Seriously. I mean, they’re the largest software company in the world, their operating system still runs the majority of the world’s personal computers, but every time they’re in the news lately, it’s an embarrassment. Let’s start the list with Zune. The iPod killer. The machine that was going to walk into the digital audio market and show that, once again, there was nothing Apple could possess that Microsoft could not take away.

It’s official: Microsoft has answered Apple’s challenge in retail store sales. Locations and opening dates have not been specified yet, but it appears the number of stores will be small, with a focus on building brand awareness and excitement for Windows products. The effort is being spearheaded by a former Walmart executive, David Porter, who was most recently head of worldwide distribution for Dreamworks SKG. It would appear that the Apple Store’s runaway success in luring consumers has finally made enough of an impact on Microsoft that they feel the need to respond—eight years late, but better late than never, right?

So the Zune’s not doing so well. Shocking, I know. Macworld has a report from Microsoft stating that fourth-quarter revenue for the little music player that could (not) was down $100 million from last year, which, of course, is chump change to MS—the equivalent to what you and I would find in our couch cushions. But it’s also a decline of 54% of the Zune’s market from last year.

Seeing as how “Zune” and “Failure” are practically synonyms, it’s surprising that Microsoft could buckle down and take the rabidly unpopular music player to a newer, and lower, level. But as of 2 a.m. today, and apparently part of some suicide pact/calendar-related coincidence, 30GB Zunes have been bricking themselves.

“It’s not a concept you’ll ever get from us. We’re in the Windows Mobile business.” Microsoft CEO Steve Ballmer has assured us all that a Zune phone will never see the light of day. However, Jose Fermoso, a blogger for Wired, claims that the device could make a possible debut by Microsoft on January 7th more »

The Microsoft marketing staff must be getting paid per idea these days! How else can we explain the Seinfeld+Gates response to the “I’m a Mac” campaign?

Or the release of details about the new Zune media players, which comes suspiciously one day before Apple’s Let’s Rock event. Analyst predictions for the September 9th event include updated iPod nanos, refreshes to the iPod Touch, iTunes 8 with fancy new features, or even a Macintosh netbook computer. Oh, and let’s not forget Steve Jobs’ famous, “One more thing…”. Obviously, nobody knows for certain what Apple will present to the world, but Microsoft sure knows how to try and steal the spotlight.

Find out how after the break.

After a few recent surveys, one thing is for sure. Apple’s place in the music history books are set in stone. An iPodNN report brought a recent Ipsos survey to light that showed that when it comes to music downloading, iTunes is preferred by half of the market, giving it a commanding lead over the more »

When Microsoft announced the new Zune’s back in November, Microsoft’s Robbie Bach made a comment that finally, the Zune was “a worthy alternative” to the iPod. Steve Jobs was questioned about that comment by an interviewer this week at Macworld. The response was very unexpected. Some may even say it was harsh. “Was he inebriated?” more »

Here’s something to keep you amused. With iPod (and iPhone) theft on the rise, there’s never been a better time to put that funky device somewhere safe. Sure you can chain it up or lock it somewhere, but why not stick it inside some uncool device, let’s say, the Zune? Hide-A-Pod was built to look more »