> Meh. You're talking about 10 years ago. Hmmm? Apple still sells iPods. And I wouldn't be surprised if Apple still took the lion's share of the profit in that

> Meh. You're talking about 10 years ago. Hmmm? Apple still sells iPods. And I wouldn't be surprised if Apple still took the lion's share of the profit in that market. They sold 12.7 million of them last quarter (including Touches). Surely if consumer hardware headed towards commoditization in the fashion you describe, someone would have released a quality 16GB MP3 player for far less than $150 and been able to push Apple out of the market.