Case Study: the iPod

The iPod revived Apple as a company. By innovating existing technologies Apple refined the way music was stored on a singular device in a way that was much more user friendly than any of its other competitors on the market. However, where Apple added its own unique, radical innovation was through the production of the iTunes program which added value to both sides of the music media chain. By being the first music download store to prevent privacy, the music industry trusted the safety of Apple’s program which ensured royalties would still reach the relevant artists and producers. iTunes also offered consumers a cheap way in which to purchase music, and a place where it could be stored in vast quantities. 


The iPod's compatibility with Windows gave consumers instantly easy access to the music store, but as Apple devices were the only devices that worked alongside iTunes, the company still made profit from the purchase of hardware. The updating and improving of the hardware devices provided consumers with an opportunity to buy multiple Apple devices, and the platform innovation of the device gave Apple scope to create music players with different functionalities, for example the iPod Shuffle for running or exercise or the iPod Touch for internet browsing. 

 As a lifestyle choice Apple represents sleek, cool, functional living and with the prices of the iPod range in particular, this lifestyle became affordable and attainable for the customer. Apple gained strategic advantage in the technology market by using their knowledge to re-imagine an existing product that had great versatility. Similarly, the timing of iTunes and its music piracy protection appealed to the music industry and the record companies that would promote their music on that platform.

From the iPod, Apple have innovated the iPhone and the iPad, all are extensions of the iPod creation but carry the same recognisable sleek designs and easy to use functionality which are now synonymous with the brand. 

See the slideshow below for an analysis of the iPod within the context of the four dimensions of innovation space: product, process, position and paradigm.