Microsoft was safe with its old approach of software and services but that has changed after the low acceptance of Windows 8 .
The slump in the PC sales has also damaged the old and safe practice thus threatening the Microsoft future in the OS market. Google has already topped the mobile market with its Android OS and also entered into the device market by launching Google Nexus tablet.
So Microsoft changed the old software and service to devices and services and is reportedly working on a tablet to define the newly adopted practice. The tablet would be a 7 inch tablet which is understandable as Google and Apple are launching tablets with screen size less than 8 inches. Microsoft is planning to launch a variety of touchscreen computers and tablets at a broader range of prices.
Remained stuck in the PC OS market and not trying to enter into the other platforms has already affected Microsoft. Thus, getting way behind other companies like Google and Apple . The device and Smartphone development will definitely give some push to the Microsoft and make it competitive against the Google and Apple on other platforms.
Source Wall Street Journal