“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.
Related articles:
Olympus plans Super Bowl ad pushing their ‘iPod photo killer’ – January 17, 2005
More blood on Apple iPod’s Click Wheel: Olympus halts production of portable digital music players – November 09, 2005
Sounds serious: Microsoft approaches iPod accessory makers for Zune would-be ‘iPod killer’ – July 12, 2006
Microsoft preps complete line of Xbox-branded digital-media products – July 11, 2006
Photo of Microsoft’s ‘iPod killer?’ – July 11, 2006
10 reasons why Microsoft’s ‘iPod killer’ will fail – July 11, 2006
Enderle on what it would take for Microsoft to kill Apple’s iPod – July 10, 2006
Microsoft: ‘iPod killer’ reports based on ‘speculation and rumors’ – July 07, 2006
Can Microsoft hit a fast moving target? Apple likely to debut wireless iPod this year – July 07, 2006
Analysts: Microsoft faces uphill fight to supplant Apple’s iPod+iTunes market dominance – July 07, 2006
Microsoft plans to convert iPod users by replacing iTMS songs with free WMA format songs – July 06, 2006
Microsoft to release wireless ‘iPod killer’ by Christmas to challenge Apple – July 05, 2006
Analyst Wu: Microsoft unlikely to dethrone Apple iPod+iTunes – June 21, 2006
Microsoft preps iPod+iTunes killer – June 19, 2006
Report: Microsoft readying Apple iPod+iTunes rival – June 16, 2006
Microsoft: No iPod killer planned – June 05, 2006
Microsoft, Toshiba, DoCoMo, Victor to develop Japan iPod+iTunes killer – June 02, 2006
Patent application shows iPod capable of live wireless video conferencing – June 13, 2006
Apple patent application filed for wireless iPod+iTunes distribution – May 04, 2006
Generator Research: Apple to Ship $4.2bn in Wireless iPods (WiPods) by 2010 – March 14, 2006
Ready for your wireless Apple iPod? – February 09, 2006
Wireless iPod? CSR and PortalPlayer to bring wireless connectivity to personal media players – February 08, 2006
Wireless Apple iPods coming in 2006? – December 09, 2005
More blood on Apple iTunes Music Store’s play button: MyCokeMusic is dead – June 20, 2006
More blood on Apple iPod’s Click Wheel: iRiver gives up on digital media player market – May 23, 2006
More blood on Apple iPod’s Click Wheel: Sony’s Walkman Bean is cooked – February 13, 2006
More blood on Apple iPod’s Click Wheel: Dell dumps ‘DJ’ hard-drive MP3 player line – February 04, 2006
More blood on Apple iPod’s Click Wheel: iRiver pulling out of Europe? – February 01, 2006
More blood on Apple iPod’s Click Wheel: Thomson gives up on MP3 player, CE markets – December 12, 2005
More blood on Apple iPod’s Click Wheel: BenQ withdraws from MP3 player markets – November 28, 2005
More blood on Apple iPod’s Click Wheel: Olympus halts production of portable digital music players – November 09, 2005
More blood on Apple iPod’s Click Wheel: Rio is dead – August 26, 2005
Apple’s iPod has blood on its Click Wheel: Virgin Electronics is dead – March 08, 2005
Apple’s iTunes Music Store has blood on its play button: BuyMusic.com is dead – March 28, 2004