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Microsoft Cuts Price of Surface RT by 25%-30%

IDC estimates that Microsoft shipped about 260,000 of the 10-inch widgets in Q1

Microsoft Sunday slashed the price of its poorly selling ARM-based Windows-incompatible Surface RT by $150 to $349 for the 32GB model.

That's without the cover that also functions as a touch-sensitive keyboard. With the magnet cover the price is $449. The bigger 64GB model has been cut from $599 to $449 or from $699 to $549 with the cover.

IDC estimates that Microsoft shipped about 260,000 of the 10-inch widgets in Q1, the latest numbers the researcher's got. Together with the 750,000 more conventional Surface Pros that run Windows 8 it shipped during that quarter it got all of 2% of the worldwide tablet market of going on 50 million units.

New Surface RTs and Surface Pros are rumored.

Some weeks ago the Wall Street Journal reported Microsoft was working on a smaller version of the Surface RT.

Microsoft, which is reorganizing, is pushing into hardware as demand for Windows software falters and tablets are supposed to outsell PCs by 2015.

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Maureen O'Gara the most read technology reporter for the past 20 years, is the Cloud Computing and Virtualization News Desk editor of SYS-CON Media. She is the publisher of famous "Billygrams" and the editor-in-chief of "Client/Server News" for more than a decade. One of the most respected technology reporters in the business, Maureen can be reached by email at maureen(at)sys-con.com or paperboy(at)g2news.com, and by phone at 516 759-7025. Twitter: @MaureenOGara

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