Microsoft Chairman Bill Gates announced Friday that the company and its partners will challenge the Apple iPod's dominance by continually developing new digital media devices, writes Podcasting News (via MediaBuyerPlanner). Microsoft will work with partners to create better music players that are less expensive, connect in better ways, and work better with photos and video. Gates says he will have to match and exceed Apple's good work with the iPod and iTunes to increase the 20 percent market share for digital music players compatible with Microsoft software. He has not released any plans for a new Microsoft-branded device.