Hoo boy. If Bloomberg is right about Microsoft’s plans, this could get ugly. Reports indicate that the Surface tablet will cost $599 for the basic model and $699 for the Surface Pro when the tablets are released later this fall. And there won’t be an option for a tablet that runs on a data network, it will all be Wi-Fi only. Now, keep in mind this is just a rumor at this point although Bloomberg says it has two anonymous sources so it’s not like one of those random Chinese blog rumors. If it’s true, it might give us some insight as to why the price wasn’t announced when the tablet was announced. The iPad starts at $499, a price that is likely attainable for Apple because they know they’ll make so many of them that the parts cost less.

The main point of distinction with the Surface seems to be the keyboard but you can buy an iPad and a keyboard for less than $599.

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