iPod touch fronting iPod sales for Apple

Sales of the iPod are apparently dropping every day, but analysts at Caris & Company don't believe Apple has anything to worry about. Any gap in sales is more than filled by the iPod touch.

"We believe iPod touch sales have been ramping all year, representing an estimated 18 per cent of iPod units since September 2007 launch," the reports says.

Experts are recommending investors buy into the AAPL stock, with high anticipation of Apple reporting massive growth in both iPhone and Mac sales.

"We think the iPod touch provides the portability, internet browsing, and email features that are the hallmark of the netbook PC experience," a similar report by J.P. Morgan states, which pegs the iPod's bigger brother as Apple's current answer to netbooks.

"With the iPod touch, the main limitation is the small screen size relative to netbooks. While we continue to believe that Apple will introduce its own netbook-like device, in the interim, the iPod touch should help the company benefit from the latest computing trend related to the netbook."

Although uptake on the costly 3.0 software upgrade has been slow with iPod touch users, it seems the device is set to ride the wave of success thrown up by the iPhone for quite some time to come.