Apple co-founder Steve Jobs has said that consumers now view the iPod Touch as a gaming device.
Speaking to The New York Times, Jobs revealed that the technology company did not at first know how to promote the multi-functional product to users.
"Originally, we weren't exactly sure how to market the Touch. Was it an iPhone without the phone? Was it a pocket computer?" he said.
"What happened was, what customers told us was they started to see it as a game machine. We started to market it that way, and it just took off."
Last night at its Annual iPod Conference, Apple announced a reduction in price point of the 8GB Touch to $199 (£120), with the 32GB product dropping to $299 (£180) and the 64GB model falling to $399 (£241).
Jobs explained that the price reduction is important as it opens up the appeal of the iPod Touch to a wider range of consumers and therefore draws them into the App Store.
"Now what we really see is it's the lowest-cost way to the App Store, and that's the big draw," he said. "So what we were focused on is just reducing the price to $199. We don't need to add new stuff. We need to get the price down where everyone can afford it."
Digital Spy
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