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Microsoft: not seeing a shift to tablets despite iPad

updated 06:10 pm EDT, Thu October 28, 2010

Microsoft denies iPad effect in results call

Microsoft during the call discussing its latest fiscal results claimed that the iPad wasn't having an effect on computer sales. Investor relations GM Bill Koefoed dodged around mentioning Apple by name but said Microsoft had "not seen a shift" from notebooks towards tablets. He didn't say how Microsoft could prove this but saw overall PC sales up between nine and 11 percent in the summer, with work PCs up about 15 percent.

The company was "enthusiastic" about tablets and was confident that, in tablets, Microsoft could provide "choice and value" across devices.

Koefoed's observations so far ran against statements and early estimates from the rest of the industry. Best Buy had to backtrack on aggressive claims but still said that the iPad had cut netbook sales in half at those stores where both were on sale. Analysts have also noted that Acer, whose business focuses heavily on netbooks and budget notebooks, has lost share this summer.

Microsoft has also had difficulty matching the promises for Windows tablets during the call. Most Windows 7 tablets won't arrive until early 2011, roughly a year after the iPad, as companies wait on Intel's tablet-ready Oak Trail platform and try to improve the finger-readiness of the mostly mouse-focused OS. CEO Steve Ballmer first showed the HP Slate in January as a home-focused tablet that would have fought against the iPad, but its development lagged to where it only set a ship date this month.

HP has since relegated the Slate to enterprise users after its low battery life, complex interface and $799 minimum price put it out of contention with the iPad. Its first home-facing tablet should be the PalmPad, whose use of webOS and an ARM chip should put it on a more equal footing with Apple.

By Electronista Staff


  1. climacs

    Mac Enthusiast

    Joined: Sep 2001


    more BS

    also, iPhone will never cut it.

  1. Foe Hammer

    Fresh-Faced Recruit

    Joined: Feb 2005


    MS Not Seeing A Shift To Tablets?

    Unbelievable. Guess they'll just have to add it to their list as of late:

    - MS not seeing a shift to outside of work-related software
    - MS not seeing a shift to digital music
    - MS not seeing a shift to smart phones
    - MS not seeing a shift toward Vista (and they even made that one)
    - MS not seeing a shift toward tablets
    ... who's the (bald)head honcho there again?

  1. MeandmyMac

    Fresh-Faced Recruit

    Joined: Feb 2008



    the flood of cheap PC iPad wannabe's flood the market with Android whatever OS inside and the alternative price crowd has their alternative "me too", non-wow tablet device, you will Microsoft, you will!

  1. JeffHarris

    Fresh-Faced Recruit

    Joined: Oct 1999


    Commemorating Ten Years of Tablet Failure

    Yes, Microsoft, you put TEN hard, long years of work developing a kludgy 'tablet' variant of Windows desktop OS which ran on equally bulky, awkward and kludgy hardware variations.

    Yes, it sold marginally in some marginal markets.

    Well if Microsoft fails in a particular market, clearly it's impossible for another developer to create compelling products, satisfy their customers and make a profit.

    After all, whoever heard of the iPod, iPhone, iPad or Wii?

  1. SockRolid

    Forum Regular

    Joined: Jan 2010


    Monkey don't see, monkey don't do.

    So Microsoft will go for the "choice and value" angle in pad computing? Sounds like they're already ghetto-izing themselves. They're conceding "quality and profitability" to Apple.

  1. lamewing

    Dedicated MacNNer

    Joined: Aug 2004


    Handwriting recognition

    The ONLY thing I found useful in the Vista / Windows 7 tablet devices (and it IS FANTASTIC!!!) is the handwriting recognition and stylus input. I can input English, Japanese, Korean, mathematical equations with EASE.

    If the iPad had this sort of input, I would buy one, heck, I would buy one for every member of my family.

    Unfortunately, on the Windows side we have folks who cannot see the true value of the slate tablets AND ON THE OTHER SIDE we have Apple promoting the slate tablet but WITHOUT stylus (ie Wacom) and handwriting recognition.

    Instead of peanut butter and chocolate.....we need these folks to give us the peanut butter cup version of the iPad!!!

  1. lamewing

    Dedicated MacNNer

    Joined: Aug 2004


    Stylus optional

    And yes, make the stylus sold separately (nice extra profit) since many folks will not need to use it, but we students, language learners, artists, and mathematics surely would!!!!!

  1. Eriamjh

    Addicted to MacNN

    Joined: Oct 2001


    A shift?

    Maybe not a shift. The iPad market may be new in its own right. It's growing faster than the netbook and laptop market. It's going to be huge, methinks.

  1. Paul Huang

    Mac Enthusiast

    Joined: Sep 1999


    Same as Bill Gates' vision of the Internet 15 year

    All over again.

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