Is Zune Doomed?

The Zune, Microsoft's portable music player that tried to steal some of the iPod's thunder, may be ready to "throw in the towel," reports The Financial Times. Microsoft CEO Steve Ballmer said the company may discontinue the device because it hasn't been successful in overtaking Apple's dominant iPod line. The company will instead put their energy into developing a "general purpose" device akin to an iPhone or Blackberry. The Zune debuted in November 2006 and boasted Wi-Fi capability and FM radio -- two features the iPod doesn't have -- plus a bigger screen. The Zune garnered positive press when President-elect Barack Obama was photographed using the device at the gym, but a recent mass computer bug at the turn of 2009 only further tarnished Zune's name against its higher-profile competitors.