Creative has declared war on Apple, aiming to capture a 40 per cent share of the MP3 music player market. Part of this campaign includes spending $100 million to market its digital music players.
However, The Motley Fool thinks that competing with Apple will be an uphill struggle for Creative. It writes: "If recent history is any guide, the battle to win over iPod users has yet to be very successful. Various interlopers have taken on Apple with lower price points before, and failed largely because the iPod design is the most compelling. The big A has so far eschewed flash-based players, but rumors are swirling that that might change in 2005 at the MacWorld trade show in January. Speculation has leaked that CEO Steve Jobs will unveil an inexpensive Apple-branded flash music player.
"Ultimately the functionality, features, and price will determine tomorrow's must-have device. Having those three weapons ready to launch will be key if Creative wants to win the war for digital music players."