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Microsoft Confirms iPod Rival’s Existence

Microsoft has officially confirmed that it is readying Apple's iPod competitor that is to be launched in the later part of this year. Microsoft said the final name of the product would be the same as it codename ‘Zune’.

Officials who confirmed the existence of the media player said in an exclusive interview to Billboard magazine that the company will release a line of players with companion music software service that is completely covered by Microsoft.

The device is rumored to feature Wi-Fi connectivity, video playback, Xbox integration and some sort of community feature for letting music lovers interact with each other.

Apple currently controls nearly 75 percent of the market. Analysts opined that the entry of Zune will capture the market share of the small players but would not be able to alter the market share of Apple’s ipod as much.

"The real losers in the short term are likely to be the likes of Creative, iRiver and other former partners that have failed to deliver to market share from Apple and will now find themselves not only competing with Apple but with their former partners from Redmond," said Gartenberg, JupiterResearch, vice president and research director.


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