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Alexis Glick for Today, Thursday 10.13.05
Steve - "...and you kinda get video for free as a bonus."
Continuous Caption: Handheld TV - New iPod Plays Video

Anonymous Consumer in an Apple Store - "I've actually been looking for something that I could play video on."

Omar Wasow, Technology Analyst - iPod has gone from an early adopter technology buff market to a mainstream mass market phenomenon now a part of our culture.

Alexis - "Their new test is to find out if people will buy video they have to watch on a two and a half inch screen."

This is not necessarily the case. You can watch on your TV and you can watch on a video headset or external portable TV with a bigger screen - can you say light FLAT screen?. Let's be clear Alexis. THIS IS NOT A TEST. There is no downside for Apple to add video playback capability for no more money and 50% more space at the $299 price point. You get a free video with every album you buy. Video Podcasters now have a way to reach the consumer like never before. And broadcasters have a way to sell shows after they air in a new window between original air and rerun, before and after DVD sales. NBC could Video Podcast the Today Show with advertising included for free and sell that market to advertisers for a small premium or others who will pay less for VidPodcast ONLY ads. The revolution is being Video Podcast and is being vlogged now. You do not have to watch videos on the 2.5" screen.

Steve - "There is no market for video on the go today. So we're going to have to create it." We think there is a large market for video on the go today. And Apple is not going to have to create it. What Apple is doing is providing the solution to a long standing challenge. And that is huge. Kudos to Apple. I love Apple. But the market has been getting pent up with anticipation for this solution for years. Remember Archos? It is like an iPod only bigger, heavier, and more expensive without a Mac interface. But it is also a DVR which iPod most certainly is not yet.

I will be very surprised if Apple will be able to keep up with demand for these new iPods before sometime next summer, IF THEN. I think there is going to be a waiting list from here into next Spring at the soonest. It will be a case of capacity incapable of meeting demand for a long time.

Affordable technology and our new inexpensive broadband internet distribution system has just now fallen into place. So it's really about the synergy of pent up demand meeting new affordable technological advances - not Apple creating a market or doing a test.

Thanks to Al Roker for ordering his last night. You the man Al.

Matt Lauer's close - "I know it's going to be huge. Absolutely. Everything they do is huge right now." You took the words right out of my mouth Matt.