iPod sales used to grow sequentially from 2Q to 3Q - which was evident both in 2004 and 2005. But in 2006, there is a sequential decline from 2Q to 3Q - for the first time in the history of this product. This type of change in the seasonal sales pattern often augurs a transition from high-growth track to a period of slower growth. There is reason to worry about decelerating iPod sales - particularly as Apple is now forced to attempt risky gambits like adding video and phone functionality to maintain momentum. There is a reason why iPods did not add these features in 2004 or 2005 - Jobs realized they are risky moves.