Microsoft Argo: iPod Killer?

[MacRumors]

http://www.macrumors.com/images/macrumorsthreadlogo.gif

Last week, a Bloomberg story cause some excitement with claims that Microsoft was planning to release an iPod rival by Christmas of 2006. The new digital music player was said to include a wireless Internet connection allowing users to wirelessly download music. Microsoft is already meeting with Hollywood and music companies to license content for the upcoming device.

Steve Jobs predicted in January that due to the lack of iPod competitors, that Microsoft was "going to have to get into the hardware business of making MP3 players". Currently, Microsoft relies on 3rd party manufacturers to develop around a common hardware specification.

This week, more information about the upcoming Microsoft device was revealed. According to the Seattle Times article, Microsoft is actually developing a line of Xbox-branded digital media devices. The project is called "Argo" and under the Xbox development group.

What's being developed is actually a complete line of Xbox-branded digital-media products, including a device that plays media, a software media player and an online media service.

This would represent an more "end-to-end" business model described by Walt Mossberg that has brought Apple a lot of success with their Music Store/iTunes/iPod integration. (A photo has also been posted that claims to be a development model of the device.)

Meanwhile, Piper Jaffray analyst Gene Munster believes that Apple will release their own wireless iPod this fall and do not believe "the yet-to-be-seen Microsoft offering will be a worthy opponent for the iPod".

[baleensavage]

Sounds more like a PSP killer than an iPod Killer. Looks like Microsoft is trying to move into Sony's territory.

[network23]

This is scary. While I have no doubts Apple's ability to "get it" will make Microsoft's offering pale by comparison, Microsoft might be able to more than make up for it through marketing and their dominant position in the computer and home gaming market. Then, as in the past, their monopolistic practices will slowly edge out Apple.

And I guarantee you that Microsoft will be much more willing to "play ball" with the movie studios to get the best/preferred deals in offering downloadable movies.

[brsboarder]

more then likely the wireless part is directed at the ipod, but this will only stimulate competition, its about time apple is forced to compete with others for the best device again

[mduser63]

Well obviously none of us here are going to be terribly interested if it's not Mac-compatible. That said, Apple has a lot to lose, so I hope they adapt and compete well.

[hyperpasta]

Steve Jobs knew about this in January... this says a lot about his vision. I'm confident that he is already well-prepared for this and has something up his sleeve to counter it.

There will NOT be a sudden exodus to Argo from iPod. If it ever happens, it will be gradual and easy to fix.

[netdog]

Originally Posted by mduser63

Well obviously none of us here are going to be terribly interested if it's not Mac-compatible. That said, Apple has a lot to lose, so I hope they adapt and compete well.

They will. Microsoft doing this will definitely cause Apple to be less stingy with the R&D and get some great small products to market.

God, I really hope that Leopard is more of an upgrade than Tiger was.

[sbrhwkp3]

Steve already knew this was going to happen. They're ready. I don't think it's possible to have an iPod killer anyways. The iPod is all about appeal for many, not necessarily the features.

[nagromme]

I still don't get the value of wireless in a music player--not in actual practice (battery life and added bulk, vs. the need to plug in to charge, which naturally takes longer than synching anyway).

But whatever it is, I think its chances will depend a lot on whether it can be as slim and light as an iPod, and the same elegant ease-of-use as iTunes and iPod.

If it has those things, the X-Box name could carry it to some kind of success. But of course there can be more than one successful product in a market--Apple is not in danger.

[runninmac]

So with the windows media center out they would be idiots to not convert it to a format for their player. This means Mac Media Center out this fall hopefully.

[QCassidy352]

Originally Posted by brsboarder

its about time apple is forced to compete with others for the best device again

agreed. We haven't seen any ipod updates in a long, long time. The shuffle is over a year old, the nano is approaching a year, and even the 5G is no spring chicken any more. I certainly don't want to see MS cut too much in to apple's marketshare, but if a little competition means pushing apple a little more, that sounds good to me.

[Collin973]

Doesn't look terrible, but similar to the ipod (if that pic is legit). Competition is good though, because it'll stimulate new ideas and better products (hopefully). We'll see what happens, but I love my video ipod (as long as apple doesn't release a better one).

[nxent]

Originally Posted by network23

This is scary. While I have no doubts Apple's ability to "get it" will make Microsoft's offering pale by comparison, Microsoft might be able to more than make up for it through marketing and their dominant position in the computer and home gaming market. Then, as in the past, their monopolistic practices will slowly edge out Apple.

And I guarantee you that Microsoft will be much more willing to "play ball" with the movie studios to get the best/preferred deals in offering downloadable movies.

not so fast. remember 'origami'. "who?" "what??" yeh, exactly. msoft's tablet PC that generated a lot of buzz before it's launch. and when it launched, it promptly flopped, hence the hollow response when it's name is shouted. i agree that an xbox branded device will have to compete with both psp and ipod, and even nintendo's ds; and hence i don't think apple's in any real danger. nevertheless, it is 'bout that time they release another major ipod revision.

[bcharna]

http://www.engadget.com/media/2006/0...rgo_player.jpg
http://www.ipodnoticias.com/ipod/ipod_3g.jpg

The buttons look VERY similar, otherwise its pure Micro**** ugliness...

[bluebomberman]

Originally Posted by sbrhwkp3

Steve already knew this was going to happen. They're ready.

I hope so, but I won't say it's a given.

Supposedly, Bill Gates and other Microsoft top brass were obsessed with the decline of the big great corporations (IBM being one of the best examples). Yet Microsoft has been (arguably) slowly heading in that direction as it tends to stumble in markets where they can't exercise their monopolisitc power (as in anything not OS or Office related).

And Apple's quite familiar with monumental success and decline from past experience. So we'll see. But for once, the roles are reversed.

[Squareball]

God if those pics are right, I say... welcome to 2002 Microsoft!

It looks like a mix between a Rio MP3 player and a 3rd gen iPod

[Felldownthewell]

I am actually all for this. While I love my Ipod, I think that MS making a really good DAP will put more pressure on Apple and give us an even better Ipod; more original and more feature packed. When companies compete for your money, we win. As it is, Apple knows that you will buy an Ipod because it is the best, and in the future, that may cause them to get sloppy and not put out new and better revisions at a pace that will keep them competative. It is a good thing that MS is offering pressure- not enough to edge out Apple, but enough to keep them on their toes.

Also, I would love to see an mobile Xbox PSP-esque device, especially with a good line of mobile games with better graphics and design than the PSP. I know this is MS we are talking about so I'm asking a lot, but it would still be nice!

[amac4me]

If Microsoft is indeed developing such a device, Apple surely knows about it and will have a product to counter it.

Apple is using the current "video capable" iPods as a test bed for the true Video iPod. I'll place my bet that Apple has some cool innovative products up its sleeve that we can't even imagine.

[dextertangocci]

Why the hell does MS even want to attempt to release an "iPod killer"? Do they not realise they will lose money?

[Porchland]

The big plus of a wireless iPod, I think, would be the ability to sync the iPod live over IP. This should start a move away from the the home Mac/PC as the "feeder" for the iPod. It has always urked me that I can't have my computer at home and at the office learn what songs I download from the other and sync the database accordingly.

This becomes even more important when the Mac mini media center rolls out and we've all got another device to sync.

.Mac seems perfect for this.

[monke]

Before this comes out, Apple is going to have to let consumers know that they make the iPod. Not Microsoft.

Some people may think it's the new iPod, judging by the picture on engadget, and this thread/article posted earlier saying that most people don't know the iPod is made by Apple.

If people think this 'Micropod' is the new iPod it could be over for Apple, unless they release something at the same time.


BTW, about the picture posted on engadget, the buttons look '3G iPodish'. Maybe Microsoft is going to try and play catch up with MP3 players now edit: missed bcharna's post

[RodThePlod]

Originally Posted by nxent

not so fast. remember 'origami'. "who?" "what??" yeh, exactly. msoft's tablet PC that generated a lot of buzz before it's launch. and when it launched, it promptly flopped, hence the hollow response when it's name is shouted. i agree that an xbox branded device will have to compete with both psp and ipod, and even nintendo's ds; and hence i don't think apple's in any real danger. nevertheless, it is 'bout that time they release another major ipod revision.

Remember, though - Origami was another one of those projects where Microsoft do the software side and leave a number of third parties to do the hardware.

With this new device, Microsoft will do the whole shebang in the same way as they do the Xbox - so there's certainly danger here; look how the Xbox impacted the console market!

Apple are not resting on their laurels, though - I'm sure we'll see some pretty impressive updates to iPod because of this new competition.

RodC
--
www.expodition.com - for iPod users who love to travel

[lmalave]

Originally Posted by bluebomberman

I hope so, but I won't say it's a given.

Supposedly, Bill Gates and other Microsoft top brass were obsessed with the decline of the big great corporations (IBM being one of the best examples). Yet Microsoft has been (arguably) slowly heading in that direction as it tends to stumble in markets where they can't exercise their monopolisitc power (as in anything not OS or Office related).

And Apple's quite familiar with monumental success and decline from past experience. So we'll see. But for once, the roles are reversed.

I dunno, the XBox seems to be doing pretty well, and I don't see how one could say that Microsoft had a monopolistic advantage there. All they really had was a brand name and mucho $$$ for marketing, and they managed to establish a foothold in the game industry.

Microsoft is very smart to leverage its successful XBox brand rather than its floundering (in terms of reputation, not profits) Windows brand.

I for one, am glad to see Microsoft push Apple. My biggest hope is that Apple introduces an iTunes subscription-to-go service. I tried the Microsoft-compatible ones (especially Rhapsody), and they were awesome.

[bcharna]

After really looking at the photo, either Micro**** literally gave the 3G iPod plastic surgery or that is completely Photoshopped. It is SO similar to the 3G iPod with added ugliness to make it Genuine Micro****.

[SteveRichardson]

yeah I could actully see windows users buying this....just because it's made by microsoft.

perhaps this could slightly hurting the iPod, but then again, it'll up the competition and make apple come out with COOLER STUFF YEA!

uh huh.