Is the Apple iPod a Goner?

Apple is generating more revenue from its iPhones than it does from the iPod. iPhone sales hit $1.69 billion in the fiscal-third quarter, up 303% from a year ago. Apple literally can’t get the devices made fast enough.

IPod sales on the other hand are down 11.1% to $1.49 billion. Unit sales were down 7% year over year and 7% from the fiscal second quarter.

This trend is expected to continue. Peter Oppenheimer, Apple’s chief financial officer said. The company expects sales of the traditional iPod to decline as features are cannibalized by the iPhone and the skinny iPod touch.