It has been a quiet news week following the Worldwide Developers Conference. Both Adobe and Microsoft have moved their cloud apps forward with new developments. Adobe has released the next versions of some of its major applications, now calling them CC (Creative Cloud) rather than CS (Creative Suite). Subscribers to Adobe’s Creative Cloud can simply download and install the applications as part of the service, but they are not available otherwise.
Microsoft has released a light iPhone version of Office, only available to Office 365 subscribers, the first major advantage of the subscription over owning the pre-cloud version of Office. It looks like Microsoft will limit these apps to only small screen devices, not wishing to compete with its own tablet devices by releasing them for the iPad.
Monday’s Worldwide Developers Conference keynote was packed full of announcements. Apple showed everyone the new look and features of the next generation of both desktop and mobile operating systems. They also introduced new MacBook Air models, a re-designed Airport Extreme and Time Capsule, and gave us a sneak peak of a new Mac Pro model coming out later this year.
The next version of Mac OS X will be called “Mavericks” and will have new features such as Finder tabs, file tagging, flat design in apps like Calendar, better handling of multiple screens, and new iBooks and Maps apps. iOS 7 will have a completely different look with new icons, backgrounds, fonts and colors all around. We can expect both of these in the fall.
Apple also announced a new music service called iTunes Radio. This streaming service lets you listen to music based on criteria you select. It will directly compete with existing services such as Pandora.
Apple’s Worldwide Developers Conference starts Monday with a keynote address that is likely to include new product announcements. Rumors touch on just about every part of the Apple hardware and software line, though most agree that new MacBooks are the most likely to be introduced. In addition, we’ll probably hear about the next versions of Mac OS X and iOS.
Also rumored is a new service called iRadio, which could be a streaming radio service like Pandora, or a streaming music library service like Spotify. However, WWDC announcements usually focus on developers so it is more likely that we will hear about new hardware and new features of the operating systems. Many also hope that Apple will reveal plans for a new Mac Pro machine.
OS X version 10.8.4 was released this week and can be downloaded using the update feature of the Mac App Store. No major new features were added, as the update is mostly bug fixes and compatibility improvements.
Apple changed its iPod touch line-up today with the introduction of a new 16GB 5th generation model for $229. This replaces the previous model at the low-end which was simply a 4th generation iPod touch.
The new model means that all current iPod touches now include a 4-inch retina display and an A5 processor. However, this $229 model leaves out the rear-facing 5MP camera and the loop connector present in the other 5th generation models.
CEO Tim Cook was interviewed at this week’s AllThingsD conference and hinted at a range of changes in the future, including opening up more features of the iPhone to 3rd-party apps and a future wristwatch device.
Apple has hired former Environmental Protection Agency chief Lisa Jackson to help coordinate environmental efforts at Apple. The move was met with praise from outside groups.
Version 11.0.3 of iTunes for Mac, available through Software Update, includes a new MiniPlayer with album artwork and a progress bar, an improved Songs list view and better grouping for multiple-disc albums.
Last week Tim Cook mentioned the upcoming change that will bring production of one Mac model back to the United States. Rumors point to this being either a new Mac Pro tower or the next generation Mac mini. Cook said that the effort represents a $100 million investment. In addition to the model being assembled in the US, many of the components will come from domestic sources.
Apple currently employs about 50,000 people in the United States, with much of its software development and services located here.
Apple also released its testimony submitted to Congress, which is investigating how large companies use tax loopholes. In it, Apple suggests that Congress should eliminate tax loopholes and lower corporate tax rates, as well as place a reasonable tax on foreign earnings. Apple currently keeps much of its overseas revenue outside of the US.
Another slow week allows Apple’s self-promotional 50 billionth app sale contest to top the news. The lucky guy from Ohio who downloaded an app from the App Store at just the right moment won a $10,000 gift card.
This milestone puts a spotlight on the overwhelming success of the iOS App Store. It has transformed both the mobile device industry and the software industry in five short years.
Apple CEO Tim Cook will soon appear in front of a Senate subcommittee about Apple’s practice of keeping money earned overseas outside of the United States to avoid domestic taxes. Many other large international companies do this as well. Microsoft and HP have already participated by answering questions and many more companies are expected to do so. Some government officials would like to find a way for companies like Apple to bring this cash into the United States. Currently the large resulting tax bill would go against shareholder interests.
Adobe has been offering its suite of apps by subscription for a while now. But this week Adobe announced future versions will only be available through their Creative Cloud service by paying a monthly or annual fee, not as products purchased once per version release. Microsoft switched to a similar model this year for Mac users, offering their apps as part of Office 365, a subscription service.
The advantages of subscribing rather than buying are many: frequent smaller updates can be rolled out instead of major releases every one or two years, large upgrade purchases can be avoided, apps can be installed and removed from computers easily, and often these subscription licenses allow for installation on more than one computer. But overall costs can be higher, especially for those that did not regularly buy new versions in the past.
Apple’s Mac App Store is a slightly different cloud-based model, where software is still purchased with a single payment. But otherwise, it is similar to a subscription model since apps can be moved and re-installed easily, put on multiple machines, and minor updates tend to come frequently instead of major updates at longer intervals.
Each year Apple comes out with a new version of iOS, and this year looks to be no exception. What will be different this time is that Jonathan Ive, the designer behind the look of Apple’s hardware, is now in charge of the look of iOS as well. According to rumors, the result may be the end of designs that make software look like their pen and paper predecessors, like the yellow legal paper look to Notes and the textured look to the Calendar app.
On Apple’s financial front, the company sold $17 billion in bonds this week. The company is taking on some debt in order to finance a stock buyback and larger shareholder dividend. The debt inside the U.S. allows them to keep much of their cash stockpile outside the U.S. and beyond the reach of taxes. Apple stock is up sharply this week on the news.
Apple’s quarterly financial report was a pleasant surprise for investors as the numbers beat many forecasts. Apple reported $43.6 billion in revenue for the quarter. The iPad and iPhone continue to lead, while Mac sales dropped. But Mac sales may have merely echoed lower sales in the overall PC market, and were also hurt by low supply.
Apple also announced plans to buy back more of its stock and also increase the quarterly dividend to shareholders.
Following the financial report, Apple announced the dates for its next Worldwide Developers Conference (WWDC). It will take place from June 10 to 14 at the Moscone Center in San Francisco. Tickets go on sale today for the event with will feature more than 100 technical sessions and will likely include developer-related announcements such as new versions of iOS or OS X.
There was a series of minor software updates this week including Safari and Apple’s two photo management tools. Safari 6.0.4 adds a feature where you can enable Java only for certain specific web sites. This addresses a problem where users want to protect themselves from future Java security exploits, but need to use Java on some trusted web sites.
You can access this new setting after using Software Update to get Safari 6.0.4. Then you go to Safari, Preferences, Security and look next to the Enable Java checkbox for a new button that lists the web sites you have accessed that require Java.
The update to iPhoto adds the ability to delete individual images from a Photo Stream by simply dragging it to the iPhoto trash. You can also import images into a Photo Stream with drag-and-drop. Aperture 3.4.4 included a few bug fixes.
Rumors continue to fill a series of slow news weeks in the Apple world. There is more talk that the next iPhone model will out in July and will be called the 5s, following the practice of an “s” model coming out in between new version numbers: 3G, 3Gs, 4, 4s, 5. There is also speculation that the new phone will be available in two screen sizes, though other sources see this as doubtful. Also rumored for the summer is a 5th generation iPad.
On the Mac side, there is a mention on one rumor site of a new Mac Pro coming later this month. It has been years since the Mac Pro has seen a significant update. The current model isn’t even available in parts of Europe because its outdated design doesn’t meet regulatory standards.
A quiet news week was punctuated with rumors proclaiming to map out the rest of Apple’s 2013. The most bizarre rumor sounded more like an April Fool’s Day joke: an Apple TV display controlled by pointing, requiring the user to wear a special ring around his or her finger. The same rumor claims the TV will come with an iPad-like second screen to allow mobile viewing throughout the house.
More reasonable rumors included a July launch of an iPhone 5s model and the release of iOS 7. The new version of iOS may include significant interface updates according to a source. Also surfacing again this week was talk of an Apple streaming radio service, perhaps launching this summer.
T-Mobile will begin carrying the iPhone on April 12, with purchasing options that are very different from the other three major carriers. Instead of subsidizing the cost of the iPhone through regular monthly service payments over and beyond the life of a 2-year contract, T-Mobile will separate the cost of the iPhone from its service. Instead it will charge a monthly installment for the phone. While this will make little difference during the first two years, it will mean that beyond that time the monthly cost will go down.
T-Mobile is also offering unlimited 3G data, with limits only placed on faster 4G data. At this time, T-Mobile only has 4G systems in place in some cities. So for many, this amounts to an unlimited data plan, but with a slower connection. In addition, the T-Mobile version of the iPhone will include wideband audio, a feature also available with some European carriers that gives better voice quality on calls.
Apple updated the Podcasts iOS app this week with a new feature called My Stations. This lets you create lists of podcasts that will automatically update as new episodes are published. It could quickly become the preferred way to organize and listen to podcasts.
Apple released OS X 10.8.3 this week with many bug fixes. In addition, there is now support for Windows 8 running under Boot Camp and using your Mac’s camera to read iTunes gift cards in the Mac App Store. The update also includes Safari 6.0.3 with performance improvements and bug fixes. A complete list of information can be found at http://support.apple.com/kb/HT5612.
You can get the update if you are using Mountain Lion by choosing Software Update from the Apple menu at the top left.
Apple also upgraded GarageBand for iOS with support for the third-party app Audiobus that allows you to filter live audio through multiple apps.
It was another quiet news week, with only very minor updates to Apple’s iOS office apps and Apple Maps.
A new iMac option appeared in the Apple Store this week with a full set of VESA mount iMacs. These models have hardware on the back to let them connect to special wall mounts or desk stands, rather than the normal iMac stand hardware. Four such mounts are available through the online Apple Store when you purchase an iMac, while others can be purchased elsewhere. VESA (Video Electronics Standards Association) mounts refers to an industry standard. Computer and screen companies can make their devices VESA mount compatible so they will work with any third-party mount that uses the same standard. Apple had offeredVESA mount versions in previous generations of iMacs.
Rumors this week focused on the financial side of Apple, with some buzz around the idea that Apple may increase its shareholder dividend or enlarge its stock buyback efforts.
Apple news this week was dominated by stronger rumors of a new wristwatch product. Rumor blogs have been reporting that the device will come out later this year. While some believe this will be simply an iPhone accessory, extending the iPhone’s functionality as a Bluetooth device, other reports paint a picture of a completely independent iOS device to stand next to the iPhone and iPad. It is important to remember that these are just rumors, and more often than not such rumors do not pan out.
Other rumors this week focused on release timeframes for new iPads, making conservative predictions of new models coming either this spring or in the fall. Also, there are rumors of an iPhone 5S coming out in the fall, a safe bet considering Apple has produced a new model every year.
Apple held its annual shareholder’s meeting this week, and it was largely uneventful. Answering questions, Apple CEO Tim Cook did reiterate that Apple is looking to create new products in new categories. In addition, Apple is planning to move into its new 2.8 million square foot building in 2016.
In other news, it is being reported that Mac sales in January were strong after a week December causes by stock shortages. The new iMac was only available in limited numbers in December, but is now shipping in 2-3 weeks according to the online Apple store.
A few minor software updates this week addressed small but annoying bugs that have been causing problems for some users. iOS 6 was updated to 6.1.2 to address a problem when iOS devices were used to get email from Exchange servers. iTunes was updated to fix problems with syncing and store purchases. But it also seems to make it easier to sort search results, a problem many were complaining about with the initial release of iTunes 11.
Apple also released another update to Java to prevent another type of potential malware attack. This update gained more attention as this type of attack was allegedly used to infiltrate computers of Apple employees. MacMost recommends turning Java off in your web browser unless you absolutely need it.
In other news, the Mac Pro is no longer available for sale in Europe. This is due to the now-aging model not meeting regulatory standards. Many believe that Apple is simply removing the old model because a new Mac Pro is on the horizon.
Microsoft is pushing Mac users toward its new Office 365 subscription service by raising the price on stand-alone copies of Office for Mac 2011. These are now $140 or $220, depending on whether you want to include Outlook. A subscription to Office 365 costs $100 per year and allows you to use the software on up to five computers.
Apple has quietly updated the MacBook Pro and MacBook Air, and also dropped its price. The low-end MacBook Pro with a 13-inch Retina display and 128GB of storage is now $1,499, $200 less than before. The 256GB model is $300 cheaper at $1,699. These now come with a slightly faster 2.6GHz processor. The 15-inch models also received a processor boost to a 2.4GHz or 2.7GHz quad-core processor. The high-end model now also ships with 16GB of memory. The MacBook Air is also less expensive now, with a price tag of $1,399 for the high-end 13-inch 256GB model.
Apple is busy with legal matters as usual, but this time in disputes with its own shareholders. At issue is Apple’s large cash holdings. At least two groups of shareholders are arguing that Apple should find a way to return some of that money to the shareholders. Apple currently issues a $2.65/share dividend each quarter, including one this week.
A slow news week was interrupted only by Apple’s announcement of the sale of its 25 billionth song on iTunes, the introduction of the AppStore.com domain name during a Superbowl commercial, and an OS X Server update.
The only real event of the week was the launch of the 128GB iPad in Apple Stores, which had been announced the previous week.
Rumors were active, as usual, with the idea of a new Mac Pro surfacing again. The current Mac Pro will no longer be sold in Europe starting March 1 due to regulatory issues, giving more credence to rumors of a new model coming soon. In fact, one report pegs the arrival as soon as this spring.
