Tue, 11 Apr 2006 Creative launches UK iPod price war

Jonny Evans

Creative has launched a full-scale attack on Apple's iPod marketshare in the UK, aggressively slashing prices across its product range.

The company has cut prices significantly, and its announcement of the discounts clearly referenced Apple as its main market competitor.

The 8GB Zen MicroPhoto now costs £149.99 (from £179.99). "This is £30 cheaper than the iPod nano," Creative claimed.

The company has also slashed prices on its Creative Zen Nano Plus range of flash-based MP3 players. "Now the same price as Apple's 'random' flash offering", the company declared. These products now start at £34.99 (for the 256MB version).

The Apple competitor recently revealed an operating loss of about $55-$65 million for the three months ended March 31. Revenues for the quarter came in at "about $220-$230 million", the company said, compared to $333.8 million in the same period a year earlier. Its stock currently trades at $6.26.

Creative sold over eight million music players in 2005 - but clearly hopes to profit from its newly announced pitch on price.

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