Microsoft unequivocally announced they might go into the music subscription service. The definitive statement from the soft leviathan chased down the stock prices for other companies already in the subscription music business like Yahoo and Real.
“Once we are ready to talk more, we’ll let you know,” Christine Andrews, lead product manager in Microsoft’s MSN Internet division, told Reuters
Experts in the industry will take notes as companies like Yahoo send off their subscription-based service and offer downloads a slightly lower rate than competitors like iTunes. Microsoft would appear ready to start knocking people off the bandwagon, namely Apple.
Bill Gates said some weeks ago that iPods are essentially a flash in the pan because, like their computers, Apple made poor choices for moving them along the way. It would seem that they are poised to start knocking iPods out of the Apple tree. The company also launched their download music service last September.
CNet reported Microsoft is planning to directly attack Apple by getting rights to convert iTunes songs into formats for Windows Media Player. Microsoft has already been in talks to work out the bugs out of their music and the future online pay service but they’ve not gone after Apple quite so directly in some time.
The iPod business is booming for Apple right now and has carried over somewhat to the computer business. Also, Apple recently agreed to use Intel processors in their Apple computers.
The stocks of Apple, Napster, and Real all took hits on Friday after the announcement. But keep in mind ALL of this is pure conjecture at this point. Maybe.
John Stith is a staff writer for Murdok covering technology and business.
