On Monday, Microsoft s (NASDAQ:MSFT) recently announced Surface Book and Surface Pro 4 officially became available for purchase. Both products represent important moves for the company. The Surface Book is Microsoft s first Surface laptop. And the timing of the Surface Pro 4 aligns with Apple s (NASDAQ:AAPL) upcoming launch of its iPad Pro a product with a similar value proposition. Here s what investors need to know.
Microsoft Corporation Begins Sales of Surface Book and Surface Pro 4
The launch
It s one of the best computers you can buy right now, said The Next Web after reviewing the Surface Book. But as The Next Web accurately notes, what s impressive about the product is that even though the device is clearly an excellent laptop, it also happens to be a tablet. Most reviews share similarly optimistic takeaways after getting hands-on time with the device. The product starts at £1,499. The Surface Book is available on the company s Web storefront and at other retailers including Amazon and Best Buy. Initially, the device is only available in Canada and the United States, but the company will roll the product out to more markets in the future.
Supply for the Surface Book is likely constrained, as the website currently says the product will take four to five weeks to ship. Microsoft s Surface Pro 4 a formidable upgrade from its predecessor is also now available on Microsoft s website and other retailers. It starts at £899. Notable success
Microsoft s Surface product has been a surprising catalyst for the company s hardware business. While year-over-year revenue for the segment was down during the company s just-reported fiscal first quarter of 2016, this was only because of the timing of Microsoft s planned launch of its new tablet, which prompted many interested buyers to delay purchases during the quarter.
Surface sales more than doubled during Microsoft s fiscal fourth quarter of 2015 and the company expects the growth to continue during the holiday quarter. A key step to compete with Apple in enterprise
The Surface Pro and Microsoft s new Surface Book are clearly aimed to compete with Apple s iPad Pro. Even more, the products seem positioned to compete with Apple s mobile products in enterprise an arena Microsoft obviously would enjoy having a more prominent presence. Apple has made its intentions very clear in the enterprise segment: the company wants to dominate mobile sales. Ahead of Apple s iPad Pro launch, the Cupertino-based company solidified a partnership with Cisco in an aim to optimize iOS products for Cisco clients. This partnership followed a similar strategic arrangement with IBM, announced in 2014.
Highlighting Apple s success in mobile enterprise sales and services, nearly all the Fortune 500 companies are currently deploying iOS in their businesses. Microsoft s desire to take a chunk of Apple s share in this market is already evident.
Surface continues to gain ground with businesses and schools, creating opportunities for our rapidly growing partner channel, which includes Accenture, Dell and HP, the company said during its most recent earnings call. Both the number and size of deals in our commercial segment for Surface have increased double digits year on year. Sure, Microsoft s new Surface Book may be a laptop, but that doesn t mean the product isn t aimed at competing with Apple s mobile dominance in enterprise just as much as the Surface Pro 4 is. With a detachable touch display, the Surface Book could prove to be a powerful mobile enterprise product.
Given Apple s huge customer base and the company s recently announced iPad Pro, Apple shareholders certainly shouldn t fear Microsoft s new Surface products or the company s small but important early success in the mobile enterprise segment. For Microsoft, however, this could provide upside for the software giant s comparatively small hardware business over the long haul.
Here s What You Didn t Know About Microsoft Corporation New Surface Devices
Microsoft Corp. (NASDAQ:MSFT) recently unveiled the company s first laptop, the Surface Book, and also updated their tablet lineup with the Surface Pro 4. The new devices have been met with rave reviews from critics as the devices are lauded for their design and hardware specs. Users have started to get their new devices; we take a look at 10 new hidden features that are present in the new Surface Book and Surface Pro 4.
1. Change The Surface Pen Battery
To change the battery on the previous Surface Pro 3 pen all you had to do was unscrew the pen and replace the batteries. However, this process is a little different this time around. To change the AAAA battery in the pen, pop it open by grasping the shaft and turning it counter clock wise until you hear a pop, which should then easily slide out the battery.
2. Hidden Button
The Surface Pen s only notable change is the addition of the eraser on the tip of the pen. However, if you look closer there is a small button edged into the Pen, which works as right mouse click.
3. Customize Pressure Sensitivity
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Microsoft s new Surface devices have over 1,024 levels of pressure sensitivity that you can adjust to your preference. This setting can only be adjusted through an app, which is available on the Microsoft Store. This new setting helps with users that utilize the pen for notes and drawing as they can adjust the sensitivity of the pen to their preference.
4. Go To UEFI Mode
Microsoft has changed the setting for users who want to access the UEFI mode on the new Surface Devices to change the boot order or to turn of the cameras. To access the UEFI menu, you first have to shut the device down. After the device shuts down, press the volume increase button while you press the home button and then release it. This will take the device directly to the UEFI menu where you can turn off the Secure Boot option as well as see the firmware and asset tag information.
5. Clipboarding
Microsoft calls the detachable screen on the Surface Book a ClipBoard. The company says the new Windows 10 makes best use of the high resolution of the Surface Book s display. There are no USB ports present on the detachable screen, but there is room on the bottom of the screen that supports the Surface Book charger. The company s latest Surface Dock is also compatible with the 13.5-inch display. Users can connect the device to the dock to make use of the Ethernet ports, USB ports and display ports.
6. Swap Keyboards
On the new Surface Book, users can attach the Clipboard to the keyboard to make use of the NVidia Graphics GPU. For example if you have the base model Surface Book that does not come with discrete graphics, you can attach the clipboard section of the device to the base of the Core i7 Surface Book. It will then download a bunch of drivers mainly for graphics and your base model Surface Book will now also have the NVidia GPU.
7. Install Linux
Once the UEFI mode is accessed, users can turn off Secure Boot that gives the option to select, which certificates to check before the system has booted. You can set this to Microsoft Only, which will only boot the device if the certificate checks and confirms the software is Windows. There is option to check no certificates, which lets users install any version of Linux on the Surface device. However, the drivers for the new Surface devices will be hard to find if Linux is installed, which may affect some features of the Surface devices.
8. Different Chargers
There are two different power bricks for the new Surface Pro 4 and the Surface Book. The Surface Pro 4 utilizes a 30-watt charger whereas the Surface Book needs to be charged with a 60-watt charger. The 60-watt charger can be used to charge all surface devices. But the Surface Book with the discrete graphics chip cannot be powered by the 30-watt charger. It only charges the Surface Book when it is shut down or idle.
9. GeForce Experience
The discrete GPU located in the Surface Book does not come with NVidia s GeForce experience. The GeForce, however, works just as well on the device and all you have to do is install the GeForce Experience from NVidia. This helps to optimize games to run at their best performance levels. There is no support for NVidia s GameStream and ShadowPlay as these features are only available with the GeForce GTX-class gaming cards.
10. Switch Between dGPU and IGP
The Surface Book with the NVidia dGPU automatically selects which games are to be run on the dGPU and which games will be capable to run on the integrated Intel HD Graphics. There is a way for users to choose which graphics chip should the Surface Book use. This can be selected from the Control Panel > Hardware and Sound. Select the NVidia Control Panel and click on Manage 3D Settings and Choose program settings. This should give you the option to select either the IGP or the dGPU.
The company is set to open its doors to its flagship store on Fifth Avenue Today
In an attempt to bridge the gap between the customers and the company, Microsoft Corporation (NASDAQ:MSFT) has opened up a flagship store on 677 Fifth Avenue, in Manhattan. The store is thought of as a place where potential customers can come in and have a feel of the products. With the store, the business aims to showcase its software products and devices for a wide array of customers including tourists and locals. The 22,270-square foot storefront is the largest of the 113 retail store opened by the firm up till now. It features a five-story glass storefront. Simply stated, the location is a way for the firm to showcase its new approach to the world. The organization has been long known for its software based products and has recently started to explore the consumer side of technology. The company has introduced the Xbox console and videogames, tablets, and the all-new Surface Book along with its fitness device called the Microsoft Band.
It is a concerted push to become a consumer brand as opposed to a brand consumers know, commented Greg Portell, a partner at A.T. Kearney, a global strategy and management-consulting firm. Company executives have revealed that Microsoft had been on the lookout for the opportunity to open up a US flagship location since it started opening up retail outlets in 2009. The detachment seen between the products and the customers was noticed from the management, which has now come up with a plausible solution to the problem that has persisted for a while now. We believe that they will leave with an experience of understanding who we are, David Porter, corporate vice president of world-wide retail, stated.
The new store can be thought of as an attempt by the Washington-based company to give direct competition to Apple Inc. s (NASDAQ:AAPL) store Cube , a great place for tech enthusiasts and tourists to drop by. It has tried to give the Cupertino-based giant a run for its money with the launch of the Surface Book. To create a buzz about the grand opening of the store, the company is even offering tickets to a Pitbull concert to take place later that evening. The store has a look that invites people to visit and get used to the company s products. The devices have been placed on wooden tables with chairs untethered so that the public can hold them and use them in their own comfort zone. The customers also get to experience products made by Microsoft s partners. The Microsoft band can be tried to test the size fit of a customer. To get a hang of what the company is up to in the gaming world, visitors can enjoy Xbox gaming on an 84-inch screen in the living room on the second floor. According to Robert K. Futterman, an industry expert and chief executive of RKF, Experiential retail is the wave of the future. He adds: Keep the customer in the store, keep them engaged. The longer they stay, the better chance you have they will buy stuff.
The unique feature of the store is the presence of the culture wall, which displays imagery that complements the overall design of the store. The wall is 20 feet high and 40 feet wide. The third floor displays products from Dell. The area has been called the Dell Experience at the Microsoft store. The fourth floor provides space for the employees and back-office operation while the fifth floor contains space for events and meetings. Previously, the firm got a flavor of the Manhattan market when it opened a temporary store in Times Square, which gave it confidence to open up a proper store to attract significant business in the area. The part and parcel of Fifth Avenue will provide the corporation with huge amounts of tourists and the locals as well.
There is no doubt that the store is set to consume a lot of Microsoft s cash as the rents on the Avenue went up to about £3,350 per square foot during the third quarter, as stated by real estate services firm Cushman & Wakefield. However, the benefits of the location will enable it to project its consumer side to the world.
Surface Pro 4 teardown confirms fanless m3 design, smaller battery
The entry-level version of Microsoft s Surface Pro 4 could be easier on your ears as well as your wallet. That s because the Core m3 processor inside the £899 is the only one that doesn t use a fan for active cooling. As noted by iFixit in its Surface Pro 4 teardown, the entry-level model has an empty space next to its motherboard, where a fan likely resides in the Core i5 and Core i7 versions. iFixit s teardown also confirms that the Surface Pro 4 has a nine percent smaller battery than last year s Surface Pro 3, at 5087 mAh instead of 5547 mAh. It seems that Microsoft sacrificed battery life for svelteness, with the Pro 4 measuring 0.03 inches thinner and weighing 0.07 pounds lighter (for the Core m3 version) compared to last year s model.
Although Microsoft advertises the same 9 hours of video playback in both versions, the Surface Pro 4 lasted for 8 hours and 1 minute in PCWorld s benchmarks for normal Office use. The Surface Pro 3 managed an extra 38 minutes in the same test. (As a Surface Pro 3 owner, I d say it s not uncommon for the i5 version to last just six hours on a charge.) Keep in mind that PCWorld s testing was for the Core i5 model of the Surface Pro 4; we haven t yet tested the Core m3 version to see if battery life is any better. Thermal issues aside, iFixit noted that the Surface Pro 4 is just slightly easier to repair than its predecessor, using less adhesive to hold everything together. It s still a major hassle to crack open, but the solid state drive is replaceable with the right tools and some elbow grease. Why this matters: Performance aside, Microsoft s spec sheet for the Surface Pro 4 tries to mask some of the differences between models, advertising the same battery life across the board and not mentioning the lack of a fan in the m3 version. The entry-level model now seems a bit more compelling than it did before, especially if it ends up providing some tangible battery life benefits.