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Apple Debuts New iPod, Bumps Up iMac Price

Apple launched a 10GB version of its iPod portable digital music player, reported that it has shipped 125,000 flat-panel iMac computers in the past three months and that it is being forced to raise the iMac’s price by $100.

The new iPod, suggested retail price $499, can hold up to 2,000 CD-quality songs and Apple has made available a free software download for storing names, addresses and phone numbers on the iPod. The iPod connects to a Mac FireWire docking station that also acts as a recharger. Apple claims an iPod will play for 10 hours on one charge.

Apple blamed significant price hikes for flat-panel monitors as the reason for the $100 price increase. The entry-level model with a 700GHz processor and CD-RW will now cost $1,399, the step-up model featuring a combo DVD/CD-RW drive is $1,599 and the top-end model containing a rewritable DVD SuperDrive is $1,899.

Another factor adding to the new price is the increasing cost of memory, which have tripled since January, said Philip Schiller, Apple’s senior vice president of worldwide product marketing.

The announcements were made at the Macworld Expo Tokyo show last month.