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Innovation at Microsoft? Show Us, Don't Tell Us!

Stocks in this article: MSFT GOOG AAPL FB

Microsoft has all of this awesome stuff percolating in labs staffed by small teams and pumped-up interns, but what does it have to show for it? What does it bring to market?

The Surface tablet. Where's the innovation?

Is it the keyboard that snaps on and off? Is it the use of what looks and feels like cheap plastic when held next to an iPad or even a Kindle Fire?

It's certainly not in Microsoft's approach to retail, which is a blatant and embarrassing knock off of Apple's concept.

There's zero innovation in Microsoft's marketing. It's confusing at best. Watch a Surface tablet commercial. Who is Microsoft going after? Can the company capture whoever these people are with dancing schoolgirls and jelly bean-jumping you really can't tell if it's a laptop or tablet devices?

That's the core of Microsoft's problem.

It has all of these cooks in the kitchen. But it has brought nothing other than Xbox -- which is, for all intents and purposes, completely disconnected from the Windows ecosystem -- to the consumer (or the BYOD enterprise) that comes close to iPod, iPhone, iPad or the Mac. Nothing.

Even if it does someday, will Microsoft be able to sell a meaningful number of units at a premium price?

Cute PR pieces on innovation look great, but they're not going to excite investors. All they do is raise more questions that Steve Ballmer's over-confident, just wait-and-see attitude hardly answers.

Remember, this is still the same guy who laughed at Apple when it released iPhone. Go to the link. Read the the first page starting at the classic, must-see-again YouTube video. The guy hasn't learned a single lesson.

--Written by Rocco Pendola in Santa Monica, Calif.

Rocco Pendola is TheStreet's Director of Social Media. Pendola's daily contributions to TheStreet frequently appear on CNBC and at various top online properties, such as Forbes.
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