Our buddies at 'rama point to a widely circulated Steve Ballmer interview about Zune. Lots of folks actually have Steve's words mistranslated. Here's what he actually said:
You are only selling Zune in the US. When will the device be launched in Europe?
Our primary goal was to get into market, offer some innovation and do some learning. The US is always an easy place to practice, because it is our home market. Over time, we will have various versions of Zune. And, it is obvious that we need to have new services, not just an internet music store. So far, we have lost money in this business because of our investments. That is why we decided not to enter new markets so far. It will only pay off after we have reached some of the goals outlined. When this will be the case, I cannot tell you today.
We've said all along that focus and delivering a unique and high-quality experience is important to us and that we will not expand the device family or our geographical footprint until we are positive that we can provide the best experience from the start. Our plan is stated in terms of years – we’re in this game for the long haul and we're solidly on track to meet our goal for this fiscal year (1M unit sell-in) and are exactly where we need to be with the business.