Zune gets a Jobs-esque price cut
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Online retailer Woot.com offers Microsoft's digital music player for $129, but "apologizes" to buyers who paid a higher price a month ago, offering them a $10 coupon.
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(InfoWorld) - Microsoft has beaten itsÂ goal of shipping over a million Zune digital music players by June, according to a newspaper report. Robbie Bach, the president of Microsoft's Entertainment and Devices Division, said it has already passed the million mark during an interview with the San Francisco Chronicle published Monday. The Zune has a 10 percent market share in the hard-disk-based music player category, he added. "It's a good start. It's not an overwhelming start. I'm not going to pretend it's some gigantic move," he was quoted by the newspaper as saying. The million unit figure bests Apple. It took the iPod 14 months to reach 600,000 shipments, but it was much earlier in the game than the Zune, when the market for digital music players wasn't so hot. Apple has likely sold around 25 million iPods over the same time it has taken the Zune to reach its goal, according to financial analysts. Microsoft has a lot more work to do with the Zune. Despite a better-than-expected start, it's far behind the iPod both in terms of number of users and popularity. Apple sold 10.55 million iPods during the three months ending March 31 and announced it had sold its 100 millionth on April 9 of this year. The company has also generated enthusiasm for the device through more than 4,000 accessories made for the iPod, including stereo hookups in more than 70 percent of 2007-model U.S. cars and a deal with Nike to use iPods with certain running shoes that collect workout information. The company also has its new iPhone coming out soon, a product Bach indicated Microsoft will not compete against directly with a Zune phone, according to the Chronicle report. Microsoft will continue to work with handset makers to provide software used in different styles of mobile phones, because mobiles are deeply personal devices, he said. "In the phone space, we're very comfortable with the model we've chosen....We work with handset manufacturers and operators to produce that web of offerings while still producing the same consistent software so people can get done what they need to get done regardless of which phone they choose," he reportedly said. The San Francisco Chronicle article can be found on the WebÂ here.
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RealNetworks today is slashing the price of a digital download to 49 cents a song from 99 cents - a bold move in the war over digital music.
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A slow sales start for Microsoft's new Zune music player means it is unlikely to be a threat to the popular iPod this holiday season, according to analysts.
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What Universal does with digital royalties Column How much can artists expect to benefit from Microsoft's Zune MP3 player?â¦
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Microsoft said last week that it had met its previously stated goal of selling one million Zunes by the end of the company's fiscal year, which occurred on June 30.
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Blog: Robbie Bach, President of Microsoft's Entertainment and Devices Division reveals that 1 million Zune MP3 players have been sold since the product launched last year.
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REDMOND, Washington  - Microsoft Corp. MSFT.O   unveiled on Thursday its new "Zune" portable media player,   hoping its ability to share music wirelessly can win over   consumers despite its late entry five years after Apple's   market-dominating iPod.
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Microsoft Corp. said Wednesday that it expects to sell 1 million of its new Zune music players through the first half of 2007. That figure would pale in comparison to Apple Computer Inc.'s market-leading iPod, but Microsoft contends it would be a good start.
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(InfoWorld) - Microsoft's Zune digital media player will ship in the U.S. on Nov. 14 for $249.99, the company said Thursday, in line with the price of video iPods already available from Apple Computer. MicrosoftÂ announced its Zune playerÂ and the accompanying music store, called Zune Marketplace, earlier this month, but it did not provide pricing at the time. Some industry insiders believe Microsoft had to rethink the pricing after it learned that Apple was about to lower the price of its video iPods, which it recently did. Like the video iPods, the first Zune players will come with 30GB of storage. Microsoft also unveiled pricing for Zune Marketplace. Unlike Apple's iTunes, which lets users buy individual songs or entire albums but does not offer a subscription service, Microsoft will offer a monthly subscription called Zune Pass. For $14.99 a month, users will have access to millions of songs, Microsoft said. However, they won't actually own those songs and will only be able to access them while they have a subscription. Users will also be able to purchase songs individually using Microsoft's points system, which works a bit like a prepaid phone card. One track will cost 79 points -- or about $0.99, which is what iTunes charges per song. At retail, consumers can purchase 1,200 points for $15, 2,000 points for $25, 4,000 points for $50, or pay $44.97 for a three-month Zune Pass. Zune accessories will range in price from $19.99 to $99.99. They include the Zune Car Pack, which offers a built-in FM tuner with AutoSeek and the Zune Car Charger, and The Zune Home A/V Pack, which includes five products that integrate Zune with a television and music speakers. More information isÂ available here.Â  Microsoft is differentiating its Zune player from the iPod in several ways. In addition to allowing users to play music, videos and photos on a screen, the Zune player will include wireless technology and a built-in FM radio tuner. So far, iPods lack both of those. Zune devices also will come preloaded with media content, which iPods don't have. Songs the players will include out of the box are: âWicked Gilâ by Band of Horses, "The Mating Game" by Bitter Sweet, "Alala" by CSS, "At the End of the Sky" by Darkel, "Signs of Life" by Every Move a Picture, "Stay" by Small Sins, "Tell Me Tell Me" by The Adored, "Open Book" by The Rakes, and "A Pillar of Salt" by The Thermals. The music videos included with the Zune player are from several artists on Seattle's Sub Pop Records label, such as Chad VanGaalen, Kinski and the Fruit Bats. The players also will include film shorts on skateboarding, mountain biking and snowboarding. Microsoft didn't provide any availability information for outside of the U.S.
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(InfoWorld) - Financial analysts watching the consumer electronics space report that early sales of Microsoft Corp.'s Zune player should give little reason for iPod loyalists and Apple Computer Inc. to fear this holiday season. Since its retail debut on Nov. 15, customer interest in Zune has been lackluster, analysts report. Early reviews of the product have been less than stellar as well. According to a research note published Tuesday by PiperJaffray senior research analyst Gene Munster, only 8 percent of 40 retailers surveyed by the firm recommend the Zune to customers, while 75 percent recommend Apple's iPod. Moreover, some MP3 salespeople hadn't even heard of Zune, even though the players are being sold at their stores, he wrote in his report. Quotes from retail clerks cited in Munster's report range from them claiming they don't know what the Zune is, to comments that Zune is a good option if a customer does not use Apple's iTunes software. "To be honest, I don't really know much about the Zune," one clerk is quoted as saying in Munster's report. Another said, "I don't suggest the Zune because it is really heavy," according to the report. Zune also did not fair well against other MP3 players and Apple's iPod even during its initial week of sales, when the hype surrounding the product was at its peak. According to Munster's report, during its launch week on Nov. 16, Zune held the seventh spot on online retailer Amazon.com's top 10 best-selling MP3 players list, and it fell from that spot to 13 on the list only five days after launch, on Nov. 20. "The buzz that Microsoft was able to generate for the Zune's launch clearly helped the player in its first week, but much of the publicity took the form of Zune/iPod comparisons," Munster wrote. He added that these comparisons show that Zune "failed to match up in the eyes of most reviewers" to the iPod, a fact that negatively affected sales of the device. Deutsche Bank analyst Chris Whitmore wrote Monday that the iPod continues to be a strong seller going into the busy holiday shopping season, and the 30G-byte video iPods -- with which Zune competes -- "appear to be immune to the Zune." He said both the 30G-byte video iPods and the new 4G-byte iPods nanos currently are popular with consumers. A note about Apple's performance from financial firm UBS IT hardware analyst Ben Reitzes also said that Zune does not appear to be any threat to iPod at this time. To be fair, Apple has a five-year head start in the music and video player market, and no one expected Microsoft's first entry would be comparable right away to the immensely popular iPod. Microsoft has said it plans to invest significantly in the Zune over the next several years, and the device is expected to become more competitive. Microsoft's 30G-byte Zune costs US$249.99, the same as Apple's video iPod, but is different from the iPod in two key ways. Zune includes an FM tuner and wireless capability that allows users to share songs between devices.
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Microsoft Corp.  said on  Thursday it will launch a 30-gigabyte "Zune" portable media  player, the software maker's answer to Apple Computer Inc.'s   market-leading iPod, in the United States this holiday  shopping season.
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Microsoft's Zune music player, a rival to Apple's iPod, goes on sale in the US, receiving mixed reviews.
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Microsoft has cut the price of its Zune music player by $50 even as Apple launches new, improved iPods that now offer Wi-Fi connectivity and touch screens.
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Microst says its Zune music player will cost $249.99 in the US when it goes on sale on 14 November.
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Dell has slashed the price of its 15-GB Dell DJ to $149, down from its normal list price of $199, and $100 less than the price of Apple&#39;s iPod mini.
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Microsoft said that Toshiba would make the Zune portable media player, MicrosoftÂs answer to the iPod from Apple Computer.