It was the Surface RT that did so poorly. $900M writeoff that forced out Ballmer. Which is why I'm so surprised that they're attempting to do it again, with the Surface 2.

People familiar with Windows want a cheap way to take their desktop with them. That's the primary audience, and introducing an ARM-based tablet that CAN'T run their desktop apps, is killing them. I would have gotten rid of the ARM one entirely (at least until there's a big enough native app economy for it), and found ways to bring down the cost of the Pro, and just sell that one.

That said, the smart covers are pretty innovative. Being able to switch between a keyboard one, an extra battery one, and that amazing looking music production, is a stand-out feature. Something that Microsoft needs desperately.