Apple Unveiling Movie-Playing iPod?

ABC News: Apple Unveiling Movie-Playing iPod?.

Is it going to be another PSP? The marketing strategy for Apple to go for digital entertainment is really amazing. Just look at the latest series of TV ads on apple.com will you understand. It is yet another example of the blue ocean.

"The iPod Nano was optimized for short-form video like TV shows, music videos," said Michael Gartenberg, analyst with Jupiter Research. "You could get that sense based on form factor, screen size, battery life etc. … [A movie iPod] would need a larger viewing screen. And, of course, Apple's challenge is to keep that iPod form factor."

The larger screen is a big deal for the little dynamo. While TV shows and music videos are generally made to be watched on a squarish screen, movies are shot in widescreen and require a more rectangular screen for proper viewing.