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Wednesday, February 20, 2008

Apple cuts price of iPod Shuffle by 40 percent

Responding to market changes, Apple on Tuesday dropped the price of its entry-level iPod by $30.

At $49, the Shuffle is the cheapest iPod yet. The price also gives it more of a competitive advantage against its rivals, who are now selling their 1GB basic models at or around that price.

In addition, Apple has added a 2GB model at $69, which still comes in below its smaller cousin's price before the drop. Again, that price is more compeitive in line with the likes of Samsung and Sandisk.

No other changes have been made to the device, which is available in five colors, an aluminum enclosure, and measures just a half-cubic inch in volume. Prices take effect immediately across all of the iPod's distribution channels.

Altogether, Apple says about 140 million iPods have sold, making it the most widely-used music player worldwide.

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