Now that the holiday shopping season is over, it's a good time to examine how Microsoft Corp.'s (NASDAQ:MSFT) new digital music player, the Zune, fared. While Zune failed to make it to the top-10 models in terms of sales, it actually did pretty well.Not surprising, Apple Computer Inc.'s (NASDAQ:AAPL) iPod models took eight spots in the top-10 list and SanDisk (NASDAQ:SNDK) models captured the two others. The data was accumulated by Current Analysis, a market researcher firm that tracks sales at Best Buy, Circuit City, CompUSA, Staples and RadioShack.
On the hard-drive based player, the Zune actually captured 12% of the market during that time. This really isn't too bad for the new kid on the block. I'm sure that Microsoft isn't planning to stay where it is either. I'd expect heavy marketing, new models and improved position in 2007.
As for the iPod, it stayed in the top position and I doubt Apple would just let that slip away. Apple may, however, have to respond with some incentives to keep its share.