Bill and the Boyz are definitely working on an iPod killer, sources, "close to Microsoft are confirming," says Daily Tech, going on:
"Apple has ruled the portable audio scene for years and has successfully fended off attacks from a number of strong competitors, but can they withstand a full assault from the 800 pound gorilla?"
Whether they can or not, iPod is already firmly established and Microsoft would also have to come up with an mTunes to also account for iTunes, the self-funding front-loader for the Apple music player.
"The sources point to Xbox guru Robbie Bach as the project leader for the music player," says vthe story, adding:
"There is also word that Microsoft has held some closed door talks with representatives for the music industry to work out licensing deals. The new music player would be joined by a Microsoft-backed music service separate from the recently announced URGE music service co-developed with MTV."
Microsoft, Toshiba, Victor Co of Japan, NTT DoCoMo and five other Japanese companies are said to be building an anti-iPod device, with Microsoft developing audio and video playback software for Toshiba / Victor portable music players.
A Microsoft-branded music service, "would reflect a digression from an existing strategy to provide software for other such services, just months after the company announced a service called URGE with Viacom Inc.'s MTV Networks," says Reuters, continuing:
"Microsoft joins a crowded field of competitors in the music service sector, including an entertainment device and service expected to be launched by Internet retailer Amazon.com Inc.
"Amazon plans to heavily subsidize the cost of the digital device, much like wireless service companies do with the cell phones they sell, one source said. Some of the devices will come preloaded with music."
Also See: Daily Tech - It's Almost Official: Microsoft Developing iPod Killer, June 16, 2006 anti-iPod device - Microsoft anti-iPod team, June 2, 2006 Reuters - Microsoft developing rival to Apple's iPod-sources, June 16, 2006