“More details are now surfacing on the upcoming, Microsoft-branded portable media player, thanks to continued discussions with inside sources. Over the weekend, Digital Music News reviewed presentation materials given to various partners and top-level executives. The materials offered detailed insights into the strategy, player, software, e-commerce, and marketing aspects of the release. The materials reinforce and expand upon earlier reports, and offer a far deeper and definitive look at the player. In terms of top-level strategy, Microsoft is taking heavy cues from the iPod+iTunes combination, which has helped to propel Apple to its dominant market position,” Paul Resnikoff reports for Digital Music News. “Microsoft is aggressively aiming to capture ’20 percent’ of the iPod market, a goal that will be assisted by heavy advertising beginning in the fall”
“According to the sources, the device will offer 30GB of storage, though it will deliver the ‘same pricing, look and feel as the 60GB iPod.’ That would suggest a retail price of $399, the price point for the high-end iPod. Immediately, the sticker is likely to draw comparisons to the comparable 30GB iPod, which is available for $299,” Resnikoff reports.
“Software is an incredibly important aspect of any digital device release, and Microsoft is now aiming to create a powerful one-two punch. Guiding the approach is a “closed ecosystem paired with a branded device,” which essentially describes iPod+iTunes… the newer ecosystem will be ‘incompatible with other Windows Media services,’ placing the focus squarely on one device, and one jukebox and store,” Resnikoff reports.
“The Microsoft-branded player will be accompanied by a massive advertising campaign [that] will be ‘equivalent to the launch of the Xbox,’ beginning with a fall splash. And the Xbox community itself will be an important starting point for the campaign. Upon launch, Microsoft will create an impact though a ‘7 cities in 7 nights’ tour, which will involve big-name artists, key cities, and live performances that will be exclusively positioned as downloads ‘on the web and music store.’ Throughout, the messaging will be focused on the ‘device plus store.’ Big box retail outlets will offer a nice push. Sources note that the device will be ‘overwhelmingly sold at Target, Best Buy, and Walmart,’ and nearly 30,000 retail outlets across the US. A Super Bowl spot is also reportedly in the works.”
Full article here.
Are Microsoft really shooting for 20% of the iPod market or are they actually targeting the 20% of the market that iPod currently doesn’t own? We suspect the latter. Regardless, we hope Microsoft spends a lot of money on this. While we don’t see Microsoft’s efforts as much of a threat to iPod+iTunes, we also hope it pushes Apple by providing some measure of real competition that will drive innovation even faster.
For more on why we don’t think Microsoft can “kill” Apple’s iPod+iTunes, please read our take here.
For those wondering, we doubt that Microsoft will offer a download of their Super Bowl ad for Apple iPod.
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Ooooh!
A Super Bowl ad… that worked well for Napster didn’t it?
If i see one more “killer” headline . . . . i’m going ePostal!!!
You can’t be a killer till you’ve killed something, and you can’t kill something if you don’t exist.
To be released 2012.
I love competition!
Licensing, not advertising, is to be thanked
for MS’ unfortunate success. Apple has a
reputation for running cool Superbowl ads,
I wonder what they have planned.
Quote: “Guiding the approach is a “closed ecosystem paired with a branded device,” which essentially describes iPod+iTunes… the newer ecosystem will be ‘incompatible with other Windows Media services,’ placing the focus squarely on one device, and one jukebox and store,” Resnikoff reports.
This should kill Napster as well as other stores using WMA. What next, the MS branded PC aimed at killing Dell et al?
It will run Microsoft Vista CE, once they figure out Vista and develop CE that is.
Here is an example of why Microsoft will never kill the iPod:
http://gizmodo.com/gadgets/software/microsoft-to-develop-cricket-umpiring-technologies-187837.php
Apple is so doomed. After years of putting out a crappy MP3 player that only plays stolen music, there will be competition. Since Apple only makes money from the iPod we will see the end of Apple. Everyone wants an open player that they can purchase music from a variety of sources — and that runs and is developed for the real operating system – Windows. Time to short the living daylights out of Apple stock again!
Does anyone really think Apple will be selling the current iPod lineup come January? If M$ targets a discontinued item what exactly are they going to kill or hit?
Once again, MS’s ‘partners’ bend over for their requisite anal pounding.
Baldmer needs some Viagra. He should call Rush, because I hear he has quite a stockpile…
MacDailyNews: ” … we also hope it pushes Apple by providing some measure of real competition that will drive innovation even faster.”
EXACTLY!
This is GREAT news, if true. Keep pushing Apple to amke an even BETTER product! And let Apple know EVERYTHING about what you intend to do, and they’ll simply activate any of their innumerable counterattack plans.
There is NO WAY that Jobs never would’ve accounted for something like this. As a stockholder, I absolutely LOVE IT!!!!
Microsoft, you are just wasting your money, time, and efforts if you intend to dethrone the iPod/iTunes paradigm. Take the scraps (at great cost) and be happy! Screw your previous technology “partners” yet again!! And lose money and be distracted from SH-TSTA (or whatever the hell it’s called) even MORE!!!!!!!!!!!
And judging by AAPL the markets apparently don’t even care about yet another “we’re gonna too” annopuncement from Redmond.
This is so f-cking FUNNY that it’s absolutely and completely turned around my mood on an otherwise dour Monday.
This is the kind of video Microsuck will sell in their video store..
http://video.google.com/videoplay?docid=8718728501056290731
Hey, Mac Realist . . .
I just saw “The Aristocrats” DVD last night. That joke is all about YOUR family, isn’t it?
Whether or not this rumor is true–and whether or not Argo really does affect iPod sales at all–there can be very little doubt that MS has thrown down the gauntlet to its very own partners in the digital music market.
Apple “may” suffer a percentage loss here, but if Argo is, indeed, a real product, all of the other WMA affiliated products are FINISHED!
I agree with MDN: it’s mostly the OTHER 20% that MS will target first, so watch out Creative, et al! Your time is up!
I’ve finally figured it out!
“MS” doesn’t stand for “Micro Soft”!
It stands for “Monkey See” . . . the “Monkey Do” part comes from Steve Ballmer’s hysterical choreography every time he gets a financial boner.
I wonder if he’s dancing now?
“”According to the sources, the device will offer 30GB of storage, though it will deliver the ‘same pricing, look and feel as the 60GB iPod.’ “
In other words they are jsut going to do what they always do, blatantly attempt to copy competitors products, offering nothing new, and bastardizing the original idea that makes it so good to begin with.
Then it will be followed up by a very large marketing campaign where they will throw millions of dollars at it, accompanied by an underlying campaign of coersion and extorsion to get other companies to follow their plan and shut out standards that make the iPod work so well.
It’s not an iPod killer until it kills the iPod. It isn’t going to do that so lets just stop with the hyperbole right here and now.
The fact is, the only company that has made a product that has killed the iPod is Apple. The Nano killed off the Mini, which was by far the most popular mp3 player ever.
That Mac Realist guy is a farking genius! Shorting beleaguered AAPL is clearly the way to go, OR IS IT?
One year ago today DELL was moving at $42 per share. Today, $22. (-48%)
One year ago today MSFT was moving at $26 per share. Today, $22. (-15%)
One year ago today AAPL was moving at $41 per share. Today, $52. (+27%)
Yep. I want that Realist guy on my investment team. He sure knows a longterm winner when he sees one!
‘a closed ecosystem’ WOW. Isn’t that what Jim Allchin, Kevin Rollins, Thurrott, etc. were using to disparage Apple’s success?
Will this thing be out before/after Vista?
If the zone “will deliver the ‘same pricing, look and feel as the 60GB iPod.'” then what is the incentive to buy it over a cool iPod where you have a choice of models and styles?
To compete with entrenched competition you must be cheaper (WalMart), better (Japanese cars) a paradigm shift (downloaded music) or lock the customer in (inkjet cartridges).
Apple is all of the above and MS is none except for maybe the last one if they provide support built-in to Vista, but there is a thing called the courts.
Another example of Microsoft’s obfuscation, the “report” does not specify the exact year of the Super Bowl advertisement. Could be 2007, 2008, ….., not in your lifetime. With Microsoft, the best is always yet to come no matter how distant in time, remote in possibility, or indeterminable in probability.
Isn’t the Stupid Bowl after the holiday season? Too little, too late. By then, the new Russian rootkit will have rendered most PCs inoperable.