Is the Microsoft Zune Toast?

It is very tough to disagree with this honest assessment of the competitive landscape between the new Apple iPhone and the Microsoft Zune. In the real world the Zune is now probably toast. Why? Well the new Apple iPhone does everything the Zune does and better. It doesn’t do the file sharing yet but it has the potential to duplicate Microsoft’s efforts. If it does — Apple will probably get the details right and Jobs and company will get enough players on the market to make this a truly handy feature. Microsoft better have an absolutely awesome response to this phone if they want to continue gaining share in the mobile market.
 
What I just don’t understand however is how many phone providers with billions of aggregate R&D funding aren’t able to make a phone like Apple? Why does Apple have the best looking computers, laptops, speakers, music players and everything else?
 
Steve Jobs seems to be the differentiator but is it really so difficult to come up with a better phone like Apple did? On the face of it, it seems pretty easy. Why though can no one come close to these guys when the rubber meets the road.
 
It is of course too early to declare victory for Apple in the mobile phone market but I am already contemplating switching from Verizon to Cingular and getting an iPhone. I can tell you if I am, then Apple will have no trouble selling 5-10 million of these in year one.
 
And you know what? They will have earned the market share they gain.

  • frank
    January 11, 2007 at 9:26 am

    the iphone (or whatever it’s called) looks like a very nice piece of hardware. that said, i can’t wait to see a user try to respond to an email / txt message by typing with their fingers… i’ve tried soft keyboards using a stylus in the past and that was a nightmare. When it comes to a device which will be your mobile phone, it’s got to have a tactile keyboard. i think it’s really cool technology again – screen looks nice and bright, the ability to flipthrough lists with your finger is kind of neat, but i’ll wait to see this piece of technology when it’s released before writing of the competition.
    If you’re thinking that building the perfect voice/data device shouldn’t be this easy, it’s becuase it isn’t….

  • Justin
    January 11, 2007 at 12:00 pm

    The Zune is an mp3 player. The iPhone (name pending!) is a phone. Comparing the functionality of the two is a silly idea.
    You should really compare PDA phones to the iPhone. For instance, I own a Cingular 8125. It does everything the iPhone does. In fact, I’ve learned more about my phone these past couple days just proving that it can. Guess what it runs on? Windows Mobile, aka Windows CE. Microsoft already has a strong foothold here as a carryover from the phone/PDA merge.
    This is where the real competition will be. Right now the biggest problem I see for other phone manufacturers is carrier branding. The Cingular 8125 is the TMobile MDA is the i-mate KJam, and so on. HTC is the actual manufacturer. The real question is, how do you advertize a product when you have no brand presence? The carriers won’t advertize it for you… A phone sale is a phone sale.

  • huh
    January 12, 2007 at 9:01 am

    Nice commentary on the Apple vs. Orange. Its journalistic cowardice and misleading to the masses who do not understand cell phone markets and mp3 player markets. These devices target two different types of consumers. And it is extemely weak to provide bias to a product that is not even on the market yet.
    With the introduction of any new device, the market will shift and provide competition if the market is profitable. Until such another device presents itself as a true competitor, and you can present a true analysis, leave your fanboi diatribe on the Apple forums.

  • Rich Tehrani
    January 12, 2007 at 11:27 am

    Thanks for the comments. It is my contention that within a few years, 80% of MP3 players will have phones built in or the other way around. Anyone who listens to music on their phones understands why it is convenient and the only way to listen to music. The ability to e-mail, SMS and talk on my MP3 player is invaluable.
    So the distinction between MP3 player and phone is soon going to be gone.
    The introduction of the Apple iPhone has launched such a frenzy among the media and general population that all other phone manufacturers and MP3 players are in serious danger from the hype alone.
    Go to the Apple site and see the well designed demos of what the phone can do and you will see for yourself.
    I am not by any means an Apple junkie by the way and in my past writings I have been more negative than positive towards Steve Jobs and company. Since the iPod was launched though the world better pay serious attention to Apple. This iPhone of theirs will gain massive market share very quickly. It will consistently outperform.
    The Zune is garnering virtually zero media attention. The device has been outdone by the iPhone that is an 8 gigabyte MP3 player and a smartphone and video player in one.
    Making an arbitrary distinction between the Zune and iPhone would be a mistake for you or for Microsoft to make.

  • Realtime Community | Unified Communications
    January 12, 2007 at 9:56 pm

    Microsoft and VoIP

    Here’s one of the many articles I picked up in RSS feeds catching up from my trip this week. More thoughts below. Is Microsoft set to take over the VoIP space? Takeaway: Past experience shows that once Microsoft sets its sights on a technology, it ofte…

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