by Ina Fried November 18, 2008
With the economy tanking and the holidays looming, Microsoft is hoping to salvage some Zune sales by chopping prices. The software maker plans to announce on Wednesday a price cut for its flash-based models. The 4GB version will drop to $99, the 8GB model will drop by $10 to $139, and the 16GB model will sell for $179, down from $199. Microsoft is also cutting prices for several of its Zune accessories. The cuts take effect on Wednesday in the U.S. and on Friday in Canada. Zune marketing director Adam Sohn said in an interview on Tuesday that the moves were being made to "ensure hopefully we have a good holiday season." The prices put Zune's flash players cheaper than a similar capacity iPod Nano, though Sohn said that wasn't the explicit goal of the price cuts.
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