Microsoft’s Surface tablet has earned the company less in revenue than it paid to write down unsold stocks of the device.
The company said in a regulatory filing with the U.S. Securities and Exchange Commission that the Surface had earned revenue of US$853 million in its fiscal year ended June 30. The Redmond, Washington, software company did not disclose how many units of the tablet it had shipped during the year.
Microsoft announced earlier this month it took a charge for Surface RT inventory adjustments of approximately $900 million. The company also saw a $898 million increase in advertising costs, associated mainly with the Windows 8 operating system and Surface, according to the filing.
Aimed to compete with Apple’s iPad and other tablets, the Surface RT built around a ARM-based processor and running Windows RT operating system was generally available from October. The Surface Pro, which runs Windows 8 on an Intel processor, became available in February.
Source: FULL ARTICLE at PCWorld