Slashdot Mirror

← Back to Stories (view on slashdot.org)

Microsoft To Exit the Zune Business?

Posted by timothy on from the leaving-only-the-other-makers-of-zunes dept.

thefickler writes "According to Microsoft's quarterly filings to the Securities and Exchange Commission, the Zune platform experienced a revenue drop of 54 percent, or $100 million. This compares to relatively healthy sales of the iPod, which were up 3 percent in the same period (though revenue did drop by 16 percent). Obviously, with the recent job cuts at Microsoft's Entertainment and Devices Division, pundits are wondering how soon until the Zune also gets the chop. As one pundit wrote: 'Microsoft, by now, should be realizing that it's never going to be as "cool" as Apple, so why waste its time with the Zune where it has no competitive advantage?'"

4 of 361 comments (clear)

  1. Not even the tatoo guy by lokedhs · · Score: 4, Informative

    I presume you missed this.

  2. Re:It's not just about "cool" by JamesRose · · Score: 5, Informative

    Really? Because the only phrase in that drivel you just wrote about the zune was wrong "They shipped a Zune that was less feature-filled than the then current iteration iPod." BS! Bigger screen, FM radio, and Wifi. The thing the ipod actually did have that the zune didn't was a shiny surface on the back. That's literallly it. The zune even had better quality audio. Buy music from FM radio? Geat idea.

  3. Re:So the revenue from iPods fell 3%... by UnknowingFool · · Score: 4, Informative

    iPod sales (22.7 million) went up 3%, revenue ($3.3 billion) was down 16% compared to last year. That would suggest more people were buying this year but were buying the cheaper models compared to last year.

    Zune on the other hand drop 54% in revenue ($100 million) due to drop in sales. There's no other breakdowns. Considering the whole division was profitable by only $151 million and the Xbox made up $135 million of that, the Zune doesn't generate much profit for MS whereas the iPod is substantial money maker for Apple.

    --
    Well, there's spam egg sausage and spam, that's not got much spam in it.
  4. Re:Just because by timeOday · · Score: 4, Informative

    I don't see how the term "dumbed-down" can really even apply to an mp3 player. How advanced can you expect it to be?

    Here is a list of features I've found very useful on my iAudio G3 over the couple years I've owned it. Some seem obscure, and I never knew about them until I looked for them because I found a need. (I'm not saying the iPod lacks these features, since I just don't know).

    • Graphic equalizer
    • Balance left/right
    • Sleep auto off timer
    • Microphone and voice-in recording
    • FM tuner

    Plus I have it set to work as a USB drive, and show/navigate my tracks via the directory structure (no ID3 info required). Just how I like it. And it runs on a standard AA for about a month of my typical usage.

    So, I prefer lots of options, even if I never need some of them.