Ben Reid
22 Jul 2006 14:51
Microsoft has confirmed that it is developing a "Zune" digital music player to rival Apple's dominant iPod device.
After weeks of rumours of an potential "iPod killer" in the works, Microsoft on Friday said it will launch music software and players under the Zune brand, though the software maker left plenty unsaid in its confirmation.
"Today we confirmed a new music and entertainment project called Zune," Chris Stephenson, a general manager of marketing for the software maker, said in a statement. "Under the Zune brand, we will deliver a family of hardware and software products, the first of which will be available this year."
The initial device will include Wi-Fi capability and will use a hard drive to store the music, Microsoft said. Stephenson's statement also shed some light regarding rumours that the device will use wireless connectivity to share music with other Zune devices.
"We see a great opportunity to bring together technology and community to allow consumers to explore and discover music together," Stephenson said. A Microsoft representative declined to offer further details, although Stephenson told Billboard Magazine that other Zune devices, including a video player, are in the works.
At present, Apple's iPod remains the dominant force - accounting for more than 50% of all digital music players sold while the iTunes Music Store has a 70% share of the online digital music sales market.
Experts believe the success of the Zune will largely depend on whether users are able to download music and video wirelessly.
"Creating a lifestyle device, Microsoft is clearly going to face a battle here," according to Michael Gartenberg, from Jupiter Research.
"It is going to be hard for them to create the same level of cachet that Apple has with the iPod."
Sources:
BBC;
CNET News