Maybe.
But for one thing, as popular as iPods are, they really represent just a very small fraction (maybe 5%) of AAPL's revenues (almost $10 billion annually).
For another, I would not underestimate AAPL's marketing savvy. I consider that second to none. They are established leaders now, and most of the customers are extremely loyal, and more concerned with image than the bottom-line price. I can't see mass defections just because Napster et al offer a monthly fee for service, since that would also mean they would have to scrap their iPods (very unlikely).
For new customers who don't yet own iPods, that remains to be seen, but again many of these will be attracted to the iPod over the Micro$haft rival for image reasons. They want to be cool. That's impossible with anything Micro$haft-tainted.
But however the iPod thing works out, I can't see that it will significantly affect the overall strategy. Which, as I see it, is directed at a major invasion of AAPL into the industrial IT sector (already well in progress with their rather quietly obtained inroads into the server markets) and the home PC/laptop markets. THESE are the ultimate goal, IMHO, and the iPod and MiniMac are merely steppingstones that are not expected to ever be a major contributor to AAPL revenues.
If AAPL is successful in this strategy, they will be a 2-ton gorilla that would scare the hell out of even your dual alarm clock!
T |
