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05/02/2006, 2:50am, EDT

Tuesday, May 2nd

iPod rival Creative faces tough future

Apple's rival Creative is expected to post a quarterly loss of nearly $90 million for its March quarter due to cut-throat competition and falling flash prices. After warning investors earlier this month, the company faces a tough road ahead as analysts see a bleak future for a market dominated by Apple and its iPod: "We expect the business environment for Creative to remain tough at least for the next two quarters. Demand is only expected to pick up for the year-end Christmas sales," said CIMB-GK Securities analyst Jonathan Ng told Reuters. "We remain negative on its prospects given the harsh competition in the market and a lack of new winning products in the foreseeable future," he added. The Singapore-based company offers Nomad and Zen MP3 players that compete with Apple's iPod as well as Samsung's Yepp and Reigncom's iRiver.


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iPod killer, Bah!
0
05/05, 11:29am, EDT
Creative is going to carry this product line into the ground. They obviously aren't going to spend any more an R&D for this line.

They'll hope to recoup some damages at Christmas time but Apple will have some awesome new iPod or something to go with them that boosts everybody to get an iPod for Christmas and Creative will be left with nothing but their creativity, which is non-existant.
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