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Is the Microsoft Surface Microsoft’s Salvation?

As we have reported earlier, the traditional PC and computing market is under a lot of stress. The source of that stress? Tablets. Mobile technology is slowly but surely eating up the formidable market share of traditional computing devices. This trend has impacted two of the biggest technology players in the market. We are, of course, talking about Microsoft and Intel. Intel, as we have reported earlier, is pursuing its own strategy. Microsoft on the other hand, is looking at doing an Apple turnaround.

Apple is both a software and a hardware maker. Its software is embedded in its hardware. A lot of people would think that Apple doesn’t really crank out software, but it does in the form of its embedded hardware. It’s this software that gives its hardware its special soul, its special look and special feel. It’s this software that truly animates the usability of Apple devices.

It appears that with the rise of the Microsoft surface that Microsoft wants to go down that road as well. This might be the saving grace for Microsoft if it’s able to pull it off. First and foremost, the market for operating systems is quickly beginning to shrink as PC sales continue to plumb it. It’s just anybody’s guess when that window will completely close. At certain point, Microsoft might become marginalized. This is why Microsoft is excited at the current growth in sales of Microsoft Surface. It shows healthy growth over the past few quarters. While critics might say that there’s some doubts regarding these growth numbers let’s take Microsoft’s word for it.

Microsoft’s survival might hang on how it morphs into a hardware maker. This is, of course, not a slam dunk. As you probably already know, with the fates’ of Dell, HP and other hardware makers, the life of a hardware maker isn’t exactly rosy. You have to keep up with the trends and there’re all sorts of hidden surprises that can really knock you out. However, considering Microsfot’s software firepower it has the strongest chance of becoming a formidable, incredible hardware maker. If Microsoft does this, it is going to marginalize its hardware partners. Where would they go? There is one obvious answer, Android. So, Microsoft’s strategy is a double edge sword. It is by no means a slam dunk. Still, this trend should be good news to holders of Microsoft’s stock.