Apple's new products - the iMac, iPod and iTunes 6 - will seize a significant slice of the media centre PC market, an analyst says.

American Technology analyst Shaw Wu articulated the comments in a note to clients. Wu says Apple shares are worth hanging on to, though it's notable that he is one of those analysts who offered the highest projected figures for iPod sales in Apple's last quarter.

Apple's perceived failure to meet these targets, described by other analysts as "unrealistic" caused the company's stock to decline 10 per cent - even after the best quarter in the company's history. These losses were quickly replaced on news of the new products.

That aside, Wu said: "Apple has an elegant solution with a superior user interface and we believe these new iMacs will sell well as PCs."
Apple solution beats the competition

He added: "We view the new iMac with integrated iSight videocam, Front Row software, and remote control as a first legitimate step by Apple in addressing the emerging home entertainment server space, currently served by Media Center PCs".

"However, we believe it still needs to add portable video recorder capability and more video out options to make this enhanced iMac a true contender in the digital home as a home entertainment server."

Apple drives, the industry follows

On the new video-enabled iPod, Wu joined other commentators, declaring himself to be "very impressed" with the product, on capabilities and price.

He also sees the video selection initially available through iTunes as relatively small, but does expect other providers to sign up fast.

"We believe the video iPod could serve as a Trojan horse, much like the original iPod, in moving the industry forward to the digital domain," he said.

Wu declares a $48 price target on Apple stock.

Macworld Conference 2005

October 27-28, 2005. At MacExpo, Olympia National Hall, London

Macworld has gathered the world's best Mac experts for this year's Conference, which focuses on two areas: Mac OS X and profesional design.

Mac OS X: David Pogue (author of many best-selling Mac books, and the technology correspondent for the New York Times) leads the Mac OS X stream, alongside Macworld's hilarious back-page columnist Andy Ihnatko.

Design Pro: Deke McClelland (author of The Photoshop Bible, and inductee of the Photoshop Hall of Fame) runs a masterclass on Adobe Photoshop and other Creative Suite applications, with digital-artist Steve Caplin and photographer Martin Evening. Quark Product Architect Dan Logan flies in from the US to show the world's first full demonstration of the ground-breaking QuarkXPress 7.0.

Discover the hidden tips and tricks utilised by the Mac's top practitioners to dramatically enhance your skills and gain the insights you need to get the most from your technology investment.

Click here for more details.