July 6, 2006 Looking to Take On Apple's iPod, Microsoft Plans Its Own Hand-Held Player By JEFF LEEDS NY Times
http://www.nytimes.com/2006/07/06/technology/06ipod.html?pagewanted=print Microsoft has been developing its own hand-held music and video player to challenge Apple Computer's iPod and expects to have it in stores in time for the holiday season, entertainment industry executives briefed on the company's plans said last night. Microsoft's digital device would be equipped with at least one feature the iPod lacks: wireless Internet capability that would allow users to download music without being connected to a PC. Microsoft's device, which is similar to an existing player that uses the company's software, would also have a more advanced video screen, according to the executives, who did not want to be identified because they were not authorized to discuss the device. The company has also held negotiations, the executives said, with major record companies and some major television networks in order to settle on terms that would allow it to sell music and video content online through a service similar to Apple's iTunes Music Store. The portable player would represent Microsoft's most ambitious effort yet to compete with the iPod, which has generated billions of dollars in sales and turned Apple into the dominant retailer of digital players and music. Until now, Microsoft has largely bet that hardware manufacturers like Samsung could come up with a device that would use Microsoft's software and cut into Apple's lead. But the company's plans to develop its own device are an indication that it may no longer be satisfied with that strategy. "If this is true, then this is them trying to take more control over the situation," said Mike McGuire, vice president for research on mobile devices at Gartner, which tracks the electronics market. "In effect, they're basically saying, 'We think we can do something better' " than the existing hardware makers. The shift is likely to anger Samsung, Sony, Creative Technology and other manufacturers that were persuaded to use Microsoft's software in their devices, because a Microsoft player would compete with theirs. The Xbox video game console, Microsoft's strongest move into consumer electronics, uses software that does not run on any other player. A Microsoft spokesman, Mark Murray, would not comment on the company's plans. A senior executive at a major TV network said Microsoft had not yet received commitments from the networks to supply programming to its online store. But the executive said that the networks would welcome competition for Apple in downloads. Music industry executives in particular have complained about Apple's control over the digital music market and its power to determine pricing of songs and albums. ================================ George Antunes, Political Science Dept University of Houston; Houston, TX 77204 Voice: 713-743-3923 Fax: 713-743-3927 antunes at uh dot edu Reply with a "Thank you" if you liked this post. _____________________________ MEDIANEWS mailing list medianews@twiar.org To unsubscribe send an email to: [EMAIL PROTECTED]
