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Strategies & Market Trends : Gorilla and King Portfolio candidates - Moderated

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To: Mike Buckley who wrote (1479)6/8/2005 10:34:06 PM
From: Apollo  Read Replies (2) of 2955
 
yes, Mike, in your perfect scenario, if someone(s) offer equally good software and hardware, then a customer could switch.

But part of the heightened switching costs lays in the fact that if one has already downloaded a bunch of itunes songs, they will only play on the iPod. IOWs, why switch after one has already invested in an audio library that plays strictly on iPods? That is a significant cost to audiophiles on budgets, ie college and high school students.

Similarly, once indoctrinated at a young age, why switch? Same thing happened, if I recall, when Apple partnered with school districts. Youngsters grew up on Apples, and continued to desire them into adulthood. It was corporations that forced them to switch to PCs.

I still remain in the camp that the iPod might be playing a Gorilla game. I'm not convinced that it is or that it isn't.


<VBG> Hey, the last time you were convinced of anything was when you declared Qualcomm a winner, in Feb of 1999. That was 6+ years ago. I'm still waiting for your next conviction.

Apollo
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