Economies of scale continued to elude Microsoft's Surface line as the tablet lost more money in the March quarter than in the preceding three-month period, regulatory filings showed.
In a 10-Q filed Thursday with the U.S. Securities and Exchange Commission (SEC), Microsoft reported $494 million in revenue from the Surface, the tablet line-up that debuted in 2012 and was refreshed last year. Revenue was down 45% from the December quarter but up more than 50% from the same quarter in 2013.
Microsoft pegged cost of revenue for the Surface at $539 million in the quarter that ended March 31.
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Colour me not surprised.
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