Analyst sees next-gen touchscreen iPods by Macworld
Speaking to clients in a research note Monday, investment research firm Piper Jaffray said it believes Apple will soon introduce a new breed of video iPods based around the same technologies used in the iPhone handset.
"We believe the iPhone reveals much of what the iPod will soon be," wrote analyst Gene Munster. "Specifically, we expect Apple to release high capacity iPods based on OS X sometime during or before Macworld '08 in January."
Munster said the new digital media players will likely have touch-screen media features akin to the iPhone, but will not include wireless phone capabilities or Internet features.
The analyst's comments appear to draw from those of Apple chief executive Steve Jobs, who during an internal Apple meeting last month hinted that the company was working on next-generation iPods that, like iPhone, would run an embedded version of the Mac OS X operating system.
In his note to clients, Munster went on to say new touch-screen video iPods could both curb cannibalization of the players by iPhone and boost the company's margins at the same time.
The analyst estimates yearly iPod growth to fall from 35 percent in fiscal 2007 to just 13 percent by fiscal 2009. However, he notes that OS X-based iPods with some of iPhone's features could help lessen the impact of the cannibalization.
"We believe iPhone buyers are looking for a better mobile phone, and the iPod features are an added bonus," the analyst wrote. "Based on recent survey work, we believe most the current iPod base is simply looking for a better iPod.
Munster speculated that new video iPods in the $299 price range, which include some of the iPhone's new iPod features but not its telephony and Internet capabilities, would likely address such demand.
Should those new OS X-based iPod models share iPhone components and software, it will add economies of scale to the iPhone business, he said.
"We believe the iPhone reveals much of what the iPod will soon be," wrote analyst Gene Munster. "Specifically, we expect Apple to release high capacity iPods based on OS X sometime during or before Macworld '08 in January."
Munster said the new digital media players will likely have touch-screen media features akin to the iPhone, but will not include wireless phone capabilities or Internet features.
The analyst's comments appear to draw from those of Apple chief executive Steve Jobs, who during an internal Apple meeting last month hinted that the company was working on next-generation iPods that, like iPhone, would run an embedded version of the Mac OS X operating system.
In his note to clients, Munster went on to say new touch-screen video iPods could both curb cannibalization of the players by iPhone and boost the company's margins at the same time.
The analyst estimates yearly iPod growth to fall from 35 percent in fiscal 2007 to just 13 percent by fiscal 2009. However, he notes that OS X-based iPods with some of iPhone's features could help lessen the impact of the cannibalization.
"We believe iPhone buyers are looking for a better mobile phone, and the iPod features are an added bonus," the analyst wrote. "Based on recent survey work, we believe most the current iPod base is simply looking for a better iPod.
Munster speculated that new video iPods in the $299 price range, which include some of the iPhone's new iPod features but not its telephony and Internet capabilities, would likely address such demand.
Should those new OS X-based iPod models share iPhone components and software, it will add economies of scale to the iPhone business, he said.
Comments
Papa needs a new iPod!
Ohhhhh, I get it. You mean that he predicts it will be available before the next Macworld Conference. Riiiight.
It would be a real mistake for Apple to miss the '07 holiday season on this one.
And while $299 is the 'nice' pricepoint for a high-end, touchscreen iPod, I'll bet Apple finds a way to miss it. Prolly they release two touchscreen iPods at $349 and $449 (!), especially if they go with flash memory... which admittedly is still quite pricey (but whose lower power requirements are a nice offset to the greater power drain of a huge 'iPhonelike' screen).
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I've found myself staring at the 30GB ipods at best buy (now only 249!!!). I am like, I SOOOO Could just pick one up. . . but I know that I should wait for this one.
I agree with the above posters . . . just give me the WIFI option. I would love a portable mini-browser for when I am on the go.
You can even charge me $399 for it.
My Guess:
30GB (flash) iPod (touchscreen like iPhone).
with WIFI $399
without WIFI $299
60GB version
with WIFI $499
without $399
But it's got to have the WiFi! I wouldn't even care if it was just 802.11b rather than g or n, and I could live without Bluetooth. Take the damn phone portion, but give me wireless. (Skype wouldn't hurt, either.) They can take the cheap, zoomless camera, too.
Papa needs a new iPod!
For once, I agree with an analyst. The world must be coming to an end.
I think it's far more likely that the new video iPod will have just the iPod features of iPhone, and not the WiFi/Safari capabilities. It's the best way to ensure that you don't cannibalize iPhone or iPod sales. And it's the only way to keep the price in line.
I'm more interested in seeing how they solve the storage issue myself. For me to get a new iPod, I'd need more than the 80 GB of storage I already have. That means sticking with hard drives for now, which might be bulky on a new iPod with a touch screen.
If they went all Flash RAM, the biggest iPod I could envision would be 32 GB. Otherwise, it'll end up costing more than $299 for sure.
And meanwhile the nano would probably have to remain non-touch screen. I can't see a screen that small being easy to tap with your thumbs.
Munster speculated that new video iPods in the $299 price range, which include some of the iPhone's new iPod features but not its telephony and Internet capabilities, would likely address such demand.
Should those new OS X-based iPod models share iPhone components and software, it will add economies of scale to the iPhone business, he said.
[ View this article at AppleInsider.com ]
Uh ... not likely. Drop the Internet capabilities and there's no point in using the same components and software. Keep them, and the iPod would actually be more expensive than the iPhone since you won't be getting a discount for the two year contract ... especially after you add storage space to get it up to the specs of current iPods.
Don't get me wrong, I'd like to see this, but I don't see this happening soon without a huge drop in the price of the iPhone.
But i do want the WiFi internet browser, or at least a finder that lets you view and edit documents. However i do agree with the analyst with the idea that it would canibalize the iPhone if you just took out the phone capabilities and kept everything else in the iPod.
Uh ... not likely. Drop the Internet capabilities and there's no point in using the same components and software. Keep them, and the iPod would actually be more expensive than the iPhone since you won't be getting a discount for the two year contract ...
I don't think the iPhone was subsidized by ATT, though most phones are. You paid full price AND still were bound to a two-year contract.
It was a source of some complaint, both on AI forums and elsewhere. But, hasn't seemed to hurt sales, not yet anyway.
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However if it was priced the same as an iPhone but the only difference was the trade-in of the phone/flash storage ability for a hard drive, I'd do it. I don't really need the phone but I could certainly use the large storage space and would love to have everything else the iphone has, including the wifi.
100GB?? how many songs do you possibly have? You must think i'm crazy to own as my primary computer a 12" Powerbook with a total hard drive capacity of 80GB. I can understand if its video taking up that space but 100GB of songs?? i dont see a need for that..
But i do want the WiFi internet browser, or at least a finder that lets you view and edit documents. However i do agree with the analyst with the idea that it would canibalize the iPhone if you just took out the phone capabilities and kept everything else in the iPod.
I'd be quite happy with 4GB at $399. I still haven't filled up my old 4GB mini, although I suppose it'd be nice to have some extra room for movies. Heck, Apple, give us some kind of media card slot so we could add our own memory. 4GB SD cards are downright cheap nowadays.
As for cannibalization, many if not most people would still rather have the iPhone. The combined phone/ipod means one less gadget to carry and you don't need to search for a WiFi hotspot to get online. I don't go online enough on the go to need always connected Internet, but there are a lot of net junkies out there who do.
I don't think the iPhone was subsidized by ATT, though most phones are. You paid full price AND still were bound to a two-year contract.
It was a source of some complaint, both on AI forums and elsewhere. But, hasn't seemed to hurt sales, not yet anyway.
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If you believe some of the reports of AT&T paying Apple for each subscriber, then the phones were subsidized, just not to the customer. From AT&T perspective, they paid to Apple instead of the you and I.
If you believe some of the reports of AT&T paying Apple for each subscriber, then the phones were subsidized, just not to the customer. From AT&T perspective, they paid to Apple instead of the you and I.
Forgive me, but as a consumer, I'm going to care only if I see a price break.
Apple getting paid is nice but doesn't really help me, if some of said payment isn't trickling down to the consumer.
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iPhone 4GB = $499
iPod 16GB = $399 (Multitouch iPod + WiFi + Safari + Mail + Camera)
iPod 80GB = $299 (Multitouch iPod)
iPod nano = $199-$249 (Multitouch iPod)
iPod shuffle = $79
I believe we will see an iPod with WiFi.
If not before the holidays, then definitely at MacWorld.
Microsoft won the OS war and the browser war in the 90s.
Every time Apple sells an iPhone or iPod with Mac OSX and Safari they will be chipping away at MS marketshare.
If you thought the original iPod's halo effect was impressive, the iPhone and new iPods are going to be kicking butt and taking names.
But it's got to have the WiFi! I wouldn't even care if it was just 802.11b rather than g or n, and I could live without Bluetooth. Take the damn phone portion, but give me wireless. (Skype wouldn't hurt, either.) They can take the cheap, zoomless camera, too.
Papa needs a new iPod!
Wow. I couldn't have written this better myself. These are my feelings exactly, word-for-word!
Don't just give me an iPod with a better screen and some fancy UI. With WiFi/browsing that becomes a truly new type of device - one I have craved for a long time. As long as there's a phone in it and contract requirements, count me out.
Wow. I couldn't have written this better myself. These are my feelings exactly, word-for-word!
Don't just give me an iPod with a better screen and some fancy UI. With WiFi/browsing that becomes a truly new type of device - one I have craved for a long time. As long as there's a phone in it and contract requirements, count me out.
These are the kinds of demands that Apple likes to hear, so they can properly exploit their next product introduction.
These are the kinds of demands that Apple likes to hear, so they can properly exploit their next product introduction.
Yeah, and you know that at least -some- people within Apple read the forums, so might as well spell it out here....
We've all heard that the iPod is "all about the music" but more recently, the iPod has taken on more of a PMP (portable meadia player) stance rather than just an MP3 player. That being said, a device that played music, videos, browsed mobile YouTube, and surfed the web would be one KILLER PMP.
Besides. If they're stuffing OS X into the thing, they better be using it for more than just CoverFlow and a few licks of Quartz rendering... What a waste that would be...
-Clive
What I would love is this: (posted in order of importance)
? Front Row-ish interface for when docked to a TV (i want the ability to navigate the iPod via the remote)
? Widescreen Multi-Touch (a must post-iPhone era)
? The iPhone iPod interface (cover flow)
? The iPhone Photo interface (zoom and rotate)
? 100GB (not that I've ever filled my 60GB with music, but I carry a lot of files with me and often run out of space)
Could do without(but would be nice)
? Wifi for file access (not web, widgets might be cool though)
? Bluetooth (for headphones, remote, other accessories)
LIKE THIS:
That's pretty much it... Not to much to ask is it? All I really want is the Front Row-ish feature. This seems like a pretty big oversight to have not added this to the Video iPod in the first place. I think that could have been done with the current iPod Video hardware.
But it's got to have the WiFi! I wouldn't even care if it was just 802.11b rather than g or n, and I could live without Bluetooth. Take the damn phone portion, but give me wireless. (Skype wouldn't hurt, either.) They can take the cheap, zoomless camera, too.
Papa needs a new iPod!
I agree. I could see the wi fi coming from a mile away. maby access the itunes store directly from the phone i mean iPod.