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Steve Ballmer Admits To Sluggish Surface and Windows Sales

On Friday, notes from an internal town hall event leaked from the halls of Microsoft. These details are especially important, since they come from Steve Ballmer, relating to Surface RT and Windows sales.

The leaked details on the meeting with employees detailed Steve Ballmer’s hinting that Surface RT sales were slow due to overproduction of the units. In addition, disappointment on the number of Windows 8 sales were also mentioned during the event.

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Discussion of the $900 million write down

One of the biggest items discussed at the town hall meeting was the latest stock news of MSFT. The discussion relating to the overproduction of the units surfaced. The conversations between the heads of Microsoft to employees centered around needing to write down the units to compensate for the numbers in production and the price drop. New surface units though were hinted during the meeting, with no specifics given to employees.

Windows 8 Sales Disappointing

One of the other major highlights of the town hall meeting was Steve Ballmer’s disappointment of Windows 8 computers. His quote from the meeting was: “We’re not selling as many Windows devices as we want to,”. But, with this note, he mentioned that Microsoft was gearing up for the school and holiday season, with the Windows 8.1 release, stores within Best Buy Stores, and other promotional efforts.

Public Leaks Normal for Microsoft

As one of the major employee events held at Microsoft, some might question how all of these details were leaked. This type of event is known for people who immediately call up journalists and bloggers and give out info. This leaked information quickly makes its way to tech sites, and Microsoft generally denies these types of rumors with a no comment.

So, what does this mean for Microsoft? It answers the main questions that the press and media have wondered, and makes the next few months even more interesting for Microsoft. The large write down for the Surface RT units was huge, but Microsoft needs to come up with a powerful new tablet for the holiday season. In hopes, the latest Windows 8.1 release should boost Windows 8 sales as well for the company. Steve Ballmer has the company on the line for this move.

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Published: Saturday, July 27th, 2013 Last Modified: October 23, 2013

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