Apple Announces Free iPod Recycling Program

I'm a longtime Mac and iPod user, but this iPod recycling program probably has less to do with addressing environmental concerns, and more with ensuring ongoing profits. As the story said, folks can bring in their old iPod, and will score a hefty 10% discount for a shiny new model. (That's up to $45, if you're buying a top-of-the-line model, a great discount.) But what folks may not realize is that by doing this, Apple is proactively attacking the market for used iPods ... and generating sales for new iPods.

Say you bring in your much-loved, scratched iPod to the Apple store. By giving it to Apple, you're missing out on an opportunity to sell it used (on eBay, local newspaper classified, etc.) for a price that would likely be more than the 10% discount you'd receive. Furthermore, by giving your 'Pod to Apple, you're effectively helping reduce the number of used iPods available for sale on the market.

This helps Apple in two very significant ways. 1) It shrinks the "used" market for iPods (in which Apple generates no revenue), thereby generating traffic to iPod retailers for new product. And 2) It guarantees that you yourself will purchase a new iPod, from which Apple directly benefits. Unless you bring in a busted/dead iPod for the discount -- or bring in a 1st gen iPod with an extremely low resale value -- there's very little you can gain from this so-called recycling program.

Wanna new iPod? Splendid. Sell your old one on eBay and use the cash (which will often be much more than $50) to purchase a new one. Don't fall for a scheme (admittedly, a very clever scheme) that will directly benefit Apple, prevent the "used" iPod market to grow, and give you far less money than your used iPod is worth. As much as I admire Apple and the iPod -- and as much as I respect the environment -- this recycling program seems more like an insidious money-making scam.