Back in my Apple retail days, it was quite impressive to see the number of people buying 3rd gen iPods. The third generation (with the four buttons across the top) marked the start of mass adoption. The buying frenzy was so strong, and so long, I started to wonder if the market of people willing to spend $250 on the device would soon dry up.
Well as history has shown, Apple had far more people willing to buy that player than I thought, and soon Apple began addressing the lower-priced market with the iPod Mini, Shuffle, etc.
It looks like we might finally be reaching the saturation point though. AppleInsider took a look at the latest Piper Jaffray teen survey, and it looks like in the teen market at least 92% of the respondents had a digital media player, and 86% of those who did, had an Apple player. In case you're curious, the Zune came in at 4% (gee, it's almost the exact opposite of OS market share...)
With this market nearly filled, Apple will either need to add more features, or convince more of these teens (and their parents) to get an iPhone. Eight percent said they owned an iPhone, and 16% said they planned on buying one this spring. Unfortunately, the report didn't provide data on computer purchase plans.