Yes Apple successfully launched the "Made for iPod" program. I am not
sure about the response but lots of reviews seems to suggest that the
response is good. Apple get 10% of the royalties on all such products.
All manufacturers who participate in the program can tag their
accessories as "authorized" and hence this helps in driving out the
players from the black market.
Although, few communities think this is not very "noble" of Apple ....
I think their action are justified and smart way to keep a legitimate
hold on a market they have "created"
Please let me know if you want more specific information and I can try to help.
Please see below a short commentary that I found helpful:
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Apple launches ?Made for iPod? seal
Posted Jan 13, 2005, 12:41 PM ET by Marc Perton
Related entries: Portable Audio
In a move reminiscent of those annoying Windows stickers affixed to
most PCs with some kind of permanent glue, Apple has launched a ?Made
for iPod? program, which will allow it to tag ?authorized?
accessories. Given the proliferation of third-party iPod gear, it
seems like a smart (and obvious) move on Apple?s part. Preferred
vendors will get their stickers, Apple will get some extra cash (like
they really need it), and makers of uninspired or cheesy accessories
will languish in well-deserved obscurity. (Of course, Apple can also
use the seal in less noble ways, like withholding it from vendors who
also produce gear for competing audio players, but they wouldn?t do
that, would they?)
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Made for iPod" certification combats black market iPod accessories
Apple has today introduced a ?Made for iPod? certification, aimed at
combating the proliferation of black market, low-quality and
potentially dangerous iPod accessories.
The badge will be applied to all authorised iPod accessories,
distinguishing them from those designed by unofficial developers.
The move follows recent reports suggesting iPod accessory products
from unauthorized designers could be harming consumers? iPod hardware,
even when used as advertised and intended.
Indeed, a number of concerns have been raised during the last month
specifically about damage caused to iPod batteries and the smooth
functioning of iPods by these so-called unofficial accessories.
The Made for iPod certification will reportedly benefit Apple,
retailers and consumers alike, although vendors on the show floor at
Macworld San Francisco have suggested the product will be of benefit
to the groups in that order of importance.
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Apple wants a 10% cut of all Made for iPod accessories
Posted Mar 18, 2005, 11:50 AM ET by Peter Rojas
Related entries: Peripherals, Portable Audio
There was nothing too nefarious about Apple coming out with their new
?Made for iPod? seal of approval program a few months ago?it was
pitched as a convenient way for consumers to know for sure that the
accessories they?re buying will work with their iPod?but according to
CNET there is a dark side to the program: Apple is now demanding a
tithe of 10% of the wholesale price of any Made for iPod accessory. No
one is forcing anyone to participate in the program (it?s not like you
need Apple?s permission to make an iPod accessory), and it?s
completely normal (and expected) for manufacturers to drop a little
coin for the licensing rights for a logo or to pay for the
certification process, but a 10% cut? Sounds less like Apple is trying
to look out for consumers (who may end up paying a little more for
Made for iPod accessories unless manufacturers decide to take a hit on
their margins) and more like they?re just looking for a way to get a
nice chunk of the rapidly-growing market for third-party accessories
without actually having to sell anything extra themselves.
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Apple seeks accessories kickbacks
Apple has created a "Made for iPod" logo program that legitimizes iPod
accessories and, conveniently, could let the company cash in on sales
of doodads such as car adapters, power cables, and remote controls.
Apple's explanation for the logo is simply that it wants to ensure a
standard of quality for iPod add-ons, but sources close to the company
(who will probably soon be subpoenaed) say Apple was, at one point,
asking 10 percent of the retail price in exchange for use of the logo.
The sources say Apple has since relented and wants 10 percent of
wholesale instead. Jack Campbell, CEO of accessory maker DVForge, told
News.com the logo program is "a strong-arm tactic to take control of
the iPod channel." He says he won't pay to play, but analysts say
Apple stands to gain some $25 million per year from a logo-for-profit
deal--and it's willing to let the small vendors sink.
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Apple seeks 'tax' on iPod accessories
By Ina Fried
http://news.com.com/Apple+seeks+tax+on+iPod+accessories/2100-1041_3-5620959.html
Story last modified Wed Mar 16 13:34:00 PST 2005
As part of a "Made for iPod" logo program, Apple Computer has been
angling for a slice of the revenue from the growing array of
third-party add-ons that connect to the iPod, sources said.
For the right to display the logo, Apple was at one point looking to
get 10 percent of an add-on's retail selling price. More recently, the
company has been seeking 10 percent of wholesale pricing, according to
people familiar with the situation.
The logo. Apple announced its intention to start the "Made for iPod"
program at January's Macworld Expo. However, the company has refused
to discuss most of the details of the program. Apple has said it
applies to gear that connects electrically to the iPod--things like
car adapters, power cables and remote controls, but not to cosmetic
items such as cases. Word that Apple might be seeking a cut of the
action was mentioned earlier this month on enthusiast site
AppleInsider.
An Apple representative declined to discuss any fees or royalties
associated with the program, what the requirements are to take part,
how products earn certification and whether such certification will be
required of products sold in Apple stores.
"With more than 400 iPod accessories on the market and growing, the
Made for iPod logo program is designed to help consumers choose iPod
accessories that work properly with their iPods, and also provide
participating iPod accessory makers with guidelines and technical
specifications to develop their products," Apple said in a statement
provided to CNET News.com on Wednesday.
Add-on maker Griffin Technology is among the few already using the
logo, featuring it prominently alongside many of the products on its
Web site. Belkin, one of the leading makers of accessories, said it
has not started adding the logo to its products, but said it is taking
part in the program and strongly supports it as a way to help identify
quality products.
Previous Next "I'm hoping that it will make the market a little
clearer for customers so that they will be able to buy with
confidence," said Brian Van Harlingen, a senior technology manager for
Belkin.
Van Harlingen said that he does not expect the program to force add-on
makers to raise prices. "Any costs that might be associated with this
program, we feel, would be offset by the benefits."
One outspoken critic of the program is Jack Campbell, CEO of Mac
add-on maker DVForge.
"Behind the scenes, all it is, is a strong-arm tactic to take control
of the iPod channel," Campbell said. "We ain't playing."
Free money?
Although not all partners may be thrilled with handing over a share of
their sales to Apple, Piper Jaffray analyst Gene Munster said the
benefits to Apple outweigh the risks.
"The risk is the outside chance that they upset one of the people that
are helping build this economy," Munster said. "The reality is this
whole ecosystem is dependent on Apple anyway. Apple has a bigger
opportunity to tax that."
He said that, assuming there are $250 million in wholesale sales of
iPod accessories covered by the program, Apple stands to gain as much
as $25 million this year.
"It's free money," he said. "There's no reason that Apple would want
to leave that on the table."
Apple could use the added money to increase its already strong iPod
marketing. Munster said that $25 million dollars would buy the company
roughly 2,500, 30-second cable TV spots. "Apple's key in this is a
strong brand, and this gives them extra ammunition," he said.
The iPod has become critical to Apple's business. Last quarter, Apple
sold four times as many iPods as it did Macs, propelling the company
to its highest ever sales and earnings.
The accessory market also has boomed, with various players estimating
the market to be in the hundreds of millions of dollars a year.
One of the challenges for accessory makers in weighing whether to take
part in the program is the fact that Apple is not only the maker of
the iPod but also one of the largest distribution channels for
accessory sales through the Apple online store and retail outlets.
Van Harlingen said that ensuring a presence in Apple's retail and
online stores is a factor in wanting to take part in any Apple
certification process.
"That's an important part of it," he said. "It's definitely not only a
good distribution channel but a good marketing vehicle as well," he
said, noting that people often look at a presence in the Apple store
as a way to judge which products to buy, even if they buy them
somewhere else. Van Harlingen also said that his company has seen
interest in the logo program from other retailers eager to use it as a
selling point for products that carry the seal.
Not unprecedented
While the "Made for iPod" program is new, Apple has had a role in the
accessory market for some time. Under a previous program, Apple
required those who wanted to use either the remote connector at the
top of the iPod or the dock connector at the bottom to get their parts
from an approved Apple supplier, sources said.
The computer maker also has other logo programs that require
developers to meet certain standards, but do not seek royalties. One
example is the Mac logo program that software makers can use to show
that their products work with Mac OS X.
Microsoft has a similar royalty-free "Designed for Windows XP" program
for software that runs on its operating system.
However, there are also programs, particularly in the video game
business, that charge for use of both a logo and proprietary
connections. An example would be Nintendo's Seal of Quality. |
