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« Mobility Electronics, Inc. Stowaway Sierra Bluetooth keyboard - Part 2 Size | Main | DFL-210 - Port Forwarding »

September 29, 2006

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mchummer

In research released on Friday, Wu contends that Microsoft will lose nearly $50 per every Zune sold, while Apple enjoys an estimated "18-22% gross margin and 8-11% operating margin."

Zune: Hurts Microsoft and Partners more than Apple
http://www.ibtimes.com/articles/20060929/zune-ipod-microsoft-apple-price.htm

Stephen Skarlatos

Sure they will loose money, as they did with the original XBOX. However now the XBOX is on it's way to capture 40-50% of the market. It is the price you have to pay when you are behind the curve...

I am not sure how much it will hurt partners, SANDISK has carved a nice niche for itselt as NANO competitor with a project 9.7% of the total market(http://www.mydigitallife.us/2006/09/and_then_there_.html) and they won't be hurt by this version of Zune.

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