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Meta Group says the bundling of Windows Media Player 8 with the forthcoming XP version of Windows is not an attempt by Microsoft to block competitors. Percent for Windows Media Player and 4 percent for QuickTime. Therefore ranks media players by usage: 28 percent for RealPlayer, 22 Jupiter Media Metrix reports that media players are pre-installed on almost all PCs,īut fewer than half of consumers use the products. Other companies that stand to lose from the action are Roxio, maker of Easy CD Creator 5, and InterVideo, with its WinDVD.
The new bundling move could also put further pressure on competitive products, including RealNetworks' RealPlayer 8 and Apple Computer's QuickTime 5.01, analysts said.
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"It's a pet project, and I'm sure from his standpoint he sees it of significant value to try and make it one of the reasons people will upgrade to Windows XP," said Guernsey Research analyst Chris LeTocq.
"Within Microsoft, Windows Media Player 8 is very much a favorite of Jim Allchin's (the Microsoft vice president who also drove Windows and Internet Explorer development). Others agreed that Microsoft appears to be using Media Player to boost acceptance of Windows XP. "They're grasping at straws," Silver said. "I see this as trying to add value to the OS and trying to get people to move to the OS rather than upgrading to the media player for free," said Gartner analyst Mike Silver.īut he said he doesn't think it is enough of a reason to buy Windows XP. With Media Player 8, the company also could be trying to spur demand for its new OS, Windows XP, analysts said. When it tied Internet Explorer to the OS, Microsoft was attempting to boost market share for the browser. Microsoft is awaiting an appeals court ruling on the matter that could result in a breakup of the company. Microsoft's decision to couple Internet Explorer with Windows, called "tying" in legal parlance, helped shut rival Netscape out of the browser market, federal and state trustbusters contended in a case they won at trial.
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These include CD burning and DVD movie playback, among other features not available with earlier versions of the product. "There are some features with Windows Media Player that can only be delivered with Windows XP," said Jonathan Usher, Microsoft's group product manager for Windows Media Player. Repeating the company's argument for bundling Internet Explorer with Windows, a Microsoft representative said Media Player 8 includes new features that require close integration with Windows XP for optimal performance. "It's bad PR, so why the hell are they hitting themselves in the foot again?" "No matter what the courts say (about the legality of bundling), Microsoft will look like a bully and get called a bully," said Frank Gillett, senior analyst with Forrester research. Some analysts were critical of the move, considering the legal and public relations troubles that were caused by tying Internet Explorer to the OS. The older version of Media Player, version 7.0, will continue to be available as a free, separate download. However, with Windows Media Player 8, Microsoft is going one step further than it did with Internet Explorer: the newest version of the application will only be available to consumers who upgrade to Windows XP. A similar "tying" of Internet Explorer with the OS in 1996 is credited with helping Microsoft win the browser war against Netscape's Navigator and has been a key issue in the antitrust case that is awaiting a decision by a federal Court of Appeals. Windows Media Player 8 will be bundled with the forthcoming Windows XP-the upgrade to Windows 95, 98, Me and 2000. Microsoft is requiring consumers who want to use the latest version of Windows Media Player to upgrade to the new Windows XP operating system-a move that is reminiscent of the company's controversial decision to tie the Internet Explorer browser with Windows.