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Slow Start to Surface, Windows 8?

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According to supply chain sources Surface tablet sales remain fairly slow-- DigiTimes claims Microsoft has already cut tablet orders for the year by half.

SurfaceThe Taiwanese news site says Surface orders are now 2 million units (down from 4m) as "sources from the upstream supply chain believe [Windows 8] may not perform as well as expected in the market."

Demand is also not too hot for Windows 8 tablets from Asus, Samsung and Dell the site reports.

The Digitimes sources also say Microsoft considers spurring demand through price cuts-- even such actions will only make its PC maker partners-turned-rivals even less happy.

Let's not forget how Acer is already not too jolly about the Surface...

Meanwhile Asus CFO David Chang tells the Wall Street Journal "demand for Windows 8 is not that good right now." Chang says demand ramp-up for Windows 8 touch notebooks is slow, even if he declines to mention actual sales figures. Asus currently offers one Windows 8 touch-capable notebook, the 11.6-inch Vivobook.

Such news follow the recent sales figures from Microsoft saying Windows 8 licenses since the end October 2012 launch total 40m. However the company does not provide any Surface sales figures.

Go Microsoft Cut Surface Tablet Orders in Half (DigiTimes,subscription required)

Go Windows 8 Touchscreen Laptops See Slow Start (WSJ.com)

Dixons Profits Amdist Losses

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Dixons' UK and Ireland operations make profits in fiscal H1 2013 for the first time in 5 years as the entire group sees pre-tax losses worth £22.2 million, down from £25.3m a year earlier.

DixonsTotal losses before taxes reach £79.5m after one accounts net-underlying charges of £57.3m, £45.2m of which come from the writedown in the "goodwill value" of a struggling PIXmania.

The retailer claims it had an "encouraging" start to the fiscal year, even if total group sales remain flat (at £3.29 billion) for the period. Dixons blames such results on S. Europe (Italy, Greece, Turkey) and PIXmania, where sales drop by -13% and -15% respectively.

Group CEO Sebastian James however promises the retailer is "taking action to improve [PIXMania's] poor performance.

Infonetics: Router/Switch Market Dips

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According to Infonetics Research the global Q3 2012 IP router and switch market "roughly reflects economic conditions," dropping by -5% Y-o-Y to reach around $3.4 billion.

Infonetics Chart“EMEA posted another negative quarter amid the ongoing fiscal crisis in Europe," the analyst continues. "We may not see much of the usual Q4 budget flush, as it seems just as the European Commission gets closer to economic steadiness, more negative reports arrive.”

Cisco leads the router-only (IP edge and core routers) segment, while Juniper takes the #2 spot from Huawei, who drops to #4 as Alcatel-Lucent holds on as #3.

Combined the top 4 vendors account for 88% of total IP router revenue, Infonetics concludes.

Go Service Provider Routers and Switches Report (Infonetics Research)

Intel to Do Away with CPU Sockets?

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If one is to believe a supposedly leaked Intel roadmap on Japanese website PC Watch, Intel might kill off a CPU standard-- the current Land Grid Array (LGA) socket will give way to Ball Grid Array (BGA).

CPU SocketThe current LGA socket is an 8-year old technology where the actual contacts are on the motherboard while the contact points are on the CPU.

On the other hand BGA technology involves directly attaching chips on circuit boards via small balls of solder.

BGA is already used for DRAM, embedded CPUs and other surface-mount chips, but is more difficult to troubleshoot and repair-- and does not allow for PC CPU upgrades.

It would also mean the end of selling separate Intel CPUs and 3rd party motherboards, since OEMs would have to hard-mount CPUs themselves.

Microsoft: Windows 8 Outpaces 7

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Microsoft believes Windows 8 sales are already going stronger than those those of Windows 7-- the company reveals Windows 8 licenses already total 40 million since the end October 2012 launch.

Ballmer Windows 8These are the first Windows 8 sales figures since CEO Steve Ballmer said Microsoft sold 4m Windows 8 upgrades in 4 days. For history's sake, Microsoft sold 60m Windows 7 licenses in the first 2 months following launch back in 2009.

One has to keep in mind the reality of the above figures-- Microsoft refers to license numbers, not how many Windows 8 copies belong to customers. Meaning a (possibly large) percentage of those 40m Windows 8 copies went to OEMs and PC makers.

Microsoft also fails to provide Surface with Windows RT talbet sales figures.

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