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May 22, 2009 11:00 AM PDT

Week in review: Apple's pending harvest

by Steven Musil
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If you believe rumors and industry analysts, Apple is getting ready to bring some big products to market.

First and foremost, the company is likely to launch a tablet that's similar to the iPod Touch, but larger, in the first half of 2010, marking the company's entry into the Netbook race, according to Piper Jaffray analyst Gene Munster. In a research note, Munster handicaps the gaps in Apple's product lineup. The gaping hole: there's nothing between the iPod Touch and the MacBook. Enter this iPod Touch on steroids for $500 to $700.

Apple's game plan will revolve around its multitouch patents to cook up something different from your generic Netbook. Munster's theory makes a lot of sense. A Netbook would tarnish the Mac's average selling price and potentially cheapen the Apple brand. A tablet wouldn't. Double bonus: a Mac tablet would compete with Amazon.com's Kindle e-book reader.

Apple Chief Operating Officer Tim Cook called Netbooks junky, but he never dismissed the consumer demand for them.

What's coming? We only can guess.

(Credit: Corinne Schulze/CNET)

We can also expect the next version of the iPhone on July 17, according to AppleiPhoneApps.com, which cited a source who is "closely connected to Apple's hardware development team." The Web site posted some details on just what the third-generation iPhone will offer.

Meanwhile, as part of the ramp-up toward releasing this software to the public, Apple began running a stress test of push notifications--the hallmark feature of the new operating system. This system sends notifications to your phone whenever there's an update from an application, even when it's not running.

The newest data from Gartner shows that Apple's share of worldwide smartphone sales grew from 5.3 percent in the first quarter of 2008 to 10.8 percent in the first quarter of 2009. In terms of unit sales, Apple jumped from 1.7 million in the first quarter of 2008 to 3.9 million during the same period in 2009.

While the quarter's iPhone adoption metrics may be impressive, Apple wasn't the only smartphone maker with big gains. Research In Motion saw its BlackBerry market share rise from 13.3 percent in first quarter of 2008 to 19.9 percent in 2009. The company's unit sales grew from 4.3 million to 7.2 million over the same period.

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Steven Musil is the night news editor at CNET News. Before joining CNET News in 2000, Steven spent 10 years at various Bay Area newspapers. E-mail Steven.
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by Dr_b_ May 22, 2009 11:16 AM PDT
There is another gaping product hole, and that is a mid-range mac. You have AIO iMacs, and the Mac Pro, but nothing in between, which is strange, they have a reason for doing this but I can't fathom it. Mid range macs with PCI-slots for discrete grfx, and yes sound cards.
Reply to this comment
by Sardonik May 22, 2009 12:34 PM PDT
I hate to break it to you, but PCI graphics cards have been obsolete for more than half a decade now. It's understandible that a mac user wouldn't know this, however.
by Seaspray0 May 22, 2009 12:58 PM PDT
@Sardonik. Yes, PCI is dissapearing but still available. The latest standard is PCI-Express. Some people still refer to those as PCI slots (which is wrong).
by Fil0403 May 23, 2009 2:57 AM PDT
There is another gaping product hole, and that is a Mac that can beat a Windows 7 PC (even in RC). You have nothing that can beat an equally-priced Windows 7 PC (assuming the likely Vista price model), which is not strange; they have a reason for not doing this and Windows users can fathom it. Macs without walls, and yes the lottery.

@ Sardonik: Amen.

@ Seaspray0: Yes, PCI is still available but completely outdated. Yes, the latest standard is PCI-Express. Yes, some people who cannot play games due to their system's limitations apparently still refer to those as PCI slots and that is wrong.
by cyclelogicpress.com May 23, 2009 7:40 AM PDT
I think a mid-range tower would be appealing to some switchers and a niche group of present Mac users.
by ralfthedog May 23, 2009 9:28 PM PDT
PCI graphics may be dead, but I have heard about this new thing called AGP. It will run circles around anything else. I don't think you can run it on a 16 bit computer so you will need to upgrade to 32.
by CrashPad63 May 22, 2009 12:58 PM PDT
What a nonstory.
Reply to this comment
by Fil0403 May 23, 2009 3:03 AM PDT
Gotta keep the sheep happy: after all the (positive) Windows 7 media coverage, the levels of self-esteem in the flock are running dangerously low (read depression is installed and promising to stay for long painful years).
by Seaspray0 May 22, 2009 1:03 PM PDT
"Apple Chief Operating Officer Tim Cook called Netbooks junky" And the Cigarette companies claim smoking isn't bad for your health. I'll call Tim Cook's comments junky.

I'd rather have the netbook (which is a full functioning computer) than a $500-700 toy.
Reply to this comment
by Fil0403 May 23, 2009 3:15 AM PDT
That has been Apple's policy for years regarding many technologies and markets: everything they cannot master or are too late to embrace sucks until they copy everybody else and embrace it years late in the game with mild success (still waiting for flash and java on the iPhone). Pride is too high in Cupertino to admit you still haven't mastered it or are too late in a game almost every PC manufacturer is playing on for years. Better diss it and praise when you get it.
Netbooks are not everything though: I doubt you can get in a netbook the 500 GB storage, triple-bass reflex subwoofer, full-size keyboard, cinema-like display, 2.53 GHz Dual Core CPU, 4 GB RAM, fingerprint reader, DVD-recorder/BluRay player, and HDMI I have in my 17" HP Pavilion dv7-1060ep Entertainment PC.
by thealaskan May 22, 2009 1:06 PM PDT
Apple is a smart company but the users aren't.
I've never met a more cow-herd mentality group in my life. Most Apple people slam microsoft for being so controlling but ignore the fact that APPLE CONTROLLS IT ALL! From the operating system to the hardware. At least microsoft products can be installed to different hardware platforms.. lets see you do that with apple operating systems.. oh sorry you can't. And if you want to develop apps for apple.. well sorry but you need to give the lords of apple at LEAST 30%.. so next time you slam microsoft or others for being so controlling think.
Reply to this comment
by ballmerisanape May 22, 2009 2:24 PM PDT
You don't get it. Apple's "controlling" model works.... it gives the user a consistent and predictable experience... and is the reason why every major update has made my little 6 year old 1 Ghz G4 powerbook.. with only 32 mb video RAM.... "snappier" with every upgrade. I'm currently running 10.5 on the little guy with 0 problems.

Since Apple writes the drivers.. it can utilize the hardware more efficiently than the average windows box. This is painfully obvious to me every time I boot up my loaded Dell XPS in XP (SP3). It feels like I am driving a Farrari... but the engine was swapped out and replaced with one from an 80's model Taurus.

I don't get that feeling when I boot up my under powered powerbook... it still looks and feels like it's ahead of the curve.
by SlimGem May 22, 2009 6:32 PM PDT
Yes, it's amazing how Apple's products have such a long and useful lifespan. I'm right now using a five year old iBook with a 1.2 GHz G4 CPU and 1280 MB RAM with the latest iteration of OS X, and it runs everything just fine. It's not a gaming computer of course, but it was never meant to be.

I also have a ten year old iMac with 266 MHz CPU and 160 MB RAM running 10.3 Panther. I don't really have it on much anymore, but it's usable. It can't run the eye candy due to the antiquated graphics, but it works.

Check out Low End Mac to see how long a Mac can be productive. Even if they do sometimes cost more initially, they can be very economical in the end.

And as for installing Apple's operating system on different hardware, you can build a Hackintosh or buy a Psystar. It can be done.
by Fil0403 May 23, 2009 6:15 AM PDT
Apple is a smart company music-wise; they still have much to learn computer-wise (as the market share proves it).
Regarding the rest of your comment: amen.


@ballmerisanape: Oh he gets it; you don't. Apple's controlling model never worked, still doesn't, and never will... It gives the user a closed and limited experience without solid garanties of reliability... And is the reason why half of today's hardware and software (including around 99 % of videogames) doesn't work in Mac boxes, why Mac boxes don't work the way you want but the way Apple wants, and why recent Mac OS X updates... in the order of 600+ MB... have ruined many people's Mac boxes (something that hasn't happened with me in the oh-so-bashed Windows a single time in more than 10 years). Many people are also running Windows 7 on "little guys" with 0 problems - with the difference that with Windows 7 they can install and run pretty much every piece of hardware and software (including around 99 % of videogames) there is, make it work the way they want it to, and update it without fear of turning their computers into a brick (all this for less money).

Since Apple writes drivers... it can utilize around half the hardware of the average Windows PC without any factual proven statistic or numbers whatsoever that shows it is done more efficiently than in Windows. This is wonderfully obvious to me every time I connect my Canon digicam, or my mum's EMTEC pen drive, or my iPod, or my Logitech mouse, or my mum's Logitech webcam, or my HP printer, or my old Microsoft mouse, or my old Nokia 6210 mobile phone, or my old Philips webcam, or my PSP, or my cousin's SanDisk pen drive, or my SanDisk pen drive, or my Seagate external HDD, or my girlfriend's Targus mouse, or my mum's Targus mouse, or my girlfriend's Verbatim pen drive, or my girlfriend's Western Digital external HDD on my loaded HP Pavilion dv7-1060ep (Vista SP1 x64 - only the least compatible version of Windows currently available). It feels like I am driving a Ferrari... and it works even better.

I don't get any feeling when I connect around half of these devices to a Mac box... because they don't even work.


@ SlimGem: I find it more amazing how one can praise the lifespan of products that are so closed, controlled, and limited that you can barely replace a battery, let alone change its components to extend its lifespan. As I said before, many people are also now using five-year-old PCs with similar specs with the next iteration of Windows (Windows 7), and they run everything just fine as well - with the difference they can use pretty much every piece of hardware and software (including around 99 % of videogames) there is, make it work like they want it to, and update their machines without fear of turning it into a brick (all this for less money). And excusing that Mac boxes were never meant to be gaming computers doesn't help much - Windows was never meant to be a gaming platform either (at least not primarily), the fact still stand that you can play pretty much every game on a Windows PC and you can barely find one that works on a Mac box.

Many people also have ten-year-old PCs with similar specs running old editions of Windows. Unlike happens with most Mac boxes in the same conditions, many of these people still have them on much, and they more usable. Hell, you can even run Vista on 5-year-old machines if you can pass on the eye-candy (I did it for quite some time), and it works.

Check out any Windows PC to see how long a Windows PC can be productive, you don't need to go to any special website to see that. Mac boxes do cost substantially more, not only initially as well as in the end, as pretty much anything you can get on a Mac box you can get on a Windows PC as well, whereas the other way around doesn't work as well (and please don't mention dual-boot or virtualization, these are unfeasable for anyone who wants to be minimally productive on a day-by-day basis).

And as for installing the OS on different hardware, you can build a Windows PC pretty much wherever, whenever, however you want. It can not only be done, it can be done easily and by less - that's why Windows leads Mac by at least 75 % market share for years.
by SlimGem May 23, 2009 9:46 AM PDT
@Fil0403,

I praise Apple's products because they fulfill my needs. Their so-called "controlled" computers have always been reliable for me. Are they perfect? No. Do I agree with everything Apple does? Of course not.

I have wished for a long time that they would make a mid-tower that was expandable and could be customized as easily as my PCs. The issue of video cards is probably the main sore point. If a comparable model is available for a Mac, the price is outrageous. The same with upgrading a Mac with more RAM and bigger hard drive through Apple. Insane prices for many models. That's why I shop NewEgg.

I never implied that a Windows machine wasn't capable of long life and excellent service. You are reading things into my statement that just aren't there. You seem to have an extreme bias against Apple. I have found that many of those who are as vehement as you have never even used a Mac. You just keep recirculating the same old rhetoric. It sometimes borders on paranoia.

Anyway, if you don't like Macs that's your prerogative. Personally, I use Windows at work and own and have built my own PCs. I currently am running WinXP, Ubuntu and Win7 RC on a gaming rig I built. But for most all day to day use, if I have a choice, I always use a Mac.
by gmeader3 May 22, 2009 2:03 PM PDT
Apple won't price it like this...

$300 tablet netbook with optional keyboard
http://www.alwaysinnovating.com/touchbook/

Ads for $200 netbooks were seen today at popular online retailers
High price is why Windows Tablets failed...
Low price is why netbooks are selling like hotcakes. Most users just want to browse the web (and use Web Apps) and do email.
Reply to this comment
by Fil0403 May 23, 2009 6:20 AM PDT
That's excluding the $200/$300 Apple tax.
by heathsnow May 22, 2009 4:28 PM PDT
So does the Mac Mini not count as an 'in between' computer? It costs more than the iPod Touch and less than the MacBook.
Reply to this comment
by Fil0403 May 23, 2009 6:24 AM PDT
It does if you don't need a screen, a keyboard, and a mouse to work on the road.
by Herbal Ed May 22, 2009 11:38 PM PDT
I'm amazed how people already know the not-yet-here Mac tablet will be a toy and a failure while knowing absolutely nothing about them ... much less actually seeing one work. No other computer company has hit as many grand slams as Apple and I'm betting they'll do it again. But I'll have to wait and see .... I'm not psychic like you Microsoft fanboys.
Reply to this comment
by Fil0403 May 23, 2009 6:34 AM PDT
I'm amazed how you didn't understand that what people complain about are things that is present in pretty much every Apple product, released, or yet-to-be-released... Lack of hardware compatibility, lack of software compatibility, lack os customizability, lack of personalizability, lack of upgradeability, and lack of reliability when updating the OS. Last time I checked, the only "grand slam" that Apple hit was with iPod/iTunes; they are still lagging some 75 % market share behind Microsoft in the OS market, around 50 % behind Nokia in the mobile phones market, around 50 % behind RIM in the smartphones market, etc. Unless you can convince me hype and/or media coverage are a more reliable way of measuring success than actual market share... Not everyone is a sheep like you.
Reply to this comment
by Fil0403 May 23, 2009 6:35 AM PDT
@ Herbal Ed
by Fil0403 May 23, 2009 6:36 AM PDT
Week in review: Apple's inability to respond to Windows 7
Reply to this comment
by SlimGem May 23, 2009 10:14 AM PDT
Reality check:

Windows 7 (service pack to Vista) is MicroSoft's response to Apple and Linux. They wouldn't be doing a damn thing if they didn't feel as if they had to. After destroying NetScape, they let Internet Explorer rot. That is, until Firefox started making fools out of them; then they reacted.

Are you another one of MicroSoft's paid shills or simply delusional? Either way, you come off as some kid with nothing better to do than annoy the adults.
by monkeyfun14 May 24, 2009 10:27 AM PDT
@SlimGem

Interesting...

Thats why as soon as rave reviews of Windows 7 came out Apple all of a sudden changed gears on Snow Leopard and are deciding to add a new gui and more features?
by SlimGem May 25, 2009 8:46 AM PDT
@ monkeyfun14,

I haven't heard anything about Apple changing their strategy.

But, if MicroSoft's Windows 7 can force Apple to make improvements I'm all for it.

Having these guys trying to one-up each other can only be good for the buying public. They won't normally advance or improve unless they have a good incentive; which usually means making or losing money.
by Herbal Ed May 23, 2009 7:35 AM PDT
Lack of hardware compatibility?? Does a PC run Mac OS and Windows too? Mac's do ... PC's don't. And lack of dependability?? Have you ever heard of Vista?

Mac OS is not upgradable? Can't be personalized? Not!

The iPhone is not a grand slam? It was introduced 23 months ago and it's sales are still growing much faster than Nokia and RIM who've been around a lot longer. Also, Nokia and RIM are just now creating an App store while over a billion iPhone apps have been downloaded in less that a year. Also, they would have never created an App store if not for Apple. And how long have Nokia and RIM been selling mobile phones? I'd say being only 50% behind and gaining fast is exceptionally good in just 23 months.

BTW, Apple just had it's best sales & profit in a non-Christmas quarter in it's 33-year history in spite of a world-wide economic melt down, while Microsoft is laying off thousands.
Reply to this comment
by Herbal Ed May 23, 2009 7:58 AM PDT
Oh yeah ... one more thing: I agree with you that hype and media attention are not reliable ways to measure success. But market share is not a reliable way to measure things like creativity, design and quality ... I'll take a BMW over a Chevy any day.
by monkeyfun14 May 24, 2009 10:34 AM PDT
@Herbal Ed

Lack of hardware combatibility for OSX is right...

Windows runs on all hardware including that Mac which means it runs on anything. Does OSX run on a normal PC? No meaning it has lack of hardware compatibility.

PC's lack of dependability? I have a 4 year old dell dimension that still runs like it was new I think that's dependable.

It won't run Vista well. But will a G4 with 256mb of ram run leopard well either? Probably not.

PC's have always been in the lead when it comes to hardware performance. As soon as a new piece of hardware comes out you can bet your ass the OEM's will be using it. It takes an average 3 - 6 months for Apple to adopt newer hardware and by time they finally do the PC OEM's are on something better.
by bdennis410 May 23, 2009 9:40 AM PDT
Close..but no cigar...yet.
AnyThing, AnyTime, AnyWhere. (AAA)
Apple, and all the others continue to evolve when Revolution is needed. AAA 1.0 is coming, will happen.
The winner of this contest gets to dictate the rules of the marketplace.
The winner will be the MSFT of the marketplace for at least ten years; it's not hard to imagine a combined equipment and service package (aka Verizon FIOS, mobile, Internet) that accomplishes the goal, with continuing evolution in speed and capability.
Full maketplace acceptance and use of AAA will require a much expanded Broadband capability, incorporating some or all of the frequencies owned by T.V. and Mobile, probably becoming mixed as to infrastruce choice depending on function, AI managed through "virtual," empiracal learning programming.
The AAA device will have to incorporate multiple frequencies, all operating real time, on demand.
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