Microsoft Surface Generated A Revenue Of $853 Million, Only Around 1.7 Millions Units Sold

Microsoft Surface RT Available

Microsoft submitted their Form 10-K filing with the Securities and Exchange Commission today and it revealed some interesting information about Surface. Microsoft Surface totally generated a revenue of $853 million. This is not so encouraging number for Microsoft because it equates to poor sales of the Surface units. If you roughly calculate the $853 million for $500 per Surface unit, you end up with just 1.7 million Surface units sold number.

Recently, Microsoft announced a $900 million charge to reflect a $150 price drop in the Surface RT device, attempting to clear inventory due to poor sales.

Source: SEC via: Geekwire

  • Kazi

    I still would like to buy it, but I can’t. PLEASE

  • counterblow

    wow thank you captain obvious. Like the plethora of recent articles didn’t tell us this already.

  • Bugbog

    Like my Surface RT and, providing it matches expectations, will buy the next Surface RT! :)

    • grs_dev

      Do you actually care that it’s RT?

      • Bugbog

        Yes. I do. Contrary to “trending” thought, I actually like RT. When purchasing my tablet, I specifically wanted the RT model.

        I didn’t, and don’t, want an x86 tablet. People may apply whatever detrimental factors towards the failure of Windows RT, but in and of itself, RT is a great platform!

        • grs_dev

          I agree with you that creating Windows RT is a significant milestone in the timeline of Windows as an OS.
          I just think that heralding it the way Microsoft did was not necessary. I would have downplayed it a bit and just went with it as a feature. It’s like buying a car these days. You never see Automatic as part of the product labeling. If someone wants a manual they can get one too and it won’t appear on the body either.
          What chip you’re running on shouldn’t matter that’s what I am saying.

  • Kruegerman

    Which ever moron did this analysis doesn’t understand the concept of wholesale prices vs. retail prices.

    • Nathan

      Sadly, poor math is par for the course on this site. They also didn’t take into account Surface Pro pricing which is closer to $1000.

    • grs_dev

      This is what you get when run with whatever story the people over at the Wall Street Journal and All Things Digital ran with…

      Yet, we’re still here, giving these guys their share of the CPM and ad dollar pie.

  • RWalrond

    No one can argue that the Surface is a smashing success.

    However, this number if remotely correct would mean after 8 months and limited distribution Microsoft moved over 200K a month. How does that compare to other tablets and what percentage of all Windows 8 tablets is that number?

    It didn’t look like it was Microsoft’s plan to dominate all other PC vendors.
    Considering vendors are dropping RT, Microsoft may now have an Avenue To get aggressive with that won’t piss off PC vendors.

    • gfdgf

      Until they make a profit off of it, it’s not a success.

  • rommels

    Actually for limited distribution, that doesn’t seem all that bad.

  • grs_dev

    What Microsoft is failing to acknowledge is that there is a market for kiosk type devices that are extremely good at performing ONE task at a time.
    Take for example Point of Sale devices. In the past this was a niche that Microsoft with its OEMs dominated. Today at $500 the iPad is competing with these machines. These PCs were always capable of multitasking but were never used for such an experience.
    So the whole, I can do 2 things at once, message is falling on dead ears. Those who need to do 2 things at once have either figured out how to do so with the iPad (i.e.: gestures) or are using desktops/laptops.

  • red

    Making a mobile device with no 3G in 2012 – priceless.

    • Mythos88

      Most tablets do not have 3G/4G connectivity because it is far cheaper to setup a hotspot with our phones. Only 6% of iPAD traffic comes from 3G/4G.

  • rfa100

    Ok – so maybe the introduction of the RT first, yet only outlining the planned Pro, had something to do with it? For example I would have purchased the RT when available in October- if I wasn’t aware of the looming Pro. In fact most got sick of waiting for the Pro; purchased a laptop instead; I.e. originally it was due Jan, then Feb, then March… finally it came in June! Having to deal with waiting 6 months is pretty off putting.
    And don’t forget the release of Windows 8 happened also (another reason people pre invested away from the Surface Pro) – so is it any surprise sales are slow given this awkward release strategy ? That said, there is not a day that goes by that I don’t have to explain /demonstrate the Surface Pro to others – and everybody loves it (but they say they now have to wait a while – because they have bought something else….