Microsoft to produce original video content for Zunes

In what seems to be a strange move to me, Microsoft is going to produce original video content exclusively for Zune owners. The first series will be an 8-episode comedy called Cinemash starting in May. Each episode will be 3 to 5 minutes long.

Considering there are only 3 million Zunes but opver 170M iPods, why wouldn’t MS make this content available to everyone? After all, profit margins on content can be way better than on hardware, especially in a down economy. Yeah, we all know why – they want to sell more Zunes; can’t let Apple keep beating them there.

My prediction – this will fade quietly, and there will be no more MS video next year.