Veerle's blog

Something interesting has been happening between HP and Apple, they are joining forces to create an HP-branded digital music player based on Apple's iPod™. The device will be due out this summer. I don't understand why people would have mixed feelings about this since this is a wonderful opportunity for Apple to increase market-share for the iPod and HP is the second largest computer powerhouse in the world. It will certainly raise some eyebrows at Microsoft because they probably thought that HP would sell the Microsoft music player :-)

According to the Apple press release:

As part of the alliance, HP consumer PCs and notebooks will come preinstalled with Apple's iTunes® jukebox software and an easy-reference desktop icon to point consumers directly to the iTunes Music Store, ensuring a simple, seamless music experience. This offering is yet another way that HP is helping consumers enjoy more from their personal digital entertainment content. "Apple's goal is to get iPods and iTunes into the hands of every music lover around the world, and partnering with HP, an innovative consumer company, is going to help us do just that," said Steve Jobs, Apple's CEO

Jobs clearly learned something from Apple's past, and has realized that the continued growth of Apple relies upon making partnerships with the competition. Especially if you have a great products like the iPod and the iTunes Music Store (already 30 mil. songs sold so far). So tell me why this would be bad for Apple, HP earns billions per quarter and Apple will get some of that in their bank account and I am sure that this money will used for R&D on the future iPods generations.

Apple has not only strengthened the their position but also pushed the online music space in a direction that ultimately benefits everyone I think. Now if Marcel Heymans of IFPI Belgium would contact Steve for Apple store over here in Belgium instead of suing Telenet everybody would be happy but that's obviously asking to much. Some people will never get it!

Update: Microsoft already had a response to this deal and you won't believe what they said. They are using they word dominance!!! It sure feels like Apple stepped on some toes here. Well Microsoft that's being competitive and you're better getting use to it because the market will have a lot more players in the music business like Sony for example, their musicplayer will be based on the Minidisc technology.

David Fester, General manager of Microsoft's Windows digital media division said:

The iTunes' emerging dominance would be bad for consumers, because it would limit them to the iPod. Windows is about choice - you can mix and match software and music player stuff. We believe you should have the same choice when it comes to music services.

More to come.