Can Microsoft Excite Markets With New Products?

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Sept. 23 (Bloomberg) -- Cory Johnson reports on new products from Microsoft and compares the company to BlackBerry on Bloomberg Television's "In The Loop." (Source: Bloomberg)

Want to see its tablets go the way of what we just heard with blackberry.

There is so much going on right now on the mobile arena with the new iphone, massive failures that blackberry, and now today we have microsoft about to announce updates to this surface product line.

Yes, there are similarities with black that -- blackberry but nowhere in terms of the level of desperation.

The write-down.

Blackberry took a egg right off of the inventory of the z10 model, which is been a disaster.

Microsoft in july took a 900 millon dollar write-down.

It really has the effect of just lowering prices significantly in the retail arena.

I had to take the right down because they were going to sell these goods and inventory for less than the cost.

You don't see the affect of the struggles in microsoft stock.

The stock has performed quite well over the course of the last year, as have many stocks have.

But the adoption of the surface was not what microsoft hoped it would be.

But in the very classes might -- classic microsoft away, they were ready to get in there and reup and hope to get maybe a corporate market excited about the new products.

How has the surface change microsoft?

Microsoft is really going through a big series of changes.

You can see the messaging coming from steve ballmer, the ceo, the laid-back ceo, as well as the board.

Pushing with him but may not just in the software but the hardware business.

You can see the effect in margins.

Gross margins for a software company should be fantastic, but they have been following -- falling dramatically.

Operating margins also falling.

The microsoft of the future is very different.

A hardware and software company.

That will be showcased with a new release of hardware products manufactured by microsoft, and it really changes the face of what microsoft is going forward.

Cory johnson here in new york.

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Stay "in the loop." we are just getting started this monday morning.

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This text has been automatically generated. It may not be 100% accurate.

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