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While there ARE similarities between how the Mac was being handled and how the iPod currently is, Jobs isn't a moron.
Some other people have already pointed out some tidbits to indicate the article's swayed and hasn't been properly researched, but there's more. Apple has licensed the iPod technology to HP recently. Carly Fiorini, the CEO of HP, unveiled the HP Digital Player (marketing's not done, so i'm not certain what it will be called on release) a while ago, it was basically an iPod with the HP logo imprinted on the back. This indicates a huge move toward opening the iPod to the Windows crowd.
Mistakes happen, Jobs gambled big in the past trying to make Apple the only show in town, and it fell through. These failuress are exactly the reason those who have run failed startups before look like good prospects for hiring- they learn from their mistakes and know what to avoid and what to look out for. Sort of like battle-scarred heroes of war. You can be damn sure he's not going to make the same mistake twice, and current moves in the iPod business model show that very well.
There's just too many people readying themselves like vultures, waiting until he slips up and drops the ball. Too many competitors trying to get into the market. Napster, Dell, Sony, countless eyes are on him. He'll be extra careful.
As for the imminent doom of standalone mp3 players, it's far from being on it's last leg IMHO. Sure integration of devices like cell phones with mp3 capability will take a certain niche, but you will _never_ find the same level of sophitication. Cameras on phones may be getting better- but it will never reach a point where digicams stop selling altogether. A tiny market share maybe, but minute. Same with mp3 players, it just fills a different need. We're talking 40gb Jukebox players here, not 128mb flash based players.
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