Once touted as an iPod killer,. Bloomberg is reporting that Microsoft will stop releasing new versions of the Zune hardware. Instead the focus will move towards the Zune software on Windows Phone 7.
Microsoft tried to give the Zune a revival in 2009, introducing the Zune HD to compete with Apple’s iPod Touch, however the Zune HD never caught on with consumers. The Zune did not even manage to rank among the Top 5 music players, according to data compiled by NPD Group. The iPod, however, almost completely controls the music player market with a huge 77% market share. (Via 9to5Mac)
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