The halo effect. HP stops shipping iPod’s.

Listening to the Inside Mac Radio podcast on the way to campus this morning, I heard the announcement from computer vendor HP that they will no longer be selling the popular iPod personal MP3 player. It seems that the sales of the iPod was not positive for HP but was degrading sales. Since HP is mainly concerned with selling desktop and notebook computers as their main line of income. Some has speculated that the “halo” effect of the iPod and the positive experience many people have had using the device has boosted sales of Apple’s line of desktop and notebook computers.

HP will now be selling off its remaining iPod assets and will not resume selling the device as of September 2005. As part of the deal between Apple Computer and HP, they will be disallowed from selling a competitors device or selling a device of their own to replace the iPod until late in 2007.

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