Why does the update cost money

According to Apple, they have to charge the "nominal" fee for "accounting purposes."The fee is probably more for marketings sales research than actually going towards R&D.

" Out of all the people who bought an iPod touch, let's see who's getting the new software!"

Here is my take on this issue......
I am just simply not paying for something that was already build into my Ipod Touch...i.e: Bluetooth, Keyboard to be sideways, being able to buy videos via WiFi, Shuffle feature and Search engine.

All of this things should have been enable to begin with! Apple has saved this features so they can make you pay for more Updates......either way you will be forced to buy it, sooner or later you are going to need to buy or desire to buy an App that requires you to have OS 3.0! Thus making this Update from a Non-mandatory to Mandatory!

I saw the whole video of the presentation for the update and it is funny to watch people get all excited about how you can take video on your Iphone now!......WOW Apple!.....this should have been in the first Iphone to begin with!

The main focus of this update is so you will be able to get charged for an Update so you can purchase more Apps and Content from Apple.....they just happen to enable a few features that should have been enable to begin with! So they can call it an Update.

Simply put I am just not buying it, I don't care about any of that stupid crap they added, like: Cut, Copy & Paste, Bluetooth, Spotlight, Landscape Keyboard, Peer to Peer and my favorite........Ability to charge you for an Update so you can buy Content!......"Hmmm, Let me charge you for this update....now I am going to let you buy Video content using WiFi but I am going to charge you so you can have this ability!"

"Updates in my Opinion are more like Screw ups that they had fix later on, after their product releases!"
"Don't charge us because you Messed Up!"

Many of you may and may not agree with me, I just want to say that this is just My Personal Opinion.

I wish you all the best and take care.

Why is everyone so surprised by marketing decisions like "ah, guys, let's not give the public the ULTIMATE product of the century today--let's give em enough to get them to buy version one, then we'll trot out version 2 with some extra goodies, then on to version 3 with a few more features tacked on" (or unlocked, whatever you want to call it). Camera mfgrs have been doing exactly the same thing. That's what makes the world go around. You will NEVER be able to buy the ultimate-never-to-be-improved upon device. In electronics, models are routinely updated on a breakneck pace to outdo "the other guy", as well as appeal to the consumers who are obviously very willing to buy the latest & greatest. Get used to it. You want to play; you have to pay.

I think that it is absolutely bogus that you have to pay $9.95 for this upgrade! As if Apple doesn't make their money!! Is it not enough that we have to pay $220.00+ for the ipod it's self?? What about those who pay for music, movies, apps, and such?? You can't tell me that Apple has to charge for this upgrade!! When I had my previews ipods I didn't have to pay for upgrades! It is wrong! We shouldn't have to pay extra for some silly upgrade that probably cost them 2 cents! It is wrong and in my opinion it is stealing!! Apple definitely makes their money with their high priced computers, ipods, and accessories!! The prices are why I don't own a mac!

Not so very long ago, I purchased an iPod Touch (1G) for almost twice the price the 2G currently costs. I had to pay 50$ for the replacement of that (defective) device by a refurbished one. I also had to pay about 20$ for a first software update, and 9.99$ for a second one, and that makes my iPod touch a rather expensive one.

Although I understand that the software update is not mandatory, I was only wondering whether Apple considers it fair that to get horizontal keyboard and cut/paste functions I should again be charged 9.95$ (given that owners of the currently cheaper 2G get Bluetooth and other additional functions) ?

Also.. If I wanted to pay extra money I would have bought an iphone. That's just simply not the case. I didn't want to have to pay every time something gets upgraded. That's why I don't have an iphone, I didn't want to have to pay extra. I don't mind paying for movies and apps, and music and such, not that I do that to often, because it gets expensive. That I understand. But to charge for an upgrade that is just plain ridiculous. I never got charged on my previews ipods. In this economy you think that apple would be trying to help people save money, granted my buying an ipod, music, movies, and apps, isn't a great way to save money either, but that is my choice, I don't have tons of money like apple does! Yes I know that downloading this upgrade is my decision, I know I have the option to not buy it. That is completely beside the point, the point is is that apple makes it's money (i.e.: Mac computers, ipods, iphones, accessories, music, movies, apps. and so on) that they shouldn't have to charge for this upgrade. It is wrong. That is the point that people are trying to make. It just isn't right!

No one holds a gun to your head to buy Apple products. If you think an item is overpriced, just pass on it. I don't own any Apple computers for several reasons, one of which is price. iPods I find too cool to pass up, so I have a bunch of them. You want to draw the line at a different spot than Apple does, when it comes to them charging for some updates. It's your choice--pay to play, or stay on the sidelines. No one's forcing you to pay for the updates. Your car doesn't get updates, even if you wanted some. Be thankful that the product you bought earlier is going to have some new features (if you pay a token fee).

If I wanted to pay extra money I would have bought an iphone.

No, if you wanted to make calls, have a camera, etc. you would've bought an iPhone.

I didn't want to have to pay every time something gets upgraded.

You don't have to. If you're happy with your iPod as it is, stay at v2.x. Likewise, when Microsoft release Windows 7 in October you don't have to upgrade. Stay with XP or Vista.

I never got charged on my previews ipods.

That's because previous iPods only had minor bug-fix updates. Not updates that added lots of new features.

In this economy you think that apple would be trying to help people save money

Why? Apple aren't immune to the effects of the global economy. They're not a charity. They still have to make money to survive and avoid making staff redundant. I don't see any other companies giving their products away for free during this economic downturn.

This update costs money because it's not mandatory.

I agree! Why is the update free for the iPhone, but $9.95 for the touch??

As for the iPhone, you have to pay for a contract which is for two years. For the iPod Touch, you don't.

Do you have any idea what iPhone customers have to pay for service?

Ahem... iPhone 3G users get the update for free. If you don't have an iPhone 3G, you have to pay. Plain and simple.

But dont you have the contract with AT&T not Apple.So its like your paying the monthly bill to AT&T not Apple.And don't you have a one time fee to Apple when you buy the Iphone.

Yes. But that doesn't change the fact that this new update was made for the iPhone 3G, and more specifically, the iPhone 3GS.