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.

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.