Microsoft Surface revenue falls by 26 percent

[Joystiq]

Microsoft's

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are mostly rosy -- except when it comes to sales of its Surface laptops. The company reports that Surface revenues fell 26 percent compared to last year, reaching $831 million down from $1.1 billion. It's not hard to see why: Microsoft points to more pricing competition among premium 2-in-1 competitors, as well as "product end-of-life dynamics" for the decline. Simply put, Microsoft needs new Surface models to compete with the onslaught of new entries on the market, like

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and

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