This Christmas the market is set to be flooded with portable video jukeboxes in an attempt to usurp the iPod as the ultimate icon for Christmas shoppers.

But they will have a tough time beating the iPod with its "sleek design, user-friendliness and casual endorsement by celebrities" according to The Observer.

"Although the devices mark an evolutionary leap forward from music players like the iPod, matching that product's fashionable status will be tougher," writes technology correspondent David Smith.

Apple claims to have no plans to offer video facilities on the iPod, standing by CEO Steve Jobs conviction that nobody wants to watch video on a tiny screen.

Movie migration

However, regardless of viewing habits, the movie industry is set to see some change in consumption. Some experts predict that the downloading of films could make DVDs obsolete.

CinemaNow VP Bruce Eisen said: "I think ultimately the digital downloading of movies will displace DVDs. I'm not saying next year, or even the next five to 10 years, but it will happen. To my kids, or my grandchildren, the idea of selling content on shiny pieces of plastic will be silly."

If movies are downloaded digitally it may follow that fans will want to store them on a portable device like the iPod.