Music phones to hurt iPod growth...

A recent analysis by Reuters India suggests that Apple's biggest competitor may be mobile phones with the ability to play music, rather than other digital music player manufacturers. Sales of mobile phones that can store and play back music are climbing, which industry watchers say could dent the MP3 player market potential. "You have the ability to talk, take pictures and listen to music in one device. The convenience factor is big," said Simon Leung, senior vice president of Motorola Asia. Kirk Yang, a managing director and technology analyst at Citigroup's Asia Pacific operations, believes Apple will probably unveil an iPod that will function as a cellphone later this year in response to the music phone offensive. "The iPod with phone functionality is going to be a category killer," Yang said. [updated]

AOL to offer TV programming

One of AOL's top executives today said the company plans to offer TV programming on its website by the middle of this year, in a move that could draw business away from Apple's iTunes Music Store. "We've been in discussion for months with every major cable and broadcast network," said Kevin Conroy, vice president of AOL Media Networks. AOL's expansion of its video service, which will offer free and pay-for-play shows from established programmers as well as user-created video clips, is crafted to address complaints about the inflexible pricing structure and the mix of available programming on iTunes, according to a report from Reuters. The service will sell shows from Time Warner, and will present offerings from other programmers and networks, according to the company, which declined to name partners.

Sony iPod assault falls short

Sony is planning to introduce its new Walkman in the U.S. this spring, but industry watchers say features fall short of Apple's current offerings. Apple had 45 percent of the Japanese market for digital music players in January, compared to Sony's 15 percent, according to BusinessWeek. Sony hopes the new Walkman will become more than just a commodity, boasting hard drive-based capacities ranging from 6-20GB to complement Sony's current Flash-based lineup. Sony's new player offers such features as an "Artist Link" button, which analyzes users musical tastes and suggests new artists based on those tastes, as well as a "Time Machine Shuffle," which plays music only from a specific year. Sony is bypassing iTunes in Japan by offering popular songs from its record label via Mora--its online store--in an attempt to lull consumers into purchasing the company's Walkman which is better integrated with Mora. Despite this, Sony's player lacks video capability, is larger than Apple's biggest model, and offers 10GB less space than Apple's low-end 30GB video-capable iPod.

Ferrari launches iPod-ready supercar

Ferrari this week launched the new 599 GTB Fiorano -- its most powerful grand tourer ever. The car, which was unveiled at the Geneva Motor Show, includes full iPod integration, Macworld UK reported today. The car has the same 620 horsepower V12 engine as the Ferrari Enzo, and can hit 62 mph in 3.7 seconds. Other high-tech features include xenon headlights, LED tail lights, a hideaway radio/CD player, and key with integrated volumetric anti-theft device with motion sensors. Other cool cars unveiled this week include the high-tech Saab Aero X Concept, the ultra-powerful Mercedes CLS 63 AMG, CLK 63 AMG, the Dodge Hornet Concept, and the Audi RS4 Convertible.

Apple, NBC near iTunes UK deal

NBC Universal is close to entering a deal to offer TV shows through iTunes UK, which would signal the first offering of TV video downloads through the iTunes Music Store overseas. Apple has offered U.S. customers video downloads since the debut of its video iPod in October of 2005, and has seen roughly 12 million video downloads to date. NBC is planning a test run by offering a select number of sci-fi series, which has historically been one of the most popular genres with U.S. iTunes customers, according to AppleInsider. Possible candidates include Battlestar Galactica, Alfred Hitchcock Presents, and Surface.

Podcast Maker creates enhanced podcasts...

Potion Factory today released Podcast Maker 1.2, a tool that allows users to easily publish a professional podcast. The company says that Podcast Maker handles all the essential steps of publishing a professional podcast, including: creating a fully iTunes and RSS 2.0 compliant podcast feed; embedding id3 and atom metadata tags into media files for such items as album art; uploading necessary files to an ftp, sftp, or a .Mac account; and then notifying other servers such as those at Apple's iTunes Music Store to publicize the update. In addition, Podcast Maker creates enhanced podcasts that contain chapters to help users navigate through long podcasts as well as both images and links that the audience can interact with, creating a much more pleasant experience. Podcast Maker 1.2 is available for $30, and requires Mac OS X 10.3.9 or later.