The CITE, a blog published by the National Association of College Stores, takes a look at the intersection of education and technology, highlighting issues that range from course materials to learning delivery to the student experience. Comments, discussion, feedback, and ideas are welcome.

Tuesday, August 13, 2013

Microsoft Plotting Next-Gen Surface Tablet

Analysts have been questioning the success of the Surface tablet computer for a while, but the buzz got louder at the end of May when Microsoft trimmed $150 off the price of the unit. At the end of July, a report to the Securities and Exchange Commission showed Microsoft lost more money on the Surface than expected and apparently took in just $853 million in revenue related to the device, nearly $50 million less than the $900 million write-down required to accommodate the price reduction.

Despite the bleak outlook, recent information suggests that both Nvidia and Qualcomm are working with Microsoft on a second-generation device. The new tablet will allow Microsoft to offer Outlook, which was not available on the first-generation Surface.

“It’s a killer app for Windows,” said Jen-Hsun Huang, CEO of Nvidia, to c/net. "Now, we’re going to bring it with the second-generation Surface. We’re working really hard on it and we hope that it’s going to be a big success.”

Bloomberg reported that Microsoft could be planning at least two more Windows RT devices with a smaller 7- or 8-in. screen using the Qualcomm chip and the 10-in. screen currently in production staying with the Nvidia processor. While Microsoft isn’t commenting, it did present a slide show in July that included updated Surface tablets and accessories in a variety of colors. CEO Steve Ballmer reportedly told employees that new devices are being tested.

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