For all you non-believers...
This is for all those who do not want to accept that fact that Apple is a company, and companies evolve.
You can't just look at what its done for the past 20 years and base your assumptions to what its going to do in the next 20 years. Thats like saying since we've been using tradional cameras for the past 20 years, we won't be using digital cameras for the next 20 years. Technology changes and companies change. Do you honestly think Apple's simply going to keep the way it's always been? Don't you understand that Microsoft is not just a software company anymore? Can't you see that Starbucks is no longer just a coffee shop? Sony is no longer just a walkman, video cassette player making company. Why do you think Samsung went into the Auto industry? Times change.
Its not like Apple's trying to bring out a fridge, (although that would be infinitely cool..), they're just adding another model to their current ones.......they've already brought out the MP3 player......which doesn't quite suit the company's name anyway (Apple Computer Inc.)....and they've done well in it. Its highly ridiculous to think that when they've done so well, they'll just sit back and let everybody else catch up.
Jobs wants the rest of the market share of 30% of the MP3 market, and he wants it all. Its more than possible. Just over the holiday season, with a price like that, they can sell a lot of iPod mini-micros (or whatever you want to dub it), and its going to be a very Merry Christmas for Jobs and Apple. Just imagine....2,000,000 sold, profit = $50,000,000 to 100,000,000. Very very nice. Take on the lower end of the market, but keeping that barrier up at the same time with the not-so-damn-cheap-better-cough-up-some-money price. This maintains iPod brand image and value. Don't want the street beggar with an iPod, it will kill demand.
iPod micro or mini, they're bringing this new thing. 1GB going for $149. Period.