Microsoft abandons Zune media players in iPod defeat
Microsoft's direct effort to challenge Apple's iPod, introduced in 2006 under the Zune brand, is being abandoned after a failure to gain traction in the market.
According to a report by Bloomberg, Microsoft will stop making any new Zune models and shift its focus toward incorporating its music store and subscription software into mobile phones.
The report cited sources who "declined to be identified because the decision hasn?t been announced," but noted that Microsoft's Zune-branded players failed to break into the top five US portable digital music players last year, according to data by NPD Group.
Apple's iPod continues to dominate the media player market, with a 77 percent share of the US market and similar market share globally.
In 2006, Microsoft's chief executive Steve Ballmer said of Apple, "we can beat them, but it?s not going to be easy," and confirmed the company was going to remain in the market for the long haul, gradually building market share.
The Zune HD (below), introduced in the fall of 2009, expected to make a dent into Apple's iPod touch business by combining an OLED screen, NVIDIA Tegra processor, HD Radio, and a new gaming platform that was supposed to leverage Microsoft's Xbox 360. However, it completely failed to do so, for reasons detailed at the time by AppleInsider.
Zune phone?
The company has iterated the same long haul/slow growth strategy in smartphones, where it has dramatically lost market share since the appearance of Apple's iPhone in 2007. Microsoft now faces not just the entrenched competition from Apple's iPhone, but also a shift by many of its former Windows Mobile licensees to Google's free Android operating system.
One of the company's strongest partners, LG, described Microsoft's latest Windows Phone 7 product as being "a bit boring," but also said it views WP7 as having "strong potential," and that it does not want to be dependent upon just one vendor's OS.
LG also noted that carriers are concerned about Android taking too great of a share of the market too, explaining, "there is a need and demand from the operators saying there is too much ?Android? in the portfolio. In that sense LG always tries to balance our portfolio, and that?s not just in sense of hardware but OSes as well."
Microsoft recently partnered with Nokia to align the leading phone maker with its own plans for Windows Phone 7. However, Nokia and Microsoft compete in offering music and subscription media, with Nokia's Ovi media store and music subscriptions being a direct rival to Microsoft's efforts to shift its Zune software into the smartphone realm.
According to a report by Bloomberg, Microsoft will stop making any new Zune models and shift its focus toward incorporating its music store and subscription software into mobile phones.
The report cited sources who "declined to be identified because the decision hasn?t been announced," but noted that Microsoft's Zune-branded players failed to break into the top five US portable digital music players last year, according to data by NPD Group.
Apple's iPod continues to dominate the media player market, with a 77 percent share of the US market and similar market share globally.
In 2006, Microsoft's chief executive Steve Ballmer said of Apple, "we can beat them, but it?s not going to be easy," and confirmed the company was going to remain in the market for the long haul, gradually building market share.
The Zune HD (below), introduced in the fall of 2009, expected to make a dent into Apple's iPod touch business by combining an OLED screen, NVIDIA Tegra processor, HD Radio, and a new gaming platform that was supposed to leverage Microsoft's Xbox 360. However, it completely failed to do so, for reasons detailed at the time by AppleInsider.
Zune phone?
The company has iterated the same long haul/slow growth strategy in smartphones, where it has dramatically lost market share since the appearance of Apple's iPhone in 2007. Microsoft now faces not just the entrenched competition from Apple's iPhone, but also a shift by many of its former Windows Mobile licensees to Google's free Android operating system.
One of the company's strongest partners, LG, described Microsoft's latest Windows Phone 7 product as being "a bit boring," but also said it views WP7 as having "strong potential," and that it does not want to be dependent upon just one vendor's OS.
LG also noted that carriers are concerned about Android taking too great of a share of the market too, explaining, "there is a need and demand from the operators saying there is too much ?Android? in the portfolio. In that sense LG always tries to balance our portfolio, and that?s not just in sense of hardware but OSes as well."
Microsoft recently partnered with Nokia to align the leading phone maker with its own plans for Windows Phone 7. However, Nokia and Microsoft compete in offering music and subscription media, with Nokia's Ovi media store and music subscriptions being a direct rival to Microsoft's efforts to shift its Zune software into the smartphone realm.
Comments
No love lost here. At least WP7 shoes some glimmer of promise. Maybe Microsoft is finally realizing the stupidity of its ways? Nah...
It was (and still is) lipstick on a pig. The hardware was actually pretty good but the software as usual had much to be desired.
No love lost here. At least WP7 shoes some glimmer of promise. Maybe Microsoft is finally realizing the stupidity of its ways? Nah...
I liked Zune software much better than iTunes!!!! Please Apple, fix that "user experience"!!!!!
The dumbest obviously is Balmer being appointed CEO.
What do you think second dumbest is?
It was (and still is) lipstick on a pig. The hardware was actually pretty good but the software as usual had much to be desired.
No love lost here. At least WP7 shoes some glimmer of promise. Maybe Microsoft is finally realizing the stupidity of its ways? Nah...
Ballmer just issued a decree that all WP7 phones must be brown.
(Oops... I see I was beaten to the punch by PaulMJohnson)
Anyways, I do think its a shame, the Zune HD hardware was great for when it launched, after two generations they finally had it polished to a gem, but they never took off with the app side of things, and never refreshed the hardware.
If they somehow let it run WP7 apps, it would be just about the only competitor to the Touch (theres that Archos thing but I don't think it can use the android app store * officially*). A WP7 based PMP with Zune HD-like hardware but with better internals would be rather nice IMO.
Of all the dumbass things Microsoft have done over the years, I would vote releasing a Zune in brown as the second dumbest thing.
The dumbest obviously is Balmer being appointed CEO.
What do you think second dumbest is?
You just said it...
Of all the dumbass things Microsoft have done over the years, I would vote releasing a Zune in brown as the second dumbest thing.
Microsoft has been giving it to us in the brown for years.
Perhaps I should run out and buy one just so that, some day, I can tell my grandchildren about this....
Nah. On second thoughts, forget about it: I can just take them to an old website.
I liked Zune software much better than iTunes!!!! Please Apple, fix that "user experience"!!!!!
Then go buy a Zune. I'm sure there's few left for cheap.
Of all the dumbass things Microsoft have done over the years, I would vote releasing a Zune in brown as the second dumbest thing.
The dumbest obviously is Balmer being appointed CEO.
What do you think second dumbest is?
Microsoft "bob". Truly amazing.
...The Zune HD (below), introduced in the fall of 2009, expected to make a dent into Apple's iPod touch business by combining an OLED screen, NVIDIA Tegra processor, HD Radio, and a new gaming platform that was supposed to leverage Microsoft's Xbox 360. However, it completely failed to do so, for reasons detailed at the time by AppleInsider.
ROFL!! Yes, there can be no doubt, it failed only because of the reasons AI wrote about.
From everything I read the Zune it actually was reasonably good hardware. They had a great music subscription system, Zune Pass. All the music in their library for $15 bucks per month, plus you get credits to buy 10 songs each month.
I think the Zune failed primarily because of Microsoft's horrible marketing and of course, Apple's market dominance (well deserved be that as it may).
-kpluck
Microsoft has been giving it to us in the brown for years.
... and steaming!
Someone at MS who should have been fired decades ago has had the final say in naming their software and hardware products.
In hindsight, the name, color, lack of support and looking downright dowdy next to Apple's iPods should have clued MS execs in to its certain demise.
It did take longer than I expected. I'll give MS that. Must have been the fact that it could receive FM radio.
Vista, Kin, Zune... And the only three people I know to acquire one of the latest crop of Windows phones all returned them within a week with various expressions of contempt and disgust.
Is it possible there are limits to what can be achieved by buying and ruining your competition? Who knew?