“The iPod may seem like a side act for Apple these days,” Dan Gallagher reports for The Wall Street Journal. “But the company has good reasons for keeping the music-player business humming.

“Apple updated its family of iPod Touch models this past week, adding more colors and the iSight camera to the entry-level version. It also cut prices across the line, reducing the price of the 16-gigabyte version by $30, to $199, and cutting $100 off the price tag of the largest version sporting 64GB, to $299,” Gallagher reports. “The iPod Touch helps to extend the company’s iOS operating software beyond smartphones and tablets, often to younger buyers not yet ready for (or able to afford) those other devices.”

“The hefty $100 cut to the price of the 64GB device is noteworthy,” Gallagher reports. “Larger memory units can hold more music, movies and games, so cutting the price of the 64GB device could boost sales of iTunes and App Store content that is becoming more important to Apple’s growth.”

Read more in the full article here.

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