2nd Quarter Conference Hilights

The 2nd Quarter Financial Conference Call took place today.

In the Question and Answer session, the following information was provided:

- Regarding Best Buy Pilot. It ran its natural course and its performance is undergoing analysis at this time.
- IBM's PowerPC 970 90nm was the sole constrained supply causing the Xserve G5 delays. This supply is expected to ramp up over this quarter.
- HP iPod to start shipments in Summer. Already shipping iTunes on HP computers.
- Some iTunes albums are priced higher than $9.99, but this is due to higher prices charged by record labels.