Microsoft seems to be on track to launch Windows 8 in October of 2012. The company describes the new OS as the biggest thing after the launch of Windows 95. October's launch of Windows 8 will also bring along Microsoft's two new tablets called Surface Pro and Surface RT.

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In an interview with Seattle Times, Steve Ballmer, CEO of Microsoft, hinted that Microsoft's tablets will be "probably $300 to about $700 or $800." With competing tablets from Samsung and Apple priced at over $400, Microsoft's Surface tablets' starting price of $300 will be very aggressive. 

"I think we have a very competitive product from the features perspective.I think most people would tell you that the iPad is not a superexpensive device. (When) people offer cheaper, they do less. They look less good, they're chintzier, they're cheaper," said Ballmer. "If you say to somebody, would you use one of the 7-inch tablets, would somebody ever use a Kindle (Kindle Fire, $199) to do their homework? The answer is no; you never would. It's just not a good enough product. It doesn't mean you might not read a book on it."

Expectations for the Surface tablets have reached fever pitch among fans, and rumors also suggest that Microsoft Surface tablets will be accompanied by Surface Phones. 

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