Apple Introduces 10GB iPod-2,000 Songs in Your Pocket
Download Contacts into iPod Alongside Your Music

MACWORLD EXPO, TOKYO-March 21, 2002-Apple=AE today announced a second model
of its groundbreaking iPod=AE digital music player that features a 10GB hard
drive, allowing users to pack an incredible 2,000 CD-quality songs into the
iPod's ultra-portable, 6.5-ounce design. Apple also announced that all iPod
owners can now download free software that adds the ability to download and
store contact lists with up to 1,000 names and addresses right alongside
their music. In addition, customers can now order their new iPod with a
custom laser engraving etched into iPod's stainless steel back.

"iPod lets you easily put your entire music collection in your pocket and
listen to it anywhere. With the new 10GB iPod, you can listen to your music
continuously on six round-trip flights between San Francisco and Tokyo and
never hear the same song twice," said Steve Jobs, Apple's CEO. "Plus, now
you can store your contact lists inside your iPod, too."

iPod owners can now add a special touch to their new iPod by personalizing
the stainless steel back with a custom laser engraving. The iPod can be
engraved with a name and/or personal message to commemorate special events
such as a graduation, birthday, or a winning team's season, as well as for
identification in case of loss.

iPod is the only portable music player with Auto-Sync, an innovative
feature that automatically downloads your entire iTunes=81 digital music
library into iPod and automatically keeps it up-to-date whenever the iPod
is plugged into a Mac=AE. With iPod's built-in FireWire=AE port, a massive
2,000 song library can be downloaded in less than 20 minutes-30 times
faster than USB-based devices. The iPod's battery provides up to 10 hours
of continuous music and recharges automatically whenever iPod is connected
to a Mac, using power supplied over the FireWire cable.

iPod is the first portable music player that allows users to carry all
their contact information for a thousand colleagues, family and friends,
right next to their entire music collection. Customers can transfer contact
lists from Entourage, Palm Desktop or Mac=AE OS X's Address Book into the
iPod Contacts folder.

With its innovative scroll wheel and graphical user interface, iPod
customers can quickly accelerate through an entire library of 2,000 songs
to find and play their favorite song or quickly and easily access any of
their contacts in seconds.

Apple has also added 20 EQ presets, ranging from R&B to Classical, allowing
customers to adjust the iPod's dynamic range to better match the music they
are listening to. Customers can apply EQ settings to songs while they
listen to them with the iPod's Settings menu, or utilize the EQ settings
that they assigned to individual songs in their iTunes library.

Pricing & Availability
The new 10GB iPod is available immediately for a suggested retail price of
$499 (US), and the 5GB model remains priced at $399 (US), through The Apple
Store=AE (www.apple.com), Apple's retail stores and Apple Authorized
Resellers. Laser engraving is available for $49 (US) and can include two
lines of text with up to 27 characters per line. An iTunes 2 CD,
earbud-style headphones, FireWire cable and FireWire-based power adapter
are all included. Both Contact and EQ features are available for free
download to current iPod owners at www.apple.com/ipod. iPod requires Mac OS
X version 10.1 or Mac OS 9.2 and iTunes 2.0.4.

Apple ignited the personal computer revolution in the 1970s with the Apple
II and reinvented the personal computer in the 1980s with the Macintosh.
Apple is committed to bringing the best personal computing experience to
students, educators, creative professionals and consumers around the world
through its innovative hardware, software and Internet offerings.