“This is all very interesting, but I believe analysts and others are missing the big picture: iPod success paves the way for Mac OS X on X86. People have argued for years for and against the release of Mac OS X on Intel (and AMD) commodity hardware, but Apple derives such a large portion of its revenue from hardware that doing so could potentially damage the company beyond repair.
But, what if Apple replaces that lost Mac hardware revenue with iPod revenue?
Steve Jobs would then be free to drop what amounts to a hydrogen bomb on Microsoft. Mac OS X that runs on “regular” off-the-shelf x86 hardware.
Or partner with a Sony, for example – to insure quality. Years before “Longhorn” even comes close to shipping.
