United today landed an unusual collaboration with Microsoft for its in-flight entertainment system. Passenger planes will have music curated from the Zune Marketplace and should expand well past the general categories for audio that were previously in the cabin. Electronic and dance, opera, soundtracks and such subgenres as piano jazz will come through seats.
Microsoft on Thursday said it might cut the price of its Zune Pass subscription service. Senior product lead Terry Farrell wouldn't say how certain this was or how much it might drop, but recognized that the Zune's $15 monthly, unlimited downloads weren't necessarily competing well. Music is a "challenging business," he told BusinessWeek in a chat.
(Editorial) A new NPD report was released this week, and to no one's surprise, Apple has increased its market share. According to the market-research firm, 28 percent of all music is being purchased on iTunes. Apple's store easily bested Amazon's MP3 marketplace, which accounted for 12 percent of all US music sales. Walmart also captured 12 percent of the market. Out of the entire digital-music market, NPD claims, Apple controls a whopping 70 percent.
Apple passed a symbolic milestone today as its market cap passed Microsoft's for the first time. Beginning in the morning, the total value of Apple's shares was higher, reaching $225.7 billion at 3PM Wednesday afternoon where Microsoft had dropped to $223.4 billion. The two companies' share prices have headed in opposite directions since the year began, with Apple growing more than 17 percent while Microsoft's has dropped by an almost identical ratio.
Microsoft on Tuesday confirmed executive departures with not one but two exists. Xbox pioneer and Courier design lead J Allard is leaving his position as a senior VP but will stay onboard as an advisor reporting directly to CEO Steve Ballmer. Robbie Bach, the head of the Entertainment and Devices Group, is also leaving the company after 22 years.
Microsoft is planning a major overhaul of its Entertainment and Devices group at the top level, inside sources said this evening [sub. required]. The extent of the cuts aren't known, but well-known Xbox pioneer J Allard's decision to quit over the Courier's end would be one part of a "broader" move meant to stave off gains by Apple's iPhone and Google's Android platform. The Entertainment and Devices section covers not only the Xbox and Zune devices but also Windows Phone.
A combination of factors has led Apple's market cap to where it may pass Microsoft's in a matter of days or weeks. Thanks to a rush on the stock on Monday, the Mac maker now has a roughly $228 billion market cap where sell-offs have dropped Microsoft's own value has fallen to just over $232 billion. The $4 billion gap is just fraction of the $51 billion that existed between the two in March.
Microsoft's decision to kill the Courier tablet may have cost it one of its best-known employees, an investigation found this week. Chief Technical Officer J Allard, who went to the side project Alchemy Ventures after heading up the Xbox and later Zune teams, is believed to have gone on "sabbatical" but now may never come back. He was allegedly already uncertain about the company but decided to leave after Courier was axed before it was even made public.
The Kanex XD is in theory the dream device for apartment dwellers, or just those who don't want to buy a separate TV: it turns the 27-inch iMac into a full-fledged TV for anything that works with an HDMI input, such as a PlayStation 3 or even your cable set-top box. At $150, however, is the feature set good enough to have you abandoning conventional TV sets? We hope to find out in a full review.
Microsoft is engaged in a project that would bring the core of its desktop OS to smartphones and other mobile devices, an investigation revealed today. The strategy would replace the Windows CE core used in Windows Mobile, Windows Phone 7 and Zune HD with the same Windows NT foundation that has persisted even up to Windows 7. A graphics layer known as Experiment 19 would scale the experience down to handheld sizes.
A new slip from within Verizon has the company starting pre-orders for Microsoft's Kin phones this week. Both the Kin One and Kin Two should be up for sale May 6th and will ship to stores May 13th. The contact for Slash Phone hadn't obtained the pricing, though either is likely to be under $150 on contract and possibly $100 or less.
Apple is reading a web version of iTunes but isn't close enough to switch it on after it shuts down Lala next month, leaks from the music industry hinted today. The company is now believed to be in talks with labels but that the progress is "preliminary at best." Such timing makes it unlikely to go live in time for WWDC on June 7th.
Streaming audio service Lala today said it would shut down on May 31st. The closure follows five months after the buyout by Apple late last year and will see Lala stop taking new users, or paying for web-only songs, effective immediately. Customers can still buy MP3 copies of songs outright and will get iTunes Store credit if their account has a positive balance.
Apple is flirting with the prospects of overtaking Microsoft in the S&P 500 stock index, an estimate found Thursday. Following another rapid climb to a record high share price of $266.47, Apple's market cap when float-adjusted has reached $241.5 billion, or just past Microsoft's $239.5 billion. The achievement puts Apple only behind oil giant Exxon Mobil on the index.
Microsoft this afternoon reported its best-ever winter quarter owing in large part to Windows 7. Revenue from its core OS jumped 28 percent year-over-year and helped Microsoft get an all-time high $14.5 billion of revenue. It also touted much improved growth in revenue from Bing search ads, Xbox Live and web-based services.
Director James Gunn may have seen the next-generation Zune, based on an account of a visit to a Microsoft Experience event. In addition to seeing pre-release hardware like Project Natal and the HP slate, he also claimed to have seen the "new Zune." He wasn't specific about details other than to say he didn't think he could switch due to iTunes and the apps he uses for the iPhone.
For the first time, Microsoft's Zune platform has been explored to allow developers to take full advantage of the hardware specs without having to be limited by the XNA game development platform. The new SDK, dubbed OpenZDK, was built thanks to the work of several ZuneBoards members who include Itsnotabigtruck, Netrix, Nurta and the rest of the ZuneBoards Development Front. The hack can be applied to all Zune models, including the Zune HD, and doesn't require running jailbroken or otherwise hacked firmware.
Despite the promise of launching the 64GB version of its Zune HD personal multimedia player on Monday, April 12th, Microsoft is already selling the device. Its capacity lets users store about 20 hours of 720p HD video, or 6,400 songs at 320Kbps. The price compares favorably to an iPod touch of the same capacity, which costs $400.
The pioneer of the movie rental kiosk, Redbox, is considering starting a very low cost Internet video streaming service based on the contents of a recent survey. As proposed, it would cost just $4 per month for unlimited online viewing and would still include four of the normally $1 DVD rentals as part of the plan. Which platforms would get the service weren't part of the study.
Rhapsody today slashed the price of a subscription from $15 per month to $10. The immediate cut still provides the same features, which includes unlimited music downloads as well as streaming and in some cases local caching. Permanent MP3 downloads are still an option and usually cost $10 per album with songs ranging between 79 cents and $1.29.
Microsoft surprised listeners on Monday with the early launch of the Zune HD 4.5 update. The firmware upgrade adds Smart DJ to the touchscreen player itself and uses the onboard Wi-Fi to add as many as 30 more songs to a playlist for anyone with a Zune Pass. Those with the unlimited subscription can also browse and stream music directly from the Zune Marketplace when attached to a TV with the AV dock.
Microsoft has finally opted to expand its retail stores beyond its two trial areas, a pair of job listings have confirmed. Recruiting for spots in Denver and San Diego has confirmed that the company plans to at least double its presence beyond Mission Viejo, California and Scottsdale, Arizona. The exact locations haven't been given away.
Apple's rumored streaming iTunes locker won't be ready until the summer at the earliest, music business contacts claimed on Wednesday. A service for storing a user's music online had once been pegged for the spring but now reportedly has been pushed back until at least a season later. What created the setback wasn't mentioned to CNET in the apparent leak.
Microsoft at mid-day confirmed the existence of a 64GB version of the Zune HD. The new player can hold about 16,000 songs (6,400 at the Zune Marketplace's 320Kbps) and is treated as an HD video specialist with about 20 hours of 720p. Shipments start April 12th and will consciously undercut its iPod touch equivalent at $350 for similar space.
Microsoft's promised Zune HD firmware update has been detailed and shown off ahead of its release. The upgrade will primarily bring Smart DJ to the device itself and, like Apple's Genius playlists, automatically create whole playlists based on the theme of a single song. Zune Pass owners will reap the greatest reward as the player can download up to 30 more recommended songs over Wi-Fi to fill out the playlist.
Microsoft late last week was sued for allegedly infringing on patents with the Zune HD's radio app. Illinois-based Edward Yavitz has claimed that the buy-from-radio feature, which lets users tag identified songs on FM or HD Radio and buy them from the Zune Marketplace, copies similar technology that Yavitz patented in 2002. He purportedly contacted Microsoft unsuccessfully about licensing the technology early and billed it as a way of preempting Apple.
Microsoft today inadvertently revealed a 64GB version of the Zune HD. While not yet active, the new capacity is listed on Microsoft's own site and is likely to be made official soon. Pricing didn't accompany the leak, but it follows after official price drops and Dell lowering the 32GB version down to $199.
Microsoft today provided full details of its previously hinted at Windows Phone Marketplace. The store is an improvement on the Zune Marketplace and puts not just apps and music in the same place but breaks out app updates, games and podcasts on the top level. Windows Phone 7's "panorama" layout remains intact and uses the space to both highlight a featured app as well as to delve into specific categories.
Microsoft's decision to drop the Zune HD from its XNA development kit may actually be hints at plans for its sequel, leaks indicated on Tuesday. Multiple sources toldZDNet that the follow-up touchscreen player will be "similar to an iPod touch," indicating a more general-purpose role than the media-heavy Zune HD. With Windows Phone 7 as the only known mobile OS supported by XNA 4.0, the shift implies that Microsoft may use a variant of its phone OS to drive the next Zune.
Sony touted an industry first today as its PSN video service became the first service to get HD movies from all six major studios. Besides its own Sony Pictures, the company's deal will allow buying and renting HD on the PlayStation 3 from Disney, Fox, Paramount, Universal and Warner. No price changes were mentioned as part of the additions, but the agreement is non-exclusive.
Microsoft's Michael Klutcher today outlined the details of developing games for Windows Phone 7 but signaled the possible end of Zune development. Starting with the just-launched XNA 4.0 development kit, the company will let developers write games for both WP7 as well as the Xbox 360 and Windows, with many of the features intact across all three. Mobile games will tap into Xbox Live and will have the same features, including achievements and the ability to use a gamer's avatar or send notices for turn-by-turn games.
Microsoft today was spotted developing a new concept for a portable multi-touch interface. Mobile Surface (link currently inactive) combines a camera and a projector to create a multi-touch interface from a much smaller device, such as a smartphone. Unlike the table-based Surface of today, it would respond in 3D and would allow interactions based on the distance from the surface and the camera.
Microsoft tonight acted on a longstanding promise and launched the Facebook app for Zune. The software lets owners check their news feeds, track friends and view one's own profile. The Zune app adds the small touch of using the currently playing song as a status update.
Microsoft today created a chasm between its mobile platforms in talks with Australia's APC. The OS developer's General Manager for the Mobile Business group's Asia-Pacific region, Natasha Kwan, revealed that all Windows Mobile 6 models, even very high-end phones like the HTC HD2, would be ruled out as few if any obey the three-button guideline for the Windows Phone 7 interface. The firm's Australia Business Operations Director, Tony Wilkinson, added that the HD2 lacks some unnamed hardware features needed to make the leap.
Microsoft tonight showed off the first production device running Windows Phone 7. Revealed during a taping of the Engadget Show, the early prototype is an LG-made QWERTY slider that bears a strong resemblance to the eXpo. Not much is known about the device itself besides its 5-megapixel camera, but it will have to meet Microsoft's chassis guidelines, which includes the three-button interface, a fast processor and an 800x480 or larger touchscreen.
(Updated with Music Reports' comments) Microsoft today quietly tackled the problem of vanishing Zune Pass music by striking a deal for a new company to take over a key part of the Zune Marketplace. Music Reports will now oversee the licensing, publishing and royalty handouts for the subscription side of Microsoft's music store. The California company is a veteran in the field and already provides the same help to a number of other companies, including Slacker and recent Apple acquisition Lala.
A Tuesday Twitter update aims to assuage rumors floating around the net regarding an HTC HD2 handset allegedly running the recently announced Windows Phone 7. Believed to originate from Microsoft itself, the Twitter update hints that more information on the handset running on the new OS may arrive sometime in March. WP7 will bring many upgrades compared to its predecessor, WM6.5, including multi-touch support and a Zune-like interface, among many other more modest improvements.
Images have surfaced of the new version of Windows Marketplace to go with the announcement yesterday of its Windows 7 Phone mobile OS. Again drawing inspiration from the Zune interface, the initial screen will be used to highlight certain apps. Subsequent screens would allow users to drill down for specific applications by category.
Microsoft's Pure and Turtle media phones have been given more tangible details thanks to the discovery of their firmware and the image creator that makes their firmware possible. The Sharp-made phones will be far from the specs needed for Windows Phone 7 and carry resolutions of 480x320 for the larger Pure and just 320x240 for the squat Turtle. Both will still be at least moderately quick using some variant of NVIDIA's Tegra, though whether this is the original or the dual-core Tegra 250 isn't known.
Microsoft at Mobile World Congress officially launched Windows Phone 7 series, its first major overhaul of its mobile OS in at least five years but also a partial step back. The new platform uses a heavily Zune-influenced design and at the home screen centers on tiles: users can pin apps, contacts, playlists and other details to the home screen. It integrates not just the Zune media player (including Zune software sync) but also Xbox Live's achievements, avatars and friends.
A lapse in security over a covered Microsoft banner at Mobile World Congress has confirmed a large part of the Windows Phone 7 interface. In step with expectations, the interface is at least partly influenced by the Zune HD and its very magazine-like layout: the home screen shows four large buttons for the phone, e-mail, messaging and contacts. It notably also shows an Xbox Live button that confirms integration with the Xbox 360 for games.
A corroborating leak Friday morning has potentially confirmed Microsoft's plans to show Windows Phone 7 at Mobile World Congress next week. Anonymous sources for the WSJ say a public demo is due at Microsoft's opening speech on Monday and also mirror previous statements about the interface. It should have a new Zune HD-like look and come designed from the ground up for touchscreens.
California-based Nazomi late yesterday sued several tech firms, including Amazon, Microsoft and Nokia, for allegedly violating patents it owns on translating Java code to specific devices. Filed in a Los Angeles court, the lawsuit complains that the three main firms as well as Garmin, Iomega, Sling, Vizio and Western Digital all have devices that supposedly copy its techniques. These include the Kindle and Zune as well as less common devices like the Slingbox or Nokia's tablet computers.
Volvo at the Chicago Auto show this morning said it would give its XC70 crossover wagon a unique rear seat entertainment system. The RSEi-500 will be a full-fledged touchscreen computer based on Windows XP but will have its own custom interface for media navigation, including cover art and details for music and DVDs. It should also have an always-on Internet connection and will uniquely run on a Sprint Overdrive that can share a 3G or WiMAX connection over to both the RSEi-500 and to other devices in the car through Wi-Fi.
Emblaze today sued Microsoft for allegedly violating the same patents that resulted in a lawsuit against Apple late last year. The Israeli patent holder believes that Microsoft's IIS Smooth Streaming, an important ingredient behind both Silverlight and the 1080p movies at the Zune Video Marketplace, infringes on the same patents for device-to-device media streaming.
Warner Music Group chief Edgar Bronfman has cautioned that his label is likely to avoid free streaming music services. He expects to only offer music through paid services and says that free streaming services are "not net positive." He stopped short of saying Warner would quit existing services like Spotify or of flatly rejecting future free deals.
Microsoft this morning confirmed that its CEO, Steve Ballmer, will give the company's Windows Phone keynote at Mobile World Congress next Monday. The firm provides little detail other than what's provided but signals the likely launch of Windows Phone 7 just through Ballmer's presence. Traditionally, the executive has rarely if ever handled such events himself and has instead let those in the Windows Mobile group host any presentations.
Microsoft in the past few days has quietly cut prices on the Zune HD through an at least temporary promo. The touchscreen media player now costs $190 for a 16GB model at Amazon, or $32 less than the original price; the 32GB model has dropped by a similar amount to $250.
Microsoft may consciously limit Windows Phone 7 in its attempt to compete against Apple, a leak sent out today claims. Echoing some previous reports, a source says WP7 will have a Zune-like interface at many levels but goes on to say this will extend to the underlying framework as well. It would drop multitasking and instead pause apps, using an iPhone-like push notification system to handle new updates.
Microsoft has been accused of quietly removing content from its Zune Pass service, according to several posts on the Zune forums. Subscribers have posted long lists of artists and albums that have seemingly disappeared from the available music. Albums are allegedly missing from groups such as The Kills, Jane's Addiction, Arcade Fire, Interpol, Silversun Pickups, Beck, The Flaming Lips, They Might Be Giants, Pearl Jam, The White Stripes and The B-52s, among others.
