Gadjets! woot!

quote:

Apple's Jobs Unveils IPod Video Player at `One More Thing' Show Oct. 12 (Bloomberg) -- Apple Computer Inc. Chief Executive Steve Jobs introduced a version of the best-selling iPod digital music player that also shows videos. The new video iPod has a 2 1/2-inch color display and is an update of the classic white iPod, Jobs said at an event in San Jose, California, that the company had dubbed ``One more thing'' on its invitations. The event marked the second time in a month that Jobs has added new designs to capitalize on demand for the iPod, Apple's fastest-selling product. The Cupertino, California-based company, which made its name with Macintosh computers, last month unveiled the pencil-thin Nano and said yesterday it can't make the players fast enough to fill orders. ``It is becoming an entertainment company, not a computer company,'' said Matt Kelmon, who helps manages $750 million at Palo Alto, California-based Kelmoore Investment Co. ``People don't say `Apple Computer' anymore; they say `Apple.' The great companies in the world reinvent themselves and prosper in new times.'' The new player made its debut on the same stage where Jobs, 50, last year announced the iPod Photo, the first model with a color screen and photo-handling capabilities, and a special edition player with Bono of the rock band U2. Shares of Apple fell $1.82 to $49.77 at 1:27 p.m. New York time in Nasdaq Stock Market trading. The shares had risen 60 percent this year before today after more than tripling last year. `Staggering' Demand Apple has sold 28.2 million players since they came out in 2001. The iPod is the best-selling music player in the U.S., accounting for 72 percent of all devices sold in the eight months through August, said NPD Group Inc. of Port Washington, New York. Apple's nearest rival, SanDisk Corp., captured a 5 percent share. The company gets about a third of its sales from the iPod and sales of music through its iTunes online store. Apple said yesterday that iPod shipments reached a record 6.45 million units, short of the 6.7 million to 8.5 million analysts anticipated and prompting a drop in the shares today. The Nano, unveiled Sept. 7, accounted for 1 million of the devices sold last quarter. Apple yesterday described demand as ``staggering'' and said a shortage of unnamed parts made it difficult to say when the company will be able to build enough to fill orders. Apple has sold more than 500 million songs and has more than 10 million iTunes account holders, who have bought on average 60 songs each, Jobs said in September. ITunes sells songs for 99 cents apiece in the U.S. Prices Rise The player is helping to drive sales of Apple's more- profitable Mac personal computers. Mac shipments reached a five- year high of 1.24 million units, the fourth straight quarter shipments have topped 1 million machines, Apple said yesterday. The new video player may also help bolster the iPod's average selling price, which has fallen in the past year after Apple introduced lower-cost players such as the $99 Shuffle and cut prices across the iPod line. The Nano has started to increase the average price already, pushing it to $188 last quarter from $179 in the third quarter. Still, that is less than $266 a year ago. Apple offers two versions of the Nano, a 2-gigabyte model for $199 and a $249, 4-gigabyte unit. To contact the reporter on this story: Connie Guglielmo in San Francisco at [email protected]. Last Updated: October 12, 2005 13:34 EDT

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