14 DAY TRIAL // Microsoft's new CEO Satya Nadella has received praises from basically everyone involved in the tech industry, but his “Herculean mission” at the helm of the software giant is only now about to start, one analyst said.
Nadella's biggest challenge is to make Microsoft relevant in the hardware industry, that specific side of the industry where the company has until now failed to make itself noticed and actually recorded several losses which more or less confirmed that it needs to do better.
Daniel Ives, an analyst at FBR Capital Markets, tells PCPro in a statement that Nadella's tough role at the helm of the company is basically beginning with the debut of the new Surface models, which Microsoft could introduce as soon as next week.
“Nadella is off to a golden start as CEO, although turning around the tablet and mobile business over the next 12 to 18 months remain his two key Herculean tasks. If the turbulence gets too rough on the tablet and/or mobile segment, we can potentially see some strategic changes on the horizon around the hardware business,” he says.
Redmond is holding a press conference next week in New York and the company is expected to present the new Surface Mini, an 8-inch device designed to compete against the iPad mini and Nexus 7.
At the same time, people close to Microsoft's plans also hinted that a bigger Surface, possibly equipped with a 12-inch screen, could also see daylight during the New York event, with sales to begin in limited numbers in the United States later this year.
But the Surface Pro is still seeing growing demand, J.P. Gownder, an analyst at tech research firm Forrester, told the aforementioned source, which is an indication that Microsoft should continue developing tablets that are running the full version of Windows and could thus run desktop applications. Both the Surface Pro and the Surface Pro 2 are powered by Windows 8.1 Pro.
“There's certainly tons of interest in the Surface Pro as an Ultrabook replacement that has tablet capabilities. It is the No. 1 model I get asked about, it's going to have a lot of eyes on it. Microsoft would be nuts not to have devices in the mix. The danger is in not exploring. It is an important product to basically show what their overall vision is for Windows, and also to offer businesses and consumers another choice,” he says.