For the last few months, rumors have been flying all over the web about Microsoft releasing some sort of handheld device. Now Bloomberg is reporting that the big M has plans to release a portable music and video player in time for Christmas this year. The article says J. Allard, one of the men behind the first Xbox, is overseeing this new portable device. It also says that Microsoft has met with EMI Group Plc, Universal Music Group, NBC, Fox, and CBS for music and video content to include in an online store designed to compete against Apple's iTunes. The new device will have Wi-Fi support, and Microsoft says the screen will be of higher quality than the iPod's. No mention was made about support for games. Perhaps Microsoft thinks just tackling Apple is enough for now. Either way, MS definitely has an uphill battle. Since its premiere in 2001, 50.8 million iPods have been sold. That's one heck of a head start for Apple.
We asked Microsoft for a comment about the Bloomberg article and received the following reply: "We can't comment on any of the rumors or speculation written about in Bloomberg."