According to The Verge and its sources close to the matter, Microsoft will be previewing a new music service codenamed "Woodstock" for the Xbox platform, among others, at E3 later this June:
"The new music service, codenamed Woodstock, will continue Microsoft's shift away from the Zune brand towards the well known Xbox one. Insiders have revealed to us that Woodstock will be a cross-platform play, available to Windows 8, Android, iOS, and Xbox users — playable from a browser."
After renaming the Xbox's online store the "Zune Marketplace" and then subsequently dropping support for the Zune in favor of Windows Phone, there's been a bit of confusion with users who really never got any time with the physical music player. But hopefully by utilizing Woodstock correctly users could actually give Microsoft another fair shake in the music game, however difficult that may be.
According to the same article on The Verge, the service would have a couple of interesting features seen on a couple of their would-be competitors:
"[...] the service won't require any browser plugins and is said to integrate deeply with Facebook, allowing friends to build group playlists and share tracks. An additional "scan and match" function, similar to iTunes Match, is also being tested as part of Woodstock to allow users to identify their existing music collection in the service."
Are you excited to see Microsoft give their music department another shot or are you done with them after the Zune debacle?