Microsoft announces lower Zune pricing | iLounge News

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Microsoft announces lower Zune pricing

Microsoft has announced that it will be dropping the prices of its Flash-based Zune players ahead of the holiday shopping season, increasing their competitiveness with Apple’s iPod nanos. The price cuts will see the company’s 4GB Zune drop to $99, the 8GB model cut from $149 to $139, and the 16GB model drop from $199 to $179. Despite the fact that these price cuts put the 8GB and 16GB models lower than their iPod nano counterparts, Zune marketing director Adam Sohn said the cuts were not meant as a direct challenge to Apple, but instead to “ensure hopefully we have a good holiday season.” The price cuts will take effect Wednesday in the U.S. and Friday in Canada.

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Comments

1

Just curious, iLounge, but why do you guys report Zune news and not other news that’s more ‘market changing” like the release of the Android, Instinct, and Voyager?  As an iPhone user, I’d like to know how my iPhone is keeping up with the competition.  If MS lowered the price of the Zune to $5, it would still be a stupid Zune and not change the market whatsoever.

Posted by Mark on November 18, 2008 at 5:08 PM (CST)

2

@Mark, what are you talking about?  Just because you prefer iPod to Zune, does not make the Zune irrelevant in the iPod world.  This year’s 16GB nano 4G fiasco (or rather how Apple almost tried to come out with their 8GB nanos at $199 and 4GB nanos at $149 and no 16GB nano at all yet again this year) proved the relevance of Zune.  I also believe the release and pricing of the Zune 120 affected Apple’s decisions regarding capacity and price of the iPod Classic.

Posted by Dyvim on November 18, 2008 at 5:30 PM (CST)

3

#1: There are a thousand cell phones out there, and new ones are released every day. We really don’t care about them. Most of our readers don’t, either. No matter what gets released, the only comments we see from readers regarding phones are iPhone and Motorola iTunes phone ones. Make of that what you will.

By comparison, we have seen some interest from readers in Zune-related topics. And the Zune appears to actually influence iPod development and pricing, albeit indirectly. See, e.g. comments from #2.

Posted by Jeremy Horwitz in East Amherst, NY, USA on November 18, 2008 at 5:38 PM (CST)

4

Well for the folks in Canada, this weekend Futureshop had the 8gb zune’s for $99CDN! Thats like $80US! :) Can’t beat that.

Posted by TM on November 18, 2008 at 7:38 PM (CST)

5

The Zune may only be good for one thing: Keeping Apple pricing in-check, and that’s good enough.
I think with this economy, many would-be iPod buyers might opt for a cheap Zune.
Just saying…

SB

Posted by slb on November 18, 2008 at 8:35 PM (CST)

6

Why not? talk about Apple’s real competition ...while Ilounge is still holding on old rival so they can be cool with mac people…they are missing out on the real competition SAMSUNG take a look at their Mp3 ...They are number 2 in the market in sell ...they are kicking Zune out of the market place ....Lets report the reality once and a while…that would be fun ...let start a Samsung vs Apple…I’m ready to move on from the Microsoft vs Apple that so 80’s..talk to the younger generation for once…please…

Posted by WHO CARES?? ZUNES ...in last place in the market.. on November 19, 2008 at 10:04 AM (CST)

7

@I think with this economy, many would-be iPod buyers might opt for a cheap Zune.

That would be penny wise- pound foolish. The two people I know who got Zunes have since upgraded to ipods.

I suspect the real reason for the lower pricing is liquidation. Buyer beware!

Posted by RichardP on November 19, 2008 at 10:06 AM (CST)

8

Does anyone know when Microsoft plan to launch the Zune in the U.K. - just out of interest really, to see how it affects iPod sales.
Thanks

Posted by Andrew Webber on November 19, 2008 at 10:42 AM (CST)

9

@Who Cares:
Which market is Samsung number 2 in? Certainly no western market, which is where Apple AND Microsoft’s DAPs (along with Sansa) account for aound 90% of all DAPs sold. Samsung is doing very well in mideast and Asian markets and makes solid products, but they’re doing bupkiss where the majority of the writers, editors, and readers of iLounge hail from.

In less than two years, Microsoft went from not even competing in the market to overtaking every competitor except Apple and Sansa, while Samsung’s share in the same markets is, maybe, 1% (it’s so low it’s not even specified as a separate brand when DAP marketshare is reported).

Posted by Code Monkey in Midstate New York on November 19, 2008 at 10:52 AM (CST)

10

@ RichardP,

I never intended to get into whether it’s a good or bad choice, it’s just reality.
Let’s drop the fanaticism long enough to talk reality.
We are faced with some really touch economic times, and while I personally never would buy a Zune over an iPod (or a Samsung) many will.
Same folks buy fake Christmas trees too…
LOL

Posted by slb on November 19, 2008 at 3:48 PM (CST)

11

The fact that this announcement has spawned this much discussion is a testament to how conscious we are of the Zune in the market.  Regardless of how we personally feel about the product, subconsciously we are all aware of the constant competition between Apple and Microsoft.  Despite how well other companies fair, we as the readers of iLounge will undoubtedly continue to compare Apple products to Microsoft and vice versa.

Posted by Cereal on November 19, 2008 at 10:10 PM (CST)

12

@SLB “Let’s drop the fanaticism long enough to talk reality….We are faced with some really touch economic times”

yes- lets talk reality- if you buy a Zune to save a few bucks- then realize you made a mistake- and go out and buy an ipod- you end up spending more money. In my book- thats penny wise - pound foolish.

Posted by RichardP on November 20, 2008 at 10:22 AM (CST)

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