Can Microsoft challenge iPod
June 3, 2007
Microsoft has released its’ version of the MP3 player to rival iPod called Zune. While they will not displace Apple as the leader they are hoping to offer choices for consumers who are tired of the dominance of Apple. From a positive note, the Zune will is equipped with wireless capabilities, that will allow the user to send and receive downloads from other users, and their screen is slightly larger. They are launching with a 30Gb version for $249 which is priced jsut the same as iPods 30gb version.
They have also launch their own music store called Zune Marketplace, which they will sell single and subscription services. Keep in mind that your itunes will not function on your Zunes, unless you go through some conversion process, which could be quite time consuming if you are not familiar with technology. The one interesting thing about buying songs through Zune, is that you first have to add credits to your account in $5 increments. Since each song only costs .99, you could be letting Microsoft hang onto your money until you purchase more downloads. I see this as being a major inconvenience as with iTunes, you can purchase one song, and have it billed through PayPal, or other payment options. This may sit better with a youthful audience, as they would be less inclined to put money into an account for future downloads.
Posted in Selling Space
