Apple Case Study

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Katherine Binion
Module 3: Assignment 2
Apple iPod
Started in 1976 Apple Inc. was a small computer technology company run out of a garage by three young men, Steve Jobs, Ronald Wayne and Steve Worniak. Up until 2001 Apple only produced consumer computers that were faster than the market competition but reasonably priced. However big changes were seen in 2001 as Apple released the first generation of iPod portable digital audio player, and saw tremendous success in the marketplace with more than 100 million units sold over 6 years. This also sparked the creation of Apple’s iTunes Store which saw songs available for $0.99 and more than 5 billion downloads by 2008 (Wikipedia). The history of the Apple iPod has been continuously changing over the years. The first generation 2001 iPod was presented with the marketing strategy of “1,000 songs in your pocket” but that changed quickly in 2002 as the software changed allowing the 2nd generation iPods to hold up to 4,000 songs (Apple Inc.). With the release of the iTunes Music Store and the introduction of the 3rd generation iPod which was smaller, lighter and help up to 7,500 songs Apple sold more than one million songs in the first week and saw it’s millionth iPod sold in 2003 (Apple Inc.). 2004 was the start of the iPod Nation epidemic as iTunes was released internationally and Apple released the iPod mini, an even smaller version available in multiple colors, and the iPod U2 Special Edition which increased the total amount of iPods sold to 10 million (Apple Inc.). The year 2005 introduced a new line of iPods starting with the iPod shuffle and the iPod nano. The iPod nano was used to replace the iPod mini and grew to be the most popular music player ever sold (Apple Inc.). The iPod shuffle was geared towards athletic individuals because of its small size and sturdy build. 2006 was a huge year for Apple Inc., with the one billionth song sold on iTunes and the Nike+iPod partnership release that included in-shoe...