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So far, Acer, HP, and Lenovo have announced Always Connected PCs that are powered by Qualcomm Snapdragon chips, which emphasize long battery life over traditional performance metrics.
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Always-connected PCs are a wild cardĬompetition for Microsoft’s Surface products is arguably good for consumers and for innovation. What we don’t know, Guenveur said, is how the push for the upcoming Windows 10 on ARM products will change that dynamic.
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Solid competition from competing tablets, like this Lenovo Miix 520, has probably affected Surface sales to some extent. “Surface revenue should grow year-over-year from continued launch momentum from the latest Surface Pro, Book and Laptop, but decline sequentially, consistent with holiday seasonality,” Microsoft executives said. During a recent conference call, company executives largely glossed over the performance of the Surface lineup, noting that unit sales had decreased, but that revenue had increased by 1 percent. Microsoft representatives declined to comment. Which Surface Pro is which? If consumers can’t see the difference, maybe there’s less reason to pull out their wallets, too. Samsung, which has done well in the tablet market, saw unit sales fall by 13 percent. But Apple’s iPad sales were essentially flat, and Amazon’s nearly-doubled Fire tablet sales were fueled by dirt-cheap prices. According to IDC, Microsoft is still the sixth-largest tablet vendor, trailing companies like Apple and Amazon, which sold 13.2 million iPads and 7.7 million Fire tablets, respectively. Stunning products like the Microsoft Surface Book 2 don’t come cheap, which might have impacted sales.Ī closer look at the numbers reveals that Microsoft isn’t struggling alone, and even has reason to be optimistic. It’s worth noting that overall tablet sales are down, too, though not by as much: In all, the market dropped 7.9 percent in 2017, IDC said. (IDC excludes the Surface Studio and Surface Hub, two niche Surface products, as well as the Surface Laptop, which isn’t a detachable.) Those devices included all of the Surface devices that IDC considers detachables: the Surface Pro 3, 4, and Pro (2017) as well as the Surface Book and Surface Book 2.
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For all of 2017, Microsoft sold 3 million Surface devices, down 16.8 percent from 2016, she said via email. Microsoft sold 748,000 Surface devices during the fourth quarter, a drop of 18.8 percent compared to the fourth quarter of 2017, according to Lauren Guenveur, a senior research analyst for IDC’s device group. Microsoft Surface, caught up in tablet troubles The company is one of the few willing to risk launching new products into new categories. But we as consumers should still be rooting for Microsoft to succeed.
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A rise of viable competitors like Lenovo’s Miix 520, for example, is likely one reason for the drop in Surface sales, though we’ll go into other possibilities below.
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Why this matters: The Surface Pro was important for Microsoft, because it led the way for other PC vendors to make slim, light Windows tablets that could be powerful business machines. A follow-up inquiry by PCWorld revealed why: Surface sales fell significantly during the fourth quarter, and during all of 2017 as well, IDC said. Thanks in part to the popularity of its Surface products, Microsoft typically appears on the list, though usually at or near the bottom. This year, Microsoft’s name didn’t appear at all.