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Gen Z’s iPod Revival Signals Shift in Tech Spending Patterns, Raises Questions for Consumer Electronics CFOs

Refurbished iPod sales surge 15.6% since 2022 discontinuation, signaling Gen Z shift away from smartphones

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Gen Z’s iPod Revival Signals Shift in Tech Spending Patterns, Raises Questions for Consumer Electronics CFOs

Why This Matters

Why this matters: CFOs at consumer electronics and software companies need to reassess smartphone upgrade cycle forecasts and app-based revenue models as Gen Z actively opts for single-purpose devices.

Gen Z's iPod Revival Signals Shift in Tech Spending Patterns, Raises Questions for Consumer Electronics CFOs

Gen Z consumers are increasingly purchasing discontinued iPods as an alternative to smartphones, a trend that could signal broader changes in how younger demographics approach technology spending and digital consumption.

Apple discontinued its iPod line in 2022, but refurbished sales of the devices have climbed an average of 15.6% since that year, according to BackMarket, a refurbished electronics marketplace. Google search data shows demand spiking in 2025, with queries for the iPod Classic and iPod Nano up 25% and 20% respectively between January and October compared to the same period in 2024, per Axios.

The resurgence appears driven by two factors: school policies restricting internet-connected devices and a broader Gen Z movement toward reducing smartphone dependency. Students are using iPods as a workaround to listen to music during school hours without violating bans on internet-capable devices, while others cite the appeal of a dedicated music player from what they perceive as a "more hopeful" era of technology.

The trend coincides with growing adoption of digital wellness apps. Downloads of Brick, an application that blocks smartphone apps to reduce screen time, surged approximately 600% in January 2026 compared to January 2025, suggesting the iPod purchases may be part of a larger behavioral shift rather than mere nostalgia.

For finance leaders at consumer electronics companies, the pattern raises strategic questions about product lifecycle management and the potential for "dumb device" categories. Apple generated billions in iPod revenue during the device's peak years before smartphones cannibalized the market. The company's decision to discontinue the line in 2022 appeared final, yet the secondary market is now capturing revenue that might otherwise flow to new product categories.

The implications extend beyond Apple. If Gen Z's preference for single-purpose devices over smartphones proves durable rather than ephemeral, it could affect forecasts for smartphone upgrade cycles, app-based revenue models, and the broader assumption that younger consumers prefer consolidated, internet-connected devices. Finance teams at companies betting on app-based engagement and smartphone dependency may need to model scenarios where a subset of their target demographic actively opts out.

The iPod revival also highlights the growing economic significance of refurbished electronics markets, which operate outside traditional OEM revenue streams and complicate market share calculations. When discontinued products experience demand surges, manufacturers capture none of the upside while potentially facing support costs if devices remain in active use.

Whether this represents a temporary cultural moment or a sustained shift in consumer behavior remains unclear. What's certain: a product Apple declared obsolete four years ago is now experiencing double-digit growth in a market the company no longer serves, driven by consumers who were children when the iPod peaked. For CFOs modeling Gen Z spending patterns, that's a data point worth noting.

Originally Reported By
Morningbrew

Morningbrew

morningbrew.com

Why We Covered This

Secondary market demand for discontinued products creates revenue leakage for manufacturers while complicating market share calculations and product lifecycle ROI analysis, requiring CFOs to model alternative consumer behavior scenarios.

Key Takeaways
refurbished sales of the devices have climbed an average of 15.6% since that year, according to BackMarket, a refurbished electronics marketplace
Downloads of Brick, an application that blocks smartphone apps to reduce screen time, surged approximately 600% in January 2026 compared to January 2025
If Gen Z's preference for single-purpose devices over smartphones proves durable rather than ephemeral, it could affect forecasts for smartphone upgrade cycles, app-based revenue models, and the broader assumption that younger consumers prefer consolidated, internet-connected devices
CompaniesApple(AAPL)BackMarket
Key Figures
%15.6% growth_rateAverage refurbished iPod sales growth since 2022 discontinuation%600% growth_rateBrick app downloads surge January 2026 vs January 2025%25% growth_rateGoogle search queries for iPod Classic up between Jan-Oct 2025 vs 2024%20% growth_rateGoogle search queries for iPod Nano up between Jan-Oct 2025 vs 2024
Key DatesEvent:2022Period Start:2025-01-01Period End:2025-10-31Period Start:2026-01-01
Affected Workflows
ForecastingBudgetingRevenue Recognition
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WRITTEN BY

David Okafor

Treasury and cash management specialist covering working capital optimization.

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