Microsoft wants Zune to be No. 2Microsoft Corp. is pressing forward in its attempt to challenge Apple's iPod -- overhauling its Zune music player, adding new features and filling out its lineup with a smaller model.
The changes include capabilities that the iPod doesn't have, such as wireless PC synchronization. But analysts say the Zune revamp, by itself, won't be enough to move Microsoft out of Apple's shadow in digital music. "It's a great player -- for 2006," said Matt Rosoff, analyst at research firm Directions on Microsoft. He said the improvements put the company "where they probably should have been last year, when they launched."
However, Robbie Bach, president of Microsoft's Entertainment and Devices Division, said he believes the changes could make the company No. 2 in the overall market for portable music players and move it toward a stronger position long term. "It sends a very clear signal in the marketplace that we're serious about it," Bach said in an interview. He said people will ultimately see that "this is going to be an Apple-Microsoft thing."
Microsoft announced the new devices and features Tuesday night. They're due for release in November. The highlights:
Two smaller Zune models, with 4 and 8 gigabytes of flash memory, will be introduced at $149.99 and $199.99, respectively. They are meant to compete against Apple's iPod Nano. They're slightly larger in length and width than the older iPod Nano that Apple recently replaced with a new model.
Microsoft is introducing a larger-capacity hard-drive-based player, with 80 gigabytes of storage, for $249.99. It's 27 percent smaller than the original Zune, introduced last November. The previous 30 GB Zune will continue to be sold, for $199.99, with its software updated to include some of the new Zune features.
Zune's wireless capabilities will expand to let people synchronize content from a PC over a home network, as an alternative to plugging in. Microsoft says it envisions people synching their Zunes from the kitchen or even from the car in the garage, if the home network reaches. But Zune isn't enabling over-the-air music downloads, as does Apple in the iPod Touch and iPhone.
The company is giving the Zunes a hybrid button below the screen. People can navigate by clicking in different directions. However, as an alternative, the button's surface is also touch sensitive -- letting users flick a finger up, down, left or right to move around the screen.
Microsoft is removing one limitation on the Zune-to-Zune wireless song-sharing feature that was introduced in the device's first generation. A recipient will be able to play a shared song three times, without a three-day time limit. The original limit was three days or three plays, whichever came first.
The company has redesigned Zune's PC music-management software and Zune Marketplace online store. New features include an online community called Zune Social that will launch in test form in November. The feature includes on-screen "Zune Cards," personalized to reflect a user's musical interests and recently played songs.
The new Zune software will let users subscribe to podcasts -- digital audio and video programs. It also will add the ability to watch, on Zune, TV shows recorded on Windows Media Center on Windows Vista.
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