Microsoft May Stop Producing New Zune Models

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Microsoft May Stop Producing New Zune Models

Due to lack of demand, Microsoft Corp. has announced that they will no longer create new versions of the Zune media player, “according to a person familiar with the decision,” writes 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,” the company said in an e-mailed statement. “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.”

Microsoft will concentrate on putting Zune software onto mobile phones, such as those running its Windows operating system, said the person, who declined to be identified because the decision hasn’t been announced.

The portable media player was first introduced in 2006 and struggled to overtake the popular Apple Inc.’s iPod. In 2009, Microsoft divided Zune into software and hardware teams, allowing the software group to concentrate on developing products for other platforms.

Zune software allows consumers to purchase movies, songs or pay a monthly fee to access an unlimited music stream. The most recent hardware model, the Zune HD, was released in 2009. Microsoft will continue to sell all existing versions of the Zune.

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