With the steep drop in PC Sales (15%) in 2013, And blaming it on the Missing Windows 8 Start button and fuzzy navigation, Microsoft Has shown signs of intelligence to step up their game. Microsoft has also launched Tablet's in the past, But they didn't gain much popularity, Mainly Because Tablet is an Android and Apple Dominated Market.
The "Tablet Price" Dilemma :
The Majority of tablet users follow the protocol of Android or Apple. If an average tablet buyer has around $350, he will surely go with a flashy android tablet like Nexus 7 ( 16 GB for $199 and 32 GB For $249 ) or Asus FonePad, And if that buyer has more than $400 In His Pocket, He will ( most probably) go for apple tablet like iPad 2 ($400 - $600) or Ipad 4th Gen ($500 - $650). Only A Small fraction of average buyer will go for Microsoft Tablets. Mainly because Microsoft hasn't publicized their tablet like Android or Apple.
The "Windows Is Not Tablet Friendly" Thinking :
Microsoft Invented the first ever tablet, But they got too late in the "Usable Tablet" Race, And Apple and Android gained a lot from this. And I Don't know how, but somehow somebody tricked us into thinking that Windows is not user friendly on Tablet. It is wrong, Microsoft has always produced High Powered mobile operating system, Including Windows CE (windows mobile), Windows Phone OS 7 and 8, Windows RT, But they were a bit difficult to navigate, That effected badly to the image of Microsoft.
Windows $200 Tablet, Will it make a change in Tablet Trend ?
Amazon started the cheap tablet race, And quickly sold many devices, Because it offers complete ecosystem : E-books, Movies, Songs etc, But Now Microsoft has decided to enter this race, Would It Win ?
We think so, Because the rumoured device was set to be priced at $600, But Microsoft’s Windows RT ARM-powered Surface tablet will cost just $199. Microsoft Will Offer Surface RT to Schools for $200 (an upgraded version).Source.
But other companies doesn't seem to happy about this decision by Microsoft. Acer CEO JT Wang warned : “It will create a huge negative impact for the ecosystem and other brands may take a negative reaction,It is not something you are good at so please think twice.”
Apple is also an main contender in this race, Apple is about to launch iPad Mini 2, Which price tag isin't been defined yet but we think it would be less than iPad Price ($499).Apple already has a robust app store and has already proved to consumers that it’s capable of creating a first-class tablet.
EhMyGawd, When Will I Get that tablet ?
Tough it is not been confirmed by Microsoft that it will release the $200 tablet, Engadget managed to catch up some source that says the tablet will come into the market soon. So don't get excited yet.
If Microsoft is determined selling the tablet at a low price point, then the company must have concluded that it needs to positively blow the market away to catch up with the competition. It must have also concluded that it doesn't mind angering its vendor partners, because a $199 Microsoft tablet would kill the other tablets by microsoft.