Microsoft is cutting the price on Windows RT for smaller tablets

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Microsoft is reportedly cutting the price on Windows RT for smaller tablets to help OEMs sell the devices at a competitive price point. The report states that Microsoft hopes by cutting the price, it will encourage more vendors to adopt the platform and help it gain momentum in the marketplace.

The report from Bloomberg did not say the price that Microsoft would be selling Windows RT for, nor did it give the size specifications on when the price cut occurs. But, if the report holds true, this should appease many of the OEMs who currently sell RT devices as not only can they increase the margins on their devices, they can also get these products to the market at a more palatable price point.

Windows RT, which runs on the ARM architecture, has been put in a precarious position as Intel has been scaling down and has been able to produce x86 machines at a similar price point as ARM devices. ARM products were intended to help lower the floor on pricing for Windows 8 tablets but to date, the adoption by the consumer has been slow.

With a lower price point, it would make sense that we should see an uptick in the market for RT devices and hopefully OEMs will be able to maximize the utility of ARM with the lower price point to get Windows RT in to more hands of the consumer.

Only time will tell if this strategy pays off as Microsoft still has the issue of educating the consumer on the differences between Windows RT and Windows 8.1 that look nearly identical with the exception that RT can't run legacy applications.

Source: Bloomberg

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