Thursday, April 22, 2004

Apple officially tells RealNetworks to get lost

Apple has said it won't open up the iPod to other music services and Jobs stated that: "To be honest, it's just not worth it.."

I just don't understand this... Jobs has an opportunity to unite with a partner in RealNetworks whose interests are perfectly in line with Apple's. Apple just wants to sell iPods, Real just wants to sell songs, and both just want to keep Microsoft from dominating this market. Apple isn't making any money on their iTunes service and Jobs has claimed it can be a loss leader for selling iPods, so what is the problem with having more music stores selling music that will work with iPods???

Does this whole scenario feel familiar? Apple creates a breakthrough product that creates an entire industry. Apple refuses to open up its product architecture. Apple becomes a text book example for poor technology strategy. I just hope for all of Apple's shareholders that I am wrong on this one, because I think Jobs is just being foolish.

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