Music Ally

General Motors is to team up with Microsoft Zune to soup up the Chevy Camaro with in car audio support for Zune Players.

The deal could be huge for Microsoft. In-car listening is one of the largest music consumption points in the US; and as new vehicles become increasingly wired (or wireless) the scope for integration with digital music services will grow. Zune now has secured support from one of the world’s biggest car makers, with 27 further models set to be launched with Zune compatibility across the US, Europe, Asia and Australia during the next year.

Still, neither GM nor Zune are setting the world alight at the moment. This week GM chief Fritz Henderson warned that the company could fall into bankruptcy; and while Microsoft is still very much solvent, its Zune player has been a flop. So what else can Microsoft do?

Clutch at straws seems to be one answer. Microsoft has created an advert featuring a navy blue-blazered “certified financial planner” comparing the USD $30,000 it costs to fill an iPod with the $14.99 it costs to fill a Zune using Zune Pass.

Microsoft is leaving it up to analysts such as ourselves to remind you that iTunes tracks are permanent ownership whereas the Zune Pass is a subscription.

One of the things we’re tracking at Music Ally is how artists and labels are using mobile and online to promote music. And since we’re tracking it on an ongoing basis, we thought it was worth rounding up some of the notable campaigns for last month.

Not all are straight digital marketing campaigns – some are more distribution deals – but we think they give a snapshot of what companies are up to. See what you think.

1. AC/DC Excel video (above). Sony BMG turned the new video from the Aussie rockers into an ASCII-art video, embedded into an Excel spreadsheet. The idea: fans would be able to email it round workplaces without fear of getting carpeted by bosses. Watch It

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A week since Apple’’s iPod launch, Microsoft has revealed a series of new designs for its Zune and a deal with Wayport meaning Zune owners will be able to use WiFi hotspots at 10,000 McDonalds stores across the US to download or stream music from the Zune Marketplace store. The company also revealed (more…)

As predicted, Microsoft has unveiled its new range of Zune personal media players. The hard drive model gets a storage boost to 120GB, while the flash memory version bumps up to 16GB. New features include Wi-Fi streaming, with a $14.99 monthly “Zune Pass” allowing users unlimited streaming of more than three million tracks. The FM radio tagging feature we wrote about last week is in there too, as well as games. (more…)

The blogosphere’s been going mad overnight with a rumour that Nokia and Microsoft are working together to integrate the latter’s Zune Marketplace store with the former’s technology. “The joint development is directed at content delivery rather than a hardware device,” claims Zune Scene, which posted the initial story. (more…)

Battle of the devices: Zune vs Zen vs iPod vs iPhone