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Tuesday 15 March 2011

Microsoft to Stop Releasing New Zune Models

Microsoft made a valiant effort, but apparently it's finally time to lay the Zune to rest.
It has been a long time coming, but the company has decided to stop creating new iterations of its Zune media player due to sub-par sales, according to an inside source. Instead, the company will shift its focus towards other devices.

The last model of the series that Microsoft released was the Zune HD in 2009, with a higher capacity version coming a year later. The company intends to continue selling these existing Zune models, according to the source.
The Zune was intended to compete with the Apple iPod, but Microsoft's music and video player simply could not break the stranglehold that Apple has on the market. The iPod led the market with 77% of unit sales last year, according to NPD Group Inc., while the Zune failed to even crack the top five.
Zune for Smartphones
The Zune software will live on, at least for now, as Microsoft intends to focus on its development for mobile phones, according to an article from Bloomberg.
This isn't a surprising move -- Microsoft touted this feature as a major draw for its Windows Phone 7 -- but by doing so, Microsoft supposedly intends to gain some ground in the smartphone market, yet another area where it is the underdog; Google and Apple are currently dominating the market.

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