Analyst Predicts More Trouble Ahead for Microsoft Surface RT in Fiscal Q2

Analyst Predicts More Trouble Ahead for Microsoft Surface RT in Fiscal Q2

It doesn’t ever seem to get better for Microsoft, at least as far as the Surface RT tablet is concerned.  Yesterday, an analyst from UBS AG adjusted his sales forecasts for the Surface RT, erring on the downside as he is now expecting less Surface tablets sold than initially predicted.  According to Brent Thill, Microsoft may have only sold one million Surface RT units in the second fiscal quarter, which ended this month.

This is just the latest in a number of less than optimistic stores reported recently about Microsoft’s “lower-end” Surface tablet, which will be followed up this month by the Surface with Windows 8 Professional (Surface Pro for short).  And it may lead to even more bad news for the Redmond company, as lower-than-expected Surface sales could lead to lower revenue and profit figures.  Unlike other companies, we don’t know yet when Microsoft will be releasing the financial results of its most recent fiscal quarter.  Nonetheless, Thill isn’t expecting much good news to be revealed in Microsoft’s next financial report; he forecasted an eight-cent decrease in earnings per share for fiscal Q2.

If the pessimistic predictions will turn out to be accurate, this would put even more of an onus on the Surface Pro to make up for the apparent failure of the Surface RT.  In terms of specifications and features, the Surface Pro is by far the superior tablet, and despite its expensive price point, it is expected to be a popular device for enterprise or business users.  Unfortunately, Microsoft has yet to announce an official and precise release date for the Surface Pro.  Last month, Microsoft promised a January release and late January still does seem like a plausible release schedule, but with no announcements made yet, it won’t be surprising if the Surface Pro eventually drops early in February.

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