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High prices said to doom Microsoft’s Surface to fourth-place finish

Updated Oct 21st, 2012 3:24PM EDT
Tablet Poll Microsoft

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It’s not just know-nothing bloggers who think Microsoft’s (MSFT) Surface is overpriced — some tech industry analysts think so as well. Per Business Insider, Sterne Agee analyst Shaw Wu sent a note to investors on Thursday saying that the Surface’s “high pricing could prove to be a fatal mistake and relegate it to be a niche No. 4 or No. 5 player.” Wu says that after the iPad, he expects Google’s (GOOG) Nexus 7 and Amazon’s (AMZN) Kindle Fire to outperform the Surface unless Microsoft significantly cuts its pricing. Wu thinks Microsoft should have sold the Surface for just $300 with the Touch Cover keyboard pad included.

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Brad Reed
Brad Reed Staff Writer

Brad Reed has written about technology for over eight years at BGR.com and Network World. Prior to that, he wrote freelance stories for political publications such as AlterNet and the American Prospect. He has a Master's Degree in Business and Economics Journalism from Boston University.