Microsoft says Zune still on track

Microsoft says Zune sales still pretty rosy.

(Credit: Microsoft)

I still don't see them anywhere I travel, but Microsoft says that it is still on track to sell 1 million of its Zune portable music players by June. That's this month, so I wonder just how many of the devices are leaving Microsoft now and headed to retail stores.

I have noticed Zune pricing start to fluctuate further from the $249 suggested mark. For example, Circuit City has the Zune on its Web site for $199.

The software maker noted on Thursday that it is still garnering roughly 10 percent of the U.S. retail market for hard drive-based music players and, according to NPD, has grabbed a 11.3 percent share for May.