Microsoft To Phase Out Zune?

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You may have to pack up your Zune and say goodbye to your Zune-related products soon. Since Microsoft is refusing to say the Z word as of late, some have said they may be getting rid or rebranding the music-based device and related products. Unfortunately, the statement made to All Things D only fueled the rumors:

We’re not ‘killing’ any of the Zune services/features in any way. Microsoft remains committed to providing a great music and video experience from Zune on platforms such as Xbox LIVE, Windows-based PCs, Zune devices and Windows Phone 7, as well as integration with Bing and MSN.

This can only go one of two ways:

1. The Zune brand is going to be absorbed into Microsoft. Instead of a Zune MP3 player it will be called a Windows Live Media Player. Likewise an Xbox portable gaming device could be an upgraded Zune, which already has multiplayer gaming capabilities.  There’s no sense in having two of the same product, but leaving the market is less logical.

2. The Zune is going to be killed off. Finished. Instead Microsoft will rely on partnerships with companies like Nokia to keep the music alive.

If the Zune is to be zombified, which option would you like better?

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