Apple’s iPod “while very good, are becoming very common and part of what drove the iPod into the top spot in a rapidly growing market was its exclusivity. If everyone you know has one, how exclusive is it really? Also, Apple had three known competitive disadvantages: The products wouldn’t play radio, the platform didn’t allow for sharing music nor did it support flat rate pricing, and it lacked support from both the Music industry and retailers both of which wanted someone else to work with. Microsoft had a good shot with Zune but it seems someone missed a critical meeting,” Rob Enderle writes for TG Daily.
“For two days, Zune was in the top-10 products sold through Amazon and made it as high as number 2. On day three, it dropped like a rock. The first two days showed the potential the right product could have. The third showed this was a swing and a miss,” Enderle writes. “The potential for the right product was in excess of 10 million units – and possibly substantially more. This was a similar effort to the Xbox, but unlike the team that put the Xbox together, the team running Zune didn’t understand the hardware.”
“Microsoft gets software and they are learning about services but Apple is the leading expert is hardware and the MP3 player market is clearly a hardware market now. Much like Apple didn’t understand the power of software in the 80s Microsoft doesn’t seem to grasp the importance of hardware design in the 2000s and that is very telling in this most recent battle,” Enderle writes.
Full article here.
First, Apple’s iPod “plays radio” via the $49 Apple iPod Radio Remote which allows users to listen to FM radio on their iPods and control everything with a convenient wired remote. Second, Apple iTunes’ “iMix” feature allows for sharing music, and with total iMixes now approaching 1 million in the US iTunes Store alone, it seems to be a very popular social feature; certainly more popular than “squirting” tracks that allow users 3-plays-then-self-destruct-leaving-only-an-ad-behind like Zune. Third, music subscriptions haven’t proven to be popular with consumers. People like to own their music. Fourth, all major music labels support iTunes and major retailers overwhelmingly support and recommend iPod over all the also-rans. Enderle’s conceit that “iPod lacked support from both the Music industry and retailers both of which wanted someone else to work with” is pure, unsubstantiated poppycock that’s completely refuted by the facts.
The Zune software has been panned by reviewers – perhaps even more than the Zune device itself (if that’s possible) – so, Enderle’s contention that Microsoft has only failed with respect to the Zune hardware also doesn’t pass the reality test.
There’s a lot more wrong with Enderle’s article, of course. As is usually the case, Enderle just makes up some wild ideas and writes and writes in a vain attempt to justify his goofy baseless concepts. At least he seems to have figured out that Microsoft’s Zune screams failure, even if he doesn’t fully grasp why.
Zune is a failure simply because the market does not want and has no compelling need for grotesque versions of iPod+iTunes from Microsoft.
Related articles:
The Channel Checkers: 81% recommend Apple iPod – November 30, 2006
NPD: Microsoft Zune hits 9% in US market share in first week, takes #2 spot from SanDisk [UPDATED] – November 29, 2006
Microsoft says Zune sales in line with their expectations – November 29, 2006
Newsflash: analyst says Apple iPod beating Microsoft Zune – November 28, 2006
Thurrott reviews Microsoft Zune: ‘a joke, a travesty, I can’t imagine what they were thinking’ – November 28, 2006
Apple iPod clearly immune to Zune – November 27, 2006
Zune reinforces Microsoft’s dorky image, pushes people toward Apple iPods, Macs – November 27, 2006
Ihnatko: Microsoft Zune experience about as pleasant as having an airbag deploy in your face – November 24, 2006
TheStreet.com: It’s not looking good for Microsoft’s Zune; bad press may taint brand for years – November 24, 2006
Amazon’s bestselling MP3 players list chronicles Microsoft Zune dud – November 20, 2006
Bill Gates: Apple iPod ‘phenomenal, unbelievable, fantastic’ – November 16, 2006
Cramer’s Mad Money: Microsoft’s Zune is pathetic; Vista may cause people to turn to Apple Mac – November 15, 2006
Microsoft’s Zune selling like snotcakes – November 15, 2006
Microsoft’s Zune incompatible with Windows Vista – November 14, 2006
Dvorak: ‘If anything is doomed to failure, it’s Microsoft’s Zune’ – November 14, 2006
Ballmer: Zune’s Wi-Fi will help Microsoft challenge Apple’s iPod+iTunes – November 14, 2006
CNN ridicules Microsoft’s Zune while gushing over Apple’s new iPod shuffle – November 14, 2006
Engadget: Microsoft’s Zune software: ‘It sucks’ – November 13, 2006
Early Microsoft Zune customer greeted with Zune ‘Installation Error’ – November 13, 2006
Zuned: What’s the ‘deal’ with Microsoft Points? – November 12, 2006
Seattle Post-Intelligencer: Apple has no need to worry about Microsoft’s cumbersome, chunkier Zune – November 11, 2006
BusinessWeek: ‘By this time next year, Microsoft’s Zune will be considered a dismal failure’ – November 10, 2006
USA Today’s Baig: Microsoft Zune is no Apple iPod – November 09, 2006
Forbes: Microsoft’s Zune stinks; like ‘Microsoft Bob,’ only more embarrassing – November 09, 2006
NY Times’ Pogue: Zune should come in green to match Microsoft’s iPod envy – November 09, 2006
Mossberg: MS Zune has ‘too many compromises, missing features’ vs. ‘thin, sleek, elegant’ Apple iPod – November 09, 2006
Microsoft to pay Universal for every Zune sold – November 09, 2006
Analysts: Microsoft Zune may end up being a flop – November 08, 2006
Are 58% of iPod owners really thinking of a Zune switch? – November 08, 2006
Survey: 58% of iPod owners planning another MP3 player purchase will consider Microsoft’s Zune – November 01, 2006
Zune is from Microsoft, but Microsoft doesn’t want anybody to know about it – November 07, 2006
Microsoft Zune to be US-only, no firm plans to launch anywhere else globally – November 03, 2006
Five Microsoft Zune TV commercials – November 02, 2006
JupiterResearch: Apple’s iPod will dominate for foreseeable future; Microsoft’s Zune insignificant – October 25, 2006
Ellen DeGeneres Show gives away Microsoft Zunes, studio audience goes berserk – October 23, 2006
More Microsoft Zune myths explored – October 20, 2006
Five more Microsoft Zune myths – October 18, 2006
Microsoft Zune intensifies chaos in Apple iPod+iTunes also-ran market – October 16, 2006
Newsweek Q&A: Apple CEO Steve Jobs discusses iPod’s impact, Microsoft’s Zune, and more – October 15, 2006
Microsoft’s Ballmer: Zune device not money loser, wishes Apple’s 30GB iPod was $299 instead of $249 – October 11, 2006
Microsoft’s consumer electronics track record: long string of failures – October 11, 2006
MP3.com founder: ‘Zune will be an expensive failure for Microsoft because consumers aren’t stupid’ – October 06, 2006
Microsoft fails to secure key Zune domains – October 04, 2006
Microsoft rigs Zune with tricky pricing and proprietary money schemes – October 03, 2006
Why Microsoft’s Zune won’t kill Apple’s iPod – October 03, 2006
10 Apple iPod vs. Microsoft Zune myths – October 02, 2006
Analyst: Zune could lead to ‘civil war’ between Microsoft and Windows Media partners – September 29, 2006
Thurrott on Microsoft’s Zune: ‘The makings of a disaster, what the heck are these people thinking?’ – September 29, 2006
Analyst: Microsoft Zune’s as good as dead on arrival – September 28, 2006
Microsoft sets 30GB Zune price at $249.99 – September 28, 2006
How Microsoft’s Zune can kill Apple’s iPod – September 21, 2006
Microsoft’s Zune insanity – September 21, 2006
The Microsoft Zune 1.0 dud – September 20, 2006
Microsoft’s underwhelming Zune a ‘viral DRM’ device – September 18, 2006
SanDisk teams with RealNetworks against new common foe: Microsoft Zune – September 18, 2006
Creative does Apple’s dirty work by immediately attacking Microsoft’s Zune – September 17, 2006
Motley Fool’s Jayson: Microsoft’s ‘just plain ugly’ Zune a meager offering, not an iPod killer – September 15, 2006
What’s in a name? ‘Zune’ a French-Canadian euphemism for penis or vagina – September 15, 2006
Crave at CNET: ‘Microsoft Zune, all the excitement that brown can bring’ – September 15, 2006
Microsoft’s Zune underwhelms – September 15, 2006
Enderle: Microsoft Zune ‘a design mistake’ – September 15, 2006
Microsoft hypocrisy exposed with Zune: What ever happened to ‘choice?’ – September 14, 2006
Analyst: Microsoft Zune with fake scroll wheel ‘hardly an Apple iPod killer’ – September 14, 2006
Analyst: Microsoft Zune won’t spoil Apple’s biggest iPod Christmas ever – September 14, 2006
Microsoft unveils Zune 30GB player, Zune Marketplace; declines to disclose prices – September 14, 2006
Analyst: Microsoft’s Zune an ‘underwhelming’ repackaged Toshiba Gigabeat; no threat to Apple iPod – August 30, 2006
Microsoft confirms brick-like Zune to be made by Toshiba – August 25, 2006
Microsoft Zune is chunky brick made by Toshiba – August 25, 2006
Microsoft to sell single Zune model this fall, rumors of Wi-Fi capability were greatly exaggerated – August 10, 2006
Microsoft to spend hundreds of millions, several years on Zune trying to catch Apple iPod+iTunes – July 27, 2006
Zune: Apple cannot lose. Microsoft cannot win. – July 26, 2006
Opinion: More blood on Apple iPod’s Click Wheel: Microsoft pulls plug on Zune – July 25, 2006
arent the people behind zune the very same people that are behind the xbox? it seems he gets nothing right.
What’s the big deal with music sharing on a DAP anyway? Apple’s allowed library sharing for years in iTunes. Bonjour allows me to share my music library with my wife’s laptop (or anyone with this feature enabled in iTunes with a WiFi connection) with little to no effort.
Enderle should go take a Zune, maybe he’s constipated. Sure seems to run at the mouth a lot and never produces anything but crap.
Microsoft “gets’ software?
They certainly MAKE software. I don’t see much evidence that they get it.
He thinks Apple didn’t get software back then……. System 1 vs DOS. MacWrite. MacPaint…
Dumbass.
MW Art. As in none at MS.
WTF does he mean that Microsoft “gets” software? I’ve used their products – they don’t get anything!!!
…proudly introduces for your amusement, Zune Tang. [Applause mingled with boo-ing]
Before the zune launched whenever people had mentioned the idea of a wireless iPod (or other player) they all talked about streaming stuff from your iTunes library or a central store of sort, so you could have new music without having to plug in or could share others libraries. I don’t think I had ever read anything about people wanting to squirt tracks to each other using a severely crippled mechanism.
Since no-one else previously offered this function either, how was Apple not doing it as well a competitive disadvantage? You’re only at a disadvantage feature wise if someone else has something you don’t that people want. If no-one offers it you’re not disadvantaged, although admittedly you don’t have an advantage either.
Zune is nothing more than another failed attempt to gain on the iPod and it has failed miserably with it’s worthless wireless and standard FM radio features which no one gives a hoot about.
Renting music has proven over and over again to be a worthless endeavor and a failure. People want to own there music and be able to play it anytime they feel like it without having to ask permission from some website.
iPod and iTunes is still the best in the world.
Enderle’s comments are so stupid, ignorant, and completely asanine that it’s not even worthy of rebuke!
C’mon, Enderele, make a cogent argument! My left nut can write a better article than that!
I’m so so so tired of the “it doesn’t have a radio” line for one of the iPod’s disadvantages. If you want a radio, by a $20 radio…
I have an iPod so I don’t have to listen to the radio. I have a full 4th Gen 40Gig iPod and I don’t miss the radio… at all!
Boy, is this guy delusional. Stuck in the mid nineties, too. To think that Microsoft was or is a company that produced the best software with the “Microsoft gets software” line is utterly assanine. Do people really go to this guy for tech advice?
Just yesterday I finally got to see some Zunes in our local Wal-Mart. I’m not being biased just because I’m an Apple user, but I can’t see how anyone would go for a Zune rather than an iPod at this point. The Zune is so bulky it looks like a several year old iRiver or Archos HD player. Also, the iPod’s glossy finish is infinitely more attractive than that “grippable” matte. Yuk.
“nor did it support flat rate pricing, and it lacked support from both the Music industry and retailers both of which wanted someone else to work with.”
I guess I don’t know the meaning of flat rate pricing. Does that mean subscriptions?
lack of support, music industry: ie, they won’t give in the the music industry’s platform killing demands
lack of support, retailers: like, they won’t give them money to put the stuff front and center?
“exclusivity”: while there is a certain “if everyone has one, it can’t be cool” factor, I do not think iPod being “cool” had anything to do with being “exclusive”. I also do not think the coolness was anything more than a small part of it. Once people used one, the actual ease of use and overall experience was the driving force.
You said “poppycock”
Enderlie thought Zune and it’s ecosystem was a piece of shit two days ago. Now he’s hyping it as the exclusive alternative.
That Microsoft cheque must have finally arrived.
Don’t you just hate late payments?
Anyone catch the new “Superman Returns” game? It’s like the Zune is the Bizarro iPod — a crude, imperfect duplicate of the real thing that is kind of pathetic.
nothing to see here
Enderle makes it all up
can we move along?
oh yeah, and Zune Tang can bite me.
jackspratt, consider yourself bitten.
Enderle gets it.
“Apple didn’t understand the power of software in the 80s” might be hard for you Mac fanboys to hear but it’s so true. I’ll put Windows version 1 up against System 5 or even 6 any day of the week. That was one of Microsoft’s early winners with the desktop metaphor, icons, scalable fonts and simple networking for Apple to copy. I’d put Windows version 3.x up against OS X Tiger even. Apple + software? Puhleeeeeze.
That statement is even further reinforced with that awful, confused conglomeration called iTunes. Ask anyone who’s tried to use it. What is it—version 7 now? They still can’t get it right. Zune Marketplace version 1 kicks ass right out of the gate. Microsoft knows software and they blow everyone else away in the design department. Another area where Microsoft can’t be touched are points. You don’t even need money for the content at Zune Marketplace. You only need points. Start looking under the cushions on your furniture for to points to use at Zune Marketplace. You won’t be disappointed.
I told you the lack of FM was the Achilles heel of the iPod. I would say that for that reason alone we’re going to see a flip-flop in market share between the iPod and Zune in less than a year. Sure other manufacturers put FM in their MP3 players, but it took Microsoft to get it right. Nicely done, Redmond, and kudos to you Enderle. Keep it up.
Welcome to the Social.
Jerkstore gets it too. You did say “poppycock”.
zune tang,
let’s have raw hardcore sex with zunes and squirt all over each others hard throbbing cocks and then ill shit on your chest, or simply place a brown zune there and then i’ll give you a cleveland steamer (http://www.urbandictionary.com/define.php?term=cleveland+steamer). Once that’s done i’ll pull an abe lincoln all over your face (http://www.urbandictionary.com/define.php?term=abe+lincoln) harvesting the pubis from my excessively hairy scrotum. I’m currently erect just thinking about it, you know how to get ahold of me.
Microsoft “gets’ software?
Oh, I guess they just don’t “get” Operating Systems (ports still open).
This guy’s livelyhood is going away. He must be nervous.
That’s what happens if you play on the “dark side”.
How’d you like to have to look at yourself in the mirror every morning, knowing you have to try to keep perpetuating this crap?
(He can’t ACTUALLY believe it, can he?)
livelihood
Again, has anyone actually SEEN an iturd in use, on the street?
If so, asked the user about it?
MDN; “Zune is a failure….blah, blah, blah”.
It´s only been out a week MDN, how can you tell it is a failure?
Do you own a Zune?
And what defines a failure? From the reports I read Zune has around a 9% of the market and is Nr. 2 in the MP3 player market behind Apple.
So when is a 9% market share a failure? If so, then Apple´s computer market share fits that definition.
You underestimate the plodding dinosaur Microsoft. Just like you called the Xbox a failure…you were wrong there, too.
I hope the Zune does well to put pressure on Apple to do more and bring out better product.
Competition is good for us consumers!!!!!!!!!!