E Microsoft Is Finally A Compelling Value Growth Idea

Microsoft (MSFT) stormed the technology scene with a slew of announcements. Just after the successful launch of Windows 10, the software giant is ready to win market share for hardware. From smartphones to tablets, Microsoft wants to gain relevance in the mobile market. The degree of innovation in Microsoft’s latest hardware suggests it has a good chance succeeding.

Last week on Tuesday (October 6), Microsoft announced the Surface 4 Pro and Surface Book. Ahead of the event, Microsoft’s shares rose by over $2, where it maintained its gains after the event.

A check of the keywords “surface” showed the tweets greatly outnumbered “xbox one” and “windows 10” by a wide margin:

Click on image to enlarge

Source: TickerTag

The tweet count for “surface” was more than three times higher than for Windows 10 for good reason. Microsoft announced two mobile devices that day: the Surface Pro and the Surface Book. The company is clearly aiming to compete with Apple (AAPL). Microsoft will have a tough time, at least initially, competing against Apple’s iPad. The ecosystem is too strong, and there are far too many popular games, productivity tools, and other apps in the Apple App Store. Conversely, Microsoft might convince Mac Book Pro users to the Surface Book. The Surface Book is:

What surprised the public was that the Surface Book was a fully functional laptop AND a tablet. The keyboard may smartly detach as required.

In the pure tablet space, the Surface Pro 4 had impressive specifications. Perhaps mimicking Apple’s design, the Pro 4 is only 8.4 mm thin, with Intel’s (INTC) processors powering these devices.

In the smartphone space, the Lumia 950 and 950 XL both had the newest possible specifications for mobile devices. They are powered by Qualcomm (QCOM) chips.