Every device Apple makes (iPhone, iPad, iPod) is capable of playing music, and beyond that, a heck of a lot of people have iPods already. Those iPods will last

Every device Apple makes (iPhone, iPad, iPod) is capable of playing music, and beyond that, a heck of a lot of people have iPods already. Those iPods will last at least a few years. It should not be surprising at all that iPod sales are finally dying down. Apple is being smart by expanding into new product lines; that way, they continue to make profits, while people "hold onto" their purchased items. It would have been stupid to not make anything new and just expect steady iPod revenues for eternity.