Shares of Apple surged 9.1 percent, or $4.49, to $53.74 Thursday following two days of losses. “Several analysts said investors prematurely sold the stock following a fourth-quarter earnings report in which Apple’s revenue fell $6 million shy of Wall Street’s consensus estimates.
However, positive reaction to Apple’s new video iPod and content-licensing TV show deal with the Walt Disney Co. sent investors back into buying mode.”
Apple CEO Steve Jobs told Fortune that video is just a bonus on the new iPod instead of its main feature.
“This is the best iPod for music ever, and customers basically get the video for free,” Jobs said. “And because the iPod is the most popular portable audio player on the planet, the new iPods automatically become the world’s most popular portable video players, too.”
Reuters reports that “Podcasting is on the verge of setting off a video revolution and users of Apple Computer Inc.‘s new video iPod can expect a deluge of outspoken commentary, religious sermons and pornography.”
Dawn Chmielewski of the Mercury News writes: “The experience of watching an early episode of ‘Lost’ displayed on a 2 1/2-inch screen was surprisingly compelling, with sharp images and stereo sound.
