Microsoft May Change Zune In Hope Of More Share (MSFT)(AAPL)

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By Douglas A. McIntyre Published
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Industry analysts are speculating that Microsoft’s Zune player will get some tweaks after the first of the year. It has currently captured 9% of the MP3 market, but Apple’s iPod has 63%.

Microsoft may use the Consumer Electronics Show in January to roll out new features that would be widely available in the Spring.

While it is not unusual for comanies to upgrade features after a launch based on consumer feedback, Microsoft knows that iPod sales indicate that it must have features that buyer prefer. Microsoft’s marketing muscle cannot overcome an undesirable product.

Expect a new version of Zune in the first few months of 2007, and expect Microsoft’s battle with Apple to turn ugly for the world’s largest software company if it does not see a significant share increase by the middle of the year.

Douglas A. McIntyre can be reached at [email protected]. He does not own securities in companies that he writes about.

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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