In US patent law, you have up to a year to file the patent application from the time the invention is first proposed, discussed, or realized -- I don't know which one (Timber?).
I don't know exactly what the law covers regarding patents for the underlying technology... sounds like someone at Apple may have screwed up royally.
and yes, I'd be glad to take $11 per iPod. Heck, I'll be satisfied with just $1 apiece...