Their advertising budget has to figure into the cost of the iPod on top of their manufacturing costs. And don't forget their $50 rebate to all those lucky $500 ipod owners who will be replacing their ipods when the battery dies next summer...IF they buy another ipod again...
Hopefully next time around they won't let the Apple marketeers influence them in their next jukebox purchase...
There is an ipod killer out there for $349, and it listens as well as plays.
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