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by Mike Zazaian September 20, 2006 - 11:26am, 4 Comments

Microsoft's Zune

Despite yesterday’s hubbub about Walmart posting the Zune price at $284, a member of Microsoft’s Zune development team has plainly stated that the Zune won’t be undercut on price by iPod.

It seemed for a moment that the Zune would be just a flash in the pan, but just for a moment. After Apple announced the price cut of its 30GB iPod to $250 US, and Walmart mistakenly posted a $284 price for Microsoft’s upcoming Zune, it appeared that the fresh-faced Zune would have no chance against the industry-dominating iPod with a $34 to $50 premium.

A member of the Zune team, however, has made it quite clear that Microsoft won’t be outdone by Apple. David Caulton, a contributor to the Zune project, made a comment yesterday website, Zunester.com, that the Walmart myth was bunk:

A commenter mentioned that they’d read that Zune would cost more than the 30GB iPod. I can only say: Don’t believe everything you read. I can’t specifically talk about price, but I can say that Zune won’t be undercut on price by iPod.

There’s no word as to whether Caulton’s comment is sanctioned in any way by Microsoft, but if the claim is legitimate then Zune will certainly be a major player in the personal media player market this holdiay season. With its WiFi capabilities, 3″ screen, and respectable battery life, the Zune would offer several features currently unavailable in the iPod, and for a same, or possibly lower price.

Hats off to Caulton. Microsoft should give him a raise for his outstanding PR work.

[via Zunester]