According to Bloomberg, Microsoft has finally given in to the iPod and will can all new versions of its Zune music and video player to focus on Zune software instead.
Launched in 2006 in the US, Zune was Microsoft’s attempt to try and eat into Apple’s share of the digital music market.
At launch Microsoft chief Steve Ballmer said that Microsoft could one day overtake Apple. "We can beat them, but it’s not going to be easy,” he said.
All future Zune hardware will now be canned due to "tepid demand” said a Bloomberg source familiar with the decision.
Instead Microsoft will concentrate on putting Zune software onto other devices such as mobile phones, Xbox, and its Windows operating system.
Like iTunes the Zune software lets users buy songs and movies, as well as pay a monthly fee to stream unlimited music.
Microsoft declined to comment specifically on plans for the Zune when quizzed by Bloomberg. "We have nothing to announce about another Zune device -- but most recently have introduced Zune HD to Canada via the Zune Originals store and remain committed to supporting our devices in North America.
"We are thrilled by the consumer excitement for Zune across many new platforms, including Windows Phone 7 and Xbox 360. Our long-term strategy focuses on the strength of the entire Zune ecosystem across Microsoft platforms.”
How familiar are you with Zune, seeing as though the Zune player was never actually released in New Zealand?