MacDailyNews - Where Mac news comes first

 MacDailyNews Poll

Deal of the Day

5 Day Most Commented

Opinion Archive

Current Headlines

Latest Joy of Tech

  • Latest Joy of Tech!

MacNN

AppleInsider

Macworld UK

TUAW

MacRumors

Yahoo! Finance AAPL

iTunes Top 10 Albums

Mac OS X Downloads

Sat, Nov 21, 2009 - 05:14 AM EST  —  AAPL: 199.92 (-0.59, -0.29%)  |  NASDAQ: 2146.04 (-10.78, -0.5%)

Apple Computer’s rumored ‘iPod micro’ could be used to boost Mac market share
Friday, October 01, 2004 - 11:02 PM EST

By SteveJack

The Mac Web is aflutter with speculation that a new member of the iPod family is due this Christmas.

The Associated Press reported today, "Citing 'numerous sources in Asia,' Thomas Weisel analyst Jason Pflaum said Apple will use SigmaTel's controller chips for a player it's planning to launch this Christmas. SigmaTel and Apple officials weren't immediately available to confirm Apple's plans. In a research note Friday, the analyst estimates revenue of $2 million to $4 million from the deal in the first full quarter. Unlike Apple's hugely popular iPod and iPod Mini players, the new player would use solid-state flash memory, which has less capacity but can make for a lighter, cheaper player."

If the rumored device is indeed in the works, Apple's CEO Steve Jobs is none too happy right about now with SigmaTel or whichever entity leaked this information.

Let's put Steve's ire aside and take a look at what this rumored "iPod micro" could mean for Apple. First off, this new iPod will be impossibly thin, light and inexpensive. Think of a couple of credit cards stuck together and that's about the size of it. With a suggested retail price of around US$99, the new 'iPod micro' could be designed to be a value-added offering from Apple, included with any new Macintosh (eMac, iMac, iBook, PowerBook, Power Mac, and heck even Xserve) purchase. It would be a more direct way to concentrate the iPod Halo Effect upon the masses (see related articles below).

What would giving away this incredibly thin, tiny iPod accomplish for Apple? Well, for one thing, it could help sell more Macs which would be a good thing. It'd be $99 to buy it on its own, but "free" with a new Mac, so why wait for 'Longhorn' when Tiger's on the prowl and you get an iPod to boot?

Sold on its own for such an affordable price, it could whet its owners' appetites for more while introducing them to Apple's iTunes Music Store's way of buying music. That would also spread iTunes, AAC (MPEG-4 Audio) and Apple's FairPlay DRM use that much more. All good things for Apple. After people filled up their iPod micros, they'd be primed to consider an iPod mini or iPod in the future. It'd be like the eMac, iMac, Power Mac progression.

A $99 "iPod micro" would be an impulse buy, with little risk for buyers and, if "iPod micro" came free with every Mac purchase, it might be just enough to push people from Windows over to Mac OS X. After living with unending Windows security issues, the kludgy user interface, patches, adware, spyware, and with just the promise of a stripped-down 'Longhorn' awaiting them, a "micro" push might be all the additional incentive they'd need to make the Mac choice. And once they get a taste of Mac OS X, well, we all know what'll happen, Apple will have them for good.

SteveJack is a long-time Macintosh user, web designer, multimedia producer and a regular contributor to the MacDailyNews Opinion section.

Related MacDailyNews article:
RUMOR: Apple to launch new solid-state flash memory iPod this Christmas? - October 01, 2004

Related MacDailyNews articles:
Apple's iPod 'Halo Effect' revs up for back-to-school season - August 23, 2004
iPod Halo Effect shines upon another reviewer: 'it just works, even on a Windows PC' - August 06, 2004
Apple's 'iPod Halo Effect' begins to shine - August 03, 2004
iPod and iTunes fans migrating from Windows to Macintosh - July 16, 2004
Analyst: Apple iPod 'Trojan horse that's beginning to fuel migration of Windows users to Mac platform' - July 16, 2004
Apple's 'iPod Halo Effect' materializes, restarting growth in core Mac units - July 15, 2004
iPod is Apple's Trojan horse with a halo - April 15, 2004

Bookmark and Share

Always -- Free ground shipping with orders over $50 at the Apple Store.

Reader Feedback: = registered.
Unregistered users: Feedback from multiple usernames are subject to deletion. Off-topic and posts from suspected astroturfers will be removed.

Oct 01, 04 - 10:41 pm Comment from: Jon

Time will tell. Whatever it is, it will be great. Don't know about giving it away, but Steve will know how to leverage it to best effect.

Oct 01, 04 - 10:46 pm Comment from: Peter

Apple give an iPod away? I don't think it will happen.

Oct 01, 04 - 11:38 pm Comment from: dennis

Okay, everyone's throwing around $99 as the price for this rumored device. That probably means we should expect the actual cost to be somewhere between $149 and $199.

Oct 02, 04 - 06:35 am Comment from: Hywel

I think this will be more expensive that the mini. I also don't think Apple will go below the 1,000 song mark (4GB).

People were prepared to pay apparently crazy prices for the iPod over the Creative labs devices with more capacity.

The reasons were size and design.

People were prepared to pay apparently crazy prices for the iPod mini over the regular iPod devices with more capacity.

The reason was size (ok, and to match their lipstick for the laydeeze).

So flash is more expensive than a 4GB 1" drive. But if it's only $50 more for 4GB, but will yield a significantly thinner player and much higher battery life, then people will want it. People will buy it.

But Apple aren't about to offer a free or $99 iPod micro. Apple are not about cheap.

When rivals can offer 1000 song players for <$99, then they may have a problem (this is what, 18 months away?), because it's not about GB, it's about the number of songs you get on the player (at a decent quality), and the magic number is 1000.

When solid state is cheap enough, Apple have to start making new devices. More thorough AirTunes (with displays and remotes), properly integrated in-car players (not a BMW bodge).

Oct 02, 04 - 06:59 am Comment from: alex

speaking of the BWM bodge....have you seen the aftermarket alpine ipod system? alpine makes some great stereos...but this is just impossible to use. they have a flash tour you can take showing how it works. it really just leaves you so confused.

anyway that was random. I don't know what Apple is going to to do with this ipod micro. I think that maybe it will be solid state. I know there is a company developing a new method of stacking whatever the heck is in flash memory (much like making a huge stack of pancakes) and, doing the math, it ends up being cheaper, only very, very, very slightly larger, and holds more data. I think Nintendo either considered using the technology or is using it in their upcoming DS handheld, I'm not sure.

Anyway I think whether apple will go below the 1000 song mark is really questionable. you can't really say either way too much but steve did mention at a keynote the "junky $50 flash players" were...well...junky

A free ipod with every mac would be the most wonderful marketing scheme in the world. If they did that with the REGULAR ipods for a limited time and advertised like crazy, they could gain marketshare (but not profits)

Oct 02, 04 - 10:22 am Comment from: Bandik

Giving away iPods of any size with Macs would be plain stupid, because they are wasting one of their two large markets. By giving iPods with Macs, they destroy iPods potential sales. You buy an computer, and suddenly you stop thinking about that iPod because you get one for free. Wise? No. Apple won't be that cheap. They'll make the player supersmall, relatively expensive and even more great looking and must-have than any earlier Apple product.

The way to go for Apple is finding a new niche for flash, not competing in the old cheap division of flash-based players from anywhere.

Oct 02, 04 - 11:41 am Comment from: Dave

The size and price mentioned are ridiculous. The thickness of two credit cards? Come on. It's going to need a firewire port, display and battery. It would probably be only slightly smaller than the Mini. It would probably cost no less than $199, and still sell very well. As for capacity, I'd expect about 2GB. Four would be too expensive and less than two would hold too few songs.

Oct 02, 04 - 12:13 pm Comment from: dp

it wouldn't take much for dell or whoever to bundle some piss-poor mp3 player (or even the ipod tiny) with one of their consumer models.

Consumers that buy something big to get something small free will probably buy any old crap. Doesn't sound like an apple consumer to me...

whoever heard of someone buying a ferrari so they could get the screwdriver kit free?

you'll also get the fcuktards that will want a discount on their mac because they don't want the ipod...

Oct 02, 04 - 12:52 pm Comment from: Robert

I see it another way, already owning a 20 gig iPod myself. If the interface is the dame as the regular iPods, I would buy one of these in a heartbeat to take with me to those places I never seem to take the iPod for fear of heat, or activity heurting it.

Oct 02, 04 - 02:15 pm Comment from: Philip

anyone that chose a mini over the 40 gig iPod knows satisfaction is determined by the software, iTunes. It forces you to manage your tunes and more frequently update your iPods playlist.

The micro is a a compliment to its big brother. take it for a run or take it to a club at night and don't fear about dropping or losing it.

Oct 02, 04 - 07:36 pm Comment from: pkradd

When the mini was introduced and the experts said it was too expensive and wouldn't sell, SJ was quoted as saying that Apple would love to offer a $100 iPod but it was not possible at the time. The so-called magic price point has proven to be of little interest to the public as the "expensive" iPods have sold pretty well. A $99 200 song capacity iPod micro would fill a niche.

Oct 02, 04 - 10:28 pm Comment from: The Seer

Nope nope nope. Not micro, maximo.

Oct 03, 04 - 11:23 am Comment from: Bruce in Ottawa

Have I missed something? How do we know for sure if SigmaTel's controller chips are strictly for flash technology? Can they be used for next-generation iPods or perhaps some other unknown product?

Oct 03, 04 - 04:32 pm Comment from: Doug Petrosky

People are so silly!

Apple has a great high volume storage MP3. It has a killer mini version. These are not going away and I would expect the will be refreshed again in the coming months. But what they don't have is a simple low cost workout/short trip/kids MP3 player.

Could they make a $99 512Mb Flash player? Hell yes! Is it possible they will go to 1GB and $149? sure! but don't doubt Apple could hit this price point.

People make the mistake all the time comparing apple products. The mini does not compete with the iPod. They are solutions for two different problems. The micro will not compete with the mini, it will be a different type of person who wants it.

Oct 12, 04 - 07:01 pm Comment from: Lawrence Guzzetta

Regarding the give-away proposition: Not a chance. iPod's are selling Mac's these days. Not the other way around. Selling the iPod for $700 and bundling in a free eMac might generate some business. Again, the market shows no indication of the reverse. As far as Apple even introducing a $99 unit I think it's highly unlikely. Steve has the brand recognition he desires already. A bottom of the barrel model is not going to expand adoption enough to warrant cannibalizing the existing market. At $249, no one can keep the Mini's on the shelf. Apple is not, and never will be, a $99 product company. That's a price point not a product. I expect an 8 GB Mini at the $249 mark to stay ahead of the real competition like Virgin & M$ not some $99 disposable that dilutes one of the strongest brands in technology today.

Oct 13, 04 - 12:09 pm Comment from: Static-X

Hey Steve Jack! Remember me from MSNBC Technology BBS and Lostcommunity? Well you always a Mac can run Windows but not the other way around. And like so many of your other silly comments I must too put you down for that statement.
Here is the G4 emulator for a PC
http://www.cherryos.com/#
And here is good old OSX running in Windows XP. Word is that if you have a 2.xGhz P4 and 1GB of RAM is runs almost equal to a top of the line G5. I doubt that myself, but it is fun to put your nose in it one more time.

Dec 05, 04 - 08:02 pm Comment from: DanK

I do have a lot of friends that say the want and iPod but don't have the $200+ to get it.

Everyone wants an iPod, and with an "ePod", everyone could afford one.

A perfect solution: The people who need 20+Gb get the iPod or iPod photo
The ones that can manage fine with 4Gb get the iPod mini

The iPod micro for those who either can't afford the other models, or simply just don't need that much space.


"Ok.... abortions for some... and iPods for all!"

Dec 08, 04 - 01:46 pm Comment from: Static-charge

Hey Static-X,

Gee, I guess you were right... NOT. Who has a smelly nose now?

Sep 18, 05 - 06:45 am Comment from: mighty nano via iPodDailyNews

so i guess this turned out to be the mighty nano sent to crush ipod clone scum

Reader feedback page 1 of 1 pages:

Always -- Free ground shipping with orders over $50 at the Apple Store.

Add Your Feedback:

Register or Login

Name:

Email: (optional)

Emoticons | Allowed HTML Tags

Remember my info   Notify me of follow-up comments?

Please enter the "MDN Magic Word" you see in the image below: