Microsoft believe market has enough capacity for Microsoft Zune and Apple iPod

Microsoft believe market has enough capacity for Microsoft Zune and Apple iPod

Microsoft might be aiming to dislodge Apple iPod from the top position on the digital music player market with their upcoming Zune player, but they admit that the market is huge enough to accommodate both of them and more.

The company is currently developing this player as their partners failed to develop good enough products to lure the consumers away from the market leader Apple iPod.

Bryan Lee, corporate vice president of Microsoft’s entertainment and devices division said in a statement that the market for digital content players would eventually mushroom to hundreds of millions of units a year — up from a current rate of 30 to 40 million units per year.

The company is relying on the wireless capabilities on its new digital music player, Zune to attract the customers away from the iPod. This could work unless Apple has something special waiting for their fans.

Apple already control over half of the market for digital music players and have a huge fan following. Microsoft would be a new player and they have the money and resources to pull this one off. They have been quite successful with the Xbox/Xbox 360… Zune would be an interesting challenger to iPod.