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Rumors of iPod mini, 100 Million Songs, Xserve G5 All True

Steve Jobs announced the oft-rumored iPod mini today in the keynote address at Macworld Expo in San Francisco, a $250 MP3 player with a 4GB hard drive that comes in several colors. Jobs also introduced the Xserve G5 and updates to Xserve RAID, and announced updates to several media applications, and introduced Garage Band, a music-making program and part of iLife. Also previously rumored, and true, is that Pepsi will be giving away 100 million iTunes Music Store songs. The iPod mini, compared to other similar MP3 players Jobs described, is about half the thickness (half an inch), holds a lot more (most hold 256MB), and costs about $50 more. Jobs noted that most similar MP3 players require additional memory at additional cost, so if you go that route, you may as well just get the iPod mini.

The mini is anodized aluminum and comes in silver, gold, blue, green, and pink. Accessories include a dock and armband. It can be connected to the computer via FireWire 400 or USB 2.0.

Jobs also announced some changes to the existing iPod line, including a bump from 10GB to 15GB for the $300 version, and new in-ear headphones for $40.

The Xserve G5 is, like the previous Xserve, a 1U server. It can hold up to 8GB of ECC DDR 400 memory, and up to 750GB of storage. It includes an unlimited client license for Mac OS X Server 10.3, and comes in three configurations: 2GHz for $3,000, dual 2GHz for $4,000, and cluster node dual 2GHz for $3,000.

The Xserve RAID got a bump, too. The 3U RAID has a 500GB increase in capacity to 3.5TB for $11,000; 1.75TB for $7,500; and 1TB for $6,000. And, it is now certified for use with some versions of Windows and Linux.

Jobs, with the help of recording artist John Mayer, introduced the newest member of the iLife media application family: Garage Band. It is a music instrument and recording tool, that can mix up to 64 tracks, comes with 50 software instruments, over 1,000 professional loops, and 200 effects. It can record live instruments and take input from a USB or MIDI controller. It simulates various modern and vintage amps for guitar playback.

The optional $99 Jam Pack adds 100 more instruments, 2,000 more loops, 15 more amps, and more effects.

iPhoto, the most maligned of the iLife apps for its performance problems, received a much-needed update. It can now handle up to 25,000 photos (instead of mere hundreds), and adds automatic and smart albums (similar to iTunes), ratings of photos, and sharing via Rendezvous. Like iTunes, you apparently can't modify descriptions and titles through sharing, but unlike iTunes, there are no copyright restrictions.

iDVD and iMovie also got updates: better control, new and improved effects, and more. iMovie has exporting directly to your iDisk for use on your home page and importing directly from an iSight camera, and iDVD adds a navigation map and archiving projects for burning on another computer. iDVD also gets higher-quality Pro encoding, with 2 hours per DVD.

iLife, for $49, and the Jam Pack are available starting January 16. There was no indication that any new components of iLife will be available for free download, but iLife will be included with all new Macs.

Final Cut Express was bumped to version 2, and is basically updated to include the features from Final Cut Pro 4. Upgrades are $99.

Microsoft announced Office 2004, an upgrade to Office X. People who purchase Office X now until the spring, when 2004 is released, will be eligible for a free upgrade.

Pepsi's iTunes Music Store giveaway will begin on February 1. Yellow caps noting the 100 million song giveaway will have a 1 in 3 chance of winning.

Jobs also noted that iTunes Music Store has 70% of the market share for online music purchasing; that 50,000 audio books were sold for the quarter; that 500,000 songs are now online, making the store the largest online; and that one person has spent $29,500 on iTunes Music Store. Yes, $29,500.

15 of 1,318 comments (clear)

  1. Mixed response by PurdueGraphicsMan · · Score: 5, Interesting
    I watched the keynote and I have to say I was very impressed overall.

    As a digital music creator (who up until now has used a Windows-based PC and Acid Pro) I cannot tell you how excited I was by the demo John Mayer and Steve Jobs gave of GarageBand. From the looks of it (and I know that looks can be deceiving) you can record instruments straight into the computer without a digital interface... and it sounds amazing...I've tried this in the past (recording through the audio-in port) on my PC and have never gotten good results.

    I can't wait to get the new version of iLife.

    However, I was a little dissapointed by the price of the new iPod mini. At $250 (just $50 less than the (now) 15Gb iPod) I can't really see how it's worth it. I'll just pay another $50 and get an iPod that can hold my entire music library. Not sure what they were thinking with that price.

    Though I'm not effected that much by the Xserve G5 or the Xserve Raid for that matter, I was still impressed by their cross-OS compatability.

    --


    The guitars sound good, now give me about 10db more on the cow bell.
    1. Re:Mixed response by Anonymous Coward · · Score: 3, Interesting

      Agree 100%. I would have been the first in line for a $100 iPod but I see no reason to spend $250 for a mini when the $300 iPod has a 15 gig drive. Everything else that was announced was cool, but the mini left me unimpressed.

    2. Re:Mixed response by CyberHippyRedux · · Score: 3, Interesting
      As a digital music creator, I really want to know

      1. If GarageBand will be able to import my existing projects (DigitalPerformer4.11)

      2. If it will work with my existing hardware (MOTU 828 & 2408)

      3. What bit-rate & sampling frequencies are available (I work at 24/44.1)

      I haven't found the answer to any of these questions at apple.com.

      However, it's probably too much to expect from a consumer-level audio recording software item, expecially at $49...

    3. Re:Mixed response by the+argonaut · · Score: 4, Interesting

      I can't help but agree with the iPod mini - this sounds like a good product with a bad pricing strategy, much like the great but overpriced Cube of yesteryear.

      My prediction is that it will sell OK, but nowhere near spectacular, as once you make the decision to spend $250 for a mp3 player, you might as well add that extra $50 and get the regular iPod and the other 11 gigs of storage. Although, to be fair, if Apple is going after the $199 256 mb flash market, then they're already convincing them to spend an extra $50 - so maybe they're figuring that's the tipping point, as they couldn't be convinced to spend the extra $100 for the low end iPod? Sounds plausible, but it also sounds to me that they're banking on the iPod name to sell these things since now you're also competing at the same price point as the other less elegant but higher capacity HD based players as well. Time will tell, but I'm guessing you'll see the same capacity (or maybe even higher) mini in 6 months for $200.

      --
      fuck you.
    4. Re:Mixed response by darcybrown · · Score: 5, Interesting

      Clearly, that is what will sell it.

      $250 is $50 more than the competition (according to Jobs) and is roughy 10 times the capacity. Yes, for an ADDITIONAL $50, you can get another 11 gigs. If you are in the market for $199 mp3 players and now you are getting a $299 mp3 player from Apple because $50 is worth 4gigs and $50 more is worth another 11, then you are doing exactly what Apple wants.

      So, you don't count.

      The people who do count aren't willing to pay premium price for the iPod because they don't think they need 15gigs of music space (read: non-geek). These people like style. The minis look very cool. For $50 bucks, they might just get it cause it looks cool and it has lots more space... but not too much since they aren't a geek and don't need it.

      They can't justify $299 just for space, but might justify $249 for style. So far, Apple has been able to bring techno lust to the everyday consumer, they might sell them by the gah-zillions.

      2 cents from a proud owner of a phat 40gig.

    5. Re: Mixed response by StalfrosGR · · Score: 3, Interesting

      I just had to laugh at your comment. I would love an iPod Mini, as would my girlfriend. We both love Apple products but have never had a need for a MP3 player that holds 10,000 songs. This is right up our alley and it is made buy a company that puts quality in their work. Sure you could buy a Dell Jukebox or a Rio, but have you felt how shoddy those things are in your hands? I say bravo to Apple for yet again putting style, functionality and quality before cutting corners on price.

      --
      Love, Stalfros All the other girls are the stars, you are the Northern Lights. - Josh Ritter
  2. Only good stuff here. by zeux · · Score: 3, Interesting

    The XServe G5 will allow to build supercomputers using far more space and will be obviously one of the best solutions around for webservers.

    The iPod is more expensive than what the rumors said but it also has bigger hard drive (4Go/249$ vs 2Go/100$). I think that makes it the best deal by far in its category.

    Then this 'Pepsi' thing... Looks like I'm gonna drink Pepsi instead of Coke soon. And I mean a lot of Pepsi. Definitely a good idea for Pepsi.

    2004 will definitely be Apple's year and I think that's good news because it will bring some change in the IT world.

    Happy new year and no, I'm not a Mac zealot.

  3. Xgrid by Councilor+Hart · · Score: 4, Interesting

    Don't forget xgrid. A beta has been announced at apple
    Build you own supercluster at home...
    At the moment, though I wish I had a supercluster of money presses.

  4. Re:Classic ad updated, too! by NaugaHunter · · Score: 3, Interesting

    Hmm... the Super Bowl is Feb. 1st... the Pepsi promotion starts Feb 1st.... Pepsi always has interesting Super Bowl commercials...

    Might have to watch it after all...

    (As long as I'm posting, here it is clickable. I wonder if the filmed her new or edited it in; either way it's pretty seamless.)

    --
    R: That voice. Where have I heard that voice before? B: In about 365 other episodes. But I don't know who it is either.
  5. Thoughts... by asparagus · · Score: 4, Interesting

    Yes, it's only $50 cheaper. The thing is this: the $300 iPod is the best seller of the lot. Cost/GB is an important factor, yes, but even if the iPod was only 1GB it would still have a lot going for it over the competing players.

    The people who are obsessed with space have already bought iPods. Or, in other words, amongst leading edge people the iPod has become a trailing trend. So the next question is how to break not into the marketplace of people who are tech-savvy, but rather the larger group of less-technically-inclined-but-still-wanting-to-be- cool crowd. In marketing speak, the alphas have all bought an iPod and made it popular: the time has come to focus upon the rest of the crowd.

    Amongst this crowd, there is needed some method of comparision that is, at its very heart, impossible to calculate. Comparing $300/15GB with $500/40GB is a mathematical affair. What is needed is exactly the reverse. Apple does this with colors. Guy A buys a green one, guy B buys a blue one: they can both argue over which color is better without having to get into that inevitable Alpha-male dick contest over whose is bigger. That is why there is no 2GB version. The question when you decide to buy one of these is color, not model.

    Or, in other words, Apple has once again found a clever way to shift the didatic from discussing the merits of their product to discussing the aesthetics of it. Ain't marketing cool?

    -Brett

  6. Re:But does it play Ogg Vorbis? by radish · · Score: 4, Interesting

    No it doesn't. Spend you $250 on a Rio Karma instead of the overpriced Apple and get 20gb of ogg playing goodness for your money.

    --

    ---- Den ene knappen er powerknapp, den andre er Bender voice knapp "Bite My Shiny Metal Ass"

  7. Mixed? No...disappointed by fastidious+edward · · Score: 5, Interesting

    I was disappointed in the mini iPod announcement but I'm sure people will buy them.

    Most people focus on "for $50 more you can get 15 more gigs" but there's more to it than that. People will buy the mini ipods for design.

    It is smaller and lighter. iPods are already small. Many consumers value smallness hugely. To a consumer who cares more about unit size, than hard disk size, the mini iPod is better and cheaper.

    There is also the cuteness factor. Mini iPods come in color. For students in particular, I think this is going to be a big thing. If you think the mini iPod looks better, and it's cheaper, it's a great deal.

    Like many iPod consumers I don't care too much about the size of the hard disk, because 4 gigs is enough for me. I don't need to carry my whole music collection around. Sure, I might do that, but it's not a huge deal to me.

    So we're left with a smaller, cuter, cheaper iPod that costs less and carries enough music. I'd buy that.

    Go into an apple store and try handling one, see how you like it, you may find that 4 gigs vs 15 gigs becomes the least of your concerns.

    But I will close with, still disappointed, really wanted to see a 2 gig in the $99-149 range.

    --

    karma karma karma karma karma chameleon, you come and go, you come and go.
  8. 90mm G5 by ITR81 · · Score: 4, Interesting
    According to Apples Xserve Tech Overview the G5 Xserve sports a 90nm processor vs the current 130nm in the G5 Power Macs

    http://a192.g.akamai.net/7/192/51/0c5b0d0ef0f03b/w ww.apple.com/server/pdfs/L301323A_XserveG5_TO.pdf

    It also uses the hyper-transport protocol which alot X86 users use to say gave Intel and AMD the advantage they had.

    I have feeling the new 90nm dual 2.0GHz G5 will give out better #'s then the current 130nm dual 2.0GHz G5.

    I'll be buying my iPod mini in about 3 months or so...I want that silver one. I already own the 40GB but I need a iPod I can strap to my arm and go workout with.

  9. Re:Mixed? No...disappointed by hillbilly1980 · · Score: 5, Interesting

    When you look at this from the view of apple( i'm flattering myself by pretending to know apple's view on things), its a very smart move to keep the price at 250.

    First everyone and their dog was looking for a cheaper ipod, and they delivered, obviously not to the extent everyone wanted but they still did bring down the entry level. To that extent they listened to the market.

    Secondly the size limit is important as far as marketing goes, 1000 songs is 899 songs better then 999 in the mind of the consumer. I don't think we'll ever see an ipod that you can't store at least 1000 songs on it, aka one weekends worth of continous listening ( 1000[songs] * 4[minutes per song] / 1440 [minutes in a day]). Apple has avoided sacrificing function for price.

    Thirdly the 250 price perserves the higher ipod market. If the price was too low consumers would flock to the cheap ipods when high revenue margins are made on the more expensive, tried, true and established models, and if some small problem did crop up on this new breed of ipod it would severely damage apple's reputation and could risk it's dominance in the player market itself. However by lowering the price just a little it keeps the demand manageable for those that may think the price is two high for just 4 gigs, apple has decreased the form factor. The smaller size alone is not enough to justify the price but freebies like choice in color and armband help win most consumers over. By doing this Apple has avoided cannabalizing its higher end ipod business.

    At the same time having the mini out and on the market gives apple the flexibility to release say an 8 gig mini for 250 and lower the 4 gig to 175 6 month down the road should the market begin to turn towards the competition. I think more consumers are reaching that $50 deeper then are buying none ipod devices, as soon as that trend begins to really shift you'll see a cheaper ipod but apples going to bilk the market for as much as it will bear as long as it will bear.

    --
    If you can't fix it ask the 3 year old down the street.
  10. Re:Mixed values by nordicfrost · · Score: 5, Interesting
    The average consumer (and there are millions of them) doesn't want a smaller ipod with colors, they wanted a cheaper ipod.


    OK. So my GF, who liked the iPod and nothing more, did not represent a large part of urban females when she yelled out "ooooooh! it's in PINK, it's in PINK" and "it's even smaller" and "look at that arm strap, now I can jog with it" (1) and " 'only' a thousand songs, I don't have more than a hundre to job to what would I need more than a thousand songs for" (2)?


    When they launch here (thank you very much Apple, I have to wait to April to buy me, my GF and mom one), I'm first on the list to get some.


    (1) I know that you can jog with the iPode, but she thought it was a little bit big for the arm. Now, there's an alternative.
    (2) I also know that 15 GB is a lot more storage, but she don't care, since it's cheaper, smaller, lighter, and PINK.