Scott Forstall's Departure

Anyone who followed Apple knew that John Browett's termination from the world's most valuable technology company was more a matter of when, than if.  In a fairly short period Browett had upset virtually everyone both inside and outside of the company - all the while showing a complete misunderstanding for his department's role.  Browett's hiring had always been questioned, and his dismissal has been universally praised.  Seeing this SVP asked to go was no surprise to anyone.  Forstall on the other hand...



Scott Forstall had spent 15 years with Apple before being relegated to the role of advisor - a move intended to keep the long term SVP from quickly joining a competitor.  Forstall had worked with NeXT back in the 90s.  Arguably more than anyone else, Forstall had been involved with development of the modern day Macintosh operating system.  Scott had been on the development team of NeXTSTEP years before Apple would acquire Job's fledgeling company.  After the acquisition Forstall served in a variety of roles involving oversight on components of both OSX and iOS.  In so many ways Scott Forstall seemed an integral player in Apple's industry leading software.

Then there were the Steve Jobs comparisons.

iTunes 11 delayed until November

Well I guess that's why!  That is why we didn't hear anything about iTunes this past week at the iPad mini announcement.  Apple has put out a statement saying they are delaying the release of iTunes 11 until some time in November.

“The new iTunes is taking longer than expected and we wanted to take a little extra time to get it right," said spokesman Tom Neumayr. "We look forward to releasing this new version of iTunes with its dramatically simpler and cleaner interface, and seamless integration with iCloud before the end of November.”

I guess we'll be waiting a little longer for the new music app.  Good, it gives me time to dust off the cobwebs.

Does Microsoft Matter?

Aside from Will Kelley, nobody seems to be that interested in Microsoft these days.  Increasingly the race for the future of tech involves Apple and Google - with Samsung and some other manufacturers scattered across the field.



Microsoft is everywhere with it's advertising lately.  Redmond has apparently set aside over 1bn dollars for marketing windows 8 and Surface.  Microsoft has years of financial success behind it, so the money is something the company can afford.  The interesting part is that they've fallen so far since Gate's departure - a billion dollar ad budget is necessary.

Wired posted some brief statistics from their recent liveblogs covering Microsoft and Apple.  Microsoft's most recent big event featured the Surface, Windows 8, and most importantly Winphone 8.  These are Microsoft's major new products.  The surface represents the company's first real foray into the mobile hardware space (Zune obviously doesn't count).  How many people tuned in to Wired's liveblog of the event?  11,000.

Contrast this to Apple's most recent phone event where Wired reports that 360,000 web surfers tuned in to follow the announcements.  Even Apple's most recent iPad event, an event with little reason to watch a liveblog as Apple was streaming live video itself - even here Wired saw seven times more viewers than for Microsoft's shindig.

With the future of computing being driven by mobile, does Microsoft matter anymore?

Review of the Surface RT Part 1: It's my mistress

Today is the first part of the rolling review of the Surface RT.  I will be posting this rolling review through the week.  This will by no means be a technical review.  It is intended to outline the experiences of an Apple fan trying out a competitors flagship product.

Todays edition: "It's my Mistress"

The "Boot Up"

I acquiredthe Surface RT Sunday night and as I got it home from the Microsoft Store the first thing I noticed was the quality of the packaging.  Very familiar to any Apple fan, clean, minimal, and easy to open.





As I pulled open the packaging, I was greeted with a very nice looking, monolithic device.  A device that is non-threatening despite it's black bordered screen and metallic back.  It inspires thoughts of a large iPhone especially given it's 16 x 9 display.  Once out of it's package, powering up the device takes you through a short walkthrough to get you set up with your account.  I was happy to find out that you could use any existing email address to create your live account.  The account does not have to be a hotmail or other Microsoft account.  I would however have to go through the process to set up a new account that is already connected to my Xbox as there is no obvious way of getting your Xbox account transferred over.

 

The UI

The UI is where the fun really begins for an Apple user/fanboy.  I immediately was filled with that familiar excitement of the new.  The tinkerer in mean really gets excited about this type of thing.  An unknown world just awaiting my exploration.

I have always been intrigued by the Metro or Modern UI.  I love the cleanness of it and the fact that it is very focused on providing you with real time information in a no nonsense manner.  Initially jarring compared to the ease of the iOS.  A space that I can navigate as if it was an extension of myself.  So easy and intuitive it takes not a second thought.

Let me Segway for a moment to present a tangential observation.  Using the Surface for the last couple of days has shown me in a very concrete way that a tertiary device can be new, fun and unfamiliar.  When it comes to my daily life, i.e. using my iPhone, my primary device with my primary OS, must be familiar and efficient.  I'm happy beyond words that I did not get a Galaxy S 3 this past summer.

Back to the OS.  One other interesting item of note, especially as an iPad user since the beginning,the iPad is a device built on a modified desktop operating system.  The surface is a modified piece of hardware built on a desktop operating system.  The fact that there is two parallel "desktops" is confusing.  The Metro side of the house is intuitive enough.  You can move, pin, and resize tiles easy enough.  The issues show themselves once you step away from Metro.  The fact that I have PC functions in a limited touch tablet is very welcomed but not nearly as intuitive as a closed, walled in device. Sometimes this "on the fence" way of operating is heavenly, other times it feels like purgatory, neither here nor there.  I love that I have access to my file system without noticeable limitation.  That being said I must continually remind myself that this is a tablet, Microsofts version of the iPad.  Not a laptop regardless of what functional options and hardware features it has.

During the setup process a splash screen of basic Windows 8 navigation techniques was presented to me.  This would be fine but it confused the hell out of me because it kept referencing my PC.  All of a sudden, I was wondering if I needed a PC to finish my set up.  I quickly realized this is the splash screen on Windows 8 for a PC.  Apparently the RT is considered a PC by Microsoft.  This confusion becomes even more apparent when navigating the deeper settings.  Order to access settings generally reserved for the control panel, one must Click on "PC Settings" once again blurring the PC/tablet line.

Todays Wrap-up

This is the end of the first part of our review.  The takeaway for today is that the Surface is a new fresh experience.  Next we'll focus on the Apps and the Touch Type keyboard.  I was discussing my experience using the RT with a few colleagues and I broke it down like this: The iPad is my main squeeze, I know what buttons to press to get things moving.  The surface is my mistress.  It's something new, temporary and exciting.  And I can't figure out what damn buttons to press!

 

LED, WIFI, IOS Powered Lightbulbs Arrive!

Will gave us his take, here's my initial reaction...

If there was one thing on EVERYBODY's holiday wish list this year it had to be finding really expensive LED lightbulbs that you could program with your iPad!



Put those worries to rest!  Philips has announced "The World's Smartest LED bulb".  These bulbs come with a sweet base station (light bridge) that can be connected to your home router via WIFI or ethernet.  A quick download of the hue software from the App Store and you're controlling everything from the color to brightness to timing of your home lighting with your iOS device.

For 1%ers with money just burning a hole through those Emporio pockets, bulbs will be for sale at your local Apple Store starting this morning.  Three bulbs and a base station costs $300, additional bulbs are $59 each.

Forstall Refused To Apologize For Maps

The Wall Street Journal is reporting that Scott Forstall's departure was in part due to his refusal to sign a public apology letter for the Maps application.



Scott Forstall, in charge of the iOS development team had direct oversight of the Maps Application, as well as all other major aspects of the mobile operating system.  It was Forstall who demoed the Maps application earlier this year as a developer preview.  Using Scott's Jobs like flair Maps demonstrations always went off without a hitch - perhaps helping to create a reputation of over-promising and under-delivering.

Due to Forstall's oversight role of the iOS team, it makes sense that he would have been among the first in line for any apology issued over Maps poor reception.  WSJ reports that Cook initially asked Forstall to issue an apology, and after Forstall refused Cook signed his name instead.  Apparently this act of defiance was the final straw, leading to Cook deciding to let go of the executive that initially came on board as part of the NeXT Acquisition.

Reports of tension between the new CEO and Forstall have been numerous.  In fact, confrontations between Forstall and just about every level of senior management have been reported at some point in his 15 year tenure with the company.  Forstall was often deemed to be untouchable as a Steve Jobs protege - however, after Jobs passing things began to change.  Cook's vision of Apple, for better or worse created an environment much more concerned with listening and responding to user feedback.  In the time of antenna-gate Forstall's unwillingness to apologize would have been the norm, but in today's Apple it is no longer acceptable.

Great News About Browett Getting Fired!

While the news of Scott Forstall leaving Apple comes with some mixed emotion (the subject of one of this week's Weekend Features) - I'm sure we can all agree it's great news that Browett got the axe. 



This silly cave troll John Browett had to be one of the worst hiring decisions in Apple's history.  God only knows what lead Cook and his team to throw the head of Dixon's in charge of Apple's glass wrapped darling.  From the day Browett was hired, one had to wonder if secretly he was a saboteur hired by Samsung to throw as many wrenches in a polished operation as possible. 

Apple Retail has something of a successful story.  Retail operations were originally dreamt up by Steve Jobs.  Steve hired on the genius that is Ron Johnson to head up the effort.  Together Steve and Ron created what would go on to quickly become the most successful retail store (profit per sq/ft) in the world, the fastest retail chain to reach 1bn in sales, and *most* importantly - a means by which the company could manage customer satisfaction.  Retail, more so than a venue for sales, has always been a way in which Cupertino can show off cutting edge products as well as handle customer sat issues. 

Johnson leaves to take over the top spot at JC Penny.  After having saved Target and creating unaparalleled success at Apple, Ron was ready to try out the title of CEO.  In Comes Browett who decides to make himself look good by improving on the already industry leading Apple Store profitability.  How?  His plan is to cut back staffing - nary a thought on what that might do to Apple store customer service, or the brand image as a whole.  Essentially, Browett lacks any understanding for why the stores were created in the first place!

Employees complained.  Customers complained.  Luckily Apple has listened and Browett has been sent home.

CodeWeavers announces free CrossOver download on Halloween

CodeWeavers has announced they are going to allow free downloads of CrossOver on October 31st for 24 hours.

[caption id="" align="aligncenter" width="131"] image from CodeWeavers[/caption]

CrossOver is a program that will allow you to easily run any Windows Software on your Mac.  It allows it all to happen without a Windows license of any kind.

CodeWeavers is doing a promotion in relation to the election.  They are wanting to get people to commit to vote.

You can find the information here for the download.  And don't forget -- it's on Wednesday only.

Scott Forstall leaving Apple

Word is coming in that Scott Forstall, iOS Senior Vice President, will leave the company in 2013.

This is a developing story but we are seeing that he is planning to be out in 2013 and his role is going to be reduced immediately.  Stay tuned to www.macweekend.com for more information regarding this story and other executive changes that relate to this.

The announcement from Apple follows:

[caption id="" align="alignleft" width="345"] image from www.apple.com[/caption]

Apple® today announced executive management changes that will encourage even more collaboration between the Company’s world-class hardware, software and services teams. As part of these changes, Jony Ive, Bob Mansfield, Eddy Cue and Craig Federighi will add more responsibilities to their roles. Apple also announced that Scott Forstall will be leaving Apple next year and will serve as an advisor to CEO Tim Cook in the interim.

“We are in one of the most prolific periods of innovation and new products in Apple’s history,” said Tim Cook, Apple’s CEO. “The amazing products that we’ve introduced in September and October, iPhone 5, iOS 6, iPad mini, iPad, iMac, MacBook Pro, iPod touch, iPod nano and many of our applications, could only have been created at Apple and are the direct result of our relentless focus on tightly integrating world-class hardware, software and services.”

Jony Ive will provide leadership and direction for Human Interface (HI) across the company in addition to his role as the leader of Industrial Design. His incredible design aesthetic has been the driving force behind the look and feel of Apple’s products for more than a decade.

Eddy Cue will take on the additional responsibility of Siri® and Maps, placing all of our online services in one group. This organization has overseen major successes such as the iTunes Store®, the App Store℠, the iBookstore℠ and iCloud®. This group has an excellent track record of building and strengthening Apple’s online services to meet and exceed the high expectations of our customers.

Craig Federighi will lead both iOS and OS X®. Apple has the most advanced mobile and desktop operating systems, and this move brings together the OS teams to make it even easier to deliver the best technology and user experience innovations to both platforms.

Bob Mansfield will lead a new group, Technologies, which combines all of Apple’s wireless teams across the company in one organization, fostering innovation in this area at an even higher level. This organization will also include the semiconductor teams, who have ambitious plans for the future.

Additionally, John Browett is leaving Apple. A search for a new head of Retail is underway and in the interim, the Retail team will report directly to Tim Cook. Apple’s Retail organization has an incredibly strong network of leaders at the store and regional level who will continue the excellent work that has been done over the past decade to revolutionize retailing with unique, innovative services for customers.

Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and is defining the future of mobile media and computing devices with iPad.

 

source: Thenextweb.com

 

Apple/Samsung own 106% of the handset industry

The headline is not a typo.

[caption id="" align="aligncenter" width="220"] credit to cnet[/caption]

It is being reported by cnet that due to the huge amount of losses by Nokia and Motorola (among a few others) that Apple and Samsung have 106% of the earnings in the entire industry.

The most hilarious part of the report is this 106% earnings are actually down from 108% that they held in the last quarter.

Apple is completely dominating the sector.  They have had only 6.3% of global handset unit sales, and 15.4% of global smartphone unit sales yet still have captured 59% of the operating profit in the sector.

Philips launching iOS controlled light bulbs

Home automation is very intriguing to me!  I would love to introduce technology even more into my home outside of just my personal devices and media entertainment.  If I didn't have a very secure garage that I enter into my home through, I'd definitely be getting the Lockitron.


Philips today announced that you will  be able to purchase iOS controlled lightbulbs for your home.  The Philips Hue are LED bulbs that offer different shades of white and select colors.  They will be available at the Apple store starting tomorrow with a starter kit which includes 3 50Watt bulbs and the Hue bridge for $199.  Additional bulbs will be $60 each.

iPad mini preorder sold out

It seems that if you now want to guarantee an iPad mini this Friday you should be at an Apple store bright and early to secure your place in line.

Although the white iPad mini 16 gig sold out in the first couple of hours of preorder, and the black 16 and 32 gig sold out yesterday, now all models have since sold out of preorders. It you preorder now, you'll have to wait 2 weeks, or you can just join all the die hard fans and wait in line this Friday. It's not only fun to do so but this is now the only way to make sure you have your hands on one on launch day.

4 out of 6 iPad Mini Models Sold Out

The iPad Mini went on sale 10/26 at midnight pacific time.  While all sizes of the white model of this smaller iPad sold out almost immediately, now it's darker counterpart is catching up.



Thirty five hours after going on sale, the Black and Slate 16gb iPad Mini is now also showing a shipping time 2 weeks out - indicating Apple's initial stock is running low.  We expect to see all models of the iPad become difficult to come by as we get farther in to the holiday shopping season.  Sales of the iPad are expected to be robust across models between now and December 25.  The iPad Mini in particular is expected to see strong sales when it arrives in Apple Stores, allowing customers to personally observe the build quality.

Sales of iPad 4, while expected to be very strong overall this holiday, are off to a much slower start than at any previous launch.  MW attributes this to a myriad of causes including exclusively internal upgrades, confusion regarding the launch date, and of course significantly more competition from other tablets including the iPad Mini.

Zagg Releases Improved Folio Case

Virtually everyone is working at turning the iPad into more of a traditional laptop these days.  Zagg has just released improved versions of their Folio case.  With the announcement of the iPad 4, these cases are being advertised as working with either of the latest full sized iPad models.



At 99.00, the case provides basic protection while also providing the feedback of true keys.  For anyone looking at a serious input machine, Zagg provides a great solution more elegantly than Logitech, Targus, or so many others.

Why Apple will soon be the king of Gaming

Apple is in an interesting position.  One that few companies find themselves.  They have the ability to enter into a new industry where they already have some positioning.  They do not have to pull themselves up by their bootstraps.  They have products in the wild to accompany such a grand initiative and developers already experienced enough to create some very interesting and unique products.  The user base is enormous and salivating for such features.  The market I'm speaking of is Console Gaming.

As an avid gamer of consoles since their inception (I've never been any good with keyboard and mouse but I love my PC/Mac MMO's), I can tell you that I've seen my fair share of companies come and go.  This is an extremely competitive market and one where even kings (Nintendo) fall when they do not evolve with the times.  For most companies, it is daunting to even consider stepping into this market.  Not so much for Apple.

They were introduced somewhat accidentally to the gaming market.  I don't think anyone, even Apple with their crystal ball, expected the App store to take off the way that it did.  It literally changed the computer landscape forever.  One unexpected outcome of the App store is the popularity of Apple's gaming segment.  More than 101 million U.S. consumers now engage with mobile games.  That is a huge chuck of consumers that Apple has their hands on.  The market research firm, Newzoo states that IOS devices combined generate 84 percent of all revenue from either the Apple App store or the Google Play store.  If you need any more proof, look at Rovio's revenue of 106.3 Million in 2011.  Thats an independent developer people.

 The strength of Apple's gaming market comes in the form of the casual player.  My home screen is full of folders and apps.  Many of which I downloaded, tried once, and never opened again.  There are those few however, the ones I've spent money on, that drive me to open and reopen.  Often times these are casual games that I've heard about from friends and family.  I consider myself a hardcore gamer but the majority of iOS games I play are casual.  The device is literally meant for pick-up-and-play.  A gaming buzzword that has been around forever.  iOS devices were designed with this philosophy, somewhat accidentally stumbling on this gaming holy grail.  

The casual market is where Apple already has traction.  There are already games that airplay over to the Apple TV.  The iOS device becomes the controller and the console.  If Apple were to standardize some features and work with developers to really streamline "console" gaming for the masses.  They could be on to something special, something unheard of in the industry, becoming so accessible, the hardcore and casual are equally attracted.

They already have a tremendous cut of the market.  For years companies have been trying to find that sweet spot of gamer, how do you cater to the hardcore and casual alike.  For the hardcore you need solid games, solid controls, and solid community.  Apple has some pretty good games, they need to work on controls a bit, and they have begun to develop the community with Game Center.  They just need to fill it out a bit.

The casual gamer is easy.  That is 90% of what the app store and gaming apps are currently.  It is what the majority type of gamer that the average iOS gamer is.  I'd be willing to bet the casual gamer wouldn't even consider themselves a gamer.  To test, just ask the aunt that always destroys you at Words With Friends.

Apple has proven that they are willing to evolve.  Imagine a "console" every year to keep up with technology, with solid games and a solid community.  Everyone already has the console.  Even grandma.  The community is already there.  They just need to refine it.  Big name developers have  proven their commitment to the platform.  Apple just needs to respond with equal commitment in this very competitive space.

All of the pieces are there.  The games.  The devices.  The people willing to become a part of this community.  Apple just has to take the leap.  They have the magic bullet, they just need to pull the trigger.

Reader Submitted: Cellular iPad Debate

By: Michael Godfrey

The original iPad was revolutionary. It changed computing, in the same way the iPhone changed the mobile phone.  The iPad had everything a tablet should have but the thing that was interesting was the inclusion of cellular antennas and a data plan that defied what most carriers would allow; a no commitment contract.

Yet, that came with a compromise, if the user wanted the ability to use cellular data they would have to pay the premium of $129 for this option. The question is though, why? Why does Apple believe the cellular data is a premium. is it really worth the extra cost?

According to iSuppli.com who preformed a pricing per part breakdown of the previous iPad 3, the antennas which are supplied by Broadcom total $41.50 to add to the iPad. That is a far stretch from the $129 premium Apple adds for the option, considering that the data plan starts at a minimum of $10 if adding to one of AT&Ts new mobile share data plans, but caps out at around $30 a month with Verizon's LTE coverage.

When asked if he regretted his purchase of a wifi only iPad, Josh Yates posted on everythingicafe.com ,"I go back and forth. However, I'm so rarely away from wifi, I just can't justify the extra cost. The GPS chip is enticing, but not $130 enticing."

Most argue that Apple and the carriers need to adopt the "razor" method of consumerism and provide the razor, or in this case the antenna for free and charge for the blades, or data.

"I would gladly pay for the data plan, if I didn't have to include paying for antennas in my total cost," said James King of Thornton, CO when asked about his iPad purchase choice.

At the time most users accepted this, but as the iPad was refreshed it became common for the Mac blogs to rumor that this next upgrade would stop the separation between models.

Yet, another iPad is released today and still the separation. The new iPad 4 includes a faster processor, the new lighting connector and a improved camera. There was as in the past a separation between wifi and cellular models, leading to frustration to some uses but most will just resort to using the tethering on their LTE enabled iPhones

"I thought the same thing but I figured if I ended up needing traveling data, I would just add the hotspot feature to my AT&T  account," said Richmond Moore of Westminster, CO.

Tethering is a decent substitute for iPad connectivity if you rarely need to connect your iPad away from Wi-Fi. Just consider thought that if you’re going to be using your iPad over a cellular network on a regular basis, it’s might be a  better idea  to get a 4G LTE  iPad with its own plan.

The choice as we have seen still remains, and most users have accepted the optional pricing as part of Apple's strategy to offer the best iPad for everyone at any price point.

The new iPad and the newly announced iPad mini are set for release on November 2nd for the wifi models and in mid November for the LTE versions.

 

Pre-Order Launch Day Tip

This might come as old news for veteran Apple fans, but many newer mac users may be unaware... If you ever find yourself staying up until the wee hours to buy a hot new Apple gadget the instant it goes on sale, download the Apple Store app first.  The Apple Store app operates independently of store.apple.com.  As a result, the main site may be throttling traffic and/or timing out - all with no effect on the Apple Store App.  Using the app, you can literally be checked out and with your new purchase on the way before your main site friends can choose a color.

Microsoft Surface Launch

The Microsoft Surface RT launched yesterday around the country.  Micrsoft Store employees faced something they are very unfamiliar with...lines.  The Microsoft Store was a familiar site to any Apple fanboy.   Stores across the country had lines for the launch of the Surface RT.  Although the launch does seem to be a success at least initiatlly, you can still walk into a store today and pick one up.

I did a little spying yesterday to get my hands on one and although it wasn't enough time to get a good feel for the device, I was intrigued.  The first thing I noticed is that the build quality does seem pretty good.  It had the heft and solid feel of an iPad.  It wasn't exactly thin though.  I actually liked the kickstand quite a bit.  The keyboard was also very interesting.  I liked the idea but felt that it was a little difficult getting your key presses to be recognized.  You had to almost slam your fingers down on the pad. After some practice, I'm sure you wouldn't even notice.  When I actually  got around to playing with it, I realized my fears were justified.



I walked up and Word was already open.  It looked very much word-like.  And it was jarring because all of a sudden I was using a laptop, not a tablet.  That wasn't even the worst part, I couldn't figure out how to close the application.  I literally had to control-q, just to close Word and then, wait a minute, whats that?  A PC Desktop?  It looked like the Windows 7 Desktop.  Where was "Metro" or Modern UI, whatever Microsoft is calling it these days.  Finally after fiddling around, I realized the Windows logo on the front was a touch "button" and would take me to Metro.

This is where it got a little more fun.  The animations were smooth, the live tiles were live, and the 2 minutes I played with this aspect of the tablet I really enjoyed.  I did notice a few apps designed specifically for the Surface on there although I didn't have time to play with it.  Its good that this was the last thing I was left with because that's what made me wanting more.  I wanted to get to the nuts and bolts of this system because I think this is where the Surface would shine if it actually does shine at all.

If all goes well, MW will be getting one in the next couple of days an hopefully we'll get a review up after that.  Now is a very interesting time where the stakes haven't been higher, hopefully Microsoft belly's up to the table and throws in a few chips.

A Great Investment Opportunity

Apple stock has fallen below 600 for the first time since summer.  This is the single best opportunity to invest in the company we're likely to see anytime soon.  While there ought to be some minimal fluctuation in the price over the next few weeks, it's unlikely to drift too much farther downwards.  Now is the time to buy.  Investors have been quick to sell following this weeks earnings call.  In making the case that now is a great time to pick up some, or some more, Apple stock - let's first look at why it sits at this current depressed price.

iPad Sales:

The current earnings call really were outstanding by most measures.  The Cupertino giant had it's most profitable fiscal quarter 4 in company history - up 25% from last year.  The quarter ended with Apple earning 6.6bn on 28.3bn in revenue - not too shabby.  These numbers resulted in Apple ending their fiscal 2012 with over 41bn in net income.  For perspective, that is more than the combined 2012 income for Google, Microsoft, and Facebook.

So why the huge hit in share price?  There were several reasons, the first of them being iPad sales.  Thanks to the iPhone 5, and a sweet new Retina Mac, both of those lines saw strong numbers in the quarter.  iPad sales were also up 26% over the year ago quarter, however sales of 14 million units (more units than any PC company sold of it's entire line) was lower than many were expecting.

In a quarter where we saw new tablets from Amazon, a google branded Nexus 7, and of course Redmond's Surface - any miss on iPad sales helped to send investors running.  Of course it's very early to decide if any of those tablets are going to have a serious impact on the iPad's dominance in the sector.  Probably the more relevant thing to look at here is that the market is going to be growing exponentially over the next several years.  In the end, it is certainly unrealistic to believe that Apple or any other company is likely to retain a near 70% market share forever (Apple's current position), however it's also irrelevant.  As long as you believe the tablet sector will grow, the iPad ought to see outstanding unit growth.   In a rapidly expanding market sales can increase even as market share shifts.  Even real trash tablets like the nook ought to see unit growth in the near term.

With a brand new iPad 4, a discounted full sized iPad 2, and the more-value priced iPad Mini - it seems silly to bet against continued volume growth in such a blossoming market.  Essentially, selling your appl shares based on Cupertino missing an imaginary number some investors agreed on is ludicrous.

Negative Earnings Growth:

The more major reason that investors have been wetting themselves this week has to do with Apple projecting negative earnings growth of approximately 10% for the holiday quarter.  The more overlooked aspect to this projection seem to be that guidance still suggests best ever revenue for FQ1 '13. For anyone looking at Apple as even a medium term investment, it's probably important to look in to these numbers even just the slightest bit.

As a new product is released, it is at the worst point in it's profitability curve.  Creating entirely new manufacturing processes, quickly scaling up production - leads to a new product having a period in which it's less profitable than after efficiencies have developed.  This profitability curve is true for all companies, but especially true for Apple.  Making premium products involves much more intricate production practices (ex. new iMac, first mass produced product ever to employ friction welding).  There is much less of a profitability curve involved when churning out cheap shit covered in metallic painted plastic.

Arguably the last month has been the very most active in Apple's history.  In just over a month we've seen the introduction of a completely redesigned iPhone 5, iPad Mini, iMac, and 13in Macbook Retina.  We've also seen smaller but still significant new versions of the Mac Mini, iPad, and virtually everything else.  Introductions of so many completely new products means that virtually everything Apple is making is at the worst point in their respective profitability curve.  However, having all new everything going in to the holidays is also likely to mean Cupertino should destroy their previous best revenue (as they predict to do by roughly 10bn).  Revenue higher than ever, net income depressed - exactly what you'd forecast for this situation.

Long term these changes increase product consumption, they drive ancillary sales beyond the quarter for everything from Apps to Lightning adapters.  Of course Apple's over-all customer satisfaction sits near 90% (higher than any competitor).  Having so many new and exciting products leads to building a larger user base and being more able to make next year increasingly successful.  Again, long term there is huge upside in the stock here.

History and Perspective:

Of course before burning your Apple shares we also need to gain perspective by looking at the past - even the recent past.  Apple guidance is always laughably conservative.  In this quarter for instance, despite how people may feel - Apple still beat it's stated guidance for the quarter.  With their freshest all around product line ever going into the holidays it's very likely Apple will beat this projection as well.

Last year we ran in to a similar situation where FQ4 targets weren't as lofty as some on the street were expecting.  There was a huge run off in stock leaving share price very depressed going in to the holiday quarter.  Apple destroyed their targets, and everyone who sold lost out on enormous gains.  In a couple months we'll again see so many investors looking so ridiculously foolish.

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id software's Rage on the App Store

Back in the 90s, id software invented the fps with Wolfenstein, Doom, and Quake.  In 2010 the team responsible for those classics turned their focus to the iOS platform with a rails shooter named Rage HD.  The success of that post apocalyptic thriller lead to a full fledged console version which dropped HD from the name.  This week Aspyr media brings the open world FPS from the console to the App Store.  At 30 dollars this is a cool and creepy game that’s sure to keep you entertained.

Interesting Court Decision makes iPhone jailbreak ok, iPad jailbreak illegal

Computerworld reported today that as of this Sunday it will be illegal for an iPad to be jailbroken, while still remaining legal for the iPhone to be jailbroken.

The reason is there are certain exceptions to the DMCA (Digital Millennium Copyright Act).  This Act makes it illegal for consumers to work around security of devices in order to pirate.  However, according to the article, the Librarian of Congress is "allowed to grant exemptions from the law if it determines users are adversely affected by certain non-infringing issues."   They have decided that users of phones are adversely affected, therefore phones are able to be jailbroken legally.  Jailbreaking an iPhone has been legal since 2010, however this coming Sunday if you jailbreak your iPad you will be breaking the law.  The reason is that tablets do not fall under the phone exemptions.

Another interesting aside from the article for any of you TMobile (or potentially other carrier) iPhone users.  As of 1/26/2013 it will be illegal to jailbreak a phone in order to use a SIM card from another carrier.

Apple dropping legacy hardware-Phil Schiller

Anyone who has been in the biz lately, will recognize Apple has taken very deliberate strides in trimming the fat of all their products.  Apple has never been afraid to break the mold.  In fact, in many ways they've become known for the pushing of new technologies in order to better their products and the products of others.  Like an over burdened plane, not everything has taken off easily.  Firewire is one historical example, Thunderbolt is one a little more modern.  This being sad, Apple will always push the envelope in the name of innovation.  They did not get to the top of their industry by sticking with the status quo.  Keeping this in mind, Apple's obsessive intent to shrink the size of nearly all their products has led to some interesting design decisions.

After the unveiling of Apple's newest products this week, Phil Schiller sat down with Harr McCracken of Time.  Schiller gave us a little enlightenment on thess weigh loss initiatives.

"These old technologies are holding us back," Schiller said. "They're anchors on where we want to go."

Referring specifically on the elimination of physical drives, both hard drives and optical drives.  Both of these technologies are legacy according to Apple and require too much of a space/performance ratio.  Their solution?  86 it!

"We try to find better solutions," Schiller said. "Our customers have given us a lot of trust."

This is true.  Although you will rarely find an Apple fan that isn't super critical, they often look past their products deficiencies towards the pretty flashing lights.

Apple isn't dumb though.  They know when a fights not worth fighting and their eventual inclusion of USB 3.0 signifies this.  That being said we should appreciate they fact Apple is a company that takes risk, it drives innovation.  It is also interesting to watch this continued process and daydream about the ways products can be improved by removing some features just to add a few more.

Source: Appleinsider

Introducing our Giveaway section

Nothing's free in life.  Except maybe the stuff in our newly added "Goodies" page.  We have a newly added section, "Goodies" which will contain our giveaways(check back soon, we have a few on the way!) and a monthly Wallpaper which is retina ready that will often times be thematic to the season.  This month, just in time for Halloween, we have a devilishly evil MW Pumpkin wallpaper just waiting for you to get your ghoulish hands on.  Check every month for the new giveaway!  

Followup: Apple/Samsung UK case

On 10/18/2012 I wrote an article saying that this court decision in the UK about Apple needing to apologize to Samsung was basically a big joke.  It was my view that this would in no way impact the market and Apple would hardly notice needing to do this "apology".

Apple has updated their UK page (www.apple.com/uk) with this little link at the bottom of the page that reads "Samsung/Apple UK judgement".

 

[caption id="attachment_682" align="aligncenter" width="300"] Screenshot from www.apple.com/uk[/caption]

See that little thing on the bottom left?  That is a small screenshot from their UK website.  Hardly an eyesore on their website.  This is not going to end up having any net impact.  Even if the link contained a huge apology to Samsung almost no one would see it.

So, what exactly does the link contain?

The quote on the actual page is quite hilarious.

"The extreme simplicity of the Apple design is striking. Overall it has undecorated flat surfaces with a plate of glass on the front all the way out to a very thin rim and a blank back. There is a crisp edge around the rim and a combination of curves, both at the corners and the sides. The design looks like an object the informed user would want to pick up and hold. It is an understated, smooth and simple product. It is a cool design."

"The informed user's overall impression of each of the Samsung Galaxy Tablets is the following. From the front they belong to the family which includes the Apple design; but the Samsung products are very thin, almost insubstantial members of that family with unusual details on the back. They do not have the same understated and extreme simplicity which is possessed by the Apple design. They are not as cool."

Read closely the last sentence of each paragraph.  In their apology they are quoting the judge saying that Apple is cool and Samsung is not.

Let's double check all those headlines that disagreed with me saying Apple lost in court.  This is hardly a loss.

Apple's Pandora Killer Launches Q1 2013

It has long since been rumored that Apple will release their own streaming music service.  In 2009 Apple acquired Lala which fueled speculation, and not only fueled it but damn near wrote the writing on the wall.  Throw on top of that, Apples sudo streaming service within iCloud and you can rest easy as the Apple Streaming music bet is a pretty solid one to make.  The question has long been when?

This is a logical step for Apple to take iTunes and their iTunes services not only because of their recent ecosystem push of iCloud, but also because music downloads having been slowing in recent years.  It is an opportune time for Apple to get into this very competitive space, at the very least, just to maintain a competitor in the online space.  Just last week, Microsoft rerolled their Zune Music store, it is now Xbox music which includes the streaming of millions of songs for free.



The big thing that Apple is dealing with is the licensing model.  Unlike Pandora which works off of a compulsory model preventing too many skips and an artist only being allowed to play so many times in an hour, Apple is working with music executives to discuss Apple's music radio plans and to develop a different model.

Bloomberg writes:

"Executives from Vivendi SA (VIV)’s Universal Music Group, Warner Music Group Corp., and Sony Corp. (6758)’s music division visited Apple’s headquarters in Cupertino, California, in recent weeks to learn more about its radio plans, the people said. Apple, the world’s biggest music retailer with more than 400 million iTunes accounts, wants listeners to be able to buy tracks as music streams or revisit what they’ve heard in auto-generated playlists, they said."

On September 7, 2012, negotiations with the record companies and Apple revolved around advertising.  The record companies want a pretty large stake of the ad revenues wanting not only an upfront fee, but also a percentage of the ad sales.  They also want the ability to implaint their own advertisements to push their artist.  Apple in turn sees this as a way of growing their iAd platform with the implementation of iAds in iTunes.

The record companies are never ones to give up on a fight, especially with Apple.  Ultimately though they do end up making compromises, ones that are generally in favor of Apple.

 

Source:Bloomberg

 

Pocket for Mac released

I'm an avid Pocket user.  If you read a lot on the internet using your computer, phone or iPad, I highly reccomend it.  Pocket (formorly ReadItLater) is a read it later service similar to the likes of Instapaper and Apples own Reading List.  I not only like Pockets UI better than the others, but I also like supporting them more.  Especially after the Marco Arment drama with 9To5Mac and others.  I got Instapaper for free and I still refuse to use it.

Pocket has now finally been released on the Mac.  It wasn't really an issue before because the web app worked great but I often prefer native apps over web apps, especially when the service is a read it later service.  Check it out and let us know what you think.  We'll be sure to post our impressions once we have a little time with it.

New iPad Mini Commercial...by Conan

 

One thing is certain.  When a new Apple product is announced, you can be sure  to find a new Apple produced video talking about the Aluumineeum, and how revolutionary the product is.  This is generally fallowed shortly by a series of spoofs. In the coming days, expect a plethora of iPad Mini spoofs.

You can almost always expect Conan to take a shot at the new product as well.  He didn't disappoint as he's the first out the gate. Check out the new "commercial!"

Followup: iPad resale increases by the minute

Ender Wiggin reported on MacWeekend that because the cost of used iPad sales dropped so much it was a sign that people were selling off their "old" iPads to get ready for the new.



It appears he was absolutely correct in his assessment.  Market Watch (www.marketwatch.com) put out an article today saying that there were 700% more devices put up for sale on Tuesday than the amount put up on Monday.  The single most common model put up for sale?  The 3rd-gen iPad.  The 32gb 3rd-gen iPad is the single most popular device being traded on Gazelle currently.

Consumers have a really unique decision here.  Market Watch said they have seen users getting up to as much as $495 for the 3rd-gen.  That means someone could pocket $160 and get the mini.  Or for a bit more out of pocket they can get the 4th-gen iPad.

The only sure thing is that Ender was right.  The iPad sales numbers are going to be extremely high.  People are selling off their "old" iPads at a really high rate in order to get ready for the new release.

Palo Alto Redesign Complete, Store Opens October 27

The beautiful new Palo Alto store is complete and has an opening scheduled for October 27.



The newly designed store will be among the first to feature the all glass enclosure.  This beautiful design is expected to be a hallmark of many strip mall style locations.  Glass paneling is used for the roof and storefront in an effort to increase natural lighting while providing an open and inviting atmosphere.

The store, located at 340 University Avenue will open October 27th at 10am.

Strong demand for new iPads

Often times the strongest indicator of immediate demand for a new Apple product can be determined by what is happening with "old" Apple products.



Anytime Cupertino has announced (or is rumored to announce) a new gadget, initial demand can be seen by activity on Gazelle, Ebay, and other trade in sites.  In less than 24 hours following the announcement of both the iPad Mini, as well as an iPad 4, price on existing models has dropped by approximately 100 dollars at Gazelle.com.

Gazelle, and other trade-in sites, fluctuate their price based on basic principles of supply and demand. When the site becomes flooded with a specific product, it increasingly offers less cash for the device.  In the past, this massive uptake in used Apple products is a sign of existing users clearing out space in their home while padding their wallet to purchase the upgraded version.

A 25% drop in trade-in value within 24 hours of announcement is reason to believe demand for the just announced iPads will be quite strong.

Rumors of a FQ2 iPad 5 Launch

Reports are all over the internet today regarding an upcoming launch of an iPad 5.  This conversation really began when analyst Ming-Chi Kuo of KGI securities suggested that pressure from Microsoft's Surface tablet would require Cupertino to respond with an accelerated refresh cycle.  Kuo does not however claim to be basing this prediction on any inside information - or evidence of any kind.



I'd like to use my very small megaphone here to say that this is not likely to happen, and Kuo is wrong.  Apple has historically kept very near to an annual product cycle for virtually every product line.  This consistency  has been even more pronounced with iOS devices such as the iPhone, iPad, and iPod Touch.

Apple has two major reasons to adhere to this longstanding practice.  First, production efficiencies and improved component pricing are realized over time, making a product much more profitable the longer it's on the market at it's initial price point.Constantly creating complete overhauls of a product is an unfortunate methodology that other less successful tech firms have had to employ.  Apple has routinely seen success selling products years after their initial design - look at the 3GS which just recently was discontinued.  Creating a new iPad in October, and then replacing it entirely 3-4 months later does not capitalize on this time-tested business strategy.

More importantly, creating a new iPad today, and then just one quarter from now releasing another would cause irreparable harm to the strong relationship between Cupertino and it's most loyal customers.  Apple has traditionally been very good at not just maintaining, but growing it's "cult".  For Apple to risk seriously harming this relationship would require very dire circumstances, which leads me to the larger reason KGI is wrong here...

There simply isn't any reason for Apple to hurt profits and harm relations with their users right now.  The surface certainly isn't the first device to be labeled an "iPad killer".  Analysts and others in the tech field have readily given this title to every product released outside of Cupertino since 2010.  Should Surface, or more likely a Nexus branded product, become a major threat to Apple - when that happens we might see a change in strategy.  At the present time, the iPad has most of the sales, the lion's share of profit, and better than 90% of actual usage.  It's way too early to be predicting major change in a flagship product's upgrade cycle.

Phil tells everyone to stop complaining about iPad mini price

There have been a number of complaints around the internet about iPad mini's price.  The only real reason people are complaining is because everyone decided to make up some silly ideas that the mini would be priced around the $199 price point that the Nexus 7 and Kindle Fire HD were priced.

[caption id="" align="aligncenter" width="450"] credit to Reuters/Robert Galbraith[/caption]

In an interview with Reuters, Phil Schiller told everyone to basically stop complaining about the mini's price because it is a better product than the Nexus 7 and the Fire HD.

"The iPad is far and away the most successful product in its category. The most affordable product we've made so far was $399 and people were choosing that over those devices," Schiller said.

"And now you can get a device that's even more affordable at $329 in this great new form, and I think a lot of customers are going to be very excited about that," Schiller said.

The Nexus 7 and Fire HD are at a point where they can potentially lose money on the products in order to try to get a piece of the iPad market.  In fact, they need to be willing to lose money to try to get in the market.  If they were priced to make a real profit they would get no market share at all.  For them to eat into the iPad market they have to price their product where they did.  The cool part about being an iPad is you don't have to worry about eating into the iPad market.

Phil is right on everything he was saying.  The iPad mini is not supposed to be released as a competitor for the 7 or the Fire HD.  Stop pretending it was.  Apple has no reason to try to be a competitor in that market, because they own that market.

Apple gets it right again.  As much as some people are complaining about this price point it is still going to sell in remarkable numbers.  Apple doesn't need to have a product that is priced below its value.  They have no need to release a loss leader in order to stimulate sales.  They need to continue to release really great products.  We at MacWeekend believe that they have done that again.

Bought a 3rd gen iPad within the last 30 days? You may be in luck!

Cnet has reported that Apple may exchange any 3rd-gen iPad that was purchased in the last 30 days for the newer model.  Generally there is a 14 day return policy with most retail outlets on the iPad.  But there has been stores reporting that they are waiving that as long as there are not serious signs of wear and tear to the 3rd-gen iPad.

[caption id="" align="aligncenter" width="239"] image from www.apple.com[/caption]

If you have a 3rd-gen iPad that was recently purchased we suggest you call your retailer immediately.  If they have any issues with returning it let them know that many stores have returned it and you would like them to do the same.  Reports are out there that people are getting the upgraded iPad in a straight exchange.

If your retailer doesn't oblige call AppleCare.  I spent some time researching non-retailer success stories and found the following tweet.

@TubbyEmu

Anyone who's bought an iPad 3 in the last month, AppleCare confirms to me you can return your iPad for the new one.

So don't be upset if you just bought your iPad3.  If you act fast you can likely get it exchanged.  Don't delay, though, this won't last forever.

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iPad Mini Hands On

The Verge posted their hands on with a video of the new iPad Mini.  It's the next best thing to holding one in your hand and like many Apple products, I'm sure that's all it will take for some.

Missed the event? Replay available @ Apple.com

Did you miss the big event today? If you did.. shame on you.  What kind of an Apple fan are you?  How dare you let work, school, or children get in the way of an event like this.

That being said, if you did slip up and not watch it live.. Apple has a recording of the entire event available as a link off their homepage.

Go check out Phil talkin' smack about android prods, see the iPad Mini unveiled, and get a first look at the sexiest iMac ever... but next time, make some time in your schedule to catch it live!

MW's Predictions - Revisited

Today's big event is all over.  For those keeping score, let's look at the predictions Will and I made and see how we did...

 

Where we nailed it:

iPad Mini - Everyone in the world got this one right, Will and myself included.  The iPad Mini will come in two colors (white/black), standard 16/32/64 configurations, WIFI and LTE, and so on.  We were also accurate in predicting it to be non-retina, and utilize an A5x chip.

New, New iPad - Yesterday I pointed out that if we did see a new full sized iPad it'd be a full upgrade including a faster chip, newer radio equipment, better camera, etc.  Apple has come through with just such an upgraded device.

13" Retina MbPro - Will and I have both been consistent in predicting this was the event which would unveil the MacBook Pro.  Apple, today delivers a perfect machine to accompany the 15" macbook.

iMac - MW was correct in predicting a newly designed iMac would be released tomorrow.  The new enclosure is nicer than anything I'd imagined, and is the best "looking" mac out there in my opinion.

Mac Mini - An upgraded Mac Mini rolled today exactly as we'd suggested.

 

Where we blew it:

iMac - The design is slightly different than the enclosure we were expecting, especially it's overall thinness. Additionally the new fusion drive system was a very pleasant surprise.

Release Dates - Sorry folks, we heard a tip regarding an earlier available date than was commonly be reported.  The source checked out, so we ran with it.  Looks like for most these products November 2 will be the day.

 

In summary: 

On the whole, MW was right on with nearly every prediction going in to this event.  Stay tuned throughout the next couple weeks as we post reviews and analysis on this hot new Apple gear!

"Newer" 4th Generation iPad Announced

A6X chip, double's performance of A5X. Still has 10 hour battery life. FaceTime front camera HD. 2x faster Wi-Fi. Lightning connector. New cables connectors announced.

The major announcement here is of course the A6X chip.  Apple's cpu team has been quite busy already creating a chip to leapfrog the iPhone 5's cpu.

iBooks Author updated

Embedded fonts, new templates, Publishers can now add mathematical expressions, and multi touch gesture widgets.  Update available today.

iMac/Mac Mini Update

iMac has a new thinner design.  Edge is 5mm thin.  "Most beautiful Mac Apple has ever made."  75% less reflective.  Facetime HD, 8 lbs lighter then the last gen model.  USB 3.  Fusion Drive, 128GB flash storage with 1TB or 3TB HDD, works with the software built into the OS.  Flash has OS and shipped apps.  Lacks optical drive.  Starts at $1299 and ships in November.

Mac Mini Starts at $599.  Just a spec bump.  Continue to offer as a server.

13" MacBook Pro Announced

Macbook Pro now comes in Retina 2560 x 1600 resolution.  Worlds "2nd" highest resolution notebook.  75% reduction in glare.  .75 inch Thin, 20% thinner and weighs 3.57 lbs.  It's the lightest MacBook Pro yet.  Two Thunderbolt ports, USB 3, HDMI and SD Card Reader.  No longer has an Optical drive.  Up to 768GB flash storage.  Starts at $1699 for the 2.5ghz i5, 8GB ram and starts shipping today .

iBook Update Announced and Available today.

Includes new reading option with continuous scrolling.  Share via Facebook and Twitter.  Support for 40 languages.

iTunes 11 Released

iPad Mini Announced

Hurry, get your iPad Mini event Pass for Passbook

The time is almost upon us.  Still haven't recieved your invite for the iPad Mini event this morning?  Flon Solutions has you covered.  On their website you can get a Pass for Passbook to make sure you can get in.

Thanks @aSH0TofCLAR1TY for sending this in.

Apple store down, updates incoming

Although expected, it's interesting that the store down notification isn't a familiar sticky note.  It is also interesting how the text scrolls through different languages.

Stream Apple iPad Mini Event live

Apple is doing something a little different today.  They are finally offering a new way to stream their live events and what better way then on their Apple TV.  There is a new channel on the Apple TV home screen called Apple Events.  If you don't have your Apple TV with you at work like myself, you can also watch the stream live online.  Don't forget the event is at 10 AM Pacfic time.

Ender's Big Mini Event Predictions

Tomorrow is the big day. Below is a brief synopsis of what your pal Ender expects to see released:

iPad Mini:

Seeing a new smaller iPad is an absolute certainty. I believe at this point virtually everything we've heard is accurate. The leaks regarding the new smaller iPad are so plentiful and consistent it's highly unlikely they are all unfounded. Tomorrow's iPad mini will have a 7.85 inch display, lightning connector, thinner enclosure (than the current iPad), and same 16/32/64 memory allocations of other products.

Still up in the air at this point, colors, retina display, processor. We've seen a few reasons to believe the iPad Mini may come in colors beyond black and white - including possibly the color scheme of the announcement. However, 9to5mac posts this week pricing lists making multiple colors less accurate. Retina display is something I really want to happen, but most information is saying 1024x768 is more likely. As for the chip, I'm imagining an a5x at minimum - this chip ought to have plenty of oomph for the smaller screen size, especially if it's non-retina.

New, New iPad:

Rumors have been popping up lately regarding the possibility of a newly redesigned iPad.  Rumors on this have been late in coming relative to those on the Mini.  This has pushed most to speculate changes will be very minor (basically just the addition of a lightning port).

I'm going to go a step farther than any of our peers in the industry and say this - if there is a new, new iPad tomorrow it's going to be a full upgrade.  I'm not sold at all that we'll see one tomorrow, but if we do I'm going out on a limb and saying expect at minimum an a6, better camera (possibly being confirmed this evening at Appleinsider), obviously a lightning connector, and better battery life (largely as a result of the upgraded chip).

13" Macbook Pro:

There will be a 13 inch Macbook Pro with a retina display - and everything else upgraded from the current version as well.  This will bring it inline, though less powerful, than the 15" model I use and love.

Mac Mini:

A better spec'd Mac Mini will be announced tomorrow. We're expecting minor internal upgrades across the board. A redesigned enclosure is possible, but not likely. These minor upgrades leave us thinking it's possible this upgrade might miss the announcement entirely and happen as a silent upgrade on store.apple.com.

iMac:

The current iMac has grown a little long in the tooth, and at this point upgrades are certain to come tomorrow. I believe there will be specification upgrades across the board - this is a given. I also believe the tear drop unibody redesign is highly likely. Also likely is an iMac with a highly upgraded screen, possibly retina.

Final verdict, newly upgraded iMacs are certain. A new iMac design and higher resolution screen is probable.

iBooks Store:

Tomorrow's announcement is going to be largely centered around books and education. In short, expect the iBooks store to be completely redesigned with a greater focus on text books as well as integrating iPads in the classroom.

AppleTV:

We don't have any specific information on an AppleTV. I haven't seen anything anywhere regarding component leaks for a new set top box, nor any other real reason whatsoever to believe there will be an upgrade to Apple's 99 dollar hobby. That said, I think there is a very real possibility that we might see an AppleTV released tomorrow with at least some modest upgrades (especially on the software front) over the current model.

That just about sums it up. We're all very excited to see everything unfold tomorrow morning.

What Will expects at tomorrow's Apple event

[caption id="attachment_562" align="aligncenter" width="640"] Photo Source: capmac.org[/caption]

There is a lot to expect at tomorrow's Apple event. We're going to go through what you should expect and also our take on the rumors.

iPad Mini
The most obvious announcement is the iPad Mini. We're expecting an iPad Mini with a 7.8" retina screen starting at $329. We expect many SKU's to take care of the price points and configurations for size and network(LTE, Wifi). Mac Weekend is also the only site saying the release is October 31st! Remember you heard it here first!

iPad "3" w/Lightning
We expect a slightly revised iPad with minor internal changes to allow for a lightning connector.

iBooks 3.0
Not much is known about iBooks 3.0 but MW does expect it to be primarily focused on education similar to their January event although not the focus of the event, just an angle to spin.  Expect this to be one of the many avenues the iPad Mini will be pushed.

Hardware Refreshes
It's been a little too quiet on the hardware front the last couple of days which worries us.  We do think though that there will be some hardware updates in the form of a 13" Retina MacBook Pro, refreshed Mac Mini or refreshed iPad.  We could see 1, 2, or even all 3 of these tomorrow.

iTunes 11
MW expects that iTunes will be talked about a bit tomorrow.  It makes perfect sense to push the new iTunes with the iPad Mini and iBooks 3.0, especially if there is increased reliance between iTunes and the new iBooks.  iTunes could be released tomorrow but it will probably be released a little closer to October 31st.

That's pretty much it.  You can expect the focus to be on the iPad Mini.  If you notice besides the iBooks update, little else relates to the Mini.  The new iPad will be mentioned and a spotlight will be on the Hardware refreshment.  Apple may throw us a bone with iTunes 11 tomorrow but probably not.  Stay tuned right here where we will be providing up-to-the minute updates on the announcements.

Large supply chain cause of leaks?

Anyone who has followed Apple product developments for any significant amount of time will tell you that information is much more available on upcoming products than in the past. We pretty much new exactly what we were getting with the iPhone 5 well before it's announcement and the iPad Mini is no different. So what has changed, why all the leaks as of late.

Arstechnica has a great article blaming the large and very efficient supply chain. The report states that corporate security has increased under the reign of Mr. Cook which means the most logical place to leak for the origin of these leaks would be the supply chain. Ironically also the "fault" of Tim Cook who has done much to increase the productivity of the manufacturing process. It's a great read giving you a broad understanding of how these leaks occur and some insight on why now!

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"Spooky" Mac Weekend

You may have noticed today that our layout looks a little more ghoulish!  That's because here at MW we're getting into the Halloween spirit and our design portrays this.  Hope you like the devilish design.

Should you sell your iPad "3"?

Photo Source: Apple.Pro

So we'll finally now what Apple has in store for the iPad Mini come tomorrow.  I'm sure this will put many people at ease.  The announcement, although settling some, may cause apprehension for others.  At the end of last week a few leaks suggested that along side the iPad Mini, a "new" iPad refresh would occur.  The refresh would be slight with small internal modifications simply to allow for a Lightning connector.  Any other update would be minuscule and would be very unlikely to even be mentioned.  What does this mean for all the poor saps like myself who bought the new iPad in March?

Someone came into my office this morning and asked me what I thought they should do.   Should they keep their new iPad or get rid of it for fear that it will instantly diminish in value.  I say keep it.  Again, unless Apple wants to face the wrath of angry fans (again), they will not update the performance specs of the device.  They will only implement the Lightning change to align their latest products with their new connector.  I can guarantee that everyone out there, and I mean everyone, has a hell of a lot more 30-pin connectors then they do Lightning.  This means come the time for the next major iPad update, the 30-pin iPad's will be in high demand.  Chances are, the majority of those in the used iPad market aren't going to be nearly as excited to get an iPad with a Lightning connector where they will have to pay a premium to upgrade all of their existing cables.  Most would rather have an iPad that works with their existing stuff.

Foxconn working conditions

I'd like to take a moment to post something regarding the working conditions at Foxconn.  I'm not going to argue that sitting on an assembly line fabricating Xbox controllers is the most amazing job in the world.  I believe reports of the job being mindlessly redundant are quite accurate.  I do however have a few issues with the way in which Foxconn working condition stories are repeatedly spun.

First and foremost, these stories are all pitched in such a way so as to unevenly attack Apple.  With the Cupertino giant's rise to power it's become fashionable for the media to depict Apple as an evil empire.  The reality is that any story condemning the use of Foxconn should be presented as a case of the civilized world's need for highly sophisticated yet low cost electronics.  Apple is hardly the only company using Foxconn for product assembly.  Foxconn produces products for Microsoft, Dell, Lenovo, Vizio, HP, Sony, Nintendo, and virtually anyone else in the industry.  These products are purchased in volume by consumers the world over - including their fastest growing market, China.

Next, it's important to keep some perspective when demonizing working conditions in another part of the world.  As I said earlier, in the United States there are certainly finer jobs than working a Foxconn assembly line.  However, the world over this plethora of jobs isn't always the case.  It's indisputable that Foxconn's jobs are sought by a great many people.  Reuters and other's have shown how many Chinese feel about positions at the plant as thousands line up to apply for open positions.

Further, issues that do arise in China are often seemingly blown out of proportion.  In 2011 Foxconn had 17 suicides.  Of course it's tragic when someone takes their own life - that this has happened 17 times at Foxconn is terrible.  Now the bigger picture, Foxconn has over 1 million employees.  In China, and even the United States the Foxconn suicide number is much lower than the average per 1 million people.  Countries around the world would look at 17 suicides per million citizens as a huge  improvement over their current figures.

Working conditions at Foxconn are clearly not something to be celebrated.  Working long hours can be extremely tiring on the individual and family.  At the same time, it's been largely reported that workers at Foxconn are upset, not happy, about the cuts in hours they've experienced due to so much international attention.  Living conditions in China are lower on average than they are in many other parts of the world.  People who otherwise would have nothing can afford to feed their families thanks to their employment.

Likely one day in the not too distant future these jobs will all be replaced by machines.  At that point, as a million are without work and probably 10 times that number effected - we can all bask in the glory of a Foxconn without assembly workers.  In the meantime, let's look at this company with a little wider lens.

iBooks 3.0

Per the Next Web, a French version of Apple's iBooks store makes mention of iBooks 3.0.  Speculation has been floating about for several weeks that the iPad Mini is going to bring a renewed focus to Apple's book-selling capacity.  Many have postulated next weeks announcement will focus as much on a newly redesigned book store as it does on the iPad.  Discovery of this iBooks 3.0 mention certainly leads credence to this notion.

Who is the iPad Mini for?

Who needs the iPad Mini?

The invites been sent, and the announcement itself is days away. The questions about pricing and SKU's will be answered soon while one question will remain. Who is the iPad Mini for?

The immediate respons is that the purpose of the iPad Mini is to compete directly with the Kindle Fires and Nexus 7s of the world. The problem is, isn't Apple a little late to the 7" party? Wouldn't the majority of consumers in the market for a 7ish inch tablet no longer be in the market because they have already chosen and purchased their Android powered tablet? Don't get me wrong, the market for this particular type of device continues to grow, we know this because the heavy hitters continue to up the ante unloading newer more powerful models with increasingly impressive tech at an exceptionally low price point. But who is Apple's model for?

Anyone who knows Apple understands their products shine in a way the others rarely do. They shine in the the way the software relies on the hardware and visa versa. It is an interdependent relationship that is so effective because both pieces are equally invested in each another. The interoperability of the two, and the magic they create mask the fact that the hardware is rarely bleeding or even leading edge. The only exception to this comes in the form of Apple's Flagship products, the iPhone and the iPad. The two products play a game of hardware leap frog showcasing the hardware chops Apple can produce at the time. Especially now that the release of the two is separated by about a half a year. But even the iPhone 5 which showcases Apple's most powerful processor to-date can't stand toe to toe in raw processing power with it's competition. The average Apple consumer cares not about benchmark scores though. They are more interested in what happens when you add the power of the hardware with the usability of the software. This creates a bar that is nearly unreachable by Apples competitors, user experience nirvanna!

So will the hardware of the iPad Mini compete with those of the droid world? It'll be a close race but I predict Apple will not be first in raw spec's. The iPad Mini will have a processor similar to the latest Touch which brings all of the features of Apples latest iOS. The screen will be of exceptional quality. Combine this with the consistency of the OS and the Mini will be a contender.

The Mini will also come with another plus not yet mentioned, the Apple ecosystem. The Mini will fit right in with the rest of your Apple products, whether it be a Mac, iPhone, iPad, or the hundreds of previously downloaded Apps waiting for you in the cloud. You're familiar with this space and it's comfortable, it is here where you are at home! Apple has a competitive ecosystem, the others do as well. Amazon is one of the strongest in this space, providing content in many ways that is unmatched. Throw in their whispersync technology that allows you to pick up where you left off regardless of media type is downright magical.

So again, I ask, who is the iPad Mini for? I consider myself a loyal Apple fan but until recently, I had not given the Mini a second thought. Why? Because I like consolidation of products. The reason I love my iPad is because it is a "jack of all trades, master of none" device. It does 99% of what I need a "computer" to do. Here is the jack, the master part are the things it could do better, like providing a better reading experience. At times the iPad is just too cumbersome and heavy to read with in bed for any extended period of time. Does this warrant the purchase of the iPad Mini? For some, the answer is yes. Like any gadget, If the Mini fulfills a need for you then the purchase could be considered logical. This at it's most basic aspect, is the purpose of all consumer goods. The fulfilling of a need. People have their own needs, which means they are the only ones that can make this decision. Is there a segment of the market that has already purchased an Android 7" tablet simply because Apple hasn't provided an option yet? Probably. Are there consumers who have dealt with the bulk of the iPad simply because they have too much invested in their ecosystem to go some place else? I'd imagine. Are there gadget geeks out there that want every possible gadget developed just because. Most definitely yes. The iPad Mini is for all of these types of people.

This is only partially who the Mini is for though. It's obvious the primary type of purchaser the Mini is really for, and Samsung has already told us this. If Samsung knows then we definitely know. Ill be waiting in line for the iPad Mini. Don't worry it's not for me, I'm just holding this spot for my parents who were introduced to, and fell in love with Apple through the very consumer friendly iPhone. Apple, I can guarantee, thanks me for this.

329 iPad Mini

Respected site 9to5mac reports today pricing for the iPad Mini is set to begin at 329.  From here the site shows prices scaling based on storage and connectivity.

[caption id="attachment_511" align="alignnone" width="300"] Source: 9to5mac.com[/caption]

We believe this pricing information to be accurate.  Low 300s is right in line with everything we've been hearing.  This pricing also makes sense as it helps to differentiate the iPad Mini from the "loss leaders" - low quality tablets that companies have fled to after failing to gain ground on the full sized iPad.

We can now put together the entire picture for the new Apple device.  Renderings and case mockups released the last few weeks should be inline with the final product.  We are expecting a 7.85" display, thin unibody aluminum enclosure, lightning connector, etc.

We are sticking with our expected release date of 10/31 - yes we are aware this is midweek.

Specs

There is a stigma out there that Mac users are stuck up elitists.  Makes sense to me.  Let's face it, Mac users are better people than PC/Droid users.  If there's something that PC users love to drool over it's system specs.  Let's placate those virgins by looking at the specs of your average computer user.  Thanks to sites like Hunch.com there is actually a lot of material by which we can analyze these two user groups.

Cool Factor:

According to Hunch.com's review of over 700,000 users - Apple users are 22% more likely to be between 18 and 34 years old.  The site then looks at demographics.  Mac users are also nearly 3 times as likely to live in a city.  Further, PC users have a stronger liking for junk food like McDonalds, wear jeans or baggy sweats, and in general have a disregard for their life.  The picture here is pretty clear - PC users are mostly old, overweight people living out in the burbs.

Education:

No question who has the better specs on the education issue - where 67% of Mac users have a college degree vs. 54% of PC users.  That's just for a four year degree.  This trend continues the higher you reach, with Doctoral students the most likely to be using a Mac rather than PC.  Essentially the more intelligent you are, the more you prefer a Mac.

Income:

Again, another check in the Mac user's column when we look at income.  Forbes elaborated on a WSJ/Forrester piece - the financial divide between Mac and PC users is vast and growing.  Currently your average Mac household brings in 98,500 dollars annually.  Thats better than 20,000 dollars ahead of the average PC home.

Charity:

Probably the biggest specification for who's a better human would be who is most generous. Mac users are far more caring about others than those old, stinky, overweight PC people.  Donation tracking firm razoo looked specifically at which of these two groups is most giving.  Mac users give on average more money than PC users.  This margin is even more striking when comparing iPad, iPhone, and even iPod users to their Android counterparts. iPad users in particular give 40% more than users of any non-Apple mobile device.

So if you're a Mac user, don't feel bad about being a little stuck up, even arrogant.  You're living a more worthwhile life than those sickly PC and Droid fanbois.

Win8 to drive market share, for who?

It's been some time now since Microsoft has had a truly outstanding release of it's flagship product.  While Vista was a complete failure, even Windows 7 was mostly only a great launch when compared to it's predecessor.  You'd have to drop back to XP before finding a Windows release that the tech community was almost universally in support of.  That said, largely due to it being pre-installed on PCs, 7 has realized strong sales numbers during it's time on the market.

Consistant sales are old hat for Microsoft.  The formula, while not always flashy, has been drafted with a rigid standard going back to when Gates was at the helm.  Enter Windows 8, the first Windows to take a large step away from the user interface that so many of grown to, if not love, understand.

Discontent with the new Metro Modern user interface has been common among developers, upset about learning something new.  Ultimately though, developers desires never really matter.  If the market share is there, developers will come on board.

USA Today has a piece, similar to so many that have been floating around lately - traditional windows users are confused with 8's UI.  This end-user issue has potential to be a much larger problem than any developer drama.  Unlike many previous windows releases, it is no longer a PC/PC world.  Today people have options.

Let's be realistic, people hate learning anything new.  This goes for companies that don't like re-training their employees (why XP still dominates), your parents, or even just an everyday over-worked adult.  Learning a new piece of software, while ecstasy for a geek is a chore for most. Microsoft comes out with a product, that regardless of it's merits will require learning something new.

Anyone who has ever been in an Apple Store, or trying to sell a new kind of device at Best Buy knows the most prevalent complaint  is about having to learn something new.  For years Apple, and others have had to implement all kinds of methods for overcoming this (one to one, to some extent programs like Fusion).  In an early Christmas gift, Microsoft comes out and eliminates this long held hang-up for Apple as well as Android Tablet OEMS (both of which are now clearly cutting in to PC sales).  It's simple, if a user has to learn something new whichever OS they go with, there is all of a sudden a lot less reason to stick with their current platform.

With an innovative, industry leading range of computers coming out of Cupertino - as well as a myriad of tablets coming from everywhere - Windows 8's new interface might be just the catalyst to drive users increasingly to competing platforms.  Microsoft's new release may very well be a defining moment in the move towards a post-pc world.

iPad Mini Available 10/31

Everyone's been tricked in to thinking the iPad Mini will release November 2nd.  The treat will come on October 31st, Halloween.  That's right, the iPad Mini will be released 10/31.  Stores will prepare for the arrival of this and other products with a complete makeover the night of the 30th.  Remember where you heard it first and like us on Facebook.

Premium products

We've had several articles this last week that mentioned the upcoming Microsoft Surface tablet.  There is very little chance I'll personally decide Windows RT is the future and buy Ballmer's new baby.  That said, I sincerely hope that the Surface is a success.

There are some Apple fans who don't want to see the Surface succeed.  This is understandable, especially for original Mac users who remember the destruction Microsoft brought on Apple in the 90s.  Simply put, this is a different product - and both companies have themselves changed. A decade back Jobs said Apple users need to lose the idea that for Apple to succeed Microsoft has to fail - more true now than ever.

No, my worry isn't Microsoft coming back and wrecking Apple 2.0.  I honestly believe that with both companies making high end products - ultimately Apple always comes out on top. Making a premium product is apples forte.  While the Surface really looks like a nice device, I don't see Microsoft being able to provide the all around polish Apple can.  Apple has the whole high end thing down to a science including everything from the packaging, to the store, to of course the device itself.

The threat to Apple, but I'd say even more importantly to all users everywhere, is loss leader products like what Amazon and more so Barnes and Noble are making.  I don't really throw the Nexus 7 in this category, while it certainly lacks in some respects, it's a capable tablet (though the rumored 99 dollar Christmas version will certainly be crap).

I worry about these companies catering to the inherent cheapness present in most.  With a race to the bottom in pricing you inevitably end up with a bunch of trash. Netbooks are a great example of 'cheapest possible' products.  Partial functionality, shitty design, the hallmarks of the low end.

Unlike other markets, in tech a crap product has the capacity to destroy something superior. In the car market for example BMW will continue to exist for those who can, and chose to pay for quality.  BMW's existence in the market will continue so long as they build a good product - unimpeded, regardless if Ford comes out with a new quite capable Fiesta.  BMW is only reliant on BMW.  In tech you're reliant on developers.  Developers, as they should, follow market share.  Any tablet/phone/etc is really only as good as the software for it.  Therefore it's troubling that selling a zillion really crappy tablets could in the end ruin devices that are infinitely better - even for people willing to pay a premium price.

Arguably we've already seen something like this happen with PCs.  The Macintosh was without question the premier device in 1984 - and I'd argue continued to be the undisputed best until at least Windows 95.  The cheapness of people won out, we saw worse quality machines win market share and win the day.  In Apple's case Jobs came back, this earlier failure helped push the company to be increasingly more innovative - and has so far been the best thing that's happened to Apple.

Looking at another market though where cheap devices have pushed out premium products without such a happy outcome - the gaming.  Anyone over 21 that's in to video games probably remembers quite fondly the premium gaming PC market.  Console gaming was both cheaper and by almost any standard inferior.  That said, how's alienware doing these days? (I mean even aside from the fact Dell is a total failure of a company anymore).

In the end I just like really nice things.  I love the quality that's put in to my iPad.  I can say definitively it's one of the single nicest, most thought through things I've ever owned.  The product screams class and works flawlessly.  The iPad's retina screen has virtually ruined most other displays for me.  The Surface is Microsoft taking a stab at making a premium product.  The 500 dollars Microsoft is charging shows their intention to be top tier.  I hope that this product, and it's 1.5bn advertising budget, will help to push consumers back towards buying nice things.  Phones and Tablets are devices people use repeatedly, all day, every day - it's worth spending a few extra dollars to get something good.