But Microsoft have confirmed they will be making more devices. My bet is on the next being a phone.
Based on the Surface, I think Microsoft are hedging their bets. They like the status quo - they make a lot of money from OEM licensing. However, they don't want to be caught out should the OEM market break down, so they're working to improve their services offering and have started doing their own hardware. Surface is a back-up plan - they can match Google and Amazon penny for penny if they need to. Likewise, stuff like Bing, Xbox, Xbox Music, Office 365 are all there to guarantee future revenue should the OEM market collapse - they'll be falling back on Services and Office licensing to fund aggressive pricing on Surface devices.
Apple are in a similar selection to Microsoft, except further along. If they needed to, they could already flog hardware at cost and fall back on iTunes. Problem is, they have no incentive to do so as their products sell well and they make a lot of money off hardware sales. They'll join the price war if they have no choice.


) but I can either get myself an OTG cable and a USB pen drive (or two!) or just get a new iPod. 
