Rio Exec: Apple has ‘priced themselves out of the market’ with $249 iPod mini

“Is $249 a mass-market price tag for a portable music player? That’s the debate raging in consumer electronics circles after Apple Computer debuted its latest version of the iPod, which hit stores Feb. 20… some observers are concerned that Apple’s asking price for the Mini — which weighs 3.6 ounces and holds 1,000 songs — freezes out many casual music fans who otherwise would be interested in buying the device. ‘I’m disappointed with the price point,’ says a major-label technology executive who had hoped that pre-announcement rumors of a $100 retail price would prove to be true,” Brian Garrity reports for Billboard.

“Certainly, the price point is not stopping curious consumers from lining up to buy the latest iPod. Early demand for the Mini appears to be high, according to the company. Apple reports that it has already received more than 100,000 pre-orders for the product. ‘The response to the Mini iPod has been off the charts,’ Apple senior VP of worldwide product marketing Philip Schiller said in a statement,” Garrity reports.

“Apple is not just comparing the Mini with the standard iPod in its marketing efforts. It is also positioning it as a better alternative to high-end, flash media-based products offered by companies like Digital Networks North America, maker of the Rio line of portable music players. Flash media is a removable storage media used in digital cameras and some MP3 players. Apple iPods, by contrast, are essentially portable computer hard drives. Flash players typically carry only a couple of hours of music, but they also are less expensive, costing $200 or less. Apple’s argument is that for consumers considering pricier flash-based devices, the Mini, which is of rival size and holds much more music, is only about $50 more,” Garrity reports.

Garrity reports, “‘They’ve priced themselves out of the market,’ Richard Bullwinkle, a senior product manager at Rio Audio, told Billboard in an interview earlier this year.”

Full article here.

31 Comments

  1. I am truly amazed at the number of Pee-Sea Trolls who hang out on all of these Apple/Macintosh sites with nothing else to do than to take .22 caliber potshots at Apple and it’s products.

    It would NEVER occur to me to visit windows message boards and slam Wintel hardware and software. I just don’t have the time or inclination.

    So what is UP with these people? Is this their JOB? There are just TOO MANY of them for it to be the random actions of a few hyperzealous nuts.

    ???????

    david vesey

  2. Jobzzzzzzz said:

    “The truth is sometimes painful, isn’t it, Macfag david?”

    Now, now Jobzzzzzzz, I know you don’t mean that. It’s just the LIQUOR talking.

    I don’t mind at all that you guys are here. Just curious WHY. I truly hope you’re being paid by someone to do this. Any other reason is sort of PATHETIC. And I have absolutely no desire to spar with you, because I don’t CARE what you think or what computer platform you prefer.

    I consider the Macintosh to be an IQ test that most people fail.

    I am just a little curious about people like you that spend moments of their finite life slagging a computer platform.

    Kooky!!

    david vesey

  3. Jobzzz is a good indication of how modern civilisation is destined to come to an end. Instead of being at pre-school he goes posting on Mac boards. His parents should be ashamed of themselves! To think that kids like this are our future, well, I suppose everything has to come to an end.

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