It seems that Microsoft might be catching on to something everyone else in the market knew when they first announced their first foray into hardware since the Zune; software companies shouldn't annoy their customer by competing with them.  Ballmer originally tried to assuage companies like Acer by claiming that Surface was just a proof of concept, which was met by disbelief and after 3 iterations of Surface those doubts were proven to be justified. According to Microsoft the Surface 3 is a big hit overseas but as this is their first crack at those markets you can bet that the sales will follow the same precipitous drop we saw for the first Surface in North America. 

The news from DigiTimes today is that Surface 3 will be the last generation of this hybrid tablet.  It could be that Microsoft will now focus on their phones, much to the dismay of those who have used their phones though perhaps the remaining human assets from Nokia will bring forth a new generation of workable devices.

"Microsoft continues to see weak sales for its Surface Pro 3 tablet and is reportedly planning to cancel the product line since shipment performance has been far lower than expectations, according to sources from the upstream supply chain."

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