Microsoft has indeed built its own tablet. So, she is now in the hardware business.
Make that two tablets. One Windows RT tablet runs an NVIDIA Tegra 3 ARM processor, and the other Windows 8 Pro tablet runs Intel's Ivy Bridge Core i5 chips. One thing that looks really cool are new magnetic covers that are quite reminiscent of Apple's "Smart Cover" for the iPad. But they're a lot smarter—Microsoft's covers actually include a multitouch trackpad and a keyboard. There are two, as we explain in this story: a Touch Cover with virtual keys and a Type Cover with a tactile keyboard and touchpad.
Typing on the cover is twice as efficient as typing on glass, according to Microsoft. There's also a stylus.
10.6-inch devices running Windows 8, the "Surface" tablets borrow their name from Microsoft's table-sized computer that has been an impressive yet niche product for the past few years. (The original Surface has been renamed to PixelSense in a possible attempt to avoid confusion.) In announcing the new tablets, CEO Steve Ballmer stressed that Microsoft has been a hardware company for decades, producing mice, keyboards, webcams, and of course the Xbox, among other products.
While Microsoft typically lets hardware partners build Windows-powered PCs and tablets, Surface hardware is built by Microsoft. "Things work better when hardware and software are considered together," Ballmer said. In what is perhaps a nod toward Apple's so-called "Retina Display" marketing term for high-definition screens, Microsoft said the displays are so good that your eye won't be able to distinguish individual pixels. The exact resolution is unconfirmed, but we do know the tablets feature Gorilla Glass.