Zune Fallout Begins: PlaysForSure Getting Played?

As Microsoft makes it official, the fallout from Zune is just being felt. Earlier, insider reports pointed to an insular, iPod+Tunes-inspired architecture, one that would effectively exclude an existing network of WMA-compatible and PlaysForSure devices. An internal Microsoft document, which surfaced more than a week ago, mentioned a “closed ecosystem paired with a branded device.” That effectively represents a reversal from a system that supported many devices and many players. Now, as Microsoft issues its first official comments on the strategy, those early clues are being supported.

During a Friday discussion with Billboard, Microsoft executive Chris Stephenson remained somewhat vague on the strategy, though a closer examination of the comments reveals a major strategy shift. Stephenson discussed an ecosystem of “different devices,” which includes a “portable media device, or a phone, or the Xbox or Media Center PC.” Reading deeper, that corresponds with earlier information suggesting that Zune will include more than one device – just as Apple offers more than one iPod. But a wide range of players from manufacturers like Samsung, iRiver, and Toshiba appear to be outside of the sandbox, and the same appears to be true for a family of Microsoft-compatible digital music stores, including Napster, Wal-Mart, and MSN Music. “A lot of people are going to be angry about this,” one digital music executive predicted.