HP announced at the CES 2004 that it will license Apple's iPod technology.

Beginning this spring, Palo Alto, Calif.-based HP said it will start delivering its own version of music player, as well as make Apple's popular and easy-to-use iTunes digital music jukebox and online music store available to HP customers.
As part of an agreement with Apple HP's consumer personal computers and notebook PCs will come preinstalled with iTunes and desktop icons to point users directly to the iTunes Music Store.
Apple has sold more than 2 million of the iPod players and earlier this week announced the iPod Mini, a smaller and slightly cheaper version of its regular iPod player.

Will the HP Apple deal mean cheaper iPods for Consumers ? We will have to see and wait. At least the announcement made HP's Shares go up.
See Article on CNN Money

See Also:
Apple iPod mini 4GB MP3 Player officially announced
I4U 2003 Highlights: RCA Lyra RD2780 MP4 Player
Samsung to announce Multimedia Player at CES 2004