No Zune in Europe in 2007 (Updated)

Microsoft Zune

In an interview with the German Wirtschafts Woche (I think a subscription is required), Steve Ballmer has confirmed that Microsoft has pushed back plans to release the Zune in Europe. The reason is simple: Microsoft is still losing money on each Zune as it chases its goal of selling a million by the end of June.

Ballmer did not disclose any new release dates for Europe (or anywhere in the world for that matter).

Microsoft is widely expected to unveil second generation Zunes in time for the 2007 holiday season.

Update: An updated translation of the interview with Steve Ballmer reveals that he did not say that the Zune was not going to land in Europe this year. Instead, he said: So far, we have lost money in this business because of our investments. That is why we decided not to enter new markets so far. So, the Zune could be headed to Europe this year after all. Maybe.

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