News from category ‘Official’

Analyst Chris Whitmore with Deutsche Bank and his team of analysts checked more than 200 stores on Black Friday to assess demand for Apple products, including the iPhone, iPad and Mac lineup and found out that Apple's Black Friday sales were more than successful.

75 percent of Apple’s retail stores sold out of the iPhone 4S on Black Friday while on Saturday just 30 percent of Apple's stores remained sold out of the iPhone 4S. At AT&T stores, Whitmore found that about 50 percent were sold out over the weekend.

Gene Munster with Piper Jaffray also polled Apple's retail stores on Black Friday, and discovered that iPad sales per hour were 68 percent higher than they were a year ago that means an average of 14.8 iPads per hour, comparing with the 8.8 iPads sold per hour year-over-year. Mac sales were 10.1 units per hour, up 23 percent from Black Friday 2010.

Whitmore also found strong iPad and Mac sales, noting that the 11.6-inch MacBook Air was the most popular option in the MacBook Air lineup on Black Friday. As for the iPad, he revealed that the most popular version was the 32GB model.

Local residents view Apple's massive data center in Maiden, N.C. as “disappointing development” because it seems not to answer their expectations, bringing just 50 full-time jobs to the area with double-digit unemployment rates. Residents are rather skeptical about Apple’s positive influence on the city, and thinking that the company has done nothing to improve the situation.

But, at the least, two residents, Donnie and Kathy Fulbrigh, have benefitted significantly from Apple's venture. Apple paid $1.7 million for their one-acre property. At first they didn’t want to sell their property, but Apple offered them to set their own price, and they finally gave up. As for others, the situation hasn’t changed for them. It still very hard to run a business here.

The North Carolina legislature amended its corporate income tax law in order to offer Apple tax breaks of up to $46 million over the next 10 years to build its data center in the state. According to the report, local authorities have discounted property taxes by 50 percent and personal taxes by 85 percent. In exchange, Apple has created 50 full-time jobs and is also expected to create 250 "indirect contracting jobs."

Bloomberg reports that Australian appeals court is hearing testimony related to the injunction issued to prevent Samsung from selling its Galaxy Tab 10.1 in Australia.  As you remember, the injunction was result of complaints from Apple of design infringement. Judges in the appeals case are skeptical of the fairness of the injunction.

“The result looks terribly fair to Apple and not terribly fair to Samsung,” Federal Court Justice Lindsay Foster said today at a hearing in Sydney on Samsung’s appeal for the ban to be overturned.

The injunction was issued by Federal Court Justice Annabelle Bennett on October 13. According to the injunction, Samsung’s Galaxy Tab 10.1 was banned from selling in Australia until Samsung and Apple resolve the patent dispute. Neil Young, Samsung’s lawyer, said that the Justice did not take into account the “dire consequences” of the ban on Samsung. Judges may allow Samsung to sell the device during two-three months before the full trial can take place in March, believing that it won’t severely harm Apple.

After Steve Jobs’ death, speculations arose on what would be done with his huge estate, estimated in $7 billion. The majority of his wealth is represented by the 138 million shares of the Walt Disney Co. that were placed in trust. Jobs acquired shares in 2006 having sold Pixar to the company for $7.4 billion. Tax experts suggest that Job’s family should sell all Apple and Disney share to avoid higher taxes. According to Bloomberg, the family could save $867 million in capital gains taxes.

Noteworthy, placing shares in a trust is also a method to avoid higher taxed, though it’s not clear what type of trust was set up in this case. According to Bloomberg, Jobs moved his assets into trusts toward the end of his life.

Now the widow of Apple co-founder Steve Jobs, Laurene Powell, will manage a $4.6 billion trust. Some experts expect her to use a portion of the trust for charity and philanthropic work, as she is an active participant in the non-profit sector.

1,000 workers at a factory in southern China that provides IBM and Apple with components, including keyboards, went on strike this week complaining of overtime requirements. The employees blocked the local highway during the strike to attract public attention to nightly overtime demands, common workplace injuries, layoffs of older workers, lack of benefits and verbal abuse by managers. The strike was halted after the company officials agreed to reduce overtime at the plant.

In a statement regarding the issue, the rights group called on Apple to "take responsibility, as there are more than 300 workers working on the Apple keyboard assembly line."

Read the rest of this entry »

Last week the U.S. Patent and Trademark Office opened an exhibition devoted to Steve Jobs. The exhibition honoring Apple’s co-founder includes 30 giant iPhone-like display panels that demonstrate the front pages from over 300 patents that bear Jobs' name as inventor or co-inventor.

“This exhibit commemorates the far-reaching impact of Steve Jobs’ entrepreneurship and innovation on our daily lives,” said Under Secretary of Commerce for Intellectual Property and Director of the USPTO David Kappos. “His patents and trademarks provide a striking example of the importance intellectual property plays in the global marketplace.”

Read the rest of this entry »

Lord Sacks, the Chief Rabbi in the U.K., made a comment in the presence of the Queen at an interfaith reception last week about Apple and its product, noting that the company produces an “egocentric society” and that “i” in Apple's popular naming scheme is a clear indicator of such totally selfish society. He even compared the iPad with Moses' stone tablets that bore the Ten Commandments.

“The consumer society was laid down by the late Steve Jobs coming down the mountain with two tablets, iPad one and iPad two, and the result is that we now have a culture of iPod, iPhone, iTune, i, i, i," he said. “When you’re an individualist, egocentric culture and you only care about 'i’, you don’t do terribly well.”

The rabbi claimed that such egocentric society makes people unhappy. Sacks called on the devout to observe the traditional Jewish day of rest, the Shabbat, and to thank God for everything they have not to be trapped by material culture.

Nevertheless, the Queen Elizabeth II is said to be a "big fan" of Apple's products and reportedly owns two iPods and she even knighted Jobs in 2009.

The famous author of Steve Jobs’ authorized biography, Walter Isaacson, has revealed in his recent interview that the passed away Apple’s co-founder had free things he wanted to reinvent: the television, textbooks and photography. The most difficult for him was television with its "complicated remote controls." Isaacson said that Jobs said he felt there was "no reason" for TVs to be so difficult to use and he claimed he had managed to “crack” the secret of a simple HDTV.

That has led to a new speculation and rumors that Apple is planning to release a television set at some point in the near future. The New York Times said last month that Apple is expected to release a TV with Siri voice recognition functionality by the year 2013.

Isaacson also noted that Jobs was interested in changing textbooks and photography. Apple has already started implementation of an iPad in schools to replace standard printed textbooks and offered to use the iPad as a device for taking pictures. Apple believes that digital textbooks are more convenient and the iPad will improve quality of pictures.

Last month, we reported that Sony Pictures acquired rights for a film adaptation of Steve Jobs’ biography by Walter Isaacson. When the book went on sale later that month, it became an instant hit, and is already one of the top-selling titles of 2011. Two prominent actors - George Clooney and Noah Wyle - are both rumored to be in contention for the lead role. The U.K.'s NOW Magazine has reported that Clooney, 50, is battling with the 40-year-old Wyle for the right to play the Apple co-founder. As reported, work on the film will start in 2012.

Wyle already played Steve Jobs in the 1999 movie "Pirates of Silicon Valley." The movie tells about development of the personal computer, establishment of Apple, and the rivalry between Apple and Microsoft.

Earlier this week, Disney Chairman and Chief Executive Bob Iger received more than $84,000 in stock for joining Apple's board of directors. According to the U.S. Securities and Exchange Commission, Iger received 75 shares of common stock and 142 restricted shares that will vest in February of 2012. It amounts $84,376 in cash.

This week Apple announced that Iger became member of Apple’s board of directors. He will serve on the company's audit committee. His compensation for joining Apple's board is comparable to what others who joined received in the past. For example, Andrea Jung, who joint Apple’s board in 2008, received 77 shares of common stocks.

Iger’s relationships with Apple have quite long history. In 2006 he was responsible for acquisition of Pixar. Moreover, he is a Disney CEO. He was one of the first people who expressed condolences to Jobs’ family after he passed away. "With his passing the world has lost a rare original, Disney has lost a member of our family, and I have lost a great friend," Iger said.

Marketing firm BlueKai compiled the profile of the typical iPad buyer. So, a typical iPad owner is male, has pets and buys video games. Scientists or health care workers, international travelers, apartment dwellers and proponents of organic food are also among those people who are highly likely to purchase the iPad. The firm also found that vitamin takers, domestic business travelers, married couples and college graduates are typically owners of the iPad.

BlueKai created an infographic (below) to reflect its findings, including information received from other research firms. According to comScore, 45.9 percent of tablet owners belong to households earning $100,00 per year or more, while Nielsen has discovered that 70 percent of all iPad use occurs in front of a TV.

Read the rest of this entry »

Digitimes reports that Apple has reduced its fourth-quarter orders for iPad 2 display panels. That might mean that Apple has already started preparing for the launch of the iPad 3 early next year. The second reason might be the reduction of customers’ interest in the device.  Moreover, Apple stockpiled components for an extra 4-5 million iPad 2 units, so that allows it to reduce its orders for the fourth quarter.

Sales of iPads at the end market totaled 11.12 million units in the third quarter of 2011, according to data released by Apple. However, inventories of parts and components prepared by the makers in the supply chain for the production of iPad 2 in the quarter are sufficient for the production of 15-16 million iPads, leaving a stockpile of 4-5 million units of iPad 2 in the supply chain, the sources noted.

Digitimes also notes that the reason for stockpiling of iPad 2 components may be preparation for the iPad 3 launch set for the beginning of 2012, suggesting that  suppliers of both display and touch panels for the iPad 3 have either already begun or will soon begin shipments to Apple.

While Apple is adjusting panel inventory for iPad 2, Samsung and Sharp already began shipping panels for the next-generation iPads to Apple in October, and Taiwan-based touch panel makers TPK Holding and Wintek will begin to ship touch panels for the new iPads to the supply chain in November-December, the sources noted.

In October research company Nielsen conducted a new survey among 3,000 U.S. children at the age from 6 to 12 ahead of 2011 holiday season, and found out that the iPad is the most-wanted gift for kids, while the iPod touch ranks second and the iPhone comes in third. 44 percent of kids are interested in getting an iPad, 30 percent want an iPod touch, while 27 percent prefer to get an iPhone.

Apple's popularity among children is likely driven by gaming, as the most popular applications on iOS have consistently been games since the App Store first debuted. The iOS lineup beat out a number of popular gaming machines in the survey, including the Nintendo 3DS, Kinect for Xbox 360, and the Sony PlayStation 3.

The iPad dominates among teenagers: 24 percent of those polled said they are interested in buying an iPad in the next six months. Apple's iPhone is in the seventh place with 15 percent, while iPod touch is in twelfth with 8 percent.

According to a new analysis, first time for 15 years Apple’s worldwide share of PC market passed 5 percent up from 4.7 percent in June and 4.4 percent a year ago. Analyst Charlie Wolf of Needham & Co. reported that in the third calendar quarter of 2011 Mac shipments outpaced the PC market for the 22nd straight quarter. Apple’s growth was 24.6 percent, while growth in total PC shipments was 5.3 percent. During this quarter Apple sold 4.89 million Macs, there are the record numbers of Mac sales.

"More impressively, the growth in Mac shipments in the past year represented 20% of the growth in worldwide PC shipments," he said. To further put things into perspective, Wolf noted that Apple's September quarter Mac shipments exceeded annual Mac shipments for all years prior to 2006.

Mac shipments significantly increased in both the home and business markets. In home market Mac shipments showed 25.6 percent growth, while the overall increase was only 4 percent. Shipments to the business market were an impressive nine times the market pace: 43.8 percent versus 4.8 percent. Wolf suggested that Mac success could be attributed to halo effect from the iPad and iPhone.

However, Apple didn’t show great performance in the education and government markets. In the third calendar quarter of 2011 Mac shipments to education customers for the quarter grew on 2.9 percent, compared to 16.9 percent for the PC market. Such situation might be caused by the iPad cannibalization of the education market.

New Galaxy Tab 10.1N (top) vs. Galaxy Tab 10.1 (bottom)

Samsung tries to bypass patent infringement from Apple, modifying the design of its Galaxy Tab 10.1 touchscreen tablet in order to re-launch it in Germany. Moreover, Samsung decided to rename the device. The new product is known as the Galaxy Tab 10.1N. The most obvious difference from the front of the device is that the metal frame around the edges of the device now wraps around slightly toward the front along two of the edges. We are not sure that such device will definitely steer clear of infringement. Anyway, it’s up for the Court to decide.

"But without a doubt, Samsung has upped the ante fro Apple and its lawyers in case they wish to request a new injunction or allege that this constitutes an infringement of the existing one."

Germany seems to be a really important battleground in the fight between Samsung and Apple. Last week, Samsung filed a new complaint against Apple in the country. And it’s obvious that the company decided to redesign its device because of permanent ban from selling the Galaxy Tab 10.1 in Germany.