Microsoft Freezes New Hires for Zune, Xbox Groups

Silicon Alley Insider is reporting that Robbie Bach, who heads up Microsoft’s Entertainment and Devices group (Xbox, Zune, etc.), has issued a hiring freeze.

They also ran the following statement from Microsoft spokesman Lou Gellos:

“Microsoft will continue to grow and add thousands of new jobs this year, but given the current economic environment we are taking the prudent step of reviewing our hiring plans and will make some adjustments as appropriate. We are optimistic about our prospects for growth and will continue hiring the talent we need to ensure our ongoing success.”

To date, the Zune has sold just over two million units, compared to well over 150 million Apple iPods sold. The Xbox 360 has been doing much better, especially since a recent price cut put the lowest rung model at just $199, or $50 less than the extremely-hard-to-find Nintendo Wii.