The base version of the Surface is priced competitively to give buyers an edge on Apple's iPad. The Surface with 32 GB of storage is priced at $499, which is the same price point as Apple's 16 GB iPad. The Surface comes with an integrated kickstand, and a full QWERTY keyboard is available standard on the 64 GB model, which is priced at $699. This keyboard is available on the base model for an extra $129. This is comparable to aftermarket accessories for the iPad.
The Surface has two additional important features: A Mini HDMI Out port, and the ability to run Microsoft's Office Suite. This gives the Surface a currently unparalleled role as a true portable media center, able to stream HD video to one's television set. The ability to run Microsoft Office means that this device can be a suitable replacement for the Laptop in the realm of word processing productivity, but with far more portability.
The second version of the Surface will run a full version of Windows 8, but the pricing for it remains a mystery at this time. It is safe to say, however, that it will be more than the currently announced 'base' version which runs Windows RT.
[Ed - Office on Surface RT will not include Outlook so it is not the complete suite, but a light version of Microsoft's productivity suite. There are also rumblings that Office on Windows RT will only come with Word, Excel and PowerPoint this leaves Access, Publisher and a few other applications off the new device. In other words you are getting an ARM optimized version of Office Home and Student Edition with the exception of Outlook. Still having something is better than nothing which is what you get by default on the iPad.]
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