Microsoft working to minimize Surface impact, says Acer chairman

Aaron Lee, Joseph Tsai, 10 August 2012
After publicly urging Microsoft to reconsider its move to launch own-brand tablet PCs recently, Acer chairman JT Wang on August 9, commented that Microsoft is pushing Surface to help Windows 8 succeed and the software giant has already acknowledged the concerns of the brand vendors and is trying to minimize the negative impact created by the launch.

Acer was the first brand vendor to issue a public warning about the software Microsoft's actions saying that Surface could seriously impact the existing PC ecosystem.

Since such comments triggered market watchers to speculate that Acer may quit developing Windows-based tablet PCs, Wang has clarified that the company has no intentions of quitting the Windows-based tablet PC market, and is aggressively developing related devices.

Wang noted that Microsoft has not intention of abandoning its plans to launch the Surface range, and Acer, after carefully evaluating both the positives and negatives, believes Microsoft's actions will have a rather negative impact on the long-established PC ecosystem, and therefore has recently made further contact with Microsoft to discuss its concerns. Wang also pointed out that his public comments were not only meant for the benefit of Acer, but also the whole Windows ecosystem.

The PC industry is concerned that the change in Microsoft's strategy may be a lot more serious than the company's original intent, and not only could the strategy hurt others, it would also hurt Microsoft itself, noted Wang, adding that he is the most optimistic CEO about Windows 8 and he has given the operating system his highest rating and is eagerly waiting to see it achieve success. Some of his comment are meant to protect and support the success of Windows 8, he stressed.

Wang noted that Microsoft is currently looking for solutions such as creating a price gap to minimize the negative impact on other vendors' product lineups, and he believes if Microsoft launches Surface at a price of US$199, it would have a rather significant impact, but if it is priced at around US$499-599, the effects will be a lot smaller.

Wang pointed out that Microsoft did not communicate with PC brand vendors prior to announcing its Surface project. Seeing the software designer enter hardware development and turn from a partner to competitor, Wang claimed Acer is not afraid of competition, but said he only wishes to understand the new rules of the game, and so will continue to try to communicate with Microsoft to understand the situation.

As for the new platform, Wang predicted that Acer will still be able to achieve market separation through product positioning and innovation.