Great price for a very well-built laptop. It's basically this deal again.
Yes, you can get higher-spec'ed laptops for less. But they won't have the same quality touchscreen - the Surface Laptop's 2256x1504 screen is beautiful. Build quality is excellent, and the warranty should still be two years. Warranty service with Microsoft is excellent too.
This will suit anyone who needs a laptop for simple tasks, e.g. MS Office, browsing the web, watching Netflix/YouTube etc. Yes, 4GB of RAM is sufficient for that.
If you're a power user who opens 23 Chrome tabs and 10 Office docs at the same time, you'll want to get a higher-spec laptop.
128gb is also a tight squeeze for windows 10 + a few apps. For a machine with soldered on storage and RAM I would say avoid.