Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Microsoft Wants to Be the Denver Broncos

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

It's fitting that Microsoft (Nasdaq: MSFT  ) chose last night's Monday Night Football to introduce its first Surface commercial.

After all, the San Diego Chargers had a commanding 24-0 lead at halftime.

The Denver Broncos seemed out of sync on both ends of the ball. Peyton Manning -- the aging quarterback great that was discarded by the lowly Indianapolis Colts during the offseason -- couldn't score.

Given Microsoft's shortfalls in hardware outside of the Xbox's success, few seem to be giving the software giant much of a shot in the tablet space, where Apple (Nasdaq: AAPL  ) has cornered the market with the iPad and the open-source nature of Google's (Nasdaq: GOOG  ) Android seems to be powering nearly everything else. Cynics will argue that Microsoft's greatest days are in the past.

Microsoft is Manning. Microsoft is the Denver Broncos.

Then something magical happened. Manning and the Broncos started to score. They couldn't stop. They won with a surprisingly lopsided 35-24 score that must've been a shock to anyone that assumed that the game was over at halftime.

Microsoft can only hope that it has that kind of second half.

The new TV ad is playful. The commercial shows off the magnetically attached keyboard and snapping kickstand that Microsoft hopes will set it apart from the iPad and the many iPad wannabes. Somewhere between the break dancers and soaked fountain cavorters, Microsoft wants to establish Surface as a tablet that will work for both entertainment-seeking consumers and productivity-minded enterprises.

Oct. 26 is the date when it will all come together.

Microsoft may need more than choreographed whimsy to make a dent in this booming market, but it's not as if it has much of a choice. PC sales are fading, and Windows 8 alone may not be the desktop and laptop savior that Microsoft bulls originally envisioned.

Surface tablets won't come cheap. Microsoft's pricing starts at a stiff $599 for the models with the magnetic keyboards that are played up in the new ads, and that's just for the line running the watered-down Windows 8 RT operating system. Consumers will have to pay even more when the more powerful Windows 8 Pro tablets hit the market in a few months. Research In Motion (Nasdaq: RIMM  ) and Hewlett-Packard (NYSE: HPQ  ) stumbled badly when they priced their tablets at comparable prices to the iPad despite superior specs. Can Microsoft -- with so much to lose -- afford to price the Surface so high?

Then again, skeptics also argued that the Broncos were overpaying Manning and his seasoned (yet untested) arm earlier this year.

The bet paid off for Denver last night. Soon we'll see if Microsoft's Monday night gamble will pay off.

It's been a frustrating path for Microsoft investors, who've watched the company fail to capitalize on the incredible growth in mobile over the past decade. However, with the release of its own tablet, along with the widely anticipated Windows 8 operating system, the company is looking to make a splash in this booming market. In this brand-new premium report on Microsoft, our analyst explains that while the opportunity is huge, the challenges are many. He's also providing regular updates as key events occur, so make sure to claim a copy of this report now by clicking here.

Longtime Fool contributor Rick Aristotle Munarriz has no positions in the stocks mentioned above. The Motley Fool owns shares of Apple, Google, and Microsoft. Motley Fool newsletter services recommend Apple and Google. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Read/Post Comments (6) | Recommend This Article (6)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On October 16, 2012, at 8:08 PM, daveshouston wrote:

    The Denver Broncos don't want to be Microsoft. They want to be Apple or Google.

  • Report this Comment On October 16, 2012, at 8:12 PM, NickD wrote:

    Apple is a buy? at all time highs?

    Apple hasn't lost everyone's money before?

    How is buying Apple now a good idea?

    Why not buy Microsoft now?

  • Report this Comment On October 16, 2012, at 8:29 PM, RandomMeaning wrote:

    The Surface commercial was a great dance number. Really highlighted how you can attach and detach a keyboard. Kind of a "hey, we really need you to use this like a laptop but you can detach it if you really, really want to but make sure you reattach it soon because we really need you to use it like a laptop. Except we didn't show the part where using it like a laptop needs a mouse since reaching up and down between the screen and keyboard gets really tedious and tiring."

    Other than that, it really was a lovely dance set piece.

  • Report this Comment On October 17, 2012, at 12:03 AM, lucasmonger wrote:

    If Microsoft introduces MS Office for IOS and Android at $100-200, then all of the sudden, it has raised the prices of competitor's products (if people want to use their tablets for business) compared to the Surface. That would be a brilliant business move.

    But alas, my bet is that Microsoft will withhold Office from IOS and Android in an attempt to gain market share by only supporting the Surface. Only time will tell.

  • Report this Comment On October 17, 2012, at 12:17 AM, kthor wrote:

    sorry but MSFT is like the titans, bills or Raiders right now ...

  • Report this Comment On October 17, 2012, at 5:56 PM, geekdadnyc wrote:

    That commercial really highlighted the way that the tablet connects with the keyboard. Wow, that's a great hinge. That is one heck of a hinge. Here's my $599! Good job Microsoft!

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2059982, ~/Articles/ArticleHandler.aspx, 10/27/2016 1:37:43 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 4 hours ago Sponsored by:
DOW 18,199.33 30.06 0.17%
S&P 500 2,139.43 -3.73 -0.17%
NASD 5,250.27 -33.13 -0.63%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/26/2016 4:00 PM
AAPL $115.59 Down -2.66 -2.25%
Apple CAPS Rating: ****
BBRY $7.26 Down -0.01 -0.14%
BlackBerry CAPS Rating: *
GOOGL $822.10 Down -6.45 -0.78%
Alphabet (A shares… CAPS Rating: *****
HPQ $13.91 Up +0.01 +0.07%
HP CAPS Rating: ***
MSFT $60.63 Down -0.36 -0.59%
Microsoft CAPS Rating: ****