Apple is close to releasing its $9.99 iPhone 2.0 Software Update for iPod touch (sheesh) to bring it up to speed with the iPhone and App Store. As we mentioned yesterday, the update will also include Mail, Stocks, Maps, Weather and Notes.
The update is linked from Apple's website since about 4:30 this morning (ET), but clicking the link just opens iTunes with an error saying iTunes could not complete your request, and that the iTunes Store is temporarily unavailable. The errors are possibly related to the fact that the iTunes activation server is currently down.
In theory, you should be able to buy the update from Apple's website, or by clicking "Check for Update" in iTunes with your iPod touch connected to your computer.
Apple is charging for the update because of an accounting requirement: since the revenue generated from the iPod isn't considered a subscription (like an iPhone, with its two-year contract), Apple must charge a fee. The amount of the fee, however, is entirely up to Apple.
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Reader Comments (Page 1 of 4)
7-11-2008 @ 10:21AM
Viper007Bond said...
Boy am I happy that I didn't waste money on the January update, not that I'm exactly happy now having to pay $10 to just be able to pay even more money for any premium apps I want.
Thanks Apple!
Reply
7-11-2008 @ 10:23AM
Ian said...
I'm still getting a 1.1.4 is the current version, intermixed with there is a software upgrade "contacting itunes store". still not working.
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7-11-2008 @ 10:40AM
XIV said...
Same thing for me, but I'm patient and I know I'll soon enough have my applications.
@Viper007Bond : I was one od those who didn't want to buy the january update, but finaly bought it after the keynote in february. I don't really mind now having payed 20$ more, because I really used the notes, mail, google maps, and weather temperature since I have them. They were so usefull that it was worth it for me. I'm glad you waited tough, since it cost you less.
7-11-2008 @ 6:59PM
Viper007Bond said...
@XIV: Yeah, I know. My iPod is jailbroken, so I got them via alternate methods. Mail rocks. :P
7-11-2008 @ 10:28AM
Gp said...
Kind of a side-note. But I realized yesterday looking at my iPhone developer portal that they never released a final version of the SDK. It is still in Beta. And all the testing on the iPhone/iTouch OS was on a beta version.
So I guess we are all on Beta-level software.
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7-11-2008 @ 10:29AM
Anthony said...
Isn't the Update $9.95 or 9.99?
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7-11-2008 @ 10:29AM
Jesus Franco said...
I just clicked "check for update" it found 2.0 and installed it after a few message windows, and I wasn't asked to pay for it. Interesting, I guess Apple's severs are having major issues today. The update was downloaded, and is installed and now iTunes is installing the applications I downloaded yesterday.
I checked my iTunes purchase history to see if I accepted the fee without noticing and nope, it was definitely free, I wasn't even logged in when it downloaded it.
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7-11-2008 @ 11:37AM
Santiago said...
Did you have the January Software Update? Maybe we are getting 2.0 from free. If not, luck you!
7-11-2008 @ 11:36AM
Santi said...
Did you have the January Software Update? Maybe we are getting 2.0 from free. If not, luck you!
7-11-2008 @ 10:33AM
Cy said...
Err, not exactly. iPhone revenue is spread across the life of the device (~2 years) because they're accounting for it primarily as a subscription, not because of the monthly fee and/or contract. It's the same reason that the AppleTV software update was free last year -- AppleTV and the iPhone are the two Apple products that use 'subscription accounting'.
More, if you're curious/bored/having trouble sleeping:
http://blackfriarsinc.com/blog/2007/04/apple-reinvents-consumer-electronics
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7-11-2008 @ 10:38AM
Hector said...
Just got the "new software is available" from iTunes.
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7-11-2008 @ 10:40AM
Hector said...
Nevermind, I did get the notification that the update was available for sale but when I clicked more info iTunes couldn't complete the request.
Soo close...
7-11-2008 @ 10:42AM
Jesus Franco said...
Am I the only one that wasn't charged?
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7-11-2008 @ 10:52AM
darren said...
Nope - free here too. But all the apps I've tried quit out on launch, including MonkeyBall.
7-11-2008 @ 10:57AM
Jesus Franco said...
@ Darren, that doesn't happen here... that kinda sucks. Try "restoring" it
7-11-2008 @ 10:51AM
Bob said...
i was going to download that too. how would you install it though? option-click update in iTunes?
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7-11-2008 @ 10:59AM
Just_a_guy said...
here is what annoys me about their "subsciription" logic: they freaking allow you to run your iphone without a plan and still let you download the software for FREE
So that arguement proves that all apple cares about is screwing the ipod touch users.
Reply
7-11-2008 @ 11:22AM
James C. said...
it's not the monthly subscription that you pay that makes it subscription based accounting. It has to do with how apple realizes the earnings in their report. I believe it is similar to depreciation being calculated over time. It doesn't have to do with the fact that it is included in your monthly fee. It is more like instead of apple saying we make $300 today. They say we made $x per month for the next 2 years.
7-11-2008 @ 12:31PM
fracai said...
All it proves is that Apple isn't basing their iPhone accounting on the phone contract. We already know that Apple is no longer getting a portion of the contract revenue. Apple is accounting for iPhone revenue on a subscription basis over the course of a year or two. In this manner they can provide new features without charging. They aren't accounting for iPod revenue on a subscription basis and under the Sarbanes-Oxley act they aren't allowed to provide new features that weren't advertised for the original product without charging.
This has nothing at all to do with the phone contract and only has to do with how sales are accounted.
It'd be nice if everything were accounted for on a subscription basis, but for whatever reason Apple has chosen to only do so for iPhones.
ps. Who is forcing you to upgrade? If you don't like the product or terms, don't accept them. Me? I got my iPod less than a month ago and I can't wait to upgrade.
7-11-2008 @ 11:53AM
SpinThis! said...
To expand on what James C (above) mentioned, the Apple TV is also on the same accounting model as the iPhone... the monthly subscription of AT&T's service is irrelevant. A lot of people get AT&T's revenue sharing mixed up with Apple's own internal accounting model as well.