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News
Rumor: Microsoft Developing Zune-Branded Mobile Phone
Thursday, February 1st, 2007 at 2:00 PM - by Bryan Chaffin
Microsoft is developing a Zune-branded mobile phone to compete with Apple's iPhone, according to an unsubstantiated report at CrunchGear.com. Calling it a "sound tip," the site said Thursday that Microsoft execs were in the early stages of Microsoft's design process for such a product that would be released during the holiday buying season of 2007 (the December quarter).
The device will not, as one might otherwise expect, run Microsoft's successful Windows Mobile OS, but will instead run a variant of the OS that powers the Zune. It will also have features such as the ability to connect to one's Xbox 360, and download media content from the Zune Marketplace.
It bears noting that there is as yet no substantiation of the story, and it should be treated as a rumor. It is within Microsoft's track record, however, to emulate its competitors moves, and a Zune branded phone is certainly possible with Microsoft's resources and experience in the mobile phone market.
That said, just as with the Zune MP3 player itself, Microsoft has not heretofore manufactured its own mobile phone, instead providing Windows Mobile to third party manufacturers for smart phones. While the company has not yet made much of a dent in iPod's dominance with the Zune, its enormous cash reserves mean that Microsoft can be patient if it does enter the market with such a product.
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