to late last year call for the next-generation of the Surface RT to sport a smaller 8.6 inch screen. Another change is expected under the hood where a Qualcomm Snapdragon processor is expected to replace the current Tegra 3 that powers the slab.

source: DigiTimes