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Analyst: New Shuffle could be a "surprise hit"

updated 04:35 pm EDT, Wed March 11, 2009

Analyst take on Shuffle

Despite the higher price of the third-generation iPod shuffle launched Wednesday, the new features, capacity and form factor could prove attractive to customers, according to Kaufmann Brothers analyst Shaw Wu. "We believe iPod shuffle could end up being a surprise hit," he said, noting that Apple tends to see a substantial increase in sales when it makes a form factor change to either iPods or Macs.

Although Apple took a risk by increasing the price point of its entry-level iPod, the storage capacity has been upgraded to 4GB. Customers now will pay $20 per GB instead of $50 and $35 per GB for the previous 1GB and 2GB models, respectively.

The new Shuffle is thinner and longer than the previous designs, with in-line volume and track controls replacing the surface buttons. A VoiceOver feature now vocalizes the track, artist and playlist information when a button is pressed.

Wu estimates that the Shuffle accounts for between 10- and 30-percent of all iPod shipments each quarter. Street forecasts expect the company to sell between 9- and 10-million units for the March quarter.




by MacNN Staff

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Comments

  1. ggirton

    Joined: Dec 1969

    -1

    i love it

    Go Shaw Go! That man just won't shut up! He has something to say about every new Apple product -- it's really incredible.

  1. LouZer

    Joined: Dec 1969

    +1

    Re: I love it

    That man just won't shut up! He has something to say about every new Apple product -- it's really incredible.

    Actually, it's part of his job to talk about every new Apple product.

    And complaining about an analyst not shutting up? Shouldn't we also complain about every poster who whines about how bad an analyst is every time there's a story about an analyst?

  1. umijin

    Joined: Dec 1969

    0

    I hate it

    I give little credence to what investment firm analysts think. They don't even know how to keep themselves solvent.

    Furthermore, this guy is just cheer-leading. In this economy, i find it hard to believe than anyone would spend more money on a shuffle with less color options, less flexibility in headphone choice, and worse physical controls. The only upside is storage space, as the smaller size really isn't a bonus in this case, unless you have a child's hand size.

  1. starwarrior

    Joined: Dec 1969

    0

    Buzz

    First thought "Ho hum". Second thought "It talks, great buzz". Third thought " Next one will stick in your ear". Grandma's hearing aid is already bigger".

  1. sglewis

    Joined: Dec 1969

    0

    come ON

    Please... are you kidding? Apple releases an iPod and it might be a surprise hit? What an absurd statement. Is there ANYONE left who would be surprised with a new iPod model being a hit?

  1. Monstermind

    Joined: Dec 1969

    0

    Agreed

    If it were a hit, I'D be plenty surprised.

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