Microsoft’s killer app designed to take on the iPod is turning out to be a bust:
Microsoft’s attack on the Apple iPod began with a whimper as Zune players made a lackluster debut in US stores.
Two boxed Zune players sat ignored on the top shelf of a Plexiglas showcase packed with iPod accessories in a Virgin Megastore near Union Square in San Francisco’s popular shopping district.
“I didn’t even know they were there until a customer pointed them out,” said sales clerk Jake Brooks.
And, apparently, neither did anyone else:
Zune, available in black, white and brown models, has 30 gigabytes of memory. They were priced at 250 dollars, on par with iPods with equal amounts of memory capacity.
Meanwhile, Apple announced on Tuesday it had made deals with six major airlines to enable iPod users next year to plug iPods into in-flight entertainment systems and watch downloaded films or video on seat-back screens.
Apple has sold nearly 70 million iPods since introducing them in 2001 and the devices command about 75 percent of the global MP3 player market. Apple’s online iTunes store sells digital music, podcasts, video and films.
Microsoft’s online Zune Marketplace sells only music for the devices.
As KipEsquire says:
So remind me again how Microsoft is a “monopolist” with “unfair” market power that allows it to reap “excessive” profits?
Build a better mousetrap and no “monopolist” can stop you.
And that’s exactly what Apple did with the iPod. So far, not even Darth Gates can stop them.
November 28th, 2006 at 2:52 am
Yes I agree with you, the monopolist has very limited power, because of the static change in the market.
I guess Apple’s iPod monopoly is going to last at least some years in this decade.
Thank you for sharing this story with me !