Analyst sees 'modest success' for Zune

Posted by From the Web

Microsoft will likely lose money on its new music player, Zune, against Apple Computer Inc.'s "industry-leading iPod profitability," an American Technology Research analyst said Friday.

Analyst Shaw Wu on said a perhaps unintended side effect of the software company's entry into the portable music player market will be competition with its own licensing partners - perhaps even putting smaller ones out of business.

Read the complete story here. (Business Week)