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Microsoft To Launch Entertaining Thrust Vs. Apple And Others Slew Of Media Wares On Tap One seeks to leapfrog the iPod through devices that play movies, not just music.(INTERNET & TECHNOLOGY)

Investor's Business Daily

| September 02, 2004 | COPYRIGHT 2004 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: PATRICK SEITZ

Microsoft is expected to raise the ante in the high-stakes game to control the future of digital media with announcements Thursday aimed at Apple Computer, RealNetworks and other rivals.

The Redmond, Wash., software giant will take the wraps off its MSN Music Store, which will sell song and album downloads, and Windows Media Player 10, the latest version of its free software for playing music and video on personal computers. Plus, the first handheld video and music player using Microsoft's Portable Media Center software was slated to hit store shelves Thursday.

"This is the first wave in a number of digital entertainment products that will be coming out this fall from Microsoft," said James Bernard, product manager for Portable Media Center. "These products are all about the ability to take digital entertainment off the Internet, share it with different devices around the home, and be able to take it with you as you're out on the go."

Microsoft hopes to slow the momentum behind Apple's market-leading iTunes Music Store and iPod portable music devices.

"Both iPod and iTunes are far ahead of the pack," said Matt Rosoff, an analyst at Directions on Microsoft, an independent research firm. "Microsoft is trying to match or get close to Apple's ease of use while increasing the number of choices that it gives to users."

MSN Music Store will offer song downloads for 99 cents and albums for $9.99. That's in line with iTunes prices. But songs from Microsoft's service can be played on many portable devices, ...

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