iPod in the Tornado

The Chasm is where many high-tech fortunes have been lost … the Tornado is where many have been made.

Steve Jobs

This morning, I realized that Geoffrey Moore’s theories dictate Apple’s removal of firewire cables from iPod packages. Because the iPod is Inside the Tornado, enjoying that wonderful condition where demand outstrips supply and a backlog of customers appears.

Inside the tornado, priorities shift from customer intimacy and product leadership to product leadership and operational excellence. And the keys to success become:

  • Ignore the customer and ship.
  • Extend distribution channels.
  • Drive to the next lower price point.

Viewed in that light, removing the Firewire cables from the base iPod package is exactly the right move. Because it is much more important to reach a lower price point than it is to placate a slow adopting Mac customer.

And from my Sunday newspaper ads, I see that both Best Buy and Target are onboard and advertising the iPod shuffle.