Microsoft Corporation (MSFT), Barnes & Noble, Inc. (BKS): Is Windows Behind the NOOK Fire Sale?

Page 2 of 2

The speculation is now revolving around the Surface RT tablet, as there are whispers that Microsoft Corporation (NASDAQ:MSFT) may be considering a 7-inch version of its tablet, but it may be looking to scrap the Surface and replace it with the NOOK and add the NOOK library of content (which stands at more than 3 million books, not counting music, videos and magazines) into the Windows Store. That would mean the NOOK would go through a transition from the Android platform over to the Windows platform. What about the smaller Surface RT tablet changing its name to the NOOK RT as a miniature version of the larger Surface device? There is a lot at play here, but the bottom line is that Microsoft is in the middle of he NOOK discussions until it’s not. Right now, it has 300 million reasons to stay involved in some way.

What do you think? Should Microsoft Corporation (NASDAQ:MSFT) absorb all of the NOOK content and hardware and incorporate it into its ecosystem? Do you think it will do so, or do you think the focus will mainly be on the content library and offer it cross-platform or as a Windows exclusive? Give us your feedback on this weird Microsoft-Barnes & Noble, Inc. (NYSE:BKS) alliance in the comments section below.

DISCLOSURE: None

Page 2 of 2