Zune Weighing Streaming Discount
June 1, 2010 at 3:07 PM (PT)
In an attempt to goose sales of its ZUNE music player, MICROSOFT CORP.is considering cutting the monthly fee it charges for streaming music, reports BUSINESS WEEK. Sr. Product Manager TERRY FARRELL wouldn't give specifics on the size of the price cut; unlimited music streaming and 10 song downloads a month now costs $14.99.
To say the least, ZUNE faces an uphill battle in rivaling APPLE's iPOD line. It had 2% of the U.S. digital music player market in the first quarter, compared with 76% for APPLE products, according to NPD Group. REALNETWORKS Inc. earlier slashed the price of its RHAPSODY music service from $14.99 to $10 a month.