According to a recent report by Ben Reitzes, based on the NPD report, the new iPod Shuffle is doing fairly well since its launch just a few weeks back with sales up 51% during its first full sales week and with another 10% increase in the following week, proving that the new talking iPod Shuffle has created interest in the market, while other iPod sales are falling.

The strong performance from the new 4gb iPod Shuffle comes off the back of falling iPod sales overall as according to the same report overall iPod sales fell by 38% year on year. What i have not been able to find information on though is if that drop in overall iPod sales are due to people shifting over to buy the iPhone instead, in which case that drop in sales might actually not be that bad.

It is estimated that quarterly iPod sales will be down 14% compared to the first quarter of 2008. The sales of the new iPod Shuffle is giving them a slight boost though as it is estimated to contribute about 25% of all iPod sales at the moment.

With the news of the iPhone OS 3.0 upgrade followed by what is most likely a new generation iPhone and a new 3rd generation iPod Touch later in the year, i believe that Apple will bounce back when looking at the year on year numbers.

If you feel like helping Apple improve their sales you can always check out our best price iPod tables here.

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