Apple - page 50

Credit: Dystopos, used under a Creative Commons license.

Wal-Mart is busy re-vamping the electronics departments in 3,500 of its giant retail stores, in a move to both fill the void left by Circuit City’s recent bankruptcy and to compete with another electronics mega-chain, Best Buy. But some believe it’s also actively lobbying Apple to become a distributor for more than just iPods and iPhones.

Bentonville, Ark.-based Wal-Mart is widely perceived as a low-end discounter whose vast properties are largely filled with the cheapest, most useless junk Americans could dream of importing from China, which makes Barclays Capital analyst Ben Reitzes’ opinion that Wal-Mart is angling to one day carry Macs all the more disconcerting.

Speculation over Apple’s interest in expanding its fewer than 10,000 worldwide distribution points comes amid recent data indicating that Microsoft’s advertising blitz over the past year has succeeded in re-positioning devices that run the Windows OS as value propositions in the computer world.

But this Mac user wonders whether a move into retail’s hoi-polloi might cost Apple more in the long-run than it would gain from the increased revenue that would surely come from the greater retail exposure a distribution deal with Wal-Mart could represent.

There has always been something satisfying, from the user perspective, about the panache of owning an Apple product; in many respects – as mythical as the concept of an “Apple premium” might in reality be – some Apple owners believe they get more for their money, and are willing to pay for the sense of exclusivity the company’s limited distribution network provides. Similar perceptions have maintained the public’s high regard and brand loyalty for companies such as Bose and Bang & Olufsen for years.

If the demands of a rebalancing global economy and of shareholders’ inexhaustible lust for profits cause Apple to seek a different path it would be a real shame, and likely signal the beginning of the end for the company that once implored the world to Think Different.

The new iPhone will be available July 17 and will have a bunch of new features, including video recording and editing, a digital compass, turn-by-turn directions, and a better battery, according to an obscure blog called iPhone Apps.

The blog, who no one has ever heard of before, claims to have been contacted by a “reputable source,” who is “closely connected to Apple’s hardware development team.”

Whatever. I’m dubious, but the rumor somewhat gels with previous rumors and the site’s detail and specificity lend the claims are certain credence. Kinda.

Full specs after the jump.

CC-licensed iPhone homescreen screenshot by Blake Patterson.

Developers are sneaking Easter Eggs into their iPhone apps to get around onerous App Store restrictions, Brian Chen at Wired.com reports.

Programmer Jelle Prins’ song lyrics app Lyrics, for example, was initially rejected by the App store because it included songs with naughty words. Apple bans profanity, pornography and basically anything adult and fun.

But the Lyrics app will include swear words if you go to the About page and swipe downward three times. Up pops an option to turn off a swear word filter.

“Lyrics has slipped in a quiet ‘Screw you’ to Apple’s App Store gatekeepers albeit one mumbled behind their backs,” Chen writes.

Has anyone else discovered undocumented features in iPhone apps? If so, leave them in the comments. A prize for the best one.

Jonathan Ive, Apple Senior VP of Design, has been named the #1 most creative person in business by Fast Company magazine.

Citing Ive’s decade-long influence over Apple’s rise to prominence as a trendsetting company with global reach, Fast Company‘s “100 Most Creative People in Business” list builds on an interview the magazine did with Apple’s young design star not long after he’d produced the groundbreaking Bondi Blue iMac. “We feel that we’re just getting going,” Ive told the magazine then, and the rest, as they say, is history.

Robert Brunner, Apple’s previous design chief, and the man who hired Ive and recommended him as his successor, said, “He likes to make perfect stuff,” describing what sets Ive apart from his peers in the design universe. “Ive has this design ability combined with a craftsmanlike mentality,” Brunner added, pointing to Ive’s understanding of the interplay between design and manufacturing as keys to the success of more recent products such as the iPhone and unibody laptop computers.

Image from GameSpot.

This isn’t official yet, but look out — sales of Apple’s iPod business might have dropped in April compared to last year. If true and an indication of performance for May and June, that’s the first time that’s ever happened — iPod revenue has gone up year over year every single quarter since Apple launched the 1G in October 2001. According to the NPD Group, Apple will sell between 9.5 and 10.5 million iPods this year, between 5 and 14 percent of last year’s mark.

Now, this doesn’t include iPhone revenue, which is almost guaranteed to keep delivering huge profits and revenue growth for years to come (dividing the money from each iPhone sold across 24 months will tend to yield more reliable numbers than lump sum payments). But it does show that even Apple isn’t immune to the current downturn — and the iPod business might be in for somewhat lean times until we get to back-to-school promotions and the holiday season. When money’s short, the urge to upgrade fades away, especially when the new killer features of the last year are Shake-to-Shuffle, built-in NikePlus support, and a buttonless shuffle. Still, who knows — people constantly expect iPod sales to collapse, and it’s never happened yet.

In better news, Mac sales are solid and down less than most consensus estimates. In spite of Microsoft’s best efforts. People are loving the Mac. Using a late 2008 MacBook, I’m not surprised. This is the best line-up of computers that Apple has ever had. Not a weak spot in the family.

Via BusinessWeek

CC-licensed photo by Joohyun Jeon

Apple appears to be building a large, distributed helpdesk operation, either in anticipation of a major new product, or simply to sustain the company’s growing popularity.

Apple this summer is recruiting about 450 “At Home” technical support staff in at least six cities across the U.S., according to a document seen by Cultofmac.com.

Instead of locating these workers in a centralized call center, they will work out of their own homes.

“As a company who’s motto is ‘think different,’ our ‘work different’ philosophy offers you the opportunity to work independently in your home office,” the job ads said. “You will receive all the wonderful benefits of working for an amazing company without ever leaving your home.”

Apple is getting down with the ‘Green is the New Black’ concept in a limited, though nonetheless laudable way.

The company is offering to re-cycle, free of charge, any school’s old, unwanted Mac computers, PCs, and other qualifying electronic waste, as long as schools register by July 31, 2009.

The program will only run for one month, until August 31, 2009, and schools must recycle a minimum of 25 pieces in order to participate.

Special consideration is being given to data security, according to Apple, which promises:

* All recycled hard drives will be ground into confetti-size pieces.
* Customers will receive a certificate of destruction for each lot recycled through the program.
* All asset tags and other identifying information are removed prior to destruction.
* All of the electronic waste collected through the program is processed domestically in the United States.

Apple has notified iPhone developers their submissions to the App Store must be compatible with iPhone OS 3.0 or they will no longer be reviewed, according to an iPhone Developer Program email.

Existing apps in the App Store should already run on iPhone OS 3.0 without modification, but Apple advised developers to test existing apps with iPhone OS 3.0 to ensure the absence of compatibility issues. “After iPhone OS 3.0 becomes available to customers, any app that is incompatible with iPhone OS 3.0 may be removed from the App Store,” the email read.

iPhone OS 3.0 beta 5 and iPhone SDK 3.0 beta 5 are currently posted in the iPhone Dev Center, which means major hoopla in iPhone-world is likely mere weeks away.

Image via TechCrunch

Apple moved quickly to remove an embarrassing listing on the iPhone web app directory which promoted the notorious QuickPWN software, which jailbreaks iPhones and iPod touches to allow unfettered application installation. Apple removed it tonight around 11 p.m. after coverage around the Mac blogosphere, including here at CoM. The link still comes up on Google, but the page is blank.

Why does this snafu matter? Because this little slip-up is yet another sign that Apple is completely overwhelmed by the sheer amount of content it needs to curate these days: Music, TV, Movies, and Podcasts in the iTunes Store; thousands upon thousands of apps for iPhone and many more that never make the cut; and an equally huge collection of web apps for iPhone on the website.

In a lot of ways, Apple has become one of the world’s biggest content gatekeepers. And the approval of Baby Shaker and the rejection of the Nine Inch Nails app are pretty clear evidence that the company still has a lot of work ahead to grow into the role.

Perhaps it’s just another indication we truly live in Opposite World, but it seems odd, at best, to find a link to QuickPWN on Apple’s website.

After all, the company has made it abundantly clear it believes the practice of jailbreaking an iPhone or iPhone Touch should be deemed illegal.

Apple is involved in a very public fight with the Electronic Frontier Foundation over the matter and there are obviously many many dollars at stake.

So, yes, odd. Then again, it’s a big company…

[Thanks Adrian!]

For a full page image of the link on Apple’s website, click here.

Kyle Buckner is a very talented fellow and his primary muse is Apple.

We’ve featured some of Buckner’s work before and he’s also got a spread in the June issue of Mac|Life magazine. He may well be one of the hottest Apple-inspired artists in the US right now.

Buckner sent us photos of his most recent school project, in which he was tasked to create a “Bookart”. Apple obsessed as he is, he was inspired to create a scale model of a MacBook.

Buckner constructed the casing out of wood, routering all the corners and then priming, sanding and painting the pieces white. The hinge system replicates the real Mac’s and is fully constructed out of hand cut MDF wood.

After he painted the pieces, he used a pencil to add the fine details. He drew the screen and full keyboard and penciled in every tiny phillips head screw at its location.

His piece is 3/4 the size of an original MacBook.

We apologize to anyone who got too excited by our earlier post teasing that this might be Apple’s new netbook. It’s a Monday night. It’s not football season.

Does anybody remember laughter?

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Image via Innovation 2.0

Yesterday’s news that the Federal Trade Commission was investigating whether occasional collaborations between Apple and Google constitute anti-competitive practices is all the rage this morning. Apparently, a 1914 law makes it illegal for a person to sit on the boards of two companies if it will reduce competition between them. Apple and Google share two directors between their boards — so the only question is whether their presence has reduced competition.

And honestly, the answer is not at all. If anything, having Google CEO Eric Schmidt on the Apple board has made it more awkward as Android has started to diffuse into the market. Even though Google’s apps for the iPhone are among the best on the device, the proliferation of iPhone competitors from Le Goog is setting up for a head-on collision between Mountain View and Cupertino.

According to experts, even if anti-trust violations were determined, the likely upshot would just be for the directors to step down from one of their two boards. No biggie. But the case highlights that American business law doesn’t really understand Silicon Valley. Out here, it’s only natural that you would simultaneously compete and collaborate. You share secrets and then try to use them against each other. It’s in the DNA here. But the law, as they, is blind.

A vocal cadre of iPhone app developers is none too pleased with the treatment they receive from Apple and may be considering a suit for breach of contract, according to a report at TechCrunch.

Examples of complaints on developer forums indicate that some developers remain unpaid for sales of their products on the App Store dating back to last fall and the report cites email exchanges between at least one developer and and the finance department at Apple in which the developer is informed his complaints about not being paid “border on harassment.”

Whether any actual lawsuits are in the offing is purely speculative at this point, but the discord is curious in the light of Apple’s recent recession-beating revenue performance and the stunning, widely publicized success of the App Store.

About a week ago, MacFormat posted a partial image of a mysterious Apple device “without comment”, saying it had been submitted anonymously by email.

It was just a tease, though, as MacFormat Illustrator Adam Benton had submitted via email his case for what you see here, a full-fledged Apple Media Pad, Cupertino’s answer to the world of netbooks.

In Benton’s conception, “Your entire Home folder – all docs, photos, movies and music – would live ‘in the cloud’ on Apple’s servers. Regularly used files would be cached locally, but the system would enable you to keep files in sync between the tablet and your desktop Macs, whilst getting away with a smaller SSD.”

Benton’s idea calls for a that dock would support USB and FireWire, plus Mini DisplayPort, and Bluetooth to be used for peripherals like headsets and keyboards. The OS would be the iPhone and iPod touch OS, scaled up to support the larger display, with integrated 3G connectivity – proper 7.2Mb/sec HSUPA – to keep users connected to Apple’s servers at all times.

See more details at MacFormat and start checking that secondary market for WWDC keynote tickets.

When Apple bought chip design firm PA Semiconductor a year ago, it sparked all kinds of speculation about what the acquisition might bring to the Cupertino Kingpins. Was Apple abandoning Intel hardware in Macs to make totally proprietary systems? Did they just need engineering talent. The answer, not-too-surprisingly, had nothing to do with Macs, and everything to do with the iPod and iPhone universe.

As Steve Jobs told the New York Times last June, “”PA Semi is going to do system-on-chips for iPhones and iPods.”

Now, Apple is spending a lot more on chip design talent. Bringing in a very senior executive from IBM and two CTOs from AMD. The Wall Street Journal even reports that Apple has new job listings that include duties like “testing the functional correctness of Apple developed silicon.”

Again, this is all almost certainly device, not Mac-related. The more Apple can up the power and reduce the power consumption of the iPhone and iPod touch, the stronger the platform the company can build, and the more we can do with them. The Journal also claims Apple wants to use technology its competitors can’t get access to, which would be a big throwback to the 1980s, if true. I think it’s far more likely that Apple believes it has the talent to make a chip that delivers world-beating performance in an affordable package at minimal power use, which is way more important than specific features built into silicon.

In all likelihood, we’re talking about the iPhone generation due in 2010 at the earliest, though it would be a lovely surprise for the 2009 edition. What do you think? Do you want to get Samsung out of your iPhone’s CPU?

Chalk up one more exhibit for the case that Apple and its ecosystem refuse to participate in the global economic meltdown.

WWDC sold out Tuesday, the earliest date on record for which the annual conference devoted to Apple’s development community has reached capacity. Tickets went on sale just a month ago, and were no bargain — even the early-bird special was well over $1,000.

Interest in this year’s event is great for a number of reasons. Developers and presumably the audience at the keynote will get the first public glimpse of OS X 10.6 “Snow Leopard.” The new OS has been in testing with developers for a while now, but many of the expected user interface changes remain under wraps. WWDC may be the first time anyone gets a real look at those.

Even bigger than Snow Leopard, however is the possibility that Apple could unveil a new version of the iPhone, even a touchscreen netbook or tablet. The rumor mill on all of these ideas has been active for months.

And of course there is the ever present shadow of Steve Jobs. Will he make an appearance, even tough he’s not scheduled to return from his sabbatical until the end of June? Could he possibly bear – health permitting – to let someone else introduce a major OS upgrade and potentially game-changing hardware?

The Jobs factor aside, the real takeaway from WWDC’s full house next month is the clear evidence that interest in Apple’s technology remains very strong. The idea that someone could found a career or hit the jackpot on the strength of learning how to develop applications that work with Apple technology seems to be one of the few – and one of the brightest – lights of hope on the economic horizon.

Yesterday, I had the pleasure of viewing “Art & Copy,” a new documentary about the best ad agencies on the planet, during the San Francisco Film Festival. It’s a wonderful film, full of great stories about the creative process and the origins of the 20th Century’s most memorable ads. Critically for Mac fans, this includes a brilliant blow-by-blow for how Apple’s amazing “1984” commercial was created, courtesy of TBWA Chiat-Day Chairman Lee Clow.

The clip itself isn’t available to embed, but what Clow says about “1984” — and then demonstrates in 1997’s “Think Different” — is worth remarking upon for anyone who has a long-term relationship with Apple. Clow says that the reason “1984” could be brilliant is that, first of all, he was given absolute creative freedom, second, Ridley Scott typified a new way of making movies that was just starting to take off in the U.S., and, most important, Apple actually had a revolutionary product and was aware of how revolutionary it was. When a great creative force gets a near-unlimited budget to promote a genuinely amazing product, it would be hard not to do so well.

Fascinatingly, Clow claims Apple’s board tried to kill “1984” right before it aired, at which point Jobs and Woz offered to split the cost of airing it in the Super Bowl — so it helps to have rich, passionate executives, too.

What’s interesting about looking back to “1984” and “Think Different,” both of which are considered in the film, is just how emotional they are. They make a profound appeal to people who feel like outsiders, rebels. Whether Apple ever really represented that feeling or not (I personally believe that it did), those spots went an incredible distance toward summing up what being a Mac user meant in the pre-iMac era. It meant everything, in a lot of ways. Pretty much any long-time Apple user will get misty watching either spot — or even talking about them.

That’s why the segment of the movie that shows Clow and his team working on iPod dance commercials in the present day was ultimately such a shock. Apple doesn’t make passionate ads any more. The emotion is gone. Apple makes cool ads — iPod dancers, Mac v. PC — and it makes educational ads — iPhone explanations, iPod touch as gaming system — but it no longer makes a real emotional appeal. Now, this transition is unquestionably more successful. But it does make me feel less a part of a movement. And that’s something I miss pretty much all the time.

I can’t recommend this film, which gets distributed in September, highly enough — nor that you click through the jump to watch “1984” and “Think Different.”

TUAW has the scoop on a very curious entry in the stats for Adium: a single user machine identified as the “MacBook Mini”. Now, this could easily be spoofed — last I checked the “Lenovo reModelFaMacBookAir” was not a computer — but on the other hand, it might be the very first appearance of the long-rumored Mac netbook.

After all, the very first place the name MacBook Air appeared was in the very same Adium stats. Only Apple knows what Apple is working on. But for now — we can dream.

“Dept. of deja vu: MacBookMini found in Adium stats” TUAW

Apple may begin offering a CDMA version of the iPhone branded to Verizon sometime in 2010, according to a report at USA Today.

Citing apocryphal “people familiar with the situation,” the report claims Verizon began talks with Apple prior to Steve Jobs’ health sabbatical and says conversations have continued in the ensuing months. The report comes in the wake of news reported earlier in the month regarding AT&T CEO Randall Stephenson’s efforts to extend his company’s exclusive US iPhone distribution deal through 2011.

Sunday’s USA Today story also flies in the face of recent comments made by Tim Cook, Apple’s Chief Operating Officer, who has been in charge of the company’s day-to-day operations in Jobs’ absence.

Speaking last week during Apple’s quarterly earnings call, Cook dismissed the idea of producing a CDMA version of the iPhone, asserting that it has no future, because many CDMA carriers plan to adopt the same 4G standard that will soon be used on GSM networks.

Whether Verizon is successful in closing a deal with Apple for 2010 or not, it only stands to reason, especially in the light of how the iPhone saved AT&T’s financial bacon in 2008, that iPhone’s luster continues to grow.

Every rumor like the one trumpeted Sunday by USA Today serves to increase anticipation for a certain (thus far unannounced) Tuesday event in June or July at Apple’s Cupertino headquarters.

Apple lost a patent infringement lawsuit Thursday in Texas, when a jury awarded Opti Inc. of Palo Alto, Calif $19 million in damages. The plaintiffs argued Apple willfully infringed on Opti Inc.’s patent covering a computer operation that enables a “snooping” function designed to help computers more easily retrieve previously accessed data.

The jury in the courtroom of Judge Charles “Chad” Everingham IV of the U.S. District Court for the Eastern District of Texas in Marshall, rejected Apple’s contention that Opti Inc.’s patent should be declared invalid and awarded the verdict as fair and reasonable compensation to Opti for Apple’s willful patent violation, according to the verdict form.

No word a yet on the status of Apple’s intent to appeal the verdict in the case.

Were you aware there is an annual conference devoted to the Apple II computer? And that it’s been held for 20 years?

Make plans now to be at Rockhurst University in Kansas City, MO from July 21 – 26 for, yes, the 20th annual KansasFest, a computer hoedown all about Apple’s iconic Apple II computer.

The keynote speaker will be Jason Scott, webmaster of
TEXTFILES.COM, director of “BBS: The Documentary”, and caretaker of Sockington, the cat on Twitter with over 300,000 followers.

KansasFest 2009, the world’s only annual Apple II conference, invites any and all Apple II and Macintosh users, fans, and friends to attend what oganizers call the “summer camp for geeks.”  For photos, schedules, presentations from past year’s events, and inquiries, visit the event’s Web site.

It took two days of people complaining, but Apple finally yanked Baby Shaker from the App Store on Wednesday – though the screaming and crying over why it was ever approved in the first place has probably yet to reach a fever pitch.

With nearly umpty-thousand applications now in the App Store and Apple fast approaching a billion downloads, it’s not unreasonable to expect that some things might slip through the cracks.

But, seriously, Baby Shaker?

Think I could slip my Shoot the President app past ’em somehow?

In a gloves-off analysis of Apple’s unexpectedly good earnings report yesterday ($1.2 billion in profits, up 20 percent from 2008), Time attributes the uptick to brand cachet, not the products.

“Apple and RIMM results are an example of why brands matter and why companies are willing to work to develop them by making huge investments which can stretch over decades.”

Writer Douglas McIntyre falls back on a number of generalizations “a lot of people” “a lot of experts” “a lot like the iPhone” “a lot of cheap phones”  and then pulls a few punches took a few cheap shots at people who buy Apple products.

“A lot of people think that consumers who buy brand are suckers, the kind people WC Field used to mock in old movies. Samsung builds a smartphone that looks and works a lot like the iPhone. It is called the Instinct and Apple owners think it is junk.”

“A lot of experts claim to know why people buy branded products, but there are probably as many reasons as there are people. All Apple cares about is that their customers have enough money to buy an iPhone, iPod, or Mac. Suckers have money, too.”

Via Time

Image of Apple logo out of iPhone covers by Incase designs, used with a CC license.

Regardless of how much Steve Ballmer is cackling about Apple’s problems from charging a premium, the company’s performance suggests that the House That Steve Built is extremely well-adapted to thriving in the current recession.

Over the past three months, Apple enjoyed its best-ever non-holiday quarter. $8.16 billion in revenue, up 9 percent from last year. Profits of $1.2 billion, up 20 percent from a year ago. Apple beat consensus estimates by about 24 cents per share.

Mac sales did slow down a bit, but iPod sales were up 3 percent and iPhone sales an astounding 123 percent.  The company is delivering results like no one else right now. The fact that the analysts were so pessimistic (they predicted a drop in revenue and profit) should elevate the price further.

Remember — this is the first quarter without Steve Jobs in charge since his cancer treatments five years ago, and Apple did better than ever before. And we’re six to ten weeks from a new version of the iPhone. Apple is sitting pretty, and no one can touch them right now.

Steamroller, all over again.

The near-term economic horizon appears to be surprisingly bright in the Apple/Mac universe, according to a survey released Tuesday by MacTech Magazine.

Despite recent dismal numbers from many sectors of the economy, 90% of respondents in “the Apple market ecosystem” polled by surveyors from MacTech believe 2009 will be “almost as good as or better than 2008”; 62.8% reported feeling good or great when asked about the Apple/Mac segment.

“The MacTech team decided to survey those in the market after seeing two significant trends starkly contrasting the general U.S. economic news,” said Neil Ticktin, Editor-in-Chief/Publisher, MacTech Magazine. “It’s been easy to get wrapped up in the bad news of the U.S. economy, but the reality is that for the Mac and Apple markets, things are strong and expected to get stronger.”

MacTech’s own advertising results and forecasts appear to support Ticktin’s optimism, with the magazine seeing a 13% increase in ad revenues 1Q09 over 1Q08.

A news editor from another well-known technology-focused magazine told Cult of Mac Tuesday, “after an abysmal holiday season, ad sales for the June issue look to be the best EVER!” MacTech’s Ticktin added “our staff has heard from many MacTech advertisers how well they are doing despite the economy.”

The sunny outlook from Apple-land certainly contrasts with anecdotal sentiment Cult of Mac gathered Tuesday night at an AdTech after-party in San Francisco, where several attendees reported a very down-beat vibe from the bellwether digital advertising conference.

Yahoo also reported Tuesday plans to cut 5% of its workforce in the wake of a nearly 80% drop in profits in the first quarter of 2009, and media guru Shelley Palmer said at the post-AdTech gathering in San Francisco he gives the economy 10 months to show its hand as far worse than anyone believes it is today.