Microsoft prices Zune at $249.99; Due out in November | iLounge News

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Microsoft prices Zune at $249.99; Due out in November

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Microsoft has finally announced pricing and a release date for its much-hyped Zune media player. The company said it will charge $249.99 for the device—essentially the same as Apple’s 30GB iPod, which retails for $249. Microsoft will launch both the Zune and its companion digital music service on November 14th. The Zune music service will charge 99 cents for individual songs and $14.99 per month for a subscription service. Scott Erickson, senior director of product management for Zune, admitted that the Zune player will not make money for Microsoft immediately. “In total we won’t be making a profit this year, but we will of course work toward becoming a profitable business in the future,” he said.

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Comments

21

<enters school playground>

“Attention a n a l y s t s, while there is a certain market leading company is making a lot of money off their product, M$ *again* tries to buy marketshare at the expense of their shareholders. Thinking about it, is M$ still loosing money from the X-Box? I mean the first one?”

Why should any of us on here give a crap as to how Microsoft goes about its business? Are you all major shareholders? No? Then buy the product that most suits you. iPod / Zune/ Zen / whatever. It’s quite simple really.

<leaves>

Posted by logan on September 29, 2006 at 5:06 AM (CDT)

22

If i wanted a brown mp3 player… i could just rub poo on my white ipod and its a zune

Posted by Eric Lewis on September 29, 2006 at 7:04 AM (CDT)

23

Am I the only one finding the brown Zune a bit charming? I mean I LIKE the 70’s design and stuff and instead of everything looking high tech white and polished, which is getting rather boring after a while, this is actually pretty cool, and different.

Posted by RightField on September 29, 2006 at 10:01 AM (CDT)

24

I actually kind of like the brown… but I know it will fail. everyone knows it…. apple already has too much marked share, and I don’t know what you guys are talking about with iTunes not working. maybe if your using it on a piece o’ crap windows running pc. and iPod and iTunes work so seemlessy. how could you not like it?? i really don’t understand. but the brown is cool, I like that. but I know alot of people won’t. ahh well. it will fail anyways

Posted by andrew988 on September 29, 2006 at 1:02 PM (CDT)

25

UGLY!!!

Who wants a brown MP3 player. Apple beats them by miles in design for sure.

Judging by how smoothly Windows runs, this thing should be super…*note sarcasm*

I’ll wait for the 6G iPod.

Posted by M_Vallee on September 29, 2006 at 2:45 PM (CDT)

26

Well, somebody(s) is buying the Zune.

It is already the 21st best selling item in the electronics section of Amazon.

Posted by The Guy on September 29, 2006 at 5:58 PM (CDT)

27

Just a quick note to all those people who can’t stop talking about how ugly the brown is, remember that it comes in 2 other colors . . . I think the brown is a unique color for a consumer electronics device and I enjoy it when a company offers me more choices. 

I am truely looking forward to the Zune, I have had 3 iPods and I will most likely be getting one of these to replace my current iPod.

Posted by Alex on October 1, 2006 at 2:46 AM (CDT)

28

I have three iPods but for me the Zune has a couple of great features:

1. A much better screen for video.
2. A subscription service (the dollar a song program is lame).

Other features may interest others but for me those are the two main advantage, and they are advantages. (I suspect the software will be at least as good as Apple’s.)

For me the qustion mark for the Zune is the battery. Time will tell on this.

Posted by DSC on October 1, 2006 at 11:24 PM (CDT)

29

A.  MS will catch Apple if they play their cards right.  They’ve done it with everything else, they will do it here.  This is Apple’s to lose.
B.  Everyone loses money on game consoles, so enough of that ridiculouness.
C.  Brown is the second-favored color under black.  Do your market research.

I love my iPod, but ignorance should be addressed for the benefit of all.

Posted by DSM on October 2, 2006 at 12:44 PM (CDT)

30

“B.  Everyone loses money on game consoles, so enough of that ridiculouness.”

Um, no. Console manufacturers typically take a loss on new hardware upon release to get more systems out there and recoup the losses with software licensing fees. As the manufacturing process is tweaked and updated and tweaked, systems are eventually produced for less than their retail price. Sony makes money on every PS2 (which is still outselling the Xbox AND Xbox360 regularly) it sells today. Microsoft has failed to turn a profit on their Xbox venture, now in its second generation. Sony, Nintendo, and even Sega all turned profits their first time out. Actually, I’m not sure about Sega but they cleaned up with their second attempt.

Just sayin’.

Posted by Bart Lee on October 2, 2006 at 2:21 PM (CDT)

31

Toshiba is actually making those zune under microsoft name. So Microsoft doesnt loose much. Its not like they had to do everything, half of the work has been done already.

So even if MS loose to sell zune, It wont affect them much.

Posted by Varun on October 3, 2006 at 4:56 AM (CDT)

32

First - yes I own an Ipod with no immediate plans on buying a Zune.  But before you poo-poo Miscrosoft, look at the facts.  Miscrosoft does it’s homework; They have done a lot of research on this product before launching it.
The way something looks is one thing and functionality is another.  Only looking at pictures - the brown player is not the sexiest thing out there.  But beyond looks - they did focus groups (my guess is 3 different group types - Current Ipod Owners, Other device owners, and probable buyers).  In these groups they probably asked current owners what they would want from a future Ipod.  When you look at the available research, sharing and social networking is huge, Microsoft addressed this in the peer-to-peer sharing.  Also one of the reasons that people said they would not switch is the itunes investment.  I had heard the MS was going to “give” you the songs that you purchased on Itunes.  If this still is the case, Microsoft has removed a huge roadblock to switching as well as some of features beyond sharing (bigger screen).  The Subsription model is also smart for those with multiple users in a single household (If the model works that way) and heavy end users.  The next step in these devices is the big thing - true wireless networking to computers, true device to device wireless connection with messaging capabilities and shared gaming experience.  A lot of the consumer research that I’ve seen points to a limited market on DAP/Phone devices.  Cost looks to be prohibitive.  Size is also an issue (people want small phones and devices with larger memory sizes) also, they are still seen with to have two disctinctive different functions (at least for those out of high school) one being entertainment and the other have a work/communication function.
all that being said, if the Zune player doesn’t work or the gateway/marketplace is clunky - word will spread quickly and Microsoft will either have to fix it or move on.

Posted by alfiala on October 3, 2006 at 9:17 AM (CDT)

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