This step would help Windows tablet makers get to market faster with an optimized set of components. It could help increase component volume quickly, which in turn would lead to component prices falling. Windows tablets are late to the tablet game, and any edge tablet makers could gain from Microsoft would help to boost competition with Apple. If Microsoft helps make its own hardware, this scenario is just a small stretch, and could be a feasible path.

Many pundits are quick to point out that Microsoft has had very mixed experience selling to consumers. Sure, Microsoft hardware peripherals like mice, keyboards, and webcams sell; and the Xbox division is a success story unto itself.

However, the company's most recent tablet effort, dubbed Courier, was and the Zune media players An in 2002, focused on the software angle and particularly handwriting recognition. More critically: Microsoft has never gone toe-to-toe with its OEM customers, the very PC manufacturers to whom it sells its crown jewel Windows operating system.

Still, there's a first time for everything. And now is the right time for Microsoft to make its move.