Microsoft to create new music service for WP7 and Xbox?
Likely to replace Zune with offering better optimized for mobility and the cloud, and to harness the Xbox Live brand
Published: 20 February, 2012
READ MORE: Mobile Content | Windows Phone
The major mobile platform providers are busily building content platforms to make their devices more attractive and lock in their users. Microsoft belatedly got the message when it integrated Xbox gaming so tightly with Windows Phone, and now it is said to be creating a music service to enhance both of those platforms.
Microsoft is already in talks with major music publishers, according to an exclusive report by CNet, presumably in an attempt to improve on its lacklustre record with its existing Zune offering. This used to come with its own MP3 devices, Zune Players, but now delivers tracks to general purpose products
The sources say that talks with the record companies are still in their early stages but Microsoft hopes to launch its service this year, following the cloud content trend by supporting streaming as well as downloads. The Zune brand is likely to disappear and Microsoft will look to get major WP7 handset supporters also to default to its new music brand.
Although Nokia Music remains a separate offering for now, the primary WP7 licensee has spoken of plans to merge its content and web services with those of Microsoft. Another likely partner will be HTC, the mobile Windows market leader, which hinted recently that it was planning its own music streaming service, centered around its acquisition of a majority stake in Dr Dre's Beats, to boost headphone and audio quality.
Windows Phone may not currently be a major draw to music publishers compared with devices from Apple, Android and Amazon, but they will be keen to improve their presence on the popular Xbox platform, which has 40m subscribers worldwide for its Xbox Live service.
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