1. Group #4: Monica Esopi Felix Aronovich Craig Datko Stephen Kenas

2. Research and Development  Very secretive  Design chain  PortalPlayer  Sony – battery  Toshiba – disk drive  Wolfson Microelectronics – audio  Texas Instruments – firewire  Linear Technologies – power management  Apple still put it together and designed user interface  Designed from the outside in  Layered components  Reference Models  NOT all on one custom Silicon chip  Reduces risks  One custom chip not lucrative enough to be worthwhile  http://www.designchain.com/coverstory.asp?issue=summer02 http://www.designchain.com/coverstory.asp?issue=summer02

3. Marketing  Focused on higher quality  better parts  better product  people want it  hardware, software, packaging  more durable  More compatible with Mac  Became a “must have”  Always releasing new hardware, software, apps  people like new, flashy things  Commercials – nameless, faceless dancers  Kept exterior design fairly costant (recognizable)  Never discounted but bundled  Other brands just can’t catch up  http://www.besttechie.net/2008/03/01/the-ipod-success-thank-the-marketing-department/ http://www.besttechie.net/2008/03/01/the-ipod-success-thank-the-marketing-department/

4. Manufacturing: “Portal Player” chips (“Brain of the iPod”): company based in Santa Clara, CA. The chip's design is split between the firm in the U.S. and a firm in India. Chip manufactured in Taiwan by two firms, then shipped to Santa Clara, CA for testing. The finished product is then shipped to a warehouse in Hong Kong, and then to an assembly plant in Shanghai where it is plugged into a circuit board and inserted into an iPod. Packing: Apple uses 30,000 workers in China. Assembly line workers live in the facility and are able to use a post office, a hospital, supermarkets and a variety of recreational facilities. (no use of child labor or any form of forced labor). Sources: http://www.apple.com/hotnews/ipodreport/ http://dir.salon.com/story/tech/feature/2005/06/03/portalplayer/index.html http://www.sourcemap.org/object/ipod-productionhttp://www.sourcemap.org/object/ipod- production

5. Sales of iPods grew exponentially due to constant upgrade options and new products. A distribution strategy designed to sell more iPods was selling them through HP's larger mass- market distribution network. iPods are transported across the world for convenience and to make it easier for the consumer to buy.

6. Consumer Use The iPod was built to last for 4 years. Therefore it must be replaced at this point. However glitches with batteries and other parts cause many to die before this time. Also new brands of iPods are made constantly, creating a want for “better” iPods causing the discard of “outdated” iPods. Not only is the sales growth growing, but more products are being made every year as shown below.

7. Final Disposition  With new generations, iPods are thrown away more often now then ever before  Apple has recently become more green friendly  iPods now:  Contain arsenic-free glass  Does not contain and PVC, mercury or brominated flame retardants  Are made with easily recyclable metal.  Apple has developed a recycling program  They offer the option for anyone to recycle any old iPods and also old cell phones  By bringing an old iPod to an Apple store, Apple offers a 10% discount on the purchase of a new iPod  http://www.apple.com/recycling/ipod-cell-phone/ http://www.apple.com/recycling/ipod-cell-phone/  http://blog.sustainablog.org/apple-reveals-cleaner-ipod-remvoes-toxins-and-reduces-packaging/ http://blog.sustainablog.org/apple-reveals-cleaner-ipod-remvoes-toxins-and-reduces-packaging/