The Business of MP3 Players

Ok, so while there are no numbers yet on how many Zune have been sold, it is pretty obvious that it is flopping after it's recent release. This isn't surprising and I've written about it before, so we won't
rehash old arguments. For those interested, I did come across some telling "signs of times" for Microsoft's Doom Zune.

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.

Now the real reason for this post isn't just to be smug and say "told ya' so", but to make an important point. I think Microsoft missed the mark on this because their starting premise was wrong. What was their objective? To make a great consumer product? To innovate and deliver something really new to the marketplace? Nope. The main objective was: kill the iPod. Everybody has the beloved iPod in their crosshairs and in my opinion, they will miss the mark each and every time. You can't out-design Apple. They have it down to a art and science. Their stuff "just works". What Microsoft (or any other vendor for that matter) needs to do is change the game. Until they do that, there is very little for Apple to worry about.

To read more on this, just click here.

Comments

[xavier]

You know, the Zune actually has an awesome set of menus and navigation screens. The playblack screens are really good too. They totally blow away the simple lists on the iPod (although the scrollwheel on the iPod just can't be beat). The Zune would be an above average player EXCEPT that the real drawback is the stupid DRM! Once you beam a song over to someone not only can they only play it three times but you can never beam that song to them again! AND my own music, stuff I bought and ripped got DRM put on it. That is what totally totally sucks about the Zune. Brought the one I bought back after 6 days.