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iPod Is Dominating the Market, and There Is More to Come

iPod contributes 12-14% of total company revenues, a number industry experts believe will continue to increase. With this increase comes pressure on gross margins, as the blended iPod gross margin of 20% compares unfavorably with Apples corporate average of 27-28%. The iPod helped augment Apples growth by expanding its addressable market from the core computer market, which continues to grow, but at slower rates. To…