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Thursday, 07 April 2005
iPod Shuffle vs. Rio Forge Sport: an iSuppli MP3 teardown analysis
EMSNow / iSuppli - West Yorkshire,UK

In the trendy market for MP3 players, the "cool factor" counts for a lot. But what makes one MP3 player cooler than another?

A dissection of two hot products-Apple Computer Inc.'s iPod Shuffle and Rio's Forge Sport-conducted by iSuppli Corp.'s Teardown Analysis service, shows the design tradeoffs and marketing choices made by MP3 manufacturers as they strive to attain coolness, while attempting to balance off other considerations, such as cost and power consumption. The teardown also illustrates how a small, simple and elegantly designed product can be more appealing to consumers-and cheaper to manufacture-than a larger, more complex device with a less sophisticated design.

The MP3 player represents one of the fastest-growing electronic products today. Shipments of flash-memory based MP3 players will rise to 75.8 million units in 2009, expanding at a Compound Annual Growth Rate (CAGR) of 22.9 percent from 27 million in 2004, according to iSuppli.

While the iPod Shuffle and Rio Forge Sport share the flash-based MP3 player designation, the two products vary greatly in terms of appearance, features and internal design.

The iPod Shuffle is extremely compact compared to the Rio. However, the Rio sports a raft of features not on the iPod Shuffle, including a display, a memory card slot and an FM radio with the capability to record radio broadcasts. The Rio Forge Sport also employs an off-the-shelf AAA battery to deliver 20 hours of play time. In contrast, the iPod Shuffle uses a built-in custom lithium-ion polymer cell battery, which contributes to its small size, but delivers only 12 hours of play time.

The iPod Shuffle appears to be rather bare-bones compared to the Rio, lacking a display. A display is a fairly important feature in an MP3 player, allowing a user to find a specific piece of music from a vast collection.

However, Apple has invoked some clever marketing to turn this apparent weakness into a strength. Apple touts the iPod Shuffle's lack of display as a unique, desirable feature, using the tagline "Life is Random" to promote the product. But, despite this weakness, at $99 retail, the Apple brand mystique is still likely to make the iPod Shuffle very popular and competitive with other flash music players, iSuppli believes.

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Last Updated ( Thursday, 07 April 2005 )
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