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  Zune Drives Next Generation of Digital Music Experience With Community Web Site Built Around Music

   Microsoft Corporate Vice President, J Allard, and Chairman, Bill Gates, unveil the newest Zune media players. From Redmond, Wash., today, Microsoft Corp. announces updated devices and a new community music site. (PRNewsFoto/Microsoft Corp.)

SEATTLE, WA UNITED STATES
   Microsoft company logo. (PRNewsFoto)

REDMOND, WA UNITED STATES
 Microsoft unveils Zune Social, new Zune devices, innovative Zune software
and redesigned Zune Marketplace - all geared toward discovering and sharing
                                 new music.

    SEATTLE, Oct. 3 /PRNewswire-FirstCall/ -- Underscoring the company's
vision for helping to advance the digital entertainment industry and
deliver great music experiences to its customers, Microsoft Corp. Chairman
Bill Gates and Corporate Vice President J Allard yesterday unveiled the
next generation of Zune(R) portable media players, software and online
store. Gates and Allard also introduced Zune Social, a beta online
community Web site built around and powered by people's passion for music.
    (Photo: http://www.newscom.com/cgi-bin/prnh/20071003/AQW076 )
    (Logo: http://www.newscom.com/cgi-bin/prnh/20000822/MSFTLOGO )
    The two new models of Zune portable media players feature the new Zune
Pad, an innovative touch-sensitive button for navigating on the device, as
well as wireless sync, a feature that allows Zune devices to automatically
sync over the device owner's home wireless network when it is connected to
an AC adaptor, in a dock or speaker dock accessory. Existing Zune owners
will automatically receive new software features, the redesigned PC and
device software and access to the new Zune Marketplace when everything is
released to the public in mid-November.
    "Twenty years ago we bet the company on an integrated productivity
suite of word processing, spreadsheets and presentations, and we changed
the way people work," Gates said. "Today we're making big bets on games,
music, video and connecting these entertainment experiences to help change
the way people play."
    "By tapping into customers' passion for music with Zune Social, we're
starting to change the game," Allard said. "This lets us start building a
new, more valuable kind of relationship with consumers that, combined with
other Zune innovations, will start to drive the entire music industry
forward."
    "The time is right to let go of the older business models and recognize
that consumers want something different when it comes to music today," said
Terry McBride, CEO of Nettwerk Music Group. "People are looking for simple
ways to find great music and easily take it with them wherever they want to
go, and Microsoft is not afraid of doing things differently to deliver on
this vision."
    Two New Zune Devices Fill Out the Family
    Microsoft announced three new models of Zune portable digital media
players: a sleek, black Zune 80GB hard-drive model, which has a bright
3.2-inch screen and comes with premium headphones (ERP $249.99; all prices
are U.S.); the ultraportable Zune 4GB (ERP $149.99); and Zune 8GB (ERP
$199.99) flash models, both available in pink, green, black and glossy red.
The new Zune devices feature the Zune Pad navigation button, with its
touch-sensitive surface. Consumers can flick their thumbs over the pad to
fly through lists of songs or albums or to fast-forward through picture
slide shows or videos. For those who need to pause, advance or adjust the
volume on the device without looking, they can also navigate the Zune Pad
using physical cues by pressing on the four sides or the center of the
button to adjust the volume or choose the next track.
    Together with the original Zune 30GB, the new devices round out the
player family and lets users choose the size, color or price that suits
them best. Every Zune device includes built-in wireless features and an FM
tuner, and they all have a bright color display that is perfect for showing
off album art, pictures, videos and podcasts. All devices have been given
distinctive new menus, and it is easy to customize the background screen
with a personal picture. Ensuring that existing Zune owners benefit from
the advances in this release, all Zune 30GB devices will be automatically
updated with all the new features as well as the new device software design
this fall.
    New features for fall include the following:
    -- Wireless sync. Zune devices will automatically sync over consumers'
       home wireless networks with this helpful new feature, aimed at ensuring
       that Zune owners always have the latest podcasts and other content
       ready to go when they're leaving home. Syncing with the collection on
       their PC happens via a home wireless network and will start on its own
       when the device is placed in its dock or plugged in to charge.
       Alternatively, the sync can be started manually.
    -- Extended wireless sharing. Share select full-length songs, albums,
       playlists, pictures and even audio podcasts from device to device.
       Consumers can now listen to any song received up to three times with no
       time restrictions, and they can now also pass along songs to other
       friends who have a Zune.
    -- Recorded television content to go. The Zune software will now
       automatically import broadcast content recorded on Microsoft(R)
       Windows(R) Media Center for Windows Vista(R) Home Premium or Ultimate,
       so consumers can sync them onto their Zune media player and watch them
       on the bus, in their car or wherever they want when they're out and
       about.
    Connecting People Through Music
    Launching first in beta, Zune Social, a beta online community Web site,
gives people a place to share their music tastes, knowledge and experiences
with others. Anyone can create a free, customizable Zune Card that
automatically updates to reflect the music they are listening to on their
Zune or with Zune software on their computer. The Zune Card shows most
recently played tracks and highlights that person's all-time music
favorites. Other members of Zune Social can play samples of the songs a
user has been playing directly from a friend's Zune Card or link to Zune
Marketplace, where they can buy or download the music. In a nod to the
inherently social nature of music, Zune Social will eventually enable its
members to place the Zune Card on today's most popular social networking
sites, where it will continue to update automatically and show off what its
owners are listening to.
    In addition to creating a friends list, members of Zune Social can send
song links and messages to each other, post comments on a friend's profile
page or on their favorite artist pages. They can discover new music by
seeing what their friends are listening to, receiving recommendations from
others in the community or by seeing what the top fans of artists they're
interested in are listening to. Each artist page will list the Zune Cards
of the people who listen to that artist the most, making it easy for other
Zune Social members to browse their recent playlists and discover new
content they can sample, purchase or download with a Zune Pass.
    Zune Marketplace and Software: Easier Than Ever to Discover New Music
    The Zune Marketplace online store has been restocked and redesigned to
make it even easier for people to find what they are looking for. The Zune
software has also been completely redesigned with a new look and feel and
lots of helpful new features. In addition to offering more than 3 million
songs, the updated version of Zune Marketplace will launch with thousands
of music videos for sale and over 1,000 of the top audio and video podcasts
available for free. Consumers will also be able to choose from a selection
of more than 1 million digital rights management (DRM)-free MP3s, which can
be played with Zune or any other digital media player. A new, streamlined
and highly visual layout makes it fun and easy to browse through the store,
and a new integrated search feature gives consumers one view across the
music, music videos and podcasts categories. By typing in an artist's name
or genre, users will see all relevant content that is either already in
their collection or available in Zune Marketplace.
    To let music fans try new music, Zune Marketplace continues to offer
Zune Pass, which lets consumers download as much music as they want for a
flat monthly rate of $14.99. To inspire Zune Pass subscribers, Zune
Marketplace genre editors offer a range of playlists and promote new albums
each week. Consumers can also choose to purchase music and music videos
individually using Microsoft Points.
    New Accessories Work Across the Product Line
    Zune will also be offering a new line of accessories to help consumers
get the most from their Zune content wherever they are -- at home, in the
car or on the go. To make it easy and affordable for existing Zune
customers, original Zune accessories will work on new Zune devices and new
accessories will also work with the Zune 30GB device. In addition to a
selection of accessories from partners, eight new accessory options are
available from Zune this fall:
    -- Zune Home AV Pack. Home Dock with three faceplates to accommodate each
       Zune device, wireless remote, AC adaptor and composite AV output cable
       (ERP $99.99)
    -- Zune Dock Pack. Home Dock with three faceplates to accommodate each
       Zune device and AC adapter (ERP $49.99)
    -- Zune Car Pack. Redesigned FM transmitter/charger and dashboard grip pad
       (ERP $79.99)
    -- Zune Cable Pack. Sync cable, composite AV output cable and audio cable
       (ERP $39.99)
    -- Zune Premium Headphones (ERP $39.99)
    -- Zune Leather Case (ERP $49.99)
    -- Zune Sync Cable (ERP $19.99)
    -- Zune AC Adapter (ERP $29.99)
    About Zune
    Zune is Microsoft's music and entertainment brand that provides an
integrated digital entertainment experience. The Zune platform includes a
line of portable digital media players, the Zune Marketplace online store,
and Zune Social, a beta online community Web site created to help people
discover music. Zune is part of Microsoft's Entertainment and Devices
Division and supports the company's software-based services vision to help
drive innovation in the digital entertainment space. More information can
be found online at http://www.zune.net/en-us/press.
    About Microsoft
    Founded in 1975, Microsoft (Nasdaq: MSFT) is the worldwide leader in
software services and solutions that help people and businesses realize
their full potential.


  SOURCE Microsoft Corp.




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Related links:
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  • http://www.zune.net
    Photo Notes:
    NewsCom: http://www.newscom.com/cgi-bin/prnh/20071003/AQW076
    http://www.newscom.com/cgi-bin/prnh/20000822/MSFTLOGO
    AP Archive: http://photoarchive.ap.org
    PRN Photo Desk, photodesk@prnewswire.com
    CONTACT:
    pr.mspx./ /CONTACT: Yasmeen Coning of
    Edelman, +1-323-202-1405, yasmeen.coning@edelman.com, for
    Microsoft Corp.

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