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Zune Wi-Fi coming to a McDonald's near you

Ronald McDonald, meet your match.Microsoft released today a free software update that will allow users of Zune, the best little media player no one seems to care about, to wirelessly stream and download music from the Zune Marketplace store on the go, tag and purchase songs directly from the built-in FM radio and get music recommendations, all from the comfort of their nearest McDonalds.
Written by Andrew Nusca, Contributor
Ronald McDonald, meet your match. Microsoft released today a free software update that will allow users of Zune, the best little media player no one seems to care about, to wirelessly stream and download music from the Zune Marketplace store on the go, tag and purchase songs directly from the built-in FM radio and get music recommendations, all from the comfort of their nearest McDonalds. In what seems to be an interesting approach, the Zune folk are working with high-speed Internet access provider Wayport Inc. to deliver Zune users free, wireless access to the Zune Marketplace from more than 9,800 participating McDonald’s restaurants across the U.S. (The Zune Marketplace now offers more than 4 million songs, 80 percent of which are DRM-free MP3s; 8,500 music videos; 3,000 episodes of popular TV shows; and more than 6,000 audio and video podcasts.)
Zune lineup 2008

From a corporate strategy perspective, the big question is whether Microsoft is trying to target the demographic Apple's iPods do not. After all, the price points on the devices are the same; is the cachet of the iPod and its perceived upscale, Starbucks-friendly consumer base so completely covered that Microsoft is instead targeting the Golden Arches set? Estimated retail pricing for the Zune device in the U.S. is as follows: 120 GB: $249.99 80 GB: $229.99 16 GB: $199.00 8 GB: $149.99 4 GB: $129.99 Comparatively, Apple's latest price points are: 120GB (classic): $249 16GB (nano): $199 8GB (nano): $149 ...with the iPod shuffle rounding out the bottom at $49 (1GB) and $79 (2GB) and the touch near the top at $229 (8GB), $299 (16GB) and $399 (32GB). Judging by price alone, it's unclear, and a hard comparison at that. But judging by intangibles and cultural cues -- that may be a different story. Microsoft also announced that the Zune Originals online store now also offers exclusive color combinations: the Zune 16 will come in blue, red, pink and green as an online exclusive. What do you think? Solid strategy or clueless corporate thought? Tell us in TalkBack.
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