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Microsoft CEO Steve Ballmer Admits He Made A Huge Mistake

Steve Ballmer, chief executive officer of Microsoft Corp., pauses while delivering the keynote during the Microsoft Build Dev
Steve Ballmer, chief executive officer of Microsoft Corp., pauses while delivering the keynote during the Microsoft Build Developers Conference in San Francisco, California, U.S., on Wednesday, June 26, 2013. Facebook Inc. is building an application for Microsoft Corp.'s Windows 8, adding one of the most popular programs still missing from the operating system designed to help Microsoft gain tablet customers. Photographer: David Paul Morris/Bloomberg via Getty Images

Microsoft boss Steve Ballmer is finally admitting what everyone has been thinking: Microsoft made a huge mistake with the Surface RT tablet.

Last week, the company disclosed that it lost over $900 million on the low-selling tablet computer, and during an internal Microsoft event this week, Ballmer put the disaster into simple, understated terms, The Verge and Neowin separately reported.

"We built a few more devices than we could sell," Ballmer reportedly said.

Despite some good reviews, Microsoft had an extraordinarily difficult time getting the Surface off of shelves, and an overwhelming number of Surface RT tablets have been left unsold. If you break down the $900 million Microsoft lost on the Surface RT, it comes out to about 6 million unsold devices.

Still, Microsoft is working on the next generation of the tablet, and internal response to the new device has been positive at Microsoft, Neowin reports.

It's not just the Surface that has been letting the company down; Microsoft is not selling enough Windows products in general. But Microsoft does have one bright spot: Windows Phone 8 is beating BlackBerry for the coveted No. 3 spot in the smartphone market.

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