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February 1, 2007
Microsoft Zune Flop Watch
For those of you, like me, counting the days until the inevitable "Zune flop" stories start appearing in the previously fawning business press, two tidbits for you:- Microsoft exec Bryan Lee from J Allard's group who oversaw the launch is leaving the company
- Zune has fallen out of Amazon's top 100 list of best-selling products, and now sits at #102 (and as a related aside, Apple now "only" has two of the top ten electronics products, down from five at Christmas)
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I doubt anyone is quaking, but am I the only one having flashbacks to the Apple v. MS PC wars.
Apple wants to own the whole process. MS embraces its partners, all of them, and gains competitive advantages in marketing and distribution as a result.
Let's watch what MS does with hardware partners. A Dell ZunePhone anyone?
"Let's watch what MS does with hardware partners. A Dell ZunePhone anyone?"
It'll probably end up like the Dell DJ.
More likely, "Zune" features will be incorporated into Windows-based phone/PDAs, and people won't use them.
Worst-case, the ZunePhone is able to 'squirt' contact info to other ZunePhones, but squirted info is deleted after three days.
The Zune had been off the top 100 since Jan 17 with a few blips back up to 98, 95, etc...
Every iPod model including some older generations all remain solidly in the top 100.
"Let's watch what MS does with hardware partners. A Dell ZunePhone anyone?"
Microsoft already embraced its hardware partners to compete with the iPod, they launched a bazillion iPod killers but didn't make a dent in the iPod's marketshare.
Now Zune won't even play protected Windows Media files (PlayforSure), only content purchased from Zune MarketPlace will play back on the Zune.
Dell won't make a ZunePhone, Microsoft wants to own the whole process, just like Apple.
Before we go writing off the Zune, it looks like the ZunePhone is on its way.
http://www.techcrunch.com/2007/02/01/zune-phone-coming-soon/
That could be interesting in a Microsoft already works with a number of carriers kind of way.