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Sat, Jul 04, 2009 - 03:18 PM EDT  —  AAPL: 140.02 (-2.81, -1.97%)  |  NASDAQ: 1796.52 (-49.20, -2.67%)

Apple adds new 16GB iPhone and 32GB iPod touch models
Tuesday, February 05, 2008 - 08:54 AM EDT

Apple StoreApple today added new models of the iPhone and iPod touch which have double the memory, doubling the amount of music, photos and videos that customers can carry with them wherever they go. The revolutionary iPhone now comes in a new 16GB model for US$499, joining the 8GB model for $399. iPod touch now comes in a 32GB model for $499, joining the 16GB model for $399 and the 8GB model for $299.

"For some users, there's never enough memory," said Greg Joswiak, Apple's vice president of Worldwide iPod and iPhone Product Marketing, in the press release. "Now people can enjoy even more of their music, photos and videos on the most revolutionary mobile phone and best Wi-Fi mobile device in the world."

Apple Online StoreBoth iPhone and iPod touch feature Apple's revolutionary Multi-Touch user interface and pioneering software that allows users to find and enjoy all their music, videos, photos and more with just a touch of their finger. All iPhone and iPod touch models include the latest software enhancements announced last month including the ability to automatically find your location using the new Maps application; create Web Clips for your favorite websites; customize your home screen and watch movies from the new iTunes Movie Rentals. Both iPhone and iPod touch feature the world's most advanced mobile web browser in the world with Safari and great mobile applications including Mail, Maps, Stocks, Weather and Notes.

The new 16GB iPhone is available immediately for a suggested retail price of $499 through the Apple Store, Apple's retail stores and AT&T retail and online stores. The 32GB iPod touch is available worldwide immediately for a suggested retail price of $499 through the Apple Store, Apple's retail stores and Apple Authorized Resellers. iTunes Movie Rentals are available in the US only. iPhone and iPod touch require a Mac with a USB 2.0 port, Mac OS X 10.4.10 or later and iTunes 7.6; or a Windows PC with a USB 2.0 port and Windows Vista or Windows XP Home or Professional (Service Pack 2) or later and iTunes 7.6.

MacDailyNews Take: As we said this past Friday, "Expect Apple to make moves to stimulate iPod demand sooner than later via aggressive pricing and/or increased features (greater storage on flash-based models)."

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Feb 05, 08 - 09:58 am Comment from: Rancid

Well...



It's ABOUT TIME!!

Had to get rid of that excess iPhone 1.0 inventory, thus the dramatic price reduction.

I just knew it.

Credit Card is ready to GO!!!

Feb 05, 08 - 09:59 am Comment from: shen

now put the new intel chips in a 5.5 inch size touch and give me document editing.

if a 3 pound laptop is a MacBook Air, i am waiting for the iPod Touch Helium. wink

Feb 05, 08 - 10:02 am Comment from: How do they know?

How do they know that I only have 500kb free on my 8GB model just before they are about to announce a SDK?

Bastards!

Feb 05, 08 - 10:04 am Comment from: mark

@Rancid,

Are you being sarcastic? Or are you referring to Sept price cut?

If neither, there was no price cut announced today on the older models. The new models cost $100 more.

Feb 05, 08 - 10:07 am Comment from: Ray

Told you so! The idea is to get the entire iPod line to be disk free.
Disk free means bigger MTBF for the product line because there are fewer moving parts and it takes less power to run memory than an HD.

Just my $0.02

Feb 05, 08 - 10:07 am Comment from: Murasaki

Good one Shen. iPod Touch Helium.

Personally, I'll be impressed once Apple can get the iPhone to the 30GB mark.

Hell, the iPhone has more memory than the old Mac sitting on my desk. It only had 9GB of HDD space.

I can't wait until August. Thats when my Verizon contract runs out.
iPhone here I come (or Apple PDA...if they release one)

Feb 05, 08 - 10:09 am Comment from: Buster

If only they would sell the iPhone in Canada....I would buy one! Until then, I will just sit and slobber.......and wait.

Feb 05, 08 - 10:11 am Comment from: cjstheman

- Rancid

uh, what price reduction. They kept the price the same and then tacked on another $100 for the 16 Gig. Apple used to have a nice way of upgrading their hardware while keeping their price points. If anything, they should have kept the 16 Gig at $399 and LOWERD the 8 Gig to $299.

Sounds to me like they're a little scared that they might have to offer rebates to all those Holiday shoppers like they did last September.

Feb 05, 08 - 10:19 am Comment from: Missed The Target Again

The iPod Touch NEEDS a 160GB HARD DRIVE for all that content capability!!!

A combination Firewire/USB port wouldn't be a bad idea either.

*kisses 160GB iPod Classic*

Feb 05, 08 - 10:20 am Comment from: MikeK

"Sounds to me like they're a little scared that they might have to offer rebates to all those Holiday shoppers like they did last September."

Ummm, no... Flash memory is still to expensive for that.

Feb 05, 08 - 10:22 am Comment from: realnbk

I think Apple introduced these phones to fill hte gap between the current model and the upcoming 3G phones.

most likely we'll see an 8GB 3G iphone at 499 and then a 16GB 3G iphone at 599. all of which could drop by 100 this xmas.

Feb 05, 08 - 10:28 am Comment from: Demon

And Wall Street will do what today on the AAPL price. Up is my guess.

Feb 05, 08 - 10:30 am Comment from: Joe B

Does anybody think the Nano might get a bump in capacity? My sister was going to buy me an 8gb for my birthday next week. Should I tell to hold off.

Feb 05, 08 - 10:48 am Comment from: silverhawk

I bought a 16g iPodtouch just before Christmas, but I'm not whining. I just checked and found I have over 7g freespace. That includes 1618 songs (4.2 days of playing songs with no repeat), 85 photos, and 561.mb of video and 169.6 "other" (software I guess).

So I don't think I'll run out of room for a long time. I'm alright with that. No early adopter envy! I just want T-Mobile to get an iPhone before I die!

Feb 05, 08 - 10:50 am Comment from: Sixvodkas

@Ray

32GB won't even hold my "Favorites" playlist

grin

Feb 05, 08 - 10:51 am Comment from: Sarasota

$500 for a 32GB media player? Christ knows you could just buy a cheap lap for that.

Feb 05, 08 - 10:56 am Comment from: Sheep Register

32GB iPod Touch that does so much for $499.

64GB flash drive option for MacBook Air that is just a drive, $999. Hmm...

No, Nano will not get a bump. With unit growth slowing (only +5% from Q4 '06 to Q4 '07), Apple gets revenue growth by converting the market to more expensive iPods. The emphasis will be on making those more appealing.

Feb 05, 08 - 10:57 am Comment from: Golfer

I really thought that there would be a special event where they would annonce bigger iPhone models....along with the release of the iPhone in Canada.......I guest not.....

Feb 05, 08 - 10:58 am Comment from: Mr. Reeee

32GB for the iPod touch is a step in the right direction.

With the new software and expanded capacity, it could ALMOST replace my Palm TX and 80GB iPod. Too bad 32GB still isn't enough.

For the foreseeable future, a 160GB iPod Classic looks better and better.

Feb 05, 08 - 11:05 am Comment from: mks1

Almost bought my iPhone last night, glad my wife had something she made me do. Why is MDN soooo Slooooow ?

Feb 05, 08 - 11:12 am Comment from: Georgy Porgy

It's never good enough! You people will see capacity increase only as flash memory prices fall. I think the price points will now stay the same even as future capacity increases. The most we would see is a $49 price reduction across the board, but that will be later rather than sooner. I am just thrilled to be playing Pole Position on my 30gig...and only requires one thumb...great when standing in line...the sound and graphics are great, but still not as good as the Hawaii theme in Road Rash. Would someone please port Road Rash for iPod?

Feb 05, 08 - 11:13 am Comment from: MacBill

Apple is so arrogant to be introducing this new model at a HIGHER PRICE POINT. This should have REPLACED the 8 GB model at the SAME PRICE POINT as before.

Feb 05, 08 - 11:18 am Comment from: Georgy Porgy

Anyone want to volunteer as MDN's new web designer...practically anyone could make it load faster.

Feb 05, 08 - 11:19 am Comment from: M. T. MacPhee

Howcome 8 gB of flash costs $100, but 16 gB of flash costs $100?

Feb 05, 08 - 11:24 am Comment from: Sixvodkas

@Macbill is so ignorant as to be unaware the price of flash memory hadn't decreased last night.

Feb 05, 08 - 11:24 am Comment from: Chris

Right you are MacBill! Apple should just give away their products for free. Sheesh.

Feb 05, 08 - 11:24 am Comment from: ken1w

> $500 for a 32GB media player? Christ knows you could just buy a cheap lap for that.

Ah... but it's not just a media player anymore, is it?

And for the people who think Apple should have reduced the price on the 8GB model, why? Apple is selling iPhones as fast as they are being made. And with iPhone being introduced to new markets throughout 2008, you can't haphazardly drop the price, and not cause a supply shortage, just when supply is needed for those new markets.

Feb 05, 08 - 11:27 am Comment from: rahrens

Sarasota, if I thought a cheap laptop would suit instead of an iPod, I'd not be reading MDN!!!

Feb 05, 08 - 11:27 am Comment from: Worgy Morgy

hey Gerogie Porgie, maybe you ought to check your ethernet cable to verify if there's peanut butter smeared near the connector because MDN loads fine for me wherever I am at.

now their iphone optimizied (if you want to call it optimized...) mobile page needs to be worked on. i can't stand scrolling past all the adds that stack up near the top of the screen when i'd like to read the article and comments.

MDN fix that! raspberry

Feb 05, 08 - 11:29 am Comment from: Jubei

Awesome. I wonder if a 3rd party company will do updates for existing 8gb models to add more memory. That would be nice.

Feb 05, 08 - 11:32 am Comment from: eWorldian

Perhaps MDN is so slow because of all the Obama ads... how much is he paying you guys anyway? Geez... he's everywhere!

Feb 05, 08 - 11:32 am Comment from: macbones

hmm. I think $500 is still a bit pricey if they want to sell many. $449 would be a better target.

Feb 05, 08 - 11:33 am Comment from: fojimo

Okay... so how does one upgrade? I want to go from my 8GB iPhone to the 16GB iPhone while keeping the same phone number. Will this be possible through the online activation? Actually, I want to upgrade while keeping the same number and then give the old phone, with a new number, to another family member.

Feb 05, 08 - 11:34 am Comment from: studiotimothy

@Joe B
"Does anybody think the Nano might get a bump in capacity? My sister was going to buy me an 8gb for my birthday next week. Should I tell to hold off."

Maybe a $199.00 apple gift card would hit the spot.

Feb 05, 08 - 11:45 am Comment from: Mac_ATTY

@Fojimo

I believe you can simply buy a 16GB iPhone, pop out the SIM Card and replace it with the SIM card in your old phone, sync it to iTunes and it should already be activated. The SIM card in your old iphone contains all your account information, etc... so no knew activation, phone numbers etc. should be necessary.

Then take your old unactivated SIM card, place it in your old iPhone, restore the old iPhone to its original settings and give/sell it away.

ANYONE DISAGREE WITH ME ON THIS?

Feb 05, 08 - 11:45 am Comment from: Georgy Porgy

I thought it was my connection also, but after snail loads at work, at my home, and my mom''s house, I lean towards MDN's fault. The ads load fine, but the middle text just won't load quickly at all. I have simultaneously checked Maccentral and MacSurfers site, and they both blister. Maybe MDN thinks we are going to be happy reading the ads first.

Feb 05, 08 - 11:49 am Comment from: ken1w

> Okay... so how does one upgrade?

Since iPhone activation and syncing are done through iTunes, I think going from an 8GB to 16Gb iPhone would also be handled through iTunes. The option will probably come up the first time you connect a 16GB iPhone to the computer that was previously synced to an 8GB iPhone. In any event, I'm sure Apple has thought that process through and process is elegant.

Feb 05, 08 - 11:52 am Comment from: Beleaguered

@fojimo and Mac ATTY

you're right MacATTY... I would add that fojimo can just bring in his old iphone and when he purchases the new ones have the folks at the genius bar do the sim card switch for him and activate his phone in the store. His old phone will then activate as a new phone when whoever he gives it to plugs it in to their computer and boots iTunes.

Feb 05, 08 - 11:59 am Comment from: R2

I don't know why people keep hating on the Obama ads. They made all the difference in who I plan to vote for here in the NY primary today. He's got such a beautiful smile and his speeches are awe inspiring.

Feb 05, 08 - 12:10 pm Comment from: TheConfuzed1

Ahhh... This is good news, but if they can put 32 GB in an iPod Touch, why not an iPhone?

Feb 05, 08 - 12:21 pm Comment from: From the FAR Side

32GB won't even hold my "Favorites" playlist

Heck 32GB wouldn't hold my duplicates!

Anyone want to volunteer as MDN's new web designer...practically anyone could make it load faster.

Sure, just kill the connection to the 200 ad/marketing servers...easy as one, two, three!! Bankrupt!

I don't know why people keep hating on the Obama ads. They made all the difference in who I plan to vote for here in the NY primary today. He's got such a beautiful smile and his speeches are awe inspiring.

Obama is a bible preaching con artist who has perfected his ability to con lonely "herd animal" human folks out of their hard earned cash.

Sociology 101. man is a herd animal...prolonged separation from the group is frustrating to him. Threaten the flock with being ostracized, collect the money and mental compliance with your religious propaganda.

Feb 05, 08 - 12:23 pm Comment from: silverhawk

I think R2 is Hillary's alias.

Feb 05, 08 - 12:48 pm Comment from: mr_matalino

@macbill

Yeah! Dangit! Screw these companies that make profits from their products!!

Feb 05, 08 - 12:54 pm Comment from: eWorldian

@R2

My iPod Touch is beautiful and awe inspiring too... but I don't think it would do a very good job as President.

Feb 05, 08 - 01:24 pm Comment from: Sarasota

ken1w - $500 for a 32GB media player? Christ knows you could just buy a cheap lap for that.

Ah... but it's not just a media player anymore, is it?

And for the people who think Apple should have reduced the price on the 8GB model, why? Apple is selling iPhones as fast as they are being made. And with iPhone being introduced to new markets throughout 2008, you can't haphazardly drop the price, and not cause a supply shortage, just when supply is needed for those new markets.


They could charge $50 for an iPhone, but I won't own one until I can use it somewhere besides AT&T;. $500 for an iTouch would be better put toward a MacBook.

Feb 05, 08 - 01:30 pm Comment from: Falkirk

As we said this past Friday, "Expect Apple to make moves to stimulate iPod demand sooner than later via aggressive pricing and/or increased features (greater storage on flash-based models)."

I wouldn't be bragging just yet, MDN. Your words were NOT prophetic (yet). It's clear from your words that you expected the price of the 8 Gig model to go down or for Apple to upgrade the 8 Gig to a higher capacity at the same price. Unlike some on this board, it's clear that Apple thinks they can sustain demand while maintaining and even increasing prices. I think the pundits and naysayers are all wrong about supply slackening. Apple is selling those phones like mad and they will easily make their goal of 10 million units sold by the end of 2008.

Feb 05, 08 - 01:53 pm Comment from: weiland

I'm a long time Apple customer but let me say this:

Those bastards at Cupertino is getting a little bit too greedy this time around - maybe have to make up for what's lost in the market capitalization? (the stock has tanked 1/3 of its value this year).

Maybe that explains the lack of hoopla - they don't want to get booed.

Like someone observed here: they should have lowered the price of the older models per previous practice. Instead they just want to grab as much money as possible.

Not good.

Feb 05, 08 - 02:15 pm Comment from: ken1w

> Like someone observed here: they should have lowered the price of the older models per previous practice.

"Older model"? What are you whining about? Apple kept the same model(s) at the same price(s). Nothing changed there. So the complaint, if there is any, should be that the existing model is priced too high. Apple just added a NEW model at a higher price.

Apple is a for profit business, not a charity. It's not going to lower prices on existing products if sales goals are being met or surpassed at the current prices. That's business...

Feb 05, 08 - 02:16 pm Comment from: Falkirk

@Welland, I couldn't disagree with you more. Apple has had the fastest phone launch in history. In less than 8 months they've garnered the largest share of the smartphone market. Their unactivated phones are garnering massive subsidies from AT&T;and their unlocked phones are making them profits in countries where they don't even have a sales force or a carrier presence.

Lowering prices is NOT the be all and end of marketing. Apple needs to maintain high prices in order to differentiate it's iPhone from its other products. AND Apple is seeking to maintain a position in the market as a premiere product. Price communicates value. Apples high prices combined with strong demand makes them the leader in leader in the most important category - "wallet share".

Apple is not being greedy. They are being smart.

Feb 05, 08 - 02:29 pm Comment from: Tanuski

________________


Just got back from the SoHo Apple store.
No! They do not have the 16G iPhone. Not yet!

Called "14th Street" on the spot. Same answer.
Quite disappointed.

________________

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