AfterDawn: News

Competition in the music player market is heating, as Apple uses it's market leader muscle to drop the prices. At $199 the iPod mini should be at par or cheaper than the lesser known copetitors. This is a significant price cut of about 25%. Analysts suggest that with more aggressive pricing, Apple is going to hold it's dominant position in this field for quite some time.

"They're at war with the world," said Enderle. "All [competitors] have to do is collectively take 15 percent to 20 percent of the market, and investors would react dramatically to that kind of drop. Consumers are fickle."

Still, analysts lauded Apple for dropping its prices and leaving competitors struggling for some kind of edge against a company that's put its marketing might into keeping consumers hooked on its hot product and the music that goes into it.



The success of Apple's music store, iTunes, also is a direct result of the spread of the iPod.

Source: Technewsworld.com

I have to point out here that, personally I have never understood why I should carry yet another gadget in my pocket just for music? Modern cellular phones have been able to act as an MP3 or AAC audio player for years, not to mention the PDAs..

Written by: Lasse Penttinen @ 25 Feb 2005 10:54