I wouldn't look at Japan for comparisons like that, since it seems inherently biased towards small electronic gadgets. Japanese are also wild after crazy imode phones and what not. If I look at the adoption of imode and similar gadgets here in Germany, I'd pretty much come to the conclusion that there is absolutely no market for geek-toys like that. There's at least one company that wants to give back their UMTS licence. Nobody needs video-on-demand everywhere and nobody except a few geeks needs a small device to watch videos on (and especially not for 600�!).

I honestly doubt Steve Jobs would ever approve a videoPod.