iLounge

“Apple’s charismatic CEO sat down with NEWSWEEK’s Steven Levy—after introducing the Windows version of iTunes and the upgraded iTunes Music Store last week—to discuss the world of digital music. [...]

Still, $300 to $500 is an obstacle to a lot of people.
No, of course I don’t think it’s too costly. Fifty million homes have DVD players that cost that kind of money. For music lovers, I don’t think it’s a hurdle at all. There are sneakers that cost more than an iPod.
       
Some think you wouldn’t want to sell a $100 iPod because the profit margin would be so low.
What are you talking about? We’d love to have a $100 iPod! We just don’t know how to do it right now. We’re constantly trying to make cheaper iPods. We’re working on the next step.”