"Microsoft's tablet ambitions, combined with planned price breaks for its flagship software and updates in coming months to its Windows operating software, paint the picture of a company trying to move more quickly than ever to counter urgent threats to its $75 billion software empire"
Technology companies need to be flexible regarding their marketing strategy to accommodate the fast changing in consumer's demand. Microsoft introduced the Surface tablets in order to compete in this new market. After external analysis Microsoft realized that it needed to introduce a smaller version of its current Surface Tablet to compete with Google 7- Inched Nexus and Mini iPad. The company will introduce a 7- Inch Tablet at the end of the year. There are also indication that the company plans to break prices for its Windows and Office software as part of a strategy to spur lower-cost touch-screen devices enabled by its Windows software. Microsoft is transitioning from a software maker to a "devices and services" company. With this new denomination Microsoft aims to maintain market share and diversify its product mix since the sales of computers and laptops have decreased drastically threatening the existence of the company. The demand for personal-computer is changing and so it is Microsoft core businesses.
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