Thursday, October 18, 2007

One Hairy Bet: The SanDisk Challenge

Initial post as part of Cliczune's Guest Bloggers

The release of the new Zunes dubbed Zune 80, Zune 4, and Zune 8 has sent chills down the spines of other famous DAP makers, and one of those who will be trampled by the Zune, in its quest for supremacy is -- SanDisk.

SanDisk spokesperson, Carmella Lyman, has just promised to shave her head, should the Zune dislodge them as the #2 music player after the holidays. This is in response to David Berlind’s "open-challenge" in his ZDNet blog.  Microsoft's Robbie Bach has yet to accept the challenge with the deadline set on October 31. (Microsoft is currently ranked #4 with 3% of the market, Creative is 3rd with 4% , and SanDisk is in 2nd with 10% according to NPD group.)

The bet statistically seems unrealistic as most of SanDisk devices are considered "value" devices that fall under the $100 mark. Of course, cheaper devices have the tendency to sell more and thus gain more market share as compared to Zune's flagship product retailing for $149. I also think that it will take more than months for the Zune to even overtake Creative's lineup of very good and stable devices. Microsoft has to learn a few more things on the DAP industry and fix some kinks, hardware and software side, before thinking of fighting with the veterans in the industry.

Nevertheless, I believe Microsoft is learning. Every step of the way, the une is evolving to a device that people would want to use, just like Xbox.  Two months is unlikely but still possibly achievable if Santa's elves decide to give away billions of zunes to good kids this year.

Nah…

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