Comments on: How to grow the iPod as the MP3 player market shrinks

By: cordwainer, San Diego, CA

cordwainer, San Diego, CA — Wed, 13 May 2009 20:18:29 +0000

The commenter who stated that Apple should make just one device – instead of the iPhone and several iPods – isn't thinking very clearly. Apple's success in the MP3 player market is largely BECAUSE they have numerous options, and products that are affordable for almost everyone.

If all I want to do is listen to music while I work out at the gym, for example, why on earth would I spend $299 and weigh myself down with a device larger than a cell phone?

Instead, I can spend $79 (or less for a previous model) and get a player about the size of a matchbook that will play at least 6 hours of music, either straight through or at random.

If I want to listen to talking books while I walk or jog, I can spend less than $150 for a Nano that weighs practically nothing, shows me my book chapters in the menu, and sets a bookmark so I can go right back to where I left off later. I can also use it to catch up on the TV show I missed last night while I'm waiting for my doctor's appointment.

Everyone is different. I prefer to use an MP3 player for music, my cell phone for phone calls only, my very nice digital camera to take good quality pictures, and my laptop for pretty much everything else. Whereas, my best geek buddy practically sleeps with his iPhone, and I think would marry it if he could.

Last, don't forget: a surprisingly large number of people have both an iPhone AND and iPod, or more than one iPod, and they use them both.

Apple is not in the habit of putting all their eggs in one basket. Reducing their player line to a single all-in-one device would be a disaster.

By: David Komer, Cleveland, Ohio

David Komer, Cleveland, Ohio — Fri, 01 Feb 2008 17:41:17 +0000

Apple simply dominates in the player field! But the main criticsm is the fact that Ipod's are tied to the itunes website. And the primary goal is to have basically a closed system that conveniently feeds off itself. Now if Steve jobs wants to administer the coup de gra (sp?) to the mp3 player field he doesn't have to change the itunes site but change the software in the ipod to run ALL forms of digital music. This would simply crush all other competitors in the mp3 player field. So… How 'bout it Mr. Jobs?

By: Philip Elmer-DeWitt

Philip Elmer-DeWitt — Wed, 30 Jan 2008 11:16:16 +0000

Mea culpa. The critics are right. I allowed myself to be seduced by a clever headline. It's the MP3 player market that is "incredibly shrinking." The iPod market is still growing, although its growth rate is slowing. I've rewritten the head. Sorry.

By: Mike from Cleveland

Mike from Cleveland — Wed, 30 Jan 2008 02:52:43 +0000

Just kills me to listen to some people, Apple is seeding the market? Apple makes products, if people like them they buy them which for the iPod has been (and still is) very successful. I looked at Amazon a few minutes ago, 5 of the top 7 selling MP3 players are iPods. I thought the Christmas rush was last month? But no lets tank the stock on iPod rumors that aren't true and forget about all the other products Apple has that are flying off the shelves!!

By: Bobby Walsh, Charlotte, NC

Bobby Walsh, Charlotte, NC — Wed, 30 Jan 2008 02:36:19 +0000

DeWitt contradicts himself. AGAIN. A market that is growing is shrinking? If the growth rate shrinks that doesn't mean the market shrinks. Growth means GROWING.

It's amazing that someone who writes so poorly can find big time site to publish his "stuff."

By: James, Chilliwack, BC, Canada

James, Chilliwack, BC, Canada — Wed, 30 Jan 2008 01:28:41 +0000

Philip,

How is it possible that a journalist with your credentials cannot properly align an article with a headline? The inference in your headline is ominous, yet the true story isn’t anywhere near that. And this all because you don’t make a distinction between market growth and market. The market is not shrinking—just not growing anymore the way it used to: the growth is shrinking. As it is, there is a negative growth of 4%, which is indeed a slight shrinkage, but that is not the same as a screaming headline “the incredible shrinking iPod market.” A negative growth of the US economy is not the same as “the incredible shrinking US GDP.”

A few years ago a mostly dead-on Gene Munster, on whose report you are basing much of your confusing, wrote that a 70% $-share of the MP3 market simply was not sustainable for the iPod. It defies gravity (I’m paraphrasing). Back then I tended to agree with Munster. Currently iPod sits on 84% $-share. Something is indeed incredible, just not what you infer it is.

By: David, Jackson, MI

David, Jackson, MI — Tue, 29 Jan 2008 21:53:41 +0000

Growth is relative. 50% growth in a 40 million dollar market is less than 10% growth in a billion dollar market. How crazy is it to make that comparison. It's like car sales. In the 20's, 30's, 40's, etc the rate of growth was phenomenal, now that there is a saturation point (so to speak) with automobiles, the Big 3 are bragging over 3% increases in sales. Clearly another measure is needed to accurately define success.

By: Ezat, Montreal, Canada

Ezat, Montreal, Canada — Tue, 29 Jan 2008 21:33:36 +0000

I like your comments Nodack Phoenix, AZ, you are right all the way.

By: entropy, Brisbane, Australia

entropy, Brisbane, Australia — Tue, 29 Jan 2008 21:08:23 +0000

Umm, why aren't analysts adding iphone sales to ipod sales and looking at the total? If you buy an iphone you are not going to buy an ipod.

That would put a whole different perspective on MP3 player growth.

By: Geoff, Oridna, CA

Geoff, Oridna, CA — Tue, 29 Jan 2008 20:01:24 +0000

Hysterical, Nodack! I would be even more funny, if it weren't true…so, why is that Elmer?