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Microsoft (Nasdaq: MSFT  ) did a lot of headline hogging this past week.

On Monday it unveiled its plans to roll out the Surface tablet in two flavors in the coming months. We still don't know about pricing, but it's safe to say that Microsoft is going to make sure these Windows tablets are priced competitively.

If potential tablet buyers appreciate the larger screens and keyboard covers, Microsoft may have something here.

But Mr. Softy wasn't done there. It then went on to show off Windows Phone 8, the mobile operating system that will replace Windows Phone 7.5 later this year.

Microsoft's entering the tablet hardware business? Microsoft's raising the bar in smartphones? No, you're not dreaming. However, wooing critics the way Microsoft did this past week and wooing consumers the way Microsoft will have to do later this year are two different beasts.

Briefly in the news
And now let's take a quick look at some of the other stories that shaped our week.

  • Rite Aid (NYSE: RAD  ) posted a narrower quarterly deficit and a 2.5% increase in same-store sales. Unfortunately, the drugstore's bottom-line outlook for the entire fiscal year calls for a wider deficit than what analysts were expecting. Mr. Market knows how to fill that prescription.
  • Best Buy (NYSE: BBY  ) is increasing its dividend, but what good is a 3.3% yield at a rudderless company? Then again, if the company's still around in 30 years, shareholders can say they made back today's investment in pre-tax dividends.
  • Pandora Media (NYSE: P  ) took a hit after Spotify, which previously charged users $10 a month for mobile access, rolled out a free ad-based music-discovery service. Cue up "Heartbreak Hotel."

Moving on
Now that you've had a glimpse of the past, let's delve into the future. A new report details the latest Rule-Breaking multibagger that has earned Fool co-Founder David Gardner's attention. The report is free, and you're closer to it than you might think. Check it out now.

The Motley Fool owns shares of Best Buy and Microsoft. Motley Fool newsletter services have recommended buying shares of Microsoft and creating a bull call spread position in Microsoft. The Motley Fool has a disclosure policy. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insightsmakes us better investors. Try any of our Foolish newsletter services free for 30 days.

Longtime Fool contributor Rick Munarriz calls them as he sees them. He owns no shares in any of the stocks in this story and is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early.

Read/Post Comments (1) | Recommend This Article (2)

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  • Report this Comment On June 23, 2012, at 12:55 PM, beta2uralpha wrote:

    The BBY shareholder's annual meeting confirmed it. Mikan has decided to chase RadioShack's strategy. Looks like the former insurance rep doesn't realize that RadioShack's model isn't working. Then again, the insurance healthcare industry isn't a bastion of innovation and competition.

    I still love how Mikan keeps harping on Best Buy's partnership with AARP. He reiterated it from his Q1 earnings call to the shareholder's annual meeting. This guy is completely out of touch with reality. In today's economy he's pushing a service to seniors who are living on fixed incomes and spent a majority of their lives not needing to be tied to the internet.

    Jacking up prices and services to seniors worked in the healthcare industry because it was subsidized by taxpayers... It's not going to work in a cutthroat world of brick and mortar retail and tech services.

    I'm waiting with baited breath to hear which "larger IT company" Mikan inked the Geek Squad service with...I'm suspecting its probably a deal to have the Geek Squad reps service Nokia phones...

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