Beeblebrox said, "And everyone keeps failing to consider what will almost certainly be the bread and butter of the Zune Marketplace, which is subscriptions, which are charged in dollars."
To this point in the legal digital download era, subscription-based models seem to have failed. One of the things I'm most curious about with the entire iPod-vs.-Zune business is whether the Zune can actually give the subscription-based model traction.
I have no personal interest in subscribing to music. It just doesn't suit me -- I like to own my music outright. But it seems like it would be a great fit for a lot of people who aren't me. And I think choice is a good thing.
Give the Zune a year or two, and we'll see whether or not the market for music subscriptions has grown. Maybe it's true that only a very small percentage of consumers want to subscribe to music. Time will tell.
The points system is definitely similar to Apple's gift card system. But the key difference is that Apple's gift cards are OPTIONAL. They are available because gift cards are ideally suited for some situations. (Such as, say, gifts.)
With Microsoft's "points" EVERYONE is forced into that system, whether it suits them or not. Even if it's good for someone with an Xbox, it's bad for me without an Xbox. Why not make the MS points OPTIONAL? Good for Xbox users, while someone like me could use a normal system based on U.S. dollars.
I agree with Mr. Stoup, and I have yet to see one logical argument that makes the points system "better."
I compare MS points to buying "Mickey Mouse Dollars" at Disneyland in California. By the logic of Zune's defenders, this makes sense for the consumer, because they are ALSO valid at Walt Disney World in Florida!
Or, you could just use U.S. dollars (like iTunes), which are accepted by every single company in the United States. (And many companies outside the U.S. as well.) It's a proven system, and if iTunes were to disappear tomorrow (what's the death watch on "PlaysForSure" now that Microsoft is pushing the Zune Marketplace?), my U.S. dollars would be good everywhere else.
Zune Marketplace's Absurd Pricing Scheme
Zune Marketplace's Absurd Pricing Scheme