Zune Business Dev Executive Moves On

An anonymous reader slipped us a link to the Seattle PI article discussing Bryan Lee's departure from Microsoft. The former business development VP for the Zune has parted ways with the company for personal reasons now that 'Zune was launched and on track'. This means that J. Allard will be stepping up into fill the void. Allard was instrumental in bringing the first Xbox console to market, and was the VP in charge of technical matters for the Zune. An analyst with Gartner is quoted as saying this move means not all is well in the land of Zune, but a rumour on the CrunchGear site indicates that Microsoft is planning on stepping things up later this year with a Zune cellphone. A smartphone designed to compete with Apple in that market it would seem, despite whatever problems may be going on, the company is still rather fond of the strange little brown device.

I hate to retread the "old news" moniker...

[AKAImBatman]

...but does anyone else find it a bit scary how you can read news like this on your Wii at night, then wake up the next morning to see it on Slashdot? I'm not complaining or anything, but it seems like Nintendo's news selection is amazingly in tune with the news on Slashdot.

Or does the news on Slashdot have something to do with all the Slashdotters with their brand new Wiis? Hmmm.... ;)

How long before they drop the Xbox360?

[Anonymous Coward]

Xbox360 has never made a profit, it's never overtaken the PS2 in sales and now the PS3 and Wii are here, both consoles are outselling it. So how long before they quit throwing billions at it and 'bob' it?

Masters of the Zuniverse

[jonesvery]

An analyst with Gartner is quoted as saying this move means not all is well in the land of Zune, but a rumour on the CrunchGear site indicates that Microsoft is planning on stepping things up later this year with a Zune cellphone. A smartphone designed to compete with Apple in that market it would seem, despite whatever problems may be going on, the company is still rather fond of the strange little brown device.

Lest we forget: the uninspiring launch of "the Zune" appears to have overshadowed the fact that Microsoft has consistently viewed (and presented) "Zune" as a brand that will cover an ecosystem of interrelated devices, not the specific PMP that was released a couple of months ago. I'm sure that the company would have loved to have an immediate hit, they're in this for the long term. Think XBox: Microsoft is willing to put cash into short-term life support if they believe that there's long-term potential.

Remember also that even before anyone outside of Microsoft had heard the word "Zune," Steve Ballmer was hinting at a communications/music convergence device as one of the iPod-killing-project's outputs. In the March 2006 interview that gained attention for the "Ballmer has brainwashed his children" comments, Ballmer had this to say in response to the question "think you can crack the iPod market?"

It's going to take an innovative proposition. In five years are people really going to carry two devices? One device that is their communication device, one device that is music? There's going to be a lot of opportunities to get back in that game. We want to be in that game. Expect to see announcements from us in that area in the next 12 months.

This is not to say that I see very rosy prospects in the short (or medium, or long) term for the Zune, but simply that Microsoft's direction has been pretty clear for a while; unfortunately for them, it appears that this direction has been pretty clear to Apple, as well.

I've written about recent Zune-related happenings in more detail here [blackmailr.com], but the short version is that if I were Bryan Lee I'd be taking some personal time, too -- Microsoft isn't out of this game by any means, but despite their (apparently) best efforts, hardly a week goes by without something popping up that puts Microsoft in the position of playing catch-up on yet another front: weak Zune launch, disconnect between the marketing and the reality of "the social," the development of public "music download stations," the iPhone...it's getting to be a pretty long list.

It's going to be a brutal couple of years for the Masters of the Zuniverse, no matter what happens.