We've known since IDF that Intel intended to put pressure behind Bay Trail's sales volume by aggressively positioning the tablets across both Windows 8.1 and Android, but it seems Microsoft doesn't want to be left behind -- or undercut. The company has made significant slashes(Opens in a new window) to prices on multiple devices in the Microsoft Store -- the 32GB Dell Venue Pro has dropped from $299 to $229, while the 32GB Lenovo Miix 2 and Toshiba Encore (also 32GB tablets) have fallen to $249, from $299.
Dropping the Venue Pro to $229 actually puts Microsoft in the unusual position of going head-to-head against the $229 Google Nexus 7 (2013), but offering twice the storage (32GB versus 16GB). While Windows 8 has been roundly chewed up for offering far less than maximum capacity once the OS and restore files are accounted for, the 32GB Dell Venue 8 will still have 4-6GB more practical storage available than the Nexus 7 device.
The tablets themselves are powered by the Intel Bay Trail Z3740D, the same chip inside the Asus TransformerBook T100. While more expensive, the T100 also sports a larger screen (10.1 inches), a removable dock, and up to 64GB storage). Having used it extensively, I can say that the performance of this solution is surprisingly good -- it far outstrips Clover Trail, and the integrated GPU is capable of handling many tablet games.
No, the Venue Pro 8 doesn't have the Nexus 7's 1920x1080 screen, but the 8.1-inch display on the Venue Pro still hits a PPI of 186. That's higher than a conventional desktop monitor, even if it isn't quite "Retina" quality (though as always, that's a relative term and depends on viewing distance).
Microsoft is clearly trying to boost the visibility of its own Store (it's selling the Dell Venue 8 Pro for a lower price than Dell itself). Still, this move also aligns with some of Intel's priorities. The chip manufacturer has stated that its goal is to dramatically drive new tablet adoptions in 2014 with strong offerings in both the Windows 8 and Android ecosystems. If prices like this stick around, we'll see Windows selling at head-to-head parity with Android throughout the year, at least at the upper end.
Whether this will finally spark adoption of x86 and Windows devices in the tablet space is an open question, but I think the path is clearer for Intel than Microsoft. If Intel can build equal-players for both products, OEMs will adopt a certain volume of x86 hardware, and customers who see equivalent battery life and performance won't necessarily care either way. Intel's own marketing funds go a long way towards helping that outcome. Microsoft, in contrast, still has to build support for its own anemic ecosystem -- an altogether trickier proposition for a company still playing catch-up 15 months after its next-generation operating system was released. But Bay Trail really is a much better tablet chip than what we've seen in previous generations
