Note that the iPhones are iPods. Adding new product lines should be expected to shuffle people around a bit.

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Guest wrote:
Note that the iPhones are iPods. Adding new product lines should be expected to shuffle people around a bit.

Good point, but you don't even have to do that much! iPod unit growth has slowed, but the profit growth is steady! They're selling more high-end iPods now like the touch, and less shuffles. So even though they're selling fewer iPods, their profits are still growing at the same rate.

And really, that's what SHOULD matter to Wall Street. And yeah, add in the iPhone numbers like you said and it's even better.

My old iPod "Click Wheel" finally gave up the ghost. I had resuscitated it several times, the hard drive, but finally nothing worked. I guess I could buy a new hard drive, and maybe a battery too, and get some more miles out of it, but I may recycle it into something creative such as a carrying case for my new Nano.

Anyway, how many more owners will soon be replacing their old iPods.

My wife has lost the shuffle I gave her and I am planning to give her an "upgrade" for her birthday in April - at least a nano, if not a Touch.
As for Wall Street, it seems like they are a bit myopic when it comes to Apple. They think Apple = iPod. So, the iPod is not selling explosively, combined with the threat of an overall recession in the US and they panic.
No wonder Apple has decided not to care so much for that part of its business and instead going on with what is their business; making stunning products.
I sit in fron of my latest purchase which arrived yesterday; a 20" iMac Core2 Duo and I think that you who have shares, should stay with the.

Wilf53,
I love your term explosively. Wall Street is reacting negatively to realistic numbers, versus their expectations of explosive growth. Sounds like they actually are driving the price down so more fund managers can get in on the next run up of Apple stock in fact.

I just put in a request to purchase a new tower, my first in five years. The old Dual Processor G4s are getting a bit long in the tooth now, so I think you'll see a spike in purchasing of towers this year. And considering how good they are for the bottom line, Q2 growth should be way better than the Apple "guidance."