After all
those rumors and expectations, something quite unexpected came out of Apple's sept. 5 "The Beat Goes On" special event:
* a $200 price cut to the 8 gb Apple iPhone which was being sold for $599.
* the 4 gb Apple iPhone will be discontinued, and the remaining supplies will be sold for $299.
And there were more announcements made on the iPod front, like the
Touch:

* a new iPod was introduced, called the
Touch, which is essentially the iPhone without the phone. Like the iPhone, the 16 gb iPod Touch will sell for
$399, and it will include Wi-Fi, a Web browser and the "cover flow" software to virtually flip through your music collection with a finger. (The announcement of a
wi-fi enabled iPod with a touchscreen was expected from Apple lately, but I guess Touch has surpassed most expectations.)
The latest version of the iPod music player is only 8mm thick, comes with a 3.5in colour screen, built-in wi-fi internet access and Apple’s Safari internet browser. It looks like the iPhone, but without the phone part. For the first time users will now be able to buy tracks from iTunes, Apple’s online media store, directly to the iPod without having to use a separate computer. Steve Jobs, the Apple chief executive, declared the gadget “
the seventh wonder of the world”.
* Apple renamed the original iPod the iPod Classic, which will be available in two sizes: The biggest has 160 gb of storage, priced at $349, and an 80 gb version will sell for $249. Both models feature the visual cover-flow software found on the iPhone.
The 160 gb iPod will put "40,000 songs in your pocket," Apple CEO Steve Jobs said. The first iPod, released in 2001, had 5 gb of storage and held 1,000 songs.
* The iPod Nano is getting a face-lift as well. The new version will play video, a feature added to the iPod two years ago, but hold only 4 gb of content for $149 and 8 gb for $199. It also has the cover- flow feature.
* Apple has also announced an exclusive agreement with Starbucks that allows you to access the iTunes Wi-Fi Music Store for free in participating US Starbucks stores starting next month. When you enter a participating Starbucks location, your iPod touch, iPhone, or PC or Mac® running iTunes will automatically recognize the iTunes Wi-Fi Music Store. You can see what song is currently playing or has recently played in the store, and immediately preview, buy and download it over Wi-Fi.
(Gizmodo)Apple's announcement of the unexpected price cut sent Apple's otherwise highflying shares tumbling 5 percent on Wall Street.
Microsoft cut the price of the Zune, its 30GB digital music player and a rival to the iPod, by $50 (£25) to $199 yesterday. It said that it had planned the price cut “for months”.
* Sources: ChicagoTribune.comBlog DirectoryLabels: Apple event, Apple iPhone price cut, iPod classic, iPod Nano, Microsoft, Steve Jobs, the beat goes on, The Touch