The New York Times Magazine has an extensive piece on iPod by Rob Walker. There are lots of good quotes from Apple insiders, but this is probably the best:
''We don't underestimate people,'' Jobs said later in the interview. ''We really did believe that people would want something this good, that they'd see the value in it. And that rather than making a far inferior product for a hundred dollars less, giving people the product that they want and that will serve them for years, even though it's a little pricier. People are smart; they figure these things out.''
... ''For whatever reason,'' he said with finality, ''the superior product has the largest share. Sometimes the best product does win. This may be one of those times.''