Is the Comic Book Boom Bad for Microsoft's Surface?

New data from comiXology lends further credence to the idea that tablets are fast becoming the device of choice for consumable media such as books, comics, and TV. And that may be bad news for Microsoft's (NASDAQ: MSFT  ) tablet strategy, Fool contributor Tim Beyers says in the following video.

Microsoft isn't targeting the traditional tablet audience with the Surface 2 Pro. And even the Surface 2 is priced for enough of a premium that it comes off as a business device, Tim argues.

Research backs up that assertion. In February, Forrester Research surveyed more than 9,000 information technology workers and found that 32% wanted a Surface tablet, 26% wanted an iPad, and only 12% wanted an Android tab. Microsoft may be carving out a significant and sustainable niche.

Yet by focusing on business users, Microsoft is also likely to miss out on a huge opportunity in consumable media. Again, consider comiXology, which executes between 7 million and 8 million downloads monthly. More than 80% of its users access these fast-growing digital collections via tablet.

Should Microsoft investors care if the Surface isn't suited for the digital comic book boom? Tim answers this question and more in the video. Please watch now to get Tim's full take and then leave a comment to let us know where you stand.

The best reason to buy Microsoft
I've been tempted to become a Microsoft shareholder many times over the past decade. The allure of a fat dividend that yields more than 3% as of this writing. Why haven't I bought? Because there are many great dividend stocks out there. Our analysts recently identified three stalwarts you might be interested in. Find out more in The Motley Fool's brand-new special report, "The 3 Dow Stocks Dividend Investors Need." It's absolutely free, so simply click here now and get your copy today.



Read/Post Comments (1) | Recommend This Article (0)

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 21, 2013, at 10:56 AM, Azzras wrote:

    Anything to bash MS, eh?

    I guess slow day for Apple love stories.

Add your comment.

DocumentId: 2689355, ~/Articles/ArticleHandler.aspx, 7/23/2014 7:06:35 PM

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...


Advertisement