Internet Entrepreneurs Blog

According to the latest rumors Apple is set to unveil the newest version of iTunes next week with some interesting features, most notably, something called ‘Genius.’ One description we read had this to say:

iTunes 8 includes Genius, which makes playlists from songs in your library that go great together. Genius also includes Genius sidebar, which recommends music from the iTunes Store that you don’t already have.

Of course to make a feature like this possible iTunes would have to start aggregating user playlist and purchase information much like Last.fm already does to provide recommendations (though I’m not sure if this fits within the current iTunes EULA). Assuming the legal hurdles can be cleared it’s only a matter of time before large companies like Apple (or perhaps Amazon) crash the Last.fm party.

As an entrepreneur it’s always important to consider how you business might be affected if a large industry player simply added your “product” as a “feature” to one of their own mega-products. In a marketplace where business eco-systems and feeder products are becoming more common, having a solid contingency plan and exit strategy are key. We’ll be watching to see how Last.fm responds to the iTunes social integration threat…

There’s been alot of talk recently about the upcoming “true video” iPod and the rumored iPhone but little attention has been given to the iPod shuffle. I have to admit I snored a bit when I first heard about it (what, it’s just smaller than the original?) but I have quickly come to love it more than any iPod I’ve owned.

You see, this isn’t my first iPod (or even second). In fact I bought my first iPod before they had a PC version and I’ve upgraded about every other generation. I’ve always stuck with the full size versions (though Leah has the green iPod mini) because I like to have all my music with me. However, I never really used my iPod much outside my home or car and would only exercise with it if I were using the treadmill or a stationary bike at the gym. Too clunky, the headphones cord always got in the way, and it was just plain awkward.

Then along came the Shuffle. The new version is a nifty clip that you can attach pretty much anywhere (your pants, shirt, etc.). The size is small but the sound is surprisingly powerful. Plus, since it doesn’t have a flashy color screen (or any screen for that matter) you’ll get close to 12 hours of play time on a single charge.

Apple didn’t miss any details with this revision, making the cord for the earbuds just the right length (not as long as the others, cuts down on the “flapping” when running). The 1Gb capacity is actually more than enough I’ve found and the latest iTunes does a good job refreshing your playlist with a new random selection each time you sync your iPod. The shuffle doesn’t come with a power plug so you’ll always need to have your computer handy to charge it up but who is away from the computer for more than a few hours anymore

The new iPod shuffle is seriously dope, so dope in fact that I decided to replace my 15Gb iPod (sold it on eBay). If you’re into fitness or just wearing your music while you do stuff, definitely consider the new iPod shuffle. For $79 you can’t find a better music player!

So I just sold half of my shares of Apple, taking a nice 500% gain while the market is hot. I bought most of my shares just after Sept. 11, 2001 and have been fortunate to ride the whole iPod wave. I’m a dedicated Apple user and I bought my first iPod soon after the initial release of the version 1 product.

Today Apple announced the mobile iPod version which looks pretty cheesy in my opinion. Of course, I also hated the original iMac when it first came out (but then decided it was cool) and I’m usually not a good judge of the success of Apple products. Anyway, the Motorola phone just doesn’t look right to me; it doesn’t even have the standard Apple iPod font on the screen, making it look just like a Dell DJ or any other system. Essentially you’re buying the iPod “software” on a phone, you would think it would look like the original version that Apple puts on its own iPods! But the cell phone market is HUGE, much bigger than the MP3 player market will ever be, and this is a great opportunity to grow marketshare for Apple’s device.

The iPod Nano looks amazing, almost like it’s from the distant future! This definitely isn’t something I’d be interested in (my music library is currently close to 20GB!) but I drool over it nonetheless. Seems like a winner, can’t wait until you can upgrade the software to play video

In the end, this seems like a nice local maximum (like my use of Calculus?) in the stock price and I’m happy to have gotten out at $49.10 a share. I’m still bullish on the stock but definitely glad to take some gains while I’m in school and my income is low (gotta minimize those taxes ya know!).