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Microsoft lost $1 billion on unsold Surface tablets

(via Los Angeles Times/AP/Reuters/SMH) | July 19, 2013
The company is taking a USD 900 million charge against earnings due to its inventory of unsold units.

Sales of Windows rose slightly, but only because of the inclusion of some deferred revenue, weighed down by an estimated 11 per cent dip in PC salesin the quarter.

Microsoft's Windows 8 has sold more than 100 million licences since launching in October, but is struggling to win over many consumers confused by the new design which is more suited to tablets than traditional PCs. Acknowledging this, Microsoft is releasing a revamped version of the system called Windows 8.1 later this year, which brings back the iconic 'Start' button.

 

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