Zune iPod killer says goodbye to old boss

Stan Beer
Friday, 02 February 2007 03:39

Your IT - Home IT

Amid an atmosphere where Microsoft's much vaunted "iPod killer" Zune has had about as much effect on iPod sales as a flea attacking an elephant, one of the Zune project's key executives has stepped down.

Bryan Lee, corporate vice president of the entertainment business and head of business development for Zune at Microsoft, has resigned, reportedly to pursue other interests. Lee, with a background in finance, had been with Microsoft for seven years.

The move has set tongues wagging on the street that Lee's departure is a sign that the Zune is in trouble and heads are starting to roll as a result.

Despite a multi- million dollar marketing campaign, Zune's entrance into the already crowded music player market dominated by Apple has been a fizzer. Microsoft, under no illusions, set a modest target of selling 1 million players by the end of the first half. Apple sells nearly 10 million iPods each quarter.

Lee's replacement will be J Allard, corporate vice president of design and development entertainment and services division, who has been credited with overseeing Microsoft's entry into games consoles market with Xbox and its successor Xbox 360.

The image of Allard, a young T-shirt wearing bald creative type, would appear to fit the music player market mould more readily than the accountant Lee. However, the challenges facing the new Zune boss are enormous. While Zune's sales stumble along, iPod appears to be goping from strength to strength and the iPhone is set for release in the US around the same time Microsoft hopes to have 1 million Zune players in the market.