Microsoft To PC and Tablet Makers: You're Not Our Future
snydeq writes "Microsoft's plan to build its own Windows 8 tablets puts longtime allies in peril — and it may be the right thing to do. 'In announcing the Surface tablets, due to be released this fall, Microsoft CEO Steve Ballmer cited Apple's advantage (without mentioning Apple) of integrated software and hardware. "Things work better when hardware and software are considered together," he said. "We control it all, we design it all, and we manufacture it all ourselves." ... Like Apple, Microsoft will hire a few PC makers to do the actual production work. But the need for 20 brands of me-too laptops, tablets, and convertibles is low. Manufacturing sophisticated electronics is a skill requiring manufacturing innovation. But all those branded-but-otherwise-undifferentiated PCs, laptops, tablets, and smartphones just aren't needed in the vision Ballmer sketched out yesterday.'"
If the stories about WinRT costing $90 per copy for OEMs are true, they're not going to be undercutting anything unless Microsoft charges a ton for Surface. You can't make a cheap tablet when the OS costs that much.
-- "So they told me that using the download page to download something was not something they anticipated." - Bill Gates