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News   - 09/19/2005

USA Today says iPod nano "looks like a hit"...

And it is, of course.

USA Today reports on how the iPod nano is revamping an already burning market and the iPod fans fever as well.

"In computers, Apple was the early innovator but lost the advantage when companies such as IBM, Microsoft, Dell and Hewlett-Packard came in with lower-priced solutions. Its market share is now just 3% of the computer market. But in digital music, Apple has "defied the laws of business," says analyst Gene Munster of securities firm Piper Jaffray."

Sounds bad?

"Apple has 74% of the digital music device market, according to researcher The NPD Group. Closest rival SanDisk has just 6.4%.

Apple wasn't the first to introduce a digital music player. Rio, Creative Technology and others were active players when Apple unveiled the first iPod in October 2001. But its breakthrough ease of use and sleek design changed the market dynamics."

Sound better!

Even more:

"So how is it that after four years, no other company has been able to play serious catch-up?

"Apple may not build the best device, have the best service or software, but they have the best overall solution," says Bernie Sepaniak, president of D&M Holdings' Rio unit. "They have complete control over the experience. It's not enough to have a great device. You have to have all the other pieces."

Of course!!!


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