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Surface vs. iPad: Which Tablet Will Win Holiday War?

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    FNC’s Clayton Morris on the tablet battle taking place this holiday season.

  • Duration 4:59
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As the market opens apple shares.

-- down about no they are actually up about four barks.

Apple has been trading down.

I guess the low Wu was been about -- in recent weeks has been about.

530.

Of course the high was 700 when it then dropped about 20%.

So apple is trading up about five dollars today that's a nice little pop of close to a percentage point and it looks like it is continuing.

To rise -- seeing real competition of course from a lot of other.

Imitations some would say -- just straight competition for the iPhone.

Also those tablets.

Have really really given a hit to I apple over the past couple of months -- we we don't usually show charts but when their dramatic.

And they involve a big name it like apple we have no choice but to do so and there is that 20% drop.

That I was telling you about joining the company now is our resident gadget guru.

Clayton -- us in our -- you have an apple could.

Editor we -- today and of course this is the latest from Microsoft yet and I think -- everybody this kid is intriguing and it gets the best way to describe surface we should give -- -- -- Microsoft surface -- -- you've -- -- -- -- if -- watching -- -- -- -- -- Of the you know clicking commercial court.

If there's the board were tablet interest -- clicking -- right and I think what this shows is there's there's good competition it's healthy in the marketplace Microsoft is doing something interesting with the surface of course the question is -- -- asked him Steve Ballmer Howell of the sales been he really wouldn't give a specific numbers reason they've been modest.

And I think it's one of those devices you have to play with really see if it's gonna take on how it's it's not so much the device itself while the device is important but it's the windows application it sells software and I I wanna might want my friends are great piece this week talking about.

You know buying hardware that much yes apple makes the most beautiful -- spent a lot of time -- design.

It's the software you're buying into now right so do you want to buy into the windows experience do you have a lot of stuff that you need to do one office excel.

Excel easy.

Is a must for businesses.

All businesses operate on excel spreadsheets you need excel if you need it -- you need window let's cut to the chase of what this off whereas which allows you to to touch.

The screen which is something that you used to not be able to do -- my -- -- I'm a little confused by what Microsoft has been trying to do so you can touch the screen that's great.

But when you decide to go to the key border use -- -- it feels -- So when -- Right and -- -- either one but if you've got attacked certain laptops maybe you've got to Vizio laptop that only has a track pad you cannot touch the screen you'll just be making smudges on -- and it won't do anything on your screen.

And it feels a little -- when you're holding this upright you -- -- read a book and who wants to read a book holding this thing to a feels a little awkward.

It almost reminds me of true it's not good enough to be it tablet it's not good enough to be a laptop it's somewhere in between now next what you have -- -- -- it's right right and here's this is the gold standard of tablets right it's tried and true when people talk about tablets they talk about middle C I wanna tablet this Christmas sale when an iPad.

The same -- Syria.

Google -- -- Kleenex -- -- grab your tissue it's the brand name is the gold standard.

They're gonna sell like gang -- I've had nannies have been back -- now for weeks.

People can't get enough of -- and having to make a lot of them to keep up with but the competition it's -- it's not just Microsoft it's not just a surface of course you have the galaxy.

Which is a competition to the iPhone which is making great strides -- car -- the the publisher force has a piece in the journal today saying.

That because of that competition not only Microsoft but also Samsung galaxy.

That apple might be best priced as it that is it that the prices -- won't come back what do you think I think that this is gonna be Apple's biggest quarter ever.

The iPad but how's it gonna affect the stock do you think the stock will go back to a high 600 it depends on where analysts wrap their head around us again because they -- their pricing they didn't think that it -- demands that it didn't think that it met earning expectations and they didn't think that the apple BI had.

We -- would 23 million they're gonna so they sold 22 and a half doing something like that.

Which is an absurd number when you think about it when you think that we're actually talking about did they sell a 100000 surfaces yet.

22 million of these devices.

So I don't know -- it -- it'll it'll depend on analysts' expectations where the stock of -- stock is still price of eleven times earnings just to give the comparison Google is seventeen times earnings of the stock.

Even though it sounds very expensive and it is it is at eleven times forward earnings it's not expensive the question is whether it will meet those earnings if in fact galaxy and Microsoft and all the other devices take -- on.

All of those earnings may fall short in which case the price may come down it'll be interesting to see although the iPad two is still selling like gangbusters they have now -- on the iPad for so sales numbers are gonna have a record quarter if that's gonna move the stock if that doesn't move the stock I don't know what will I think it being in the 500 right now is -- -- -- it's good to see effectiveness and appreciated at.