iPods still a part of Apple's big picture

And there's still profit to be made.

"Flat doesn't mean down," said TBR's Gottheil. "Down doesn't mean down a whole lot. Selling 50 million of a thing every year, which they've done the last couple of years, is not a bad thing."

"It's still a large market," added Ross Rubin, executive director of industry analysis for NPD Group. "There's still significant demand for a product that is simpler in its functionality, and less expensive than the iPod Touch."

Golvin agreed. "I don't think it's time," he said, "to stick a fork in the iPod."