CIO Update explains why the popularity of Apple’s iPod and iPhone have important lessons for bringing the best IT services to market.
In 2001 Apple iPod wasn’t the first portable MP3 player. It wasn’t the first player with a hard disk. Apple wasn’t the first company to release a portable media player (video and pictures, in addition to music). Apple wasn’t the first company to provide an on-line music store. Apple wasn’t the first company to make and market a cell phone that also played music.
In 2001, Mac loyalists were the only people who could take advantage of the iPod. In April, 2003 they were the first to be able to take advantage of the iTunes music store. In October, 2003 that changed when Apple released a Microsoft Windows version of iTunes along with an updated device. While this increased the size of the market potential for the iPod, it wasn’t enough to make the iPod the No.1 portable music player.
Today the iPod (in all it’s forms, including iPhone) is the hottest selling portable media device and the iPhone attracts customers to the cellular services that offer it. Why? Is the iPod the best device available? It certainly isn’t the cheapest. Do people buy the iPod to get the white headphones? Possibly, but it’s highly unlikely.
