Timing not right to try to re-enter the market
Last modified on Tuesday, 11 November 2008 07:21
As we had told you a few weeks back, Dell has been busy working on the development of a new MP3 player that would be based on Zing software. It seems, however, that Dell has had second thoughts and the company has decided for the time being that the climate is not right to launch a new MP3 player at this time.
Dell has been busy working on various prototypes of MP3 players and the company was headed for a fall release before the holidays. The decision to temporarily pull the plug really comes as no surprise. The biggest benefactor will have to be Apple; and maybe it will benefit some of the other MP3 sellers such as Microsoft, Creative, and SanDisk, who have been struggling against Apple for a long time.
Dell’s decision to hold off apparently does not signal that they are going to stop the development and continued tuning of a new MP3 player for launch at a later date. Dell’s strategy according to our sources is to launch a very attractive and cost efficient player that wraps itself into the Zing software which has the ability to organize downloaded music and video on the PC. Long-term, Dell wants to get into the music and video sales business with its own store to broker such downloads that would be targeted at the owners of the Dell MP3 devices.