As part of the agreements, Apple intends to prepay a total of $1.25bn for
flash memory components during the next three months.
"We want to be able to produce as many of our wildly popular iPods as the
market demands," said Apple chief executive Steve Jobs.
Apple claimed that, with over 30 million iPods sold, the device is the
world's most popular digital music player, and that
iTunes is the number one online music store with over 600
million songs purchased and downloaded worldwide.
The firm added that there are more than 1,000 third-party iPod accessories
currently available.
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