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Apple to Release 1GB iPod nano?
Sunday, December 18th, 2005 at 2:00 PM - by Brad Cook
With Apple producing around 100,000 iPod nanos daily, the company has been considering the introduction of a 1GB version. AppleInsider reporter Prince McLean cites "reliable sources" who said that Apple's marketing team met last week to discuss how such a model would be introduced, and what impact that would have on the iPod shuffle.
Mr. McLean added that Apple is expected to release a redesigned iPod shuffle during next month's Macworld Conference & Expo San Francisco; the 1GB version is currently sold out until next month, according to Apple's Web site.
The AppleInsider report also said that sources expect Apple to price a 1GB iPod nano at US$149.99, "which poses the question of whether the iPod maker could sustain its profit margins on such a model." Mr. McLean quoted an anonymous Wall Street analyst that such pricing "may be tough ... but Apple has proven that customers are willing to pay for style over storage capacity."
The analyst added that Apple earns more profit from the 2GB iPod nano than from the 4GB version, and that the company could sell a 512MB iPod shuffle for as little as $79.99.
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