gadgetPhreak Gadget News Blog. Futuristic Gadgets and Portable Electronics

July 21, 2006

Microsoft confirms Zune project

Filed under: confirmation,microsoft,zune — Ryan Block @ 3:20 pm

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Well, it’s not much, but we’ve got a quote and an official confirmation of the Zune project at Microsoft. The Zune brand is being billed as a “music and entertainment” project aimed at “connecting with others to discover new music and entertainment and will deliver a family of hardware and software products.” Here’s what they sent over, by way of Microsoft’s GM of marketing, Chris Stephenson:

“Today we confirmed a new music and entertainment project called Zune. Under the Zune brand, we will deliver a family of hardware and software products, the first of which will be available this year. We see a great opportunity to bring together technology and community to allow consumers to explore and discover music together.”

We’ve got a lot of questions waiting to be answered (as we’re sure you do too), and we’ll post updates here as we find out more information from our peeps at Microsoft. In the mean time, keep yourself occupied with their official announcement in Billboard Magazine, as well as two new Zune blogs sprouted by people working on the project.

Update: Billboard confirms that “additional Zune-branded devices will follow, including a portable video player and, potentially, a portable game device,” as well as an initial device offering WiFi and drive-based storage. The WiFi won’t just be for moving around music files, as in the MusicGremlin, however. Apparently other “seven or eight” wireless usage scenarios are envisioned, as suspected, and aims at providing “ubiquitous access to digital media from a wide range of Windows-powered devices in what ultimately aspires to be one part MySpace, one part iTunes and one part Xbox Live.” Yikes. Zune will definitely be a general media player, though at launch music will be the “primary content,” later also including video and “other types of media.” More to come…

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Microsoft portable to be a totally “Integrated Experience”

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From the looks of it our own Stephen Speicher was on to something in his latest edition of The Clicker. We've received word from a trusted insider (no, not Mr. Speicher) that the shape everyone's been expecting the Zune to take may not be the approach most people (including us) assumed. Here's what we learned:
  • The Zune name isn't being kicked around with Microsoft; so as far as we know that's still a project codename, but probably will not be the device's final title. This is no surprise.
  • Microsoft's forthcoming portable will not use Microsoft's established media platforms. This includes Windows Media, Windows Media Player, URGE, PlaysForSure DRM, and probably also Portable Media Center. Instead it will use its own software, music store, and DRM that will be incompatible with all the major stores, systems, and device out there right now. Yes, this will piss off the industry (and some of the Microsoft faithful) to no end.
  • Due to this approach, the system is being referred to as the "Integrated Experience." This, we can assume, is not going to be positioned as the final name for the device, but the implications of the description and MO are clear.
  • It will be wireless and not flash-based, so large storage capacities are to be expected; wireless music trading is an important part of the device's feature set and marking presence. This we all already knew.
  • All this information does not conflict with information we've received from our other trusted sources.
We know, we know, this raises more questions than it answers. When Microsoft has already invested millions in establishing their software and DRM platforms, hooking up with huge names like Napster, Yahoo, Real, and MTV, and encouraging hardware partners to get Microsoft-centric devices on the market, now they're going to throw all that away and compete with everyone else (and themselves)? Well, the answer is very simple. In order to fight fire with fire against Apple, it's obvious a music service + device ecosystem like what Microsoft offers now can't compare to the user experience of an incredibly tight vertical integration. Microsoft can't take on the iPod without taking on its own platforms and partners -- they have to fight fire with fire.

If J. Allard and his crew at Microsoft really are behind this project, these details make perfect sense. The corporate culture of the company is such that Allard's team is expected to work outside the confines of Microsoft's typical boundaries, which might otherwise hinder the company getting a foothold in previously unentered markets. Does anyone actually think the Xbox 360 is anything like the normal Microsoft product and marketing experience? No. But it's definitely shaping up so Microsoft's media player is going to be more media player than Microsoft.
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Microsoft’s Argo, Pyxis, Zune and Alexandria — confused yet?

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It’s raining Zune rumors again, or more properly, “Project Argo” rumors, and far be it from us to keep these to ourselves. The latest word comes from BetaNews and their “sources close to the situation,” and things just keep looking better coming from the Redmond camp. They’re claiming that Microsoft will start showing off the device to the public in the last week of August, followed by more presentations mid-September, and an October release. The August announcement would come a few weeks after Apple is rumored to release new iPod nanos at WWDC, but would come a fair bit before the flagship iPod refresh is expected, giving Microsoft a great shot at the “you have to buy a new iPod at least once a year” crowd pining for a fix. BetaNews also has some more code names from Project Argo for us to kick around: Pyxis and Alexandria. The former is a rumored iPod nano competitor, with similar size and functions, but the addition of video support. The latter we’ve heard of before, back when Origami rumors were in their prime, and appears to be the music/video service that will complete Microsoft’s utopian ideal of end-to-end content and device provider — and which is sure to piss off a few PlaysForSure music services in the process.

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July 20, 2006

The Clicker: Zune, it’s all about the ecosystem

Filed under: TheClicker,XBox,the clicker,zune — Stephen Speicher @ 11:35 pm

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Stephen Speicher contributes The Clicker, an opinion column on entertainment and technology:

Upon learning of Microsoft’s rumored iPod competitor, the Zune, iPod fanatics could be heard around the globe: “It’s just an iPod rip-off.” “Can’t the boys in Redmond do anything without copying the mighty Jobs?”, loyal Appleists screamed at the top of their lungs. “It’s got a scroll-wheel. It’s got a screen. It will probably play music too! Will the copying ever stop?”

While all of the above may be true, repeat after me: It’s not about the player. Don’t get me wrong — the iPod is a nifty little machine. In classic Apple style, the iPod is sleek and stylish; its clean lines and rolled edges ooze class and quality. Heck, the iPod is nearly lickable. However, while going to market with such a device certainly doesn’t hurt your chances, it’s not the root of the iPod’s success. The secret to Apple’s success in the online music market has always been the ease of a) buying music and b) getting music onto the device. It’s really that simple. In short, it’s all about the ecosystem.

For years the debate has raged on. Microsoft has stood firm; they have boldly and publicly declared, “We give the user choices. We’re not about an end-to-end solution. Our PlaysForSure program allows a user to pick the device that best suits his or her needs. Blah Blah Blah.” Apple, on the other hand, has chosen a different route. Much like Henry Ford’s oft-quoted response to choice in the Model-T, Apple has said, “You can use any device you want as long as it’s the iPod.” There is no doubt who the winner was in round one. The overwhelming success of the iPod speaks volumes.

Does that mean that Microsoft was wrong? Perhaps not. Perhaps they were just being a tad disingenuous in regard to their true plans. It’s quite possible that we’re just now seeing Microsoft’s first real play in the digital audio player market. Perhaps, just perhaps, Microsoft has been stalling. And while claiming that Microsoft has just been stalling (as opposed to, say, clueless) might give them credit for an inordinate amount of self-awareness, we must closely examine this particular situation. Here are a couple things to consider.

Much to the chagrin of die-hard Apple fans, Microsoft actually does produce decent hardware. Their mice, keyboards, and routers (when they were still being produced), are all considered to be top of the line. Some might even argue that Microsoft is too good at industrial design. After all, we’ve all experienced the extreme emotional letdown after discovering Microsoft’s OEM partners will be producing watered-down versions of the Microsoft prototypes. The lack of a Microsoft produced media device has very little to do with Microsoft’s actual ability to produce one.

More likely, Microsoft has chosen not to produce their own DAP because they have lacked the software infrastructure needed to come close to iTunes’ ease of use. That’s right, ironically, the software giant’s Achilles heel hasn’t been the hardware. Try as they might, they just couldn’t produce the seamless software to compete with Apple. Windows Media Player has historically been a confusing mess, and while Windows Media Player 11 looks to be making some improvements, it would still fail the “could your mother do it” test. The iPod, of course, does not.

Well, all that could be about to change. With Zune, the race begins in earnest. Freed from the burden of the Windows Media Player legacy, the Xbox team could get a chance to show that they too can do “easy as Apple pie.”

We all knew that this time would come. Predictions that the Xbox was a “way to get into the living room” are as old as the Xbox itself. There was never any doubt that Microsoft would do something in the arena. You don’t sink billions of dollars into a product without a greater plan — and now, finally, we might just be about to see some of the goods.

If recent rumors are to be believed, the upcoming device will not be part of the standard PlaysForSure program. The implications of this rumor are quite interesting. While it’s possible that this could simply mean a deeper focus on URGE, it’s far more Allard-like to consider an end-to-end solution delivered via the 360. And why not? Xbox has already integrated your personal music into the games. Buying that music through them is the next logical step, especially if it’s their DAP you’re using. Furthermore, this level of integration would be a perfect fit for both their emerging social network and also their emerging economy of points. That’s right — by charging people “points” for songs, Xbox might just be able to break from the standard 99-cent price point.

Besides the much-discussed WiFi integration and its resulting music-sharing feature possibilities, creating an Xbox end-to-end solution could offer other interesting song-sale opportunities. For instance, imagine being able to listen to the soundtracks of any of your Live competitors. Like a song you here mid-game? Bookmark it. Buy it later. It’s a natural fit.

Yes, Apple’s platform has trounced Microsoft’s in the media device market wars. However, Apple would be foolish to believe that they’re going up against Microsoft this time. This time they could be going up against Xbox, and if it really is the ecosystem that’s helping to drive iPod sales, Apple could just have a fight on its hands this time.


If you have comments or suggestions for future columns feel free to drop me a line at theclicker@theevilempire.com.

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July 19, 2006

Switched On: The music, the money and Microsoft

Filed under: Apple,Funding,Ross,RossRubin,Rubin,SwitchedOn,iPod,microsoft,mp3,switched on,zune — Ross Rubin @ 5:59 pm

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Each week Ross Rubin contributes Switched On, a column about the future of technology, multimedia, and digital entertainment:

With all the recent coverage surrounding Microsoft’s rumored portable music player Zune, some may conclude that Engadget’s editors have highly active and detailed imaginations and exceptional Photoshop skills that they employ without hesitation in the traditionally slow summer tech news months. Others, however, may be convinced that Microsoft is following through on Steve Jobs’ prediction that the company will enter the market with its own branded player. The pictures of the Zune hardware show an attractive but not groundbreaking design, one that looks similar to a Gigabeat with a small wheel replacing its crosshairs, or a Sansa e200 with its wheel shrunk and a few extra buttons.

Much of the discussion around Zune has focused on the strategy shift it would mean for the software giant and the competition that it would bring to Microsoft’s current hardware partners. But the company’s continuous user interface refinement of Windows Mobile and expecially its deep pockets can let it fight the iPod in ways that its current partners simply can’t. Microsoft could best leverage its war chest via player subsidization, accessories and advertising.

Regarding player subsidization, if the Xbox consoles have been any precedent, it’s doubtful that Microsoft would lowball its player’s pricing too much. The company would likely rather bring out a full-featured device that wins the hearts of early adopters. However, it could subsidize expensive advanced features that may be a bit ahead of the market. The rumored inclusion of WiFi would enable Microsoft to play upon one of the benefits of subscription services – legal peer-to-peer music sharing among devices of licensed content — and allow a tighter level of integration with the Xbox 360. This could also drive a viral marketing effect. Indeed, Microsoft, more than any of its hardware partners, can justify subsidization because it could be considered investment in the future of the Windows Media licensing ecosystem – an interest in which its current partners are only tangentially vested — or the broader digital lifestyle campaign if Micrsoft eschews Playsforsure as rumored.

One intriguing rumor is that Microsoft would offer iTunes Music Store’s customers the option to repurchase all the songs they’ve bought as protected Windows Media files. This would certainly be a bold move that would remove one of Apple customers’ barriers to entry, but it smacks of the kind of win-at-all-costs freebiemania of the dotcom era. Surely, there are already customers who have spent hundreds of dollars or more at the iTumes Music Store. Completely reimbursing those customers would essentially amount to giving the player away. Imagine if Microsoft had offered a free Xbox game for every PlayStation 2 game purchased when it entered the video game console market.

On the accessories front, Microsoft has been driving efforts by the Consumer Electronics Association to define a standard docking interface, enabling command and control, charging and playback like the iPod’s. According to the company, USB currently simply lacks the technical strength to serve as a user interface for transferring music. While rumors have circulated that Microsoft has approached iPod peripheral makers, rest assured that Zune would ship with more than a slip pouch available for it in terms of accessories. Regardless of whether the likes of Griffin, DLO, Belkin and others sign on, Microsoft can afford to seed the market with its own branded products in advance of market acceptance and charge little or nothing to license the interface, aiming at another Apple revenue stream.

As for advertising, one can debate the effectiveness of Super Bowl advertising. These days, it seems there is more media coverage around a company deciding to make the big purchase at the big game than the ads themselves. Regardless, while we’ve seen companies like SanDisk, Creative and Samsung purchase outdoor ads for its players, though, Microsoft would bring its bankroll to broadcasting early and often. The company’s challenge will be to create a new music identity for its player the same way it forged an Xbox brand that in many ways stands apart from Microsoft.

In a recent conversation with an executive at a company that sells portable music players, I asked what he thought about the possibility of Microsoft entering his space. He put on a brave face, touting the benefits of market expansion and a halo effect, but noted that anything could happen with the entry of the proverbial “800-pound gorilla.” When I noted that in this market, Microsoft wasn’t the 800-pound gorilla, he replied that any company with tens of billions on the bank is an 800-pound gorilla. We’ll soon see whether it can drive Apple bananas.


Ross Rubin is director of industry analysis for consumer technology at market research and analysis firm The NPD Group and a contributing editor for LAPTOP. Views expressed in Switched On are his own. Feedback is welcome at fliptheswitch@gmail.com.

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July 17, 2006

But wait, there’s more… Zune deets

Filed under: LiveAnywhere,XBox,argo,iPod,live anywhere,microsoft,rumor,zune — Paul Miller @ 1:45 pm

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For a product that Microsoft hasn't even officially confirmed, there sure is a whole lot of Zune info to be getting on with. The latest leaks are from Digital Music News, who has been reviewing some of the presentation material that Microsoft shared with top-level execs of partner companies. The biggest detail that they've unveiled is that the Zune will indeed be basing its social networking capabilities on Microsoft's Live Anywhere platform. Not an incredibly huge surprise, given the functions we've already heard described and the Xbox roots of the device, but it should give the Zune a good boost in the direction of its 18-28 year old demographic, which Microsoft claims will skew a bet younger than that of the iPod. The social aspects, including that trusty friends list from Xbox Live, is purportedly taking some cues from MySpace, which seems to go beyond the functions we spied at our E3 demo of Live Anywhere. DMN also reveals that the 30GB Zune will have the "same pricing, look and feel as the 60GB iPod," which was $399 the last time we checked. That, of course, is the same price as an Xbox 360 Platinum, which might put the hurt on the cashflow of their younger target demographic. As rumored, the Zune should come in three colors, and that round button is indeed a scroll wheel to work the menus. WiFi functionality will be able to share music with up to 10 friends in a close-range peer to peer fashion, but to share a protected track your friend will have to "bookmark" the song for purchasing later. The player will be incompatible with other PlaysForSure services, focusing, we suppose, exclusively on their URGE store. There's still no word on non-DRMed MP3 sharing, but the outlook isn't good. Microsoft is aiming for a November release in the US, to be followed by a global launch next year. We would promise you more info as the release looms nearer, but we're not sure what else we could say.
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July 16, 2006

Think Secret dishes on Zune, future iPods

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Apple rumor site Think Secret has been busy chatting it up with all those company insiders whom Misters Jobs and Gates would love to get their rich and powerful hands on, and turned those leaks into an article which dispels some of the recently-circulating iPod rumors, along with providing a few more tantalizing deets about Microsoft’s upcoming “iPod killer.” For starters, it looks like we shouldn’t be expecting the “true” video iPod until at least the annual MacWorld Expo in January — though larger capacity 5G ‘Pods may arrive in the interim — and apparently the long-rumored iPhone also won’t be coming anytime soon, as that project has reportedly been put on hold for the foreseeable future. Furthermore, when the 6G iPod is finally released, it will likely lack both the wireless capabilities and talking interface that some people have been anticipating; Apple is said to believe that the former feature would have too much of an impact on battery life, while the latter would only feed what’s seen as a marginal consumer demand. Finally, Microsoft’s so-called Zune — which is rumored to sport WiFi for communicating with MTV’s Urge service — may also come equipped with a powerful 400MHz processor suitable for gaming, as well as a built in tuner for receiving satellite radio broadcasts. Obviously all this info is just speculation from unnamed sources for now, but if the Zune does end up duping your iTunes tracks, playing high-quality games, and giving you access to Sirius or XM on the go, then Apple may be facing its first real marketplace battle in the iPod’s brief but influential existence.

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July 12, 2006

Zune to get Super Bowl XLI commercial?

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Either Microsoft has never had a Super Bowl commercial, or they’ve wasted some serious cash on mega-expensive advertising that no one — at least not at Engadget HQ, anyway — can seem to recall being aired in recent memory. Looks like that could soon change though; amidst all this hype about the Zune / Argo / Xboy / Microsoft portable media player / whatever the hell it’s called, we’ve received word that Microsoft may be taking this effort all the way to the end zone. According to Digital Music News, the Zune could be starring in a Super Bowl XLI commercial in 2007, which would, of course display the company’s commitment to the project initiative — as well as giving it the kiss of death. Remember what happened to the last prominently placed portable media player to get some Super Bowl commercial action? Yeah, barely, right?

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Microsoft approaches iPod accessory makers for Zune

Filed under: accessories,argo,iPod,microsoft,zune — Darren Murph @ 3:08 pm

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It was inevitable: we get confirmation that the Zune is for real, and now Microsoft is already tapping into the device accessories market. They don’t have to go far to find a slew of companies ready and willing to pop out goodies for their new DAP; it’s presumably as simple as calling up the folks who make accessories for that other portable music player. iLounge has it that apparently the Zune will feature a proprietary expansion port not so different in function from the iPod’s dock connector, and Microsoft is reportedly offering contracts which would allow partners to officially accessorize at a lower rate than Apple’s “Made for iPod” program. It was fairly obvious that Zune’s release would spark another Mac vs. PC embroilment, so it’s no surprise Microsoft is likely covering their bases and making sure their own accessory lineup is ready.

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July 11, 2006

Microsoft’s media player dubbed Zune

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Well, the info’s finally starting to come in about Microsoft’s wireless media player; the project, dubbed Argo, will apparently spawn at very least one device, which we saw yesterday. By way of our trusted sources we now know the device is currently dubbed Zune — though we don’t know whether that name will stick — and we’ve got ourselves a product logo (shown above). We also understand that Zune to Zune wireless song transfer – a PlaysForSure feature currently highlighted in the MusicGremlin — is said to be a prominent aspect of the device’s development, and in addition to the white shade we saw yesterday, we can expect a complement of colors to be available at or near launch. Oh, and apparently the Zune will have a brushed metal back with an engraved logo, not unlike the you-know-what. More to come, folks.

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Microsoft Argo’s Final Name: The Zune?

Filed under: Portable Media,TOP,XBox,argo,iPod,microsoft,rival,zune — Gizmodo @ 12:00 am

Our inboxes are on fire with brand new information about the new Microsoft MP3 player. We thought the player was code-named “Argo”, but we now got word that the final product name that’s been flying around is the “Zune”!

The pic on the right seems to be the final design, which makes the player very clean—a definite departure from Microsoft’s other endeavors. You all remember the video Microsoft’s own people made to illustrate their packaging shortcomings? Well, it seems like they haven’t learned much, as our tipster tells us the packaging itself is pretty ugly.

More info after the jump!

Our mole also says there’s no game menu to be seen on the device, putting those rumors of portable gaming from Xbox branding in possible jeopardy. More game options possibly coming in the 2nd iteration.

There’s also mention of a black version of the Zune, being shown on a music video for the band CSS, and the brown version on the cover for “Band of Horses”. You can display Album covers for the song you’re listening to on the screen, which is “big enough” and looks “pretty good”. Paul Oakenfold also has a tie-in deal.

From the looks of things, the Zune will definitely be ready for a Xmas release.

We’ll have more information plus possibly the logo and/or UI Shots tomorrow. Stay tuned!

Thanks Tipster!

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