Slow starting Zune appears to be no threat to iPod this holiday season, analysts said.

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Launched with much fanfare just two weeks ago, Microsoft's Zune music player apparently hasn't struck a major chord with consumers.

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pyrbrand writes "Despite the iFanboy jabber that Zune sales were horrific, CNN has a story to the contrary. Turns out Zune was the #2 Digital Audio player in its first week of sales. Not a bad start for the challenger to the iPod throne. As others have pointed out the Amazon sales rank may have been thrown off by Zune sales being divided between the three colors."

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Microsoft Corp.'s Zune music player claimed a No. 2 spot among portable media devices in its first week on the U.S. retail market, according to preliminary data released Wednesday.

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The Zune, Microsoft's much-hyped answer to Apple's trend-setting iPod, had a good first four days of sales, says a leading research firm. But consumer electronics analysts don't think Apple has anything to worry about. The NPD Group, which tracks sales at most top retailers, says the Zune digital music device had a 9% market share in its first sales days Nov. 14-18, compared with 63% for Apple.

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For the first four days following the Nov. 14 launch, Zune accounted for 9% of unit sales and 13% of revenue in the portable media player market, the NPD Group reported Wednesday.

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Microsoft Corp. may have a chance to take market share from the iPod as a Reuters survey showed 35 percent of those interested in its Zune device would be replacing an existing digital music player.

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MICROSOFT may have an opening for its recently launched Zune digital music player to gain market share against the iPod.

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Microsoft Corp. may have an opening with its recently launched Zune digital music player to gain market share against the iPod, as a Reuters survey showed that among consumers expressing interest in the Zune 35 percent of them were upgrading from an existing player.

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Despite recent negative press about Microsoft's new media player, it is now ranked No. 2 behind rival Apple's iPod, according to statistics released by the NPD Group today. The San Francisco Chronicle reports that the Zune has "supplanted SanDisk's Sansa for the distant No. 2 spot, claiming nine percent of unit sales and 13 percent of the total dollars...

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