Being the largest technology company in the U.S. doesn’t come without its drawbacks. A manager at Apple responsible for working with manufacturers in Asia has been charged with accepting more than $1 million in kickbacks from companies eager to get their hands on inside information.
The manager was accused last week of giving information to companies to help them get contracts from Apple. In addition to the arrest by U.S. Marshals, Apple, Inc. is suing the manager for damages.
While it has been a slow news week for Apple-related events, the rumor mill has been grinding at full speed. Several blogs are reporting that Apple will come out with a smaller 7-inch iPad by the end of the year. Rumors of a new Apple TV model, potentially named iTV, persist. And more bloggers are jumping on the bandwagon to predict a Verizon iPhone in January.
Apple came out with a minor but notable software update this week. iOS 4.0.2 for the iPhone and 3.2.2 for the iPad patched a flaw in the way PDF files are displayed. This flaw was used as a method of jailbreaking the devices, but could also have been used for malicious purposes.
Adobe also released a minor but notable update. The Mac Flash player now uses graphic card acceleration in video playback. This should make video smoother on higher-end Macs.
And speaking of higher-end Macs, the Mac Pro models announced in July are now available for order in the online Apple Store. Quad-core models start at $2,500 and a 12-core variation starts at $5,000.
Late last week there was a bit of a shake-up at Apple when Mark Papermaster, the head of the iPhone and iPod division, left the company. Some speculate that this may be fallout over the iPhone 4’s antenna issue. But Apple hasn’t commented on the change.
Hackers this week released a method for jailbreaking the iPhone that only involves visiting a web site. The method uses a security vulnerability that allows code to hide in a font embedded inside a PDF file. Apple has reportedly been working on a fix for this vulnerability and will release an update soon.
Jailbreaking allows owners of the iPhone to install third-party apps that come from sources other than the Apple store. Modifications to iOS on the iPhone can also be made. This is often confused with “unlocking” which allows an iPhone to operate on wireless networks other than AT&T in the U.S.
A security fix is necessary because the same vulnerability can be used to install other software, even malicious software, on the iPhone without the user knowing.
Meanwhile, the legality of jailbreaking was in the news recently. Federal regulators stated that Apple should not use of copyright law to claim that jailbreaking is illegal. This legitimizes many companies and web sites that help people jailbreak their iPhones. But it does not prevent Apple from making jailbreaking difficult.
Microsoft announced a release date and pricing for an update to the popular Microsoft Office suite for Mac. Office 2011 will arrive by the end of October and will feature lower prices: $119 for the home edition and $199 for business. The suites include Word, Excel, PowerPoint and Messenger. The business edition also includes Outlook, a replacement for Entourage.
Apple made changes to its iMac and Mac Pro lines this week. The new iMacs that feature i3, i5 and i7 processors, dropping the Core 2 Duo processor. Video chipsets in the new iMacs were also upgraded with 256MB to 1GB ATI chipsets. Faster memory is also included, and the SD card slots now support SDXC cards with up to 2TB of data. Drives on the new Macs start at 500GB with 1TB as a standard on most, and a 256GB SSD option as a second drive.
The Mac pro towers now come with either 4 or 6-core Xeon procesors, new ATI video chipsets, an option for a 512GB SSD and other improvements.
In addition to the new computers, Apple introduced a whole new interface this week with the Magic Trackpad. The device is essentially a trackpad like the ones on MacBook Pros, but as a stand-alone wireless Bluetooth device that replaces a mouse. The device allows an iMac, Mac mini or Mac Pro user to use touch gestures which have been available on MacBooks for a while.
Apple also changed its display line, adding a 27-inch (2560×1440) LED display that also features an iSight camera, USB hub and speakers. It also has a port for connecting power to the most recent MacBook line. This is now the top-of-the-line display for Apple, which discontinued its 30-inch display.
Apple reported its Q3 financials this week, giving us a lot of data about the company’s performance. The quarter featured record Mac sales and the first quarter with reported iPad sales. Here are the numbers.
In other news, Apple held a special press conference last Friday about the iPhone 4’s reception issues. CEO Steve Jobs showed evidence that the problem was not specific to the iPhone, but occured on other smartphones as well. He then announced a free iPhone case program that will allow iphone 4 users to get a free case from Apple. Having a case has been widely reported as alleviating the problem. Details on the program should be posted on Apple’s site by the end of the week.
Apple also released small updates to both iTunes and the iBooks app. The new iBooks app will allow features like video and audio, which can be used by future books published for the platform.
Many are still complaining about iPhone 4 reception problems, and Apple has called a special press conference for Friday morning. Speculation about the announcement ranges from free bumper cases for all iPhone 4 users to Apple simply presenting evidence to dismiss complaints.
Meanwhile, developers have received version 4.1 of iOS for testing. The update increases the accuracy of how reception strength is reported on the phone.
This week Consumer Reports declined to recommend the iPhone 4 based on the reception issue, despite giving it the highest rating among smartphones. Others have criticized the magazine’s testing methods, and many of the testing methods used by other media sources.
MacMost’s own unscientific field testing shows that the iPhone 4 without a case does seem to lose “bars” when held tightly. A protective case seems to fix the problem. Call drops have been experienced, but at no greater rate than with previous iPhone models.
In other news, Apple has set up a program for replacing some defective Time Capsule units sold between February and June of 2008. These defective models sometimes shut down unexpectedly or have trouble starting up. Those with the problem should take it to an Apple Store or authorized retailer to be checked out.
This week attention remained on iPhone 4 reception issues. A software update is on the way, but some reports say that this update merely changes how signal strength is reported on the phone in “bars” rather than changing actual reception. Other reports indicate that bars are indeed the issue, and that holding an iPhone 4 the wrong way won’t necessarily cause calls or the Internet connection to drop. Many iPhone 4 owners make this a non-issue by simply getting a protective case for the iPhone.
Meanwhile, AT&T said that upload speeds for some iPhone 4 users may not be as fast as they should be, due to a software problem on the AT&T side that should be fixed soon.
Apple continues to update its MobileMe service. After just completing an update of web-based email, there is now a beta test of a new web-based calendar interface. You can see the new interface by going to your MobileMe calendar on the Web, and clicking on a link to request to be part of the beta. Apple has posted a FAQ with details about the new calendar.
Rumors this week include talk of a new Apple TV that may more closely resemble the iPod Touch than a Mac running Front Row. There may even be an app store. Also, fresh rumors point to a new iPod Touch with cameras and support for FaceTime video calls.
Apple moved 1.7 million iPhone 4s in the first three days of sales to five countries. Steve Jobs called it the most successful product launch in Apple’s history. iPhones ordered online now aren’t scheduled to ship for three weeks. Apple and AT&T stores often receive a small number of new phones each day, but sell out quickly, making the iPhone hard to find anywhere.
Some of those who have been able to get the new iPhone are complaining about a reception issue that occurs when the iPhone is cupped tightly in hand. This same problem occurs on other phones, including older iPhone models, but is reportedly more pronounced on the iPhone 4, which uses its external metal band as an antenna. Using an Apple “bumper” case or any other case seems to eliminate the problem.
One lawsuit over the issue has already been filed against Apple, and others have threatened to sue. There have also been rumors of a coming software fix from Apple that will alleviate the problem.
Other rumors this week also pertain to the iPhone. One has Apple coming out with the iPad iWork apps for the iPhone 4. iOS 4 does support the use of Bluetooth keyboards, which makes using something like Pages more plausible. There are also more rumors this week of a Verizon version of the iPhone coming later this year or early next.
This week was dominated by iPhone news. Monday saw the release of iOS 4, the fourth major revision of the iPhone OS. Thursday morning the iPhone 4 became available across the U.S. and several other countries. During the week, the new iBooks app for iPhone and iMovie app for iPhone 4 were released.
The release of iOS 4 brought new features like multitasking and app folders to the iPhone 3GS and iPod Touch 3rd generation. In addition to these major features, dozens of minor improvements to the operating system and base apps were introduced. Some of these improvements also work on the older iPhone 3G and 2nd generation iPod Touch. iOS 4 will eventually make it to the iPad as well, although not until the fall.
The iPad iBooks app, an e-book reader, is now also available on the iPhone and iPod Touch. Books purchased in the iBooks store can be spread across each of the devices if you own more than one. Bookmarks and your place can be synced between devices as well.
Thursday morning saw huge lines at Apple stores, partially fueled by rumors of iPhone 4 shortages. But reports from around the U.S. suggest that Apple has enough on hand to fulfill all reservations, plus perhaps hundreds of walk-ins per store. Fewer reservations and no walk-ins at all were available at AT&T stores and other retailers that carried the iPhone on launch day.
The new iPhone features a front-facing second camera for video calls, a 5 megapixel camera for photos and HD video, a new design, faster processor and longer battery life.
Apple has had a busy week setting the stage for the arrival of the iPhone 4. But its biggest announcement was that of a new Mac: a re-designed Mac mini. The new mini is shorter and wider than the old model, with the power supply inside the case, rather than in a separate unit. The most notable change is the inclusion of an HDMI video out port. This shows that Apple recognizes the mini as a in-the-living room device that people may use to hook up to televisions instead of computer screens.
The new mini also includes a mini DisplayPort video connection, an SD card slot, upgraded processor, video chipset and 2GB of RAM by default. The price has gone up, however, with the base price of $699 instead of $599. There is also a $999 version with a second hard drive in place of the optical drive and Snow Leopard Server installed.
Along with the new Mac mini is a new version of Mac OS X — version 10.6.4 — to support it. This release is for all Intel Macs, and includes numerous bug, security and performance fixes, but no notable new features. You can get the new version by using Software Update.
Also available this week is iTunes version 9.2, which will support the new iOS 4 coming out on existing iPhones on June 21 and then the iPhone 4 on June 24.
Pre-orders for the new iPhone 4 in the U.S. began on the 15th, with reports of widespread ordering troubles. Those that wanted to pre-order the iPhone were faced with error pages on both the Apple and AT&T web sites. Apple reported that 600,000 orders did get through and currently orders are being taken only for shipments in July as it appears that launch day stocks are already sold out. Many ordered an iPhone for delivery, while others did it for in-store pickup which will start at 7 a.m. in Apple stores on June 24.
Apple’s Worldwide Developer Conference keynote did not disappoint, at least not for those looking for a new iPhone model. The iPhone 4 will be released on June 24 and will include a front-facing camera for video calls, an Apple A4 processor like the iPad, a high resolution screen, and a new thinner design. Pricing for the new phone will be essentially the same as the iPhone 3GS.
The new phone will also use a new version of the iPhone OS, now officially called iOS. It features multitasking, folders to help organize apps, and improvements to the Mail app. It will also be available for the iPhone 3GS, and a lesser version for the iPhone 3G and iPod Touch.
While the keynote did not mention anything new for the Mac, later in the day Apple released a whole new version of Safari for both Mac and Windows. The new version can be downloaded by using Software Update. In includes address bar enhancements, more HTML5 tag support, performance enhancements, and Bing as a search option alongside Google and Yahoo. A new feature, called Safari Reader, will extract article text from a page and display it without surrounding content.
You can find out more about both iPhone 4 and Safari 5 in videos posted earlier this week.
Apple also announced changes to the iBooks app, which will soon be available on the iPhone as well as the iPad. Users will be able to purchase books once, and have them appear on all devices using iBooks. The new app, due later this month, will also support PDF files.
Ahead of the announcement of a new iPhone and the iPhone 4.0 OS, AT&T has completely overhauled its wireless 3G data plans. In addition, it has announced tethering plans that will be available when the new iPhone OS is released.
The old unlimited data plan, costing $30/month, has been replaced with a $25/month plan that limits data to 2GB. Additional blocks of 1GB will cost $10. A $15/month plan caps data at 200MB, with additional blocks of 200MB for $15. Those with existing $30 unlimited plans can stick with it if they wish.
Tethering, the ability to connect your Mac to an iPhone and use its Internet connection, will cost $20 per month for those on the new $25 plan. You must be on the $25 plan to use tethering.
This also affects iPad 3G users, who will have to choose between the new $25 and $15 plans when signing up for service. They can also stick with the $30/unlimited plan, but it is unclear what happens when iPad users skip a month with this data plan.
On Monday morning Steve Jobs will take the stage at the annual Apple Worldwide Developers Conference. It is anticipated that he will announce new iPhone hardware as well as release dates for the iPhone OS 4.0 operating system for current iPhone 3GS models.
It’s the end of an era. The “Get a Mac” ads starring Justin Long and John Hodgman are done. The ad campaign started in 2006 and the lines “I’m a Mac. And I’m a PC,” became well known worldwide. Apple announced the end of the ads last week and also removed its library of videos from the Apple.com Web site. They remain available as an Apple podcast, at least for now.
Signs are certainly pointing to a new iPhone model soon. The old iPhone 3G, available until this week as a low-end sub-$100 model has been removed from the Apple Store. The lowest-end iPhone 3GS has been discounted to less than $100 at Walmart stores. And Steve Jobs has been confirmed as the keynote speaker for the Apple Worldwide Developers Conference on June 7.
This will typically mean the announcement of new or updated products. Rumors are floating around that AT&T employees have been warned of a new iPhone launch for the month of June. It is likely that the new iPhone will be announced on June 7, and then available for sale at the end of the month.
On the other side of the news, Apple is being scrutinized on three new fronts this week. First, the U.S. Department of Justice is looking into allegations that Apple put pressure on music companies to not enter into exclusive early sales deals with Amazon.
Also, reports of more suicides at electronics manufacturer Foxconn has led many to suggest that working conditions there might be a problem. There have been nine suicides and two other attempts so far this year, out of a population of about 400,000 workers. Apple has said it is launching its own investigation. Foxconn also makes products and parts for HP, Dell, Nokia and Sony.
Even U.S. Apple workers are getting in on the act, with a class-action lawsuit filed in California that claims that Apple Store employees were not properly compensated for missed breaks.
These kinds of things can be expected more often now that Apple has surpassed Microsoft in market capitalization, making it the world’s largest technology firm. It is also the second largest U.S. company, just behind Exxon Mobil.
Apple updated its basic MacBook this week. The look and basic features are the same, as well as the $999 price tag. But the laptop now features a slightly faster processor and video chipset, as well as a new battery that claims to give it 10 hours of runtime.
Early in the week there were rumors that Apple planned to redesign its pro-level video editing tool, Final Cut Studio, to make it more user friendly to non-professionals. Many professionals expressed concern that the application would not meet their needs if this happened. But later in the week Apple responded by saying that any new version of Final Cut Studio would take into account the needs of its existing users.
Apple released updates to all three iWork apps on the iPad: Pages, Keynote and Numbers. All three apps get some bug fixes and support for more languages. Pages now supports more of its features in horizontal orientation that were previously only available in vertical orientation.
An update to MobileMe’s web mail interface is coming, and some users have been invited to beta test. The new interface features multiple display modes, including one that looks much like the iPad’s Mail app. There are also rules that can be applied in the web interface that will also automatically file messages into folders in client software, such as the iPhone and iPad.
In Beatles-on-iTunes news, Paul McCartney said in an interview that it is the record company EMI that is creating the problem. He said there are “all sorts of reasons” why the middlemen at the company don’t want to put the Beatles catalog on iTunes.
May 28 will be the launch date for the iPad in several countries, including Australia, Canada, France, Germany, Italy, Japan, Spain, Switzerland and the UK. Apple has already begun taking pre-orders in those countries. The actual arrival date for pre-orders through the mail is in question, as many in the UK have seen their shipping dates slip into June.
Prices for the iPad outside of the U.S. are slightly higher, leading to criticism by some. Steve Jobs himself has fired back, saying that the higher prices are due to taxes in other countries, though some of the prices are higher even accounting for taxes.
Back in the U.S., the iPad reportedly will be coming to Wal-Mart stores later this year. Apple has also started a new ad campaign for the iPad, claiming the iPad as revolutionary. Interestingly, the ad is remarkably similar to an ad campaign for the Newton in the 90s.
Signs are pointing to a late June release of the next version of the iPhone. These signs include reports of vacation bans for AT&T employees at that time, a second appearance of a new iPhone model prototype found in Vietnam, and changes in the date AT&T will allow subsidized upgrades of iPhones.
The Apple Worldwide Developer Conference will be held earlier in June, and it would make sense that Apple announces the new iPhone model there. The conference, which used to center on the Mac, is now more about the iPhone and iPad. The WWDC is more populae than ever, selling out in only 8 days this year.
Apple launched the 3G version of the iPad last Friday, selling 300,000 units on that day, many of those pre-ordered. This put total iPad sales past 1 million units in just 28 days of sales. It took the original iPhone 74 days to hit 1 million.
Meanwhile, the landscape for competition to the iPad changed dramatically this week. Microsoft cancelled its plans for the Courier tablet computer. HP’s Slate tablet plans are also in doubt now that they have purchased Palm. The purchase is speculated to be about getting the Palm WebOS operating system to use on the Slate. Integration could push back a release. But other rumors point to a Windows-based Slate this year, and a WebOS version later on.
Several months ago Apple purchased iTunes-competitor Lala, and this week they announced they are shutting down the service, at least in its existing state. Various levels of compensation will be given to those with an existing balance or access to net-based music. Apple may be using the cloud-based technology behind Lala to improve iTunes in the future.
Game maker Valve Software will release Steam for Mac on May 12. This is Valve’s own system for game distribution and communication. This means many formerly Windows-only games will now be available for the Mac, including Portal, Counter-Strike: Source, the Half-Life 2 episodes, the Left 4 Dead series, and more. Better yet, those with Steam accounts that have purchased the games on Windows will be able to download the Mac versions for free.
Apple set the dates for its 2010 Worldwide Developers Conference in San Francisco for June 7-11. The conference, originally centered around the Mac, will certainly have an iPhone and iPad emphasis. Apple has already announced and released to developers a new version of the iPhone OS used on both devices. It is expected that they will unveil a new version of the iPhone hardware during the conference.
The 3G version of the iPad, capable of connecting to wireless 3G networks, has started shipping to customers who pre-ordered the device. Delivery times indicate they should be arriving on Friday afternoon, just hours before the iPad 3G goes on sale in Apple Stores around the U.S. at 5 p.m.
There is more drama around the iPhone that was lost in a California bar and then later sold to the online publication Gizmodo. Despite being returned to Apple, a police investigation has started which included the seizing of Gizmodo editor’s computers. On one side of the controversy are First Amendment considerations that protect journalists from such seizures. On the other side is the fact that Gizmodo purchased what could be considered stolen goods.
In other news, Apple reportedly purchased chip design firm Intrinsity. That company is though to be the brains behind the A4 processor in the iPad.
Apple’s January-March quarter included record sales and profit numbers. They sold nearly 3 million Macs, almost 9 million iPhones and almost 11 million iPods. Profits were up 90 percent at $13.5 billion from the same quarter last year. This was Apple’s best non-holiday season quarter ever. The stock surged on the news.
But not everything at Apple headquarters was good news for the company and an engineer lost a prototype of the next iPhone model at a bar nearby. The device found its way into the hands of editors at Gizmodo and was dissected and analyzed for the whole world to see. It features a second front-facing camera, a flash for the rear-facing camera, a higher-resolution screen, and a larger battery. Apple asked for the phone to be returned, and Gizmodo replied.
The iPad 3G version now has a shipping date. It will begin to go out to customers who pre-ordered it on April 30. It will be available in Apple Stores on the same date at 5 p.m.
The war between Adobe and Apple continues, with Adobe announcing that it is giving up on a feature of Flash CS5 that allows developers to create native iPhone apps.
Apple finally released new MacBook Pro models this week, a much anticipated update long rumored. The new machines feature the i5 and i7 processors in the 15 and 17-inch models, but Core 2 Duo processors in the 13-inch models.
They also have a new NVIDIA video chipset which switches to a low-power Intel video chipset when using the battery to extend the battery like to 8-10 hours. The battery is built-in to the hardware, not swappable.
There are two screen options for the 15-inch model: a 1680×1050 anti-glare screen or a glossy screen. Then 17-inch also has two options, both 1920×1200.
All models come with 4GB of RAM, upgradable to 8GB. You can also get a variety of hard drives, depending on the model, from 250GB to 500GB and even a 512GB solid state drive as an option.
While iPads continue to fly off the shelves in the U.S., Apple has delayed international launches until the end of May. On May 10 the iPad should appear in Apple Stores as a pre-order item, with pricing revealed. No word yet on exactly which countries will get the iPad first.
Adobe released the CS5 application suite, including new versions of Photoshop, Illustrator and Flash. Dampening the launch was news from Apple that third-party developer tools would soon no longer be allowed for iPhone app development. One of the new features in CS5 is the ability to export iPhone apps. But it is not known whether Apple will accept them in the store.
Even with the reservations system in place for the iPad launch, there were still lines. In fact, there were two lines at each Apple store: one for those with reservations, and one for those without. Those with reservations were supposedly guaranteed an iPad, but that didn’t stop them from lining up hours before the stores opened, just to be sure.
Apple officially announced that they sold 300,000 iPads on the first day. This would include pre-orders mailed out, reservations picked up, and regular walk-in sales. The iPad was only on sale in the U.S. Analysts estimate the first week at about 500,000 iPad sales.
While shortages of iPads were occasionally reported at Apple stores and other retailers like Best Buy, it seems Apple made enough to go around.
But Apple isn’t resting on this success. Later today Apple will give a sneak peak of the next version of the iPhone OS. Most likely they are doing this because they want to get it in the hands of app developers and beta testers soon, so they might as well announce the new features now. Rumors are that two major new features will be multitasking and printing from apps. Others speculate GPS navigation in the Maps app and a merged inbox email view in the Mail app.
Expect developers to be able to get their hands on the new OS soon, but the general public will most likely wait for a new iPhone model this summer.
We’ll be reporting news of the event on Twitter, Facebook and the left sidebar of the MacMost home page.


