The Mac Observer

Skip navigational links

You're viewing an article in TMO's historic archive vault. Here, we've preserved the comments and how the site looked along with the article. Use this link to view the article on our current site:
Merrill Analyst Still Expects Flash-Based iPod in Early 2005

TMO Reports - Merrill Analyst Still Expects Flash-Based iPod in Early 2005

by , 2:00 PM EST, November 29th, 2004

Merrill Lynch analyst Steven Milunovich reiterated Monday that he still expects Apple Computer to unveil a flash memory-based iPod in the first quarter of 2005.

In a research note obtained by The Mac Observer, Mr. Milunovich wrote that he believed the new device will be priced between US$149 and $199 and that it could possibly be announced at Macworld Expo San Francisco beginning January 10. He made the same prediction back on October 25 in a commentary first reported by TMO.

Mr. Milunovich wrote that the MP3 flash market is five times the size of the hard disk drive-based player market in units and about two times in revenue. It is also fragmented with the leader, Samsung, at only an 8 percent share. The flash MP3 market is expected to be $2.6 billion in 2004, slightly larger than the HDD player market at $2.3 billion. Combined, the music player market could be $8.1 billion by 2006.

"This is a market Apple should want to participate in because it will pull new customers into the iPod/iTunes 'ecosystem,' he wrote. "We believe consumers will hesitate to switch once they become accustomed to the iPod's scrollwheel or have purchased a number of iTunes (which only work on iPods). The land grab is on."

It should be noted that Mr. Milunovich was also the same analyst who predicted the iPod photo would not debut until sometime next year. Instead, it was announced within a week of his original prediction on October 25.

Recent Headlines - Updated May 22nd

Wed,3:10 PM
How to Deauthorize All Devices in iTunes 12
Fri,8:30 AM
Apple Watch: Three Tips on Contacting Your Pals
Thu,5:44 PM
Promotional Apple II Video with Steve Jobs, Steve Wozniak, Byte Shop
4:47 PM
Google Reportedly Plans to Fingerprint ID to Android M
4:09 PM
The Pick Your Own Apple Toy Giveaway
3:55 PM
Three Easy Ways to Get Started With Home Automation
2:30 PM
Does the Apple Watch Free Us or Enslave Us?
1:41 PM
TMO Daily Observations 2015-05-21: Orthogonal Watch Complications FTW
11:56 AM
Apple Could Add Mass Transit to Maps in iOS 9
10:42 AM
Apple Reportedly Looking at Expansion into San Jose
9:42 AM
Apple Watch Bands in Apple Stores in Limited Quantities Soon
Wed,8:40 PM
ACM 307 - Dr. Mac’s One Tip for Mastering Your Mac, Apple TV, and the Importance of Encryption
  • __________
  • Buy Stuff, Support TMO!
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!