14 DAY TRIAL // Ever since Apple unveiled the iPhone and the way it does music and video, people have been eagerly expecting the new generation of iPods. Everyone is expecting the video iPod to be like the iPhone, sans the phone. While some have argued that Apple will not do this because it will cannibalize iPhone sales, others have pointed out that the two devices will have very different targets. Whatever Apple thinks of the issue, it might be something else entirely that settles the decision? memory.
A recent DIGITIMES report says that over the third quarter Apple has placed monthly orders for approximately 20 million units (in 1Gbit equivalent units) of NAND flash, with several manufacturers. The quantity as well as the timing has led to speculation that the memory is for the next generation of flash-based video iPods; however this sort of speculation has been going on for some time.
Considering recent price trends, should Apple release a NAND flash-based iPod video it would not be competitive. Apple could choose to simply wait longer until the prices come down, or they could opt to go for less memory. If Apple does decide to go for less memory in the new models in order to keep the price points the same, it will be a case of two steps forward, one step back. One of the most common complaints about the iPhone, besides price, is that it does not have enough memory.
Even with less storage than the current hard drive based iPods, many users will want the new model if it features a bigger screen and touch interface like the iPhone. Many are even considering buying an iPhone because of the way it does music and movies, so a new generation of iPods with only half the memory of the current one could sell extremely well, and Apple could even keep selling the current generation for those who prefer more memory.