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Microcomputer design and manufacturing company, the first successful personal-computer company. It was founded in 1976 by Steven P. Jobs and Stephen G. Wozniak, whose first computer was manufactured in the Jobs family's garage. The Apple II (1977), with its plastic case and colour graphics, launched the company to success, earning Apple over $100 million by 1980, the year the company first offered stock to the public. The 1981 introduction of IBM's PC, running a Microsoft Corp. operating system, marked the beginning of long-term competition for Apple in the personal-computer market. The Macintosh, introduced in 1984, was the first personal computer to use a graphical user interface and a mouse. The "Mac" initially sold poorly, and Jobs left the company in 1985, but eventually it found its niche in the desktop publishing market. Meanwhile, Microsoft's Windows operating system eroded Apple's market share. Apple recalled Jobs in 1997. He returned the company to profitability by introducing more innovative products, such as the iMac. Apple introduced iTunes, software for playing music that has been converted to the MP3 format, and the iPod portable MP3 music player in 2001; in 2003 the company began selling downloadable copies of major record company songs in MP3 format over the Internet. Apple aims for nothing short of a revolution, whether in personal computing or digital media distribution. The company's desktop and laptop computers -- all of which feature its OS X operating system -- include its Mac mini, iMac, and MacBook for the consumer and education markets, and more powerful Mac Pro and MacBook Pro for high-end consumers and professionals involved in design and publishing. Apple scored a runaway hit with its digital music players (iPod) and online music store (iTunes). Other products include mobile phones (iPhone), servers (Xserve), wireless networking equipment (AirPort), and publishing and multimedia software. Apple gets more than half of its sales in the US. (Apple Inc., Cupertino, CA, www.apple.com) A manufacturer of computers and consumer electronics, Apple is the industry's most fabled story. Founded in a garage by Steve Wozniak and Steve Jobs and guided by Mike Markkula, Apple blazed the trails for the personal computer industry. Apple was formed on April Fool's Day in 1976. After introducing the Apple I at the Palo Alto Homebrew Computer Club, 10 retail stores were selling them by the end of the year. Key numbers for fiscal year ending September, 2009: Sales: $36,537.0M One year growth: 12.5% Net income: $5,704.0M
Income growth: 18.0% Officers: Chairman: William V. (Bill) Campbell CEO and Director: Steven P. (Steve) Jobs COO: Timothy D. (Tim) Cook Competitors: Dell Hewlett-Packard Microsoft
AAPL - Apple Inc (NASDAQ GS)
Last: 230.90 Change: +4.25 %Change: +1.88% Open: High: Low: Previous Close: Market Cap: Shares Outstanding: EPS: P/E Ratio: Dividend: Yield: 10.25 22.53 0.00 0.00 52wk High (3/25/2010): 52wk Low (3/30/2009): Dividend Date: Average Volume:
12:00 AM ET, 03/26/2010
Volume: 22,888,300 228.95 231.95 228.55 226.65 209.38B 906.8M 230.97 102.61 N/A 18.9M
Corporate Culture Apple was one of several highly successful companies founded in the 1970s that bucked the traditional notions of what a corporate culture should look like in organizational hierarchy (flat versus tall, casual versus formal attire, etc.). Other highly successful firms with similar cultural aspects from the same period include Southwest Airlines and Microsoft. Originally, the company stood in opposition to staid competitors like IBM by default, thanks to the influence of its founders; Steve Jobs often walked around the office barefoot even after Apple was a Fortune 500 company. By the time of the "1984" TV ad, this trait had become a key way the company attempts to differentiate itself from its competitors. As the company has grown and been led by a series of chief executives, each with his own idea of what Apple should be, some of its original character has arguably been lost, but Apple still has a reputation for fostering individuality and excellence that reliably draws talented people into its employ, especially after Jobs' return. To recognize the best of its employees, Apple created the Apple Fellows program. Apple Fellows are those who have made extraordinary technical or leadership contributions to personal computing while at the company. The Apple Fellowship has so far been awarded to a few individuals including Bill Atkinson, Steve Capps, Rod Holt, Alan Kay, Guy Kawasaki, Al Alcorn, Don Norman, Rich Page, and Steve Wozniak. Users According to surveys by J. D. Power, Apple has the highest brand and repurchase loyalty of any computer manufacturer. While this brand loyalty is considered unusual for any product, Apple
appears not to have gone out of its way to create it. At one time, Apple evangelists were actively engaged by the company, but this was after the phenomenon was already firmly established. Apple evangelist Guy Kawasaki has called the brand fanaticism "something that was stumbled upon". Apple has, however, supported the continuing existence of a network of Mac User Groups in most major and many minor centers of population where Mac computers are available. Mac users meet at the European Apple Expo and the San Francisco Macworld Conference & Expo trade shows where Apple traditionally introduced new products each year to the industry and public. Mac developers in turn gather at the annual Apple Worldwide Developers Conference. Apple Store openings can draw crowds of thousands, with some waiting in line as much as a day before the opening or flying in from other countries for the event. The New York City Fifth Avenue "Cube" store had a line as long as half a mile; a few Mac fans took the opportunity of the setting to propose marriage. The Ginza opening in Tokyo was estimated in the thousands with a line exceeding eight city blocks. John Sculley told The Guardian newspaper in 1997: "People talk about technology, but Apple was a marketing company. It was the marketing company of the decade." Market research indicates that Apple draws its customer base from an unusually artistic, creative, and well-educated population, which may explain the platform's visibility within certain youthful, avant-garde subcultures. Corporate affairs Apple has a history of vertical integration in their products, manufacturing the hardware on which they pre-install their software. During the Mac's early history Apple generally refused to adopt prevailing industry standards for hardware, instead creating their own. This trend was largely reversed in the late 1990s beginning with Apple's adoption of the PCI bus in the 7500/8500/9500 Power Macs. Apple has since adopted USB, AGP, HyperTransport, Wi-Fi, and other industry standards in its computers and was in some cases a leader in the adoption of standards such as USB. FireWire is an Apple-originated standard that has seen widespread industry adoption after it was standardized as IEEE 1394.
Ever since the first Apple Store opened, Apple has sold third party accessories. This allows, for instance, Nikon and Canon to sell their Mac-compatible digital cameras and camcorders inside the store. Adobe, one of Apple's oldest software partners, also sells its Maccompatible software, as does Microsoft, who sells Microsoft Office for the Mac. Books from John Wiley & Sons, who publishes the For Dummies series of instructional books, are a notable exception, however. The publisher's line of books were banned from Apple Stores in 2005 because Steve Jobs disagreed with their editorial policy. Headquarters Apple Inc., 1 Infinite Loop, Cupertino, CA.Apple Inc.'s world corporate headquarters are located in the middle of Silicon Valley, at 1 Infinite Loop, Cupertino, California. This Apple campus has six buildings that total 850,000 square feet (79,000 m2) and was built in 1993 by Sobrato Development Cos. In 2006, Apple announced its intention to build a second campus on 50 acres (200,000 m2) assembled from various contiguous plots. The new campus, also in Cupertino, will be about 1 mile (1.6 km) east of the current campus. CEOs 1977–1981: Michael "Scotty" Scott 1981–1983: A. C. "Mike" Markkula 1983–1993: John Sculley 1993–1996: Michael Spindler 1996–1997: Gil Amelio 1997–present: Steve Jobs (Interim CEO 1997–2000) 2004 & 2009: Tim Cook Directors See also: Category:Directors of Apple Inc. Bill Campbell, Chairman of Intuit Inc. Millard Drexler, Chairman and CEO of J.Crew Al Gore, Former Vice President of the United States Steve Jobs, CEO and Co-founder of Apple; also a director of The Walt Disney Company Andrea Jung, Chairman and CEO of Avon Products Arthur D. Levinson, Chairman and CEO of Genentech Jerry York, Chairman, President, and CEO of Harwinton Capital
Executives Steve Jobs, Chief Executive Officer Timothy D. Cook, Chief Operating Officer Peter Oppenheimer, Chief Financial Officer Philip W. Schiller, Senior Vice President of Worldwide Product Marketing (replacement for Steve Jobs during hospitalization) Mark Papermaster, Senior Vice President of Devices Hardware Engineering Jonathan Ive, Senior Vice President of Industrial Design Bertrand Serlet, Senior Vice President of Software Engineering Ron Johnson, Senior Vice President of Retail Sina Tamaddon, Senior Vice President of Applications Scott Forstall, Senior Vice President of iPhone Software Bob Mansfield, Senior Vice President Mac Hardware Daniel Cooperman, General Counsel and Secretary
1976–1980: The early years The Apple I, Apple's first product. Sold as an assembled circuit board, it lacked basic features such as a keyboard, monitor, and case. The owner of this unit added a keyboard and a wooden case. Apple was established on April 1, 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne, to sell the Apple I personal computer kit. They were hand-built by Wozniak and first shown to the public at the Homebrew Computer Club. The Apple I was sold as a motherboard (with CPU, RAM, and basic textual-video chips)—less than what is today considered a complete personal computer. The Apple I went on sale in July 1976 and was market-priced at $666.66 ($2.55 thousand in 2010 dollars, adjusted for inflation.) Apple was incorporated January 3, 1977 without Wayne, who sold his share of the company back to Jobs and Wozniak for $800. Multi-millionaire Mike Markkula provided essential business expertise and funding of $250,000 during the incorporation of Apple.
The Apple II was introduced on April 16, 1977 at the first West Coast Computer Faire. It differed from its major rivals, the TRS-80 and Commodore PET, because it came with color graphics and an open architecture. While early models used ordinary cassette tapes as storage devices, they were superseded by the introduction of a 5 1/4 inch floppy disk drive and interface, the Disk II The Apple II was chosen to be the desktop platform for the first "killer app" of the business world —the VisiCalc spreadsheet program. VisiCalc created a business market for the Apple II, and gave home users an additional reason to buy an Apple II—compatibility with the office.  According to Brian Bagnall, Apple exaggerated its sales figures and was a distant third place to Commodore and Tandy until VisiCalc came along. By the end of the 1970s, Apple had a staff of computer designers and a production line. The company introduced the ill-fated Apple III in May 1980 in an attempt to compete with IBM and Microsoft in the business and corporate computing market. Jobs and several Apple employees including Jef Raskin visited Xerox PARC in December 1979 to see the Xerox Alto. Xerox granted Apple engineers three days of access to the PARC facilities in return for the option to buy 100,000 shares of Apple at the pre-IPO price of $10 a share. Jobs was immediately convinced that all future computers would use a graphical user interface (GUI), and development of a GUI began for the Apple Lisa. In December 1980, Apple launched the initial public offering of its stock to the investing public.
When Apple went public, it generated more capital than any IPO since Ford Motor
Company in 1956 and instantly created more millionaires (about 300) than any company in history. Several venture capitalists cashed out, reaping billions in long-term capital gains. 1981–1985: Lisa and Macintosh The heroine from Apple's "1984" ad, set in a dystopian future modeled after the George Orwell novel Nineteen Eighty-Four, set the tone for the introduction of the Macintosh. Steve Jobs began working on the Apple Lisa in 1978 but in 1982 he was pushed from the Lisa team due to infighting, and took over Jef Raskin's low-cost-computer project, the Macintosh. A turf war broke out between Lisa's "corporate shirts" and Jobs' "pirates" over which product would ship first and save Apple. Lisa won the race in 1983 and became the first personal computer sold to the public with a GUI, but was a commercial failure titles.
The first Macintosh, released in 1984.The Macintosh initially sold well, but follow-up sales were not strong. This was because of the again high price tag, as well as limited software titles. The machine's fortunes changed with the introduction of the LaserWriter, the first PostScript laser printer to be offered at a reasonable price point, and PageMaker, an early desktop publishing package. The Mac was particularly powerful in this market due to its advanced graphics capabilities, which were already necessarily built-in to create the intuitive Macintosh GUI. It has been suggested that the combination of these three products was responsible for the creation of the desktop publishing market. In 1985, a power struggle developed between Jobs and CEO John Sculley, who had been hired two years prior. Apple's board of directors sided with Sculley and Jobs was removed from his managerial duties. Jobs resigned from Apple and founded NeXT Inc. the same year. Apple's sustained growth during the early 1980s was in great part due to its leadership in the education sector, attributed to an implementation of the LOGO Programming Language by Logo Computer Systems Inc., (LCSI), for the Apple II platform. The success of Apple and LOGO in the education environment provided Apple with a broad base of loyal users around the world. The drive into education was accentuated in California by a momentous agreement concluded between Steve Jobs and Jim Baroux of LCSI, agreeing with the donation of one Apple II and one Apple LOGO software package to each public school in the state. The arrangement, eventually replicated in Texas, established a strong and pervasive presence for Apple in all schools throughout California, that ignited the acquisition of Apple IIs in schools across the country. The conquest of education became critical to Apple's acceptance in the home, as parents supported continued learning experience for children after school. 1986–1993: Rise and fall See also: Timeline of Apple II family and Timeline of Macintosh models The Macintosh Portable was Apple's first "portable" Macintosh computer, released in 1989. Having learned several painful lessons after introducing the bulky Macintosh Portable in 1989, Apple introduced the PowerBook in 1991, which established the modern form and ergonomic layout of the laptop computer. The Macintosh Portable was designed to be just as powerful as a desktop Macintosh and turned out 17 pounds with a 12 hour battery life. Apple sold fewer than 100,000 units. The Powerbook was 7
pounds and had a 3 hour battery life, and sold a billion dollars worth within the first year. The same year, Apple introduced System 7, a major upgrade to the operating system, which added color to the interface and introduced new networking capabilities. It remained the architectural basis for Mac OS until 2001. The success of the PowerBook and other products led to increasing revenue. For some time, it appeared that Apple could do no wrong, introducing fresh new products and generating increasing profits in the process. The magazine MacAddict has named the period between 1989 and 1991 as the "first golden age" of the Macintosh. Following the success of the Macintosh LC, Apple introduced the Centris line, a low end Quadra offering, and the ill-fated Performa line that was sold in several confusing configurations and software bundles to avoid competing with the various consumer outlets such as Sears, Price Club, and Wal-Mart, the primary dealers for these models. The result was disastrous for Apple as consumers did not understand the difference between models. During this time Apple experimented with a number of other failed consumer targeted products including digital cameras, portable CD audio players, speakers, video consoles, and TV appliances. Enormous resources were also invested in the problem-plagued Newton division based on John Sculley's unrealistic market forecasts. Ultimately, all of this proved too-little-toolate for Apple as their market share and stock prices continued to slide. Apple saw the Apple II series as too expensive to produce, while taking away sales from the low end Macintosh. In 1990 Apple released the Macintosh LC with a single expansion slot for the Apple IIe Card to migrate Apple II users to the Macintosh platform. Apple stopped selling the Apple IIe in 1993. Microsoft continued to gain market share with Windows, focusing on delivering software to cheap commodity personal computers while Apple was delivering a richly engineered, but expensive, experience. Apple relied on high profit margins and never developed a clear response. Instead they sued Microsoft for using a graphical user interface similar to the Apple Lisa in Apple Computer, Inc. v. Microsoft Corporation. The lawsuit dragged on for years before it was thrown out of court. At the same time, a series of major product flops and missed deadlines sullied Apple's reputation, and Sculley was replaced by Michael Spindler. 1994–1997: Attempts at reinvention
The Newton was Apple's first foray into the PDA markets, as well as one of the first in the industry. A financial flop, it helped pave the way for the Palm Pilot and Apple's own iPhone and iPad in the future. By the early 1990s, Apple was developing alternative platforms to the Macintosh, such as the A/UX. The Macintosh platform was becoming outdated since it was not built for multitasking, and several important software routines were programmed directly into the hardware. In addition, Apple was facing competition from OS/2 and UNIX vendors like Sun Microsystems. The Macintosh would need to be replaced by a new platform, or reworked to run on more powerful hardware. In 1994, Apple allied with IBM and Motorola in the AIM alliance. The goal was to create a new computing platform (the PowerPC Reference Platform), which would use IBM and Motorola hardware coupled with Apple's software. The AIM alliance hoped that PReP's performance and Apple's software would leave the PC far behind, thus countering Microsoft. The same year, Apple introduced the Power Macintosh, the first of many Apple computers to use IBM's PowerPC processor. In 1996, Michael Spindler was replaced by Gil Amelio as CEO. Gil Amelio made many changes at Apple, including massive layoffs. After multiple failed attempts to improve Mac OS, first with the Taligent project, then later with Copland and Gershwin, Amelio chose to purchase NeXT and its NeXTSTEP operating system, bringing Steve Jobs back to Apple as an advisor.  On July 9, 1997, Gil Amelio was ousted by the board of directors after overseeing a three-year record-low stock price and crippling financial losses. Jobs became the interim CEO and began restructuring the company's product line. At the 1997 Macworld Expo, Steve Jobs announced that Apple would join Microsoft to release new versions of Microsoft Office for the Macintosh, and that Microsoft made a $150 million investment in non-voting Apple stock. On November 10, 1997, Apple introduced the Apple Store, tied to a new build-to-order manufacturing strategy. 1998–2005: Return to profitability Company headquarters on Infinite Loop in Cupertino, California. On August 15, 1998, Apple introduced a new all-in-one computer reminiscent of the Macintosh 128K: the iMac. The iMac design
team was led by Jonathan Ive, who would later design the iPod and the iPhone. The iMac featured modern technology and a unique design. It sold close to 800,000 units in its first five months and returned Apple to profitability for the first time since 1993. Through this period, Apple purchased several companies to create a portfolio of professional and consumer-oriented digital production software. In 1998, Apple announced the purchase of Macromedia's Final Cut software, signaling its expansion into the digital video editing market. The following year, Apple released two video editing products: iMovie for consumers, and Final Cut Pro for professionals, the latter of which has gone on to be a significant video-editing program, with 800,000 registered users in early 2007. In 2002 Apple purchased Nothing Real for their advanced digital compositing application Shake, as well as Emagic for their music productivity application Logic, which led to the development of their consumer-level GarageBand application. iPhoto's release the same year completed the iLife suite.
The entrance of the Apple Store on Fifth Avenue in New York City is a glass cube, housing a cylindrical elevator and a spiral staircase that leads into the subterranean store. Mac OS X, based on NeXT's OPENSTEP and BSD Unix was released on March 24, 2001, after several years of development. Aimed at consumers and professionals alike, Mac OS X aimed to combine the stability, reliability and security of Unix with the ease of use afforded by an overhauled user interface. To aid users in migrating from Mac OS 9, the new operating system allowed the use of OS 9 applications through Mac OS X's Classic environment. On May 19, 2001, Apple opened the first official Apple Retail Stores in Virginia and California. The same year, Apple introduced the iPod portable digital audio player. The product was phenomenally successful — over 100 million units were sold within six years. In 2003, Apple's iTunes Store was introduced, offering online music downloads for $0.99 a song and integration with the iPod. The service quickly became the market leader in online music services, with over 5 billion downloads by June 19, 2008.
Since 2001 Apple's design team has progressively abandoned the use of translucent colored plastics first used in the iMac G3. This began with the titanium PowerBook and was followed by the white polycarbonate iBook and the flat-panel iMac. 2005–2008: The Intel partnership Main article: Apple Intel transition. The MacBook Pro (15.4" widescreen) was Apple's first laptop with an Intel microprocessor. It was announced in January 2006 and is aimed at the professional market. At the Worldwide Developers Conference keynote address on June 6, 2005, Steve Jobs announced that Apple would begin producing Intel-based Mac computers in 2006. On January 10, 2006, the new MacBook Pro and iMac became the first Apple computers to use Intel's Core Duo CPU. By August 7, 2006 Apple had transitioned the entire Mac product line to Intel chips, over 1 year sooner than announced. The Power Mac, iBook, and PowerBook brands were retired during the transition; the Mac Pro, MacBook, and MacBook Pro became their respective successors. On April 29, 2009, The Wall Street Journal reported that Apple was building its own team of engineers to design microchips. Apple also introduced Boot Camp to help users install Windows XP or Windows Vista on their Intel Macs alongside Mac OS X. Apple's success during this period was evident in its stock price. Between early 2003 and 2006, the price of Apple's stock increased more than tenfold, from around $6 per share (split-adjusted) to over $80. In January 2006, Apple's market cap surpassed that of Dell. Nine years prior, Dell's CEO Michael Dell said that if he ran Apple he would "shut it down and give the money back to the shareholders." Although Apple's market share in computers has grown, it remains far behind competitor Microsoft, with only about 8 percent of desktops and laptops in the U.S. Delivering his keynote at the Macworld Expo on January 9, 2007, Jobs announced that Apple Computer, Inc. would from that point on be known as Apple Inc. The event also saw the announcement of the iPhone and the Apple TV. The following day, Apple shares hit $97.80, an all-time high at that point. In May, Apple's share price passed the $100 mark. On February 6, 2007, Apple indicated that it would sell music on the iTunes Store without DRM (which would allow tracks to be played on
third-party players) if record labels would agree to drop the technology. On April 2, 2007, Apple and EMI jointly announced the removal of DRM technology from EMI's catalog in the iTunes Store, effective in May. On July 11, 2008, Apple launched the App Store to sell third-party applications for the iPhone and iPod Touch. Within a month, the store sold 60 million applications and brought in $1 million daily on average, with Jobs speculating that the App Store could become a billion-dollar business for Apple. Three months later, it was announced that Apple had become the third-largest mobile handset supplier in the world due to the popularity of the iPhone. On December 16, 2008, Apple announced 2009 would be the last year Apple would be attending the Macworld Expo, and that Phil Schiller would deliver the 2009 keynote in lieu of the expected Jobs. On January 14, 2009, an internal Apple memo from Jobs announced that he would be taking a six-month leave of absence, until the end of June 2009, to allow him to better focus on his health and to allow the company to better focus on its products. Despite Jobs' absence, Apple recorded its best non-holiday quarter (Q1 FY 2009) during the recession with a revenue of $8.16 billion and a profit of $1.21 billion 2009–2010: The Ultimate Revelation Boy oh boy, it's been a while, hasn't it? Nearly a year! Thanks/Sorry to all those who wrote in to ask if I was dead, and even more thanks to those of you who didn't! I'm not dead, I haven't forgotten about or given up on the site, and I do intend to bring it up to date and improve it over time.Now that we've gotten that out of the way: the site has been updated with all the 2009 models, and has had some major under-the-hood renovations to increase stability, scalability, and to aid in future feature enhancements. As proof that all that pretty much invisible under-the-hood work was worth something, I've added a new feature, which allows you to compare up to four models side by side. Every model page now has a pulldown menu listing all other models, and a "compare" button. Once you get past the initial annoyance at the list being so darn long, it's easy as pie! You can add a model to the comparison with the same pull-down menu, and you can remove a model by clicking "REMOVE." I intend, at some point, to come up with something better than a 340-item pull down menu, but I had to get the update out before 2010. In addition to yet another round of corrections, I've also updated a bunch of the images for older models, thanks to the very generous folks at Old Computers (a really great
collection of 70's and 80's computers) and Todo Apple Blog. I figure We've got a few weeks before the site goes out of date again. Within hours of launching the comparison feature I managed to break it in attempt to fix bookmarking (which had been broken for comparison pages). Both work now. Happy (one month after) New Year! Added the Late 2009 models and the iPad. Made more smallish, not all that apparent under-the-hood changes.
Products i Pad
All of the built-in apps on iPad were designed from the ground up to take advantage of the large Multi-Touch screen and advanced capabilities of iPad. And they work in any orientation. So you can do things with these apps that you can’t do on any other device. Safari iPad is the best way to experience the web. View whole pages in portrait or landscape on the large Multi-Touch screen. And let your fingers do the surfing. Mail There’s nothing like the Mail app on iPad. With a split-screen view and expansive onscreen keyboard, it lets you see and touch your email in ways you never could before. Photos
A vivid LED-backlit IPS display makes viewing photos on iPad extraordinary. Open albums with a tap. Flip through your pictures one by one. Or play a slideshow and share your photos. Videos The 9.7-inch high-resolution screen makes iPad perfect for watching HD movies, TV shows, podcasts, music videos, and more. YouTube With the YouTube app designed specifically for iPad, videos are even easier to find. And on the amazing iPad display, they’re more fun to watch. Especially in HD.
iPod Reach out and touch your songs. View your album art full-size. iPad makes music look as good as it sounds. iTunes Millions of songs, thousands of movies and TV shows, and so much more. Browsing and buying are just a tap away. App Store You’ll find more than 150,000 apps on the App Store, and iPad can run almost all of them. Including everything from games to productivity apps.
iBooks Reading is a joy on iPad. Text looks crisp and bright. Pages turn with a flick. And you can buy new books from the iBookstore. Just download the free iBooks app to get started.
Maps See more of the world with iPad. Find locations easier than ever with street view, satellite view, or new terrain view — all using Google services.
Notes With its large display and onscreen keyboard, iPad makes it easy to jot down quick notes and keep important information on hand. You can even email yourself reminders.
Calendar Work, home, and everything in between. Your schedules are easy to read and easy to manage on iPad — even all at once.
Contacts With Contacts on iPad, you can see much more than just names and numbers. And you can do more with them, too.
Home Screen With just one press of the Home button, you have access to every app on your iPad.
Spotlight Search No matter what you’re looking for, Spotlight Search can help you find it.
Accessibility Universal access is built into iPad. So right out of the box, Apple makes it easy for people with disabilities to enjoy all that iPad has to offer.
iWork The iWork productivity applications that you know and love on the Mac — Keynote, Pages, and Numbers — have been completely redesigned for iPad.2 So you can create great-looking presentations, documents, and spreadsheets. All using just your fingers. And while they’re easy to use, they’re also the most powerful productivity apps ever built for a mobile device.
Keynote Create a presentation with custom graphic styles, elegantly designed themes, stunning animations and effects, and powerful new features designed just for iPad.
Pages Pages has everything you need to put your words into beautiful documents. Including Appledesigned templates and easy-to-use formatting tools.
Numbers Numbers includes over 250 easy-to-use functions, an intelligent keyboard, flexible tables, and eye-catching charts. So you can create compelling spreadsheets in just a few taps.
The Fastest iPhone Ever The first thing you’ll notice about iPhone 3GS is how quickly you can launch applications. Web pages render in a fraction of the time, and you can view email attachments faster. Improved performance and updated 3D graphics deliver an incredible gaming experience, too. In fact, everything you do on iPhone 3GS is up to 2x faster and more responsive than iPhone 3G. Video
Now you can shoot video, edit it, and share it — all on your iPhone 3GS. Shoot high-quality VGA video in portrait or landscape. Trim your footage by adjusting start and end points.
Then share your video in an email, post it to your MobileMe gallery, publish it on YouTube, or sync it back to your Mac or PC using iTunes.
3-Megapixel Camera The new 3-megapixel camera takes great still photos, too, thanks to built-in autofocus and a handy new feature that lets you tap the display to focus on anything (or anyone) you want.
Voice Control Voice Control recognizes the names in your Contacts and knows the music on your iPod. So if you want to place a call or play a song, all you have to do is ask. Compass With a built-in digital compass, iPhone 3GS can point the way. Use the new Compass app, or watch as it automatically reorients maps to match the direction you’re facing.1 Cut, Copy & Paste Cut, copy, and paste words and photos, even between applications. Copy and paste images and content from the web, too. Learn more about Cut, Copy & Paste Landscape Keyboard Want more room to type on the intelligent software keyboard? Rotate iPhone to landscape to use a larger keyboard in Mail, Messages, Notes, and Safari. Messages
Send messages with text, video, photos, audio, locations, and contact information. You can even forward one or more messages to others.
Search Find what you’re looking for across your iPhone, all from one convenient place. Spotlight searches all your contacts, email, calendars, and notes, as well as everything in your Accessibility iPhone 3GS offers accessibility features to assist users who are visually or hearing impaired. These features include the VoiceOver screen reader, a Zoom feature, White on Black display options, Mono Audio, and more.
Internet Tethering Surf the web from practically anywhere. Now you can share the 3G connection on your iPhone with your Mac notebook or PC laptop. Tethering is not currently offered in the U.S. and some other countries. See your carrier for availability.
Voice Memos Capture and share a thought, a memo, a meeting, or any audio recording on the go with the new Voice Memos application. Nike + iPod iPhone includes built-in Nike + iPod support. Just slip the Nike + iPod Sensor (available separately) into your Nike+ shoe and start your workout.
Stocks Stocks on iPhone shows you charts, financial details, and headline news for any stock you choose. Rotate iPhone to see even more detailed information. YouTube Watch YouTube videos wherever you are. Log in to your YouTube account to save and sync bookmarks and rate your favorites. Find My iPhone and Remote Wipe If you misplace your iPhone, Apple’s MobileMe service can help you find it. Log on to me.com to view a map that shows the approximate location of your iPhone. If it’s nearby, have it play an alert sound to help you find it. If it’s not, you can display a custom message, remotely lock it with a passcode, or initiate a remote wipe and restore it to factory settings.
With 160GB, you can carry your entire media library with you everywhere. Meet a musical Genius.
Say you’re listening to a song you really like and want to hear other tracks that go great with it. With a few clicks, the Genius feature finds other songs on your iPod classic that sound great with the one you're listening to, then makes a Genius playlist for you. Or get even more sets of customized songs when you use the new Genius Mixes feature in iTunes. Just sync your iPod classic to iTunes, and Genius automatically searches your library to create perfect mixes you'll love.
Hold everything. iPod classic gives you 160GB of storage capacity, good for up to 40,000 songs, 200 hours of video, 25,000 photos, or any combination. And you get up to 36 hours of battery life, so you can keep on rocking for a long, long time. Finding exactly what you want to watch or listen to is easy. Use the Click Wheel to browse by album art with Cover Flow or navigate your songs and videos by playlist, artist, album, genre, and more. You can also search for specific titles and artists. Want to mix things up? Click Shuffle Songs for a different experience every time.
Leave no tune behind. With 160GB of space, iPod classic means you can always have your entire music and movie library with you.2 Carry it from the living room to a party in the backyard. Or take it on a crosscountry road trip and never listen to the same song twice.
Watch movies and TV shows. The vivid 2.5-inch display makes video come alive. Purchase or rent movies, buy TV shows, and download video podcasts from the iTunes Store, then sync them to your iPod classic to watch anywhere, anytime. Play iPod games. Put hours of fun at your fingertips. iPod classic comes with three games — Vortex, iQuiz, and Klondike — and you can purchase games such as Cake Mania from the iTunes Store. All iPod games are designed specifically for the iPod interface. Share your photos.
iPod classic uses iTunes to sync the photos you have in iPhoto on a Mac. You can view photo slideshows complete with music and transitions on iPod classic, or play them on a TV using an optional Apple component or composite AV cable.
LED backlighting. One bright idea. Full brightness with no waiting. That’s the big advantage of the LED-backlit iMac display. Unlike most displays that take time to warm up before they reach maximum brightness, an LED-backlit display is instantly on and uniformly bright. LED backlighting also gives you greater control over screen brightness. So you can finely tune the iMac display to suit the ambient light in even the dimmest room.
More pixels. Better picture. The new iMac offers some prime pixel real estate. The 21.5-inch, 1920-by-1080 display has 17 percent more pixels than the previous 20-inch iMac. The 27-inch, 2560-by-1440 display has a whopping 78 percent more pixels than the 21.5-inch iMac. And a 1000:1 contrast ratio gives you more vibrant colors and blacker blacks. All that in a widescreen display with a 16:9 aspect ratio — the same as an HD TV. Stunning from every angle. The new iMac display looks great from any seat in the house, thanks to a premium display technology called in-plane switching (IPS). IPS gives you a bright picture with excellent color consistency — even if you’re viewing the display from the side. Now available with quad-core power. The 21.5-inch and 27-inch iMac models offer fast Intel Core 2 Duo processors up to 3.33GHz. Quad-core power comes to the 27-inch iMac with a 2.66GHz Intel Core i5 processor or 2.8GHz Intel Core i7 processor. Four cores deliver up to 2x faster performance for just about everything you do: managing your photos, editing HD video, even playing graphics-intensive 3D games.¹ And since Mac OS X Snow Leopard is designed to take full advantage of Intel dual- and quadcore architectures, you get the fastest performance possible.
Revved-up graphics. Every iMac comes with high-performance graphics that make games run smoother, photos load faster, and pro applications work better. If you want even speedier graphics, choose an iMac with a more advanced ATI graphics processor. Learn more about iMac performance
More memory and storage.
The new iMac has 4GB of 1066MHz DDR3 memory standard, with room in its four SO-DIMM slots for up to 16GB, so you can run more applications simultaneously. And with a Serial ATA hard drive up to 2TB,² feel free to load up on photos, videos, and music.
Built-in Wi-Fi. High-speed 802.11n wireless technology is built into iMac. And with Time Capsule or the AirPort Express Base Station, every computer in every room can wirelessly connect to iMac, the Internet, and each other.³ Over this network, everyone can print, surf the web, and play music on iTunes through your home stereo — wirelessly. Wireless keyboard. iMac banishes desktop clutter completely with a wireless keyboard to go with the wireless Magic Mouse. This low-profile keyboard takes up less desk space — 24 percent less — than larger keyboards. There’s no numeric keypad, so you can place your mouse comfortably next to the keyboard. And built-in Bluetooth wireless technology means there are no cables to connect Wireless Magic Mouse. Forget the mouse as you know it. Every iMac comes with the wireless Magic Mouse: the world’s first Multi-Touch mouse. Use it once and you’ll wonder how you ever used anything else. There’s no scroll ball, no clunky wheel, no cord, and no visible button. Instead, Magic Mouse uses Multi-Touch technology to let you control everything with simple gestures. Give them a try and you’ll find that Magic Mouse changes the way you interact with your computer. Built-in software lets you configure Magic Mouse any way you want. Its smooth,
seamless design is ambidextrous, and it supports two-button clicking — without buttons. Like magic.
iSight camera. Look closely: Hidden behind the glass display at the top of iMac is an iSight camera. Use it with iChat, and you can be anywhere without actually being there. Video chat with up to three of your friends, share a video with a colleague, or present to a client.4 Use iSight with Photo Booth for fun photo effects. And there’s no need to waste valuable primping time installing software or configuring the camera. Like everything Mac, iSight just works. Mini DisplayPort. The Mini DisplayPort lets you connect an external display, including the Apple LED Cinema Display, to your iMac. On the 27-inch iMac, the same port offers input, too. So you can connect any external source that has DisplayPort output — including a MacBook or MacBook Pro — and use your iMac as a display.
Wall mountable. It’s easy to give your iMac a place of honor on the wall. The 27-inch iMac is compatible with the VESA Mount Adapter Kit for use with wall mounts and articulating arms. SD card slot.
Transfer your photos and videos to and from your iMac just as fast as you’re able to take them. The new iMac has an SD card slot built in. Just insert your camera’s memory card and import your photos to iPhoto. From there, it’s easy to organize your photos by the people in them, share them online, or create photo books.
USB and FireWire. Bring on your iPod, digital camera, mobile phone, and external hard drive. If it has a cable, iMac has a port for it. Four USB 2.0 ports and a FireWire 800 port give you plenty of peripheral possibilities.
Aluminum unibody enclosure, advanced longer-lasting battery, enhanced LED-backlit display. MacBook Pro has been precision engineered down to the smallest detail.
Precision aluminum. The new gold standard. Carved from a single block of aluminum, the MacBook Pro is a true engineering achievement. Its unibody enclosure From is the the product of precise to the machining. thumbscoop
now-you-see-it-now-you-don’t sleep indicator light, no detail is unaccounted for. The end result is a
notebook that’s not only breakthrough, but thin, light, polished, and refined. The unibody also makes MacBook Pro more durable than ever. So you can throw it in your briefcase or messenger bag and pull it out at an airport, at school, at the office, or on location without a second thought The longest-lasting Mac notebook battery ever. Built right into each of the new MacBook Pro notebooks is a breakthrough battery that lasts dramatically longer and does so without increasing the size or weight of MacBook Pro. On a single charge, the battery in the new MacBook Pro lasts up to 7 hours (8 hours on the 17-inch MacBook Pro)1 and can be recharged up to 1000 times.2 That’s compared with only 200 to 300 times for typical notebooks. Advanced chemistry and Adaptive Charging allows the battery to maintain charging capabilities longer and determines the optimal way to charge the battery’s cells. Because the battery lasts up to five years, MacBook Pro uses just one battery in the same time a typical notebook uses three. That makes for less waste. And that, in turn, makes for one environmentally friendly battery. Learn more about the battery
Breakthrough Battery A built-in battery powers MacBook Pro for up to 7 to 8 hours on a single charge. Watch the video
Graphics in full force. The MacBook Pro reaches a new level of high-speed, high-end game-playing power. Not to mention pure performance for graphics-intensive applications like Aperture and Motion. The power-saving NVIDIA GeForce 9400M integrated graphics processor inside every MacBook Pro is great for everyday performance, while delivering long battery life. The 17-inch MacBook Pro and select 15-inch models include the NVIDIA GeForce 9600M GT discrete graphics processor, providing you with turbocharged performance for the most graphically intensive tasks.
A display of brilliance. The moment you open your new MacBook Pro you’re greeted by glorious, full screen brightness. But that’s only one gleaming quality of the glossy LED-backlit widescreen display. It offers a 60 percent greater color gamut than previous generations for richer, more vibrant colors. And anything you view — including the ultrathin display itself — is a spectacular experience. The seamless glass enclosure makes this display strong and durable. And the display is power efficient and mercury- and arsenic-free, so it’s greener than ever. Even the keyboard is advanced. The rigid aluminum keyboard webbing has been cut precisely to hold the keys. And the keys are curved to perfectly fit fingers. The result? Pure typing bliss. The keyboard is also illuminated, so when you’re in low-light settings, such as airplanes or conference rooms, you can always see what you’re typing.
Backlit Keyboard An ambient light sensor activates the illuminated keyboard in low-light conditions. See it in action It all just clicks. The first thing you might notice — or not notice — is the button. The entire trackpad is the button, so you can click anywhere. Without a separate button, the spacious trackpad gives your hands plenty of room to move on the large, silky glass surface. Use two fingers to scroll up and down a page. Pinch to zoom in and out. Rotate an image with your fingertips. Swipe with three fingers to flip through your photo libraries. Swipe with four fingers to show your desktop, view all open windows, or switch applications. If you’re coming from a right-click world, you can right-click with
two fingers or configure a right-click area on the trackpad. The more you use the Multi-Touch trackpad, the more you’ll wonder what you ever did without it Everything fits.
Each MacBook Pro comes standard with a large hard drive with up to 500GB of storage capacity,3 so there’s plenty of room for your photo libraries, video projects, and files. Or you can choose a 128GB or 256GB solid-state drive, which has no moving parts for enhanced durability. MacBook Pro also features ample high-speed 1066MHz DDR3 memory, with support for up to 8GB of RAM, so you can run more applications at once and quickly access your data and media. Configure your MacBook Pro now at the Apple Online Store Think fast.
Inside the 13-inch MacBook Pro is a fast Intel Core 2 Duo processor running at up to 2.53GHz, with the 15- and 17-inch MacBook Pro reaching speeds up to 3.06GHz. The processor is based on groundbreaking 45-nm process technology and advanced Core microarchitecture. With the 1066MHz frontside bus and 3MB of shared L2 cache (up to 6MB for the 15- and 17-inch models), MacBook Pro runs applications faster and more efficiently than ever before. Ports with possibilities. Every MacBook Pro is iPod, iPhone, digital camera, and external hard drive ready. If it has a cable, there’s a place for it. You’ll find two USB 2.0 ports (three USB 2.0 ports on the 17-inch MacBook Pro) and a FireWire 800 port for connecting faster peripherals. The Mini DisplayPort is a perfect fit for the Apple LED Cinema Display. MacBook Pro even recognizes what you plug in, so you don’t have to install new drivers.
From camera to computer, In an instant. Transfer your photos and videos to and from your MacBook Pro just as fast as you’re able to take them. Built into the 13- and 15-inch MacBook Pro is a new SD card slot, so you can edit and share your photos and digital video on the spot.
Your studio to go. With the latest 802.11n wireless technology built into MacBook Pro, you’re always seamlessly and effortlessly connected to the wireless world out there, at home, and at work.4 MacBook Pro automatically finds available networks and allows you to join them with just one click. Bluetooth wireless technology is also built in, so brilliant accessories can become your wireless accomplices. With a built-in battery that lasts longer than ever before, you can do everything you need to do, where you need to do it.
Burn DVDs superfast. After editing and applying the finishing touches to your home movie masterpiece in iMovie and iDVD, use the ultrafast 8x SuperDrive on your MacBook Pro to burn it to DVD. And because the SuperDrive also writes to double-layer discs (DVDs with nearly 9GB of space), it’s great for backing up data
Ports with possibilities. Every MacBook Pro is iPod, iPhone, digital camera, and external hard drive ready. If it has a cable, there’s a place for it. You’ll find two USB 2.0 ports (three USB 2.0 ports on the 17-inch MacBook Pro) and a FireWire 800 port for connecting faster peripherals. The Mini DisplayPort is a perfect fit for the Apple LED Cinema Display. MacBook Pro even recognizes what you plug in, so you don’t have to install new drivers.
From camera to computer, In an instant. Transfer your photos and videos to and from your MacBook Pro just as fast as you’re able to take them. Built into the 13- and 15-inch MacBook Pro is a new SD card slot, so you can edit and share your photos and digital video on the spot.
Your studio to go. With the latest 802.11n wireless technology built into MacBook Pro, you’re always seamlessly and effortlessly connected to the wireless world out there, at home, and at work. 4 MacBook Pro automatically finds available networks and allows you to join them with just one click. Bluetooth wireless technology is also built in, so brilliant accessories can become your wireless accomplices. With a built-in battery that lasts longer than ever before, you can do everything you need to do, where you need to do it.
iTunes is a free application for your Mac or PC. It organizes and plays your digital music and video on your computer. It syncs all your media with your iPod, iPhone, and Apple TV. And it’s a store on your computer, iPod touch, iPhone, and Apple TV that has everything you need to be entertained. Anywhere. Anytime.
iTunes Player Where listening, watching, and playing start. iTunes lets you enjoy all your music, movies, video, and TV shows on your Mac or PC. When you want to watch or listen to something, you no longer have to look through your CDs or flip through channels — just go to your computer and open iTunes. With your entire media collection in your iTunes library, you can browse everything faster, organize it all easier, and play anything whenever the mood strikes. Learn more about the iTunes Player
The world’s #1 music store. And more. What makes the iTunes Store such a hit? Over 11 million high-quality, DRM-free songs priced at just 69¢, 99¢, or $1.29 each. Visit the iTunes Store on your computer, iPhone, iPod touch, or Apple TV. Browse around and have a listen. Preview a song before you buy it and get recommendations based on music you love. And that’s just music.
You can also rent or buy blockbuster movies, get HD episodes of your favorite TV shows, shop for audiobooks, and download apps for your iPhone or iPod touch. Subscribe to free podcasts about anything and everything. For further enlightenment, visit iTunes U and download free lectures, discussions, and lessons from universities and cultural institutions around the globe. You’ll find thousands of hours of entertainment on the iTunes Store. Learn more about the iTunes Store
iTunes Everywhere It all goes where you go How do you get your music and movies from your Mac or PC to your iPhone or iPod? iTunes does it for you. How about photos, contacts, and calendars? iTunes transfers them, too. iTunes makes it surprisingly easy to sync media from your computer to your iPod and the other way around. Shop the iTunes Store directly from your iPhone or iPod touch. You can download music, movies, and TV shows anywhere you are over a Wi-Fi network. When you’re back at your computer, connect your iPhone or iPod touch. iTunes syncs what you bought on the road to your iTunes library. iTunes also wirelessly syncs your iTunes library to your Apple TV, so you can see your movies, listen to your music, and look at your photos.
Apple Inc. uses the Apple brand to compete across several highly competitive markets, including the personal computer industry with its Macintosh line of computers and related software, the consumer electronics industry with products such as the iPod, digital music distribution through its iTunes Music Store, and more recently in the smart phone market with the Apple iPhone. Apple's product strategy is to create innovative products and services aligned with a "digital hub" strategy, whereby Apple Macintosh computer products function as the digital hub for digital devices, including the Apple iPod, personal digital assistants, cellular phones, digital video and still cameras, and other electronic devices. The Apple Brand Personality Apple has a branding strategy that focuses on the emotions. The Apple brand personality is about lifestyle; imagination; liberty regained; innovation; passion; hopes, dreams and aspirations; and power-to-the-people through technology. The Apple brand personality is also about simplicity and the removal of complexity from people's lives; people-driven product design; and about being a really humanistic company with a heartfelt connection with its customers. Apple Brand Equity and Apple's Customer Franchise The Apple brand is not just intimate with its customers, it's loved, and there is a real sense of community among users of its main product lines. The brand equity and customer franchise which Apple embodies is extremely strong. The preference for Apple products amongst the "Mac community", for instance, not only kept the company alive for much of the 90's (when from a rational economic perspective it looked like a
dead duck) but it even enables the company to sustain pricing that is at a premium to its competitors. It is arguable that without the price-premium which the Apple brand sustains in many product areas, the company would have exited the personal computer business several years ago. Small market share PC vendors with weaker brand equity have struggled to compete with the supply chain and manufacturing economics of Dell. Apple has made big advances in becoming more efficient, particularly in logistics and operations, but would still find it difficult to make a profit at the price levels Dell transacts at. The Apple Customer Experience The huge promise of the Apple brand, of course presents Apple with an enormous challenge to live up to. The innovative, beautifully-designed, highly ergonomic, and technology-leading products which Apple delivers are not only designed to match the brand promise, but are fundamental to keeping it. Apple fully understands that all aspects of the customer experience are important and that all brand touch-points must reinforce the Apple brand. Apple is expanding and improving its distribution capabilities by opening its own retail stores in key cities around the world in up-market, quality shopping venues. Apple provides Apple Macexpert retail floor staff staff to selected resellers' stores (such as Australian department store David Jones); it has entered into strategic alliances with other companies to co-brand or distribute Apple's products and services (for example, HP who was selling a co-branded form of iPod and pre-loading iTunes onto consumer PCs and laptops). Apple has also increased the accessibility of iPods through various resellers that do not currently carry Apple Macintosh systems (such as Harvey Norman), and has increased the reach of its online stores. The very successful Apple retail stores give prospective customers direct experience of Apple's brand values. Apple Store visitors experience a stimulating, no-pressure environment where they can discover more about the Apple family, try out the company's products, and get practical help on Apple products at the shops' Guru Bars. Apple retail staff are helpful, informative, and let their enthusiasm show without being brash or pushy. The overall feeling is one of inclusiveness by a community that really understands what good technology should look and feel like - and how it should fit into people's lives.
Apple Brand Architecture From a brand architecture viewpoint, the company maintains a "monolithic" brand identity everything being associated with the Apple name, even when investing strongly in the Apple iPod and Apple iTunes products. Apple's current line-up of product families includes not just the iPod and iTunes, but iMac, iBook, iLife, iWork, and now iPhone. However, even though marketing investments around iPod are substantial, Apple has not established an "i" brand. While the "i" prefix is used only for consumer products, it is not used for a large number of Apple's consumer products (eg Mac mini, MacBook, Apple TV, Airport Extreme, Safari, QuickTime, and Mighty Mouse). The list of Apple's Trademarks reflects something of a jumbled past. The predominant sub-brand since the introduction of the Apple Macintosh in January 1984 has always been the Apple Mac. Products whose market includes Microsoft computer users (for example MobileMe, QuickTime, Bonjour, and Safari) have been named so they are somewhat neutral, and therefore more acceptable to Windows users. Yet other product have been developed more for a professional market (eg Aperture, the Final Cut family, and Xserve). The iPod Halo Effect Though Apple's iPhone and iTunes music business is profitable in its own right, Apple's venture into these product areas was based on a strategy of using the music business to help boost the appeal of Apple's computing business. Apple is using iPod, iTunes, and now iPhone to reinforce and re-invigorate the Apple brand personality. At the same time, these product initiatives are growing a highly relevant, appealing brand image in the minds of consumer segments that Apple has not previously reached. In a so-called iPod halo effect, Apple hoped that the popularity of iPod and iTunes among these new groups of customers would cause these segments to be interested in Apple's computer products. This does seem to have happened. Since the take-off of the iPod there has been a dramatic rise in Apple's computer sales and market share. A couple of years ago, Apple's aspirations for the iPod halo effect was was highlighted most strongly when it used the slogan "from the creators of iPod" in its promotion of iMac G5 computers. In this instance, the Apple brand came full-circle - having been built into a branding
system that originates in the personal computer market, then leveraged into the consumer electronics market, and then back into the consumer personal computer market. Apple Brand Strength Now Creating Financial Success So far, Apples' branding strategy is bearing fruit. For example, Apple reports that half of all computer sales through its retail channel are to people new to Macintosh, the company's sales and margins have been growing strongly since 2006, and Apple has achieved several "best ever" quarterly financial results during the past couple of years. Leveraging the success of the iPod, Apple launched the iPhone (released in July 07) to extend the brand even further. Apple's buzz marketing efforts in the first half of 2007 were truly superb, culminating in the release of one of the most highly anticipated products for many years - and launching apple into a completely new market: mobile handsets. By July 2008 the buzz about the 3G iPhone resulted in over 1 million units being sold in the first 3 days of its release in over 20 countries around the world. Apple Re-entering the Corporate Market via the iPhone Halo Though no-one at Apple would say so today, the next phase of Apple's strategy seems focused on the Corporate marketplace. A long time ago, Apple had a fairly strong market share in large companies. A long, long time ago (at the end of the 1970's) the first spreadsheet program (VisiCalc) was launched on the Apple II. The first PC (the IBM PC) to run a Microsoft operating system (PC DOS) did not appear until 1981. When Microsoft launched its Excel spreadsheet in 1984 it appeared first on the just-released Apple Mac, such was Apple's presence among accounting and finance departments. Even though Apple effectively stopped competing for corporate business during the 1990s, the Apple Mac is still used in some corporate environments. Microsoft still has a vigorous applications development team totally dedicated to writing business software for the Apple Mac. New versions of Microsoft Office for Apple Mac still come out approximately 2 years before similar functionality is placed in the next version of Microsoft Office for the Windows operating system. Over the next few years it seems likely that Apple will re-focus on the Corporate marketplace: Apple has announced that "Snow Leopard" (the next version of the Apple Mac operating system, due in 2009) will include features allowing Mac computers to fully support Microsoft Exchange.
This will enable corporate IT departments to support business users who wish to use Apple Macs for their main email clients. Also, Microsoft continues to bring out advanced versions of Microsoft Office for Apple Mac, and very significantly - in mid-2008 Apple announced a software upgrade for the iPhone which allows iPhones to be fully supported by Microsoft Exchange email servers. Corporate IT departments can now include iPhones as email clients. Apple's strategy seems clear: to use the popularity of the iPhone to break back into large corporations, and ultimately have Apple Macs on the desks of large businesses (or more probably - in the laptop bags of middle and senior managers in most large businesses. The Macbook Air is also clearly aimed at this type of market). As we say; no one in Apple will currently admit to such ambitions, but this is clearly where Apple's branding strategy is headed. Apple's Original Apple Macintosh Marketing Strategy Stanford University has published contemporary records and original documents of the marketing strategy for the Apple Macintosh launch in 1984, including the original Apple marketing strategy and the Apple Macintosh product introduction plan written by Regis McKenna. It is now 25 years since the launch of the Apple Macintosh (on January 24, 1984). Having proven itself and already gained considerable popularity with the Apple II, Apple chose to announce the Apple Mac in one of the most famous-ever commercials, aired during the third quarter of Super Bowl XVIII on 22 January 1984.
Apple has been so successful in these last years thanks to his fresh, imaginative way to think and do its business: a winning combination of exceptional products, great style and design, great strategy, innovative marketing, sleek and enticing communications. Apple owes its overwhelming success in the last years to the iPhone and to the smart iPod and iTunes product combination, a combination of a great hardware piece with great style, great software, great performance, user friendly interface, with a good e-business service. The iPod + iTunes halo effect and new great Mac computers and Mac OS software did the rest in increasing Apple revenue stream.
In the 5 years between 2003 to 2008 the Apple share value increased 25 times, from $7.5 to $180 per share. At July 2008 prices, before the US Financial Crisis, Apple stock market capitalization was $160 billion. In January 2010 Apple shares topped the $210 mark. But even the best companies with the best products have bottleneck factors which often avoid full exploitation of the opportunities. The iPad Steve Jobs claims the iPad gives the best way to experience the web. Yet, the iPad does not have Flash Player, Flash is essential on the web and is used everywhere. Surfing the Web without Flash gives you big empty boxes in the middle of a page. Video on the web is mostly implemented in Flash. No Flash, no video. So, what Steve Jobs says is untrue. Actually the iPad gives one of the worst web experiences you can imagine. Besides, the iPad does not have USB ports.
The iPod Few people are aware - and few market analysts too - that for the first 3 years the iPod was an absolute flop. The iPod was launched in october 2001, and between 2001 and 2004 iPod sales were between 100-200 thousand units per quarter, very far from today's 10-20 million units per quarter, and the iPod sales were not even covering the product research & development costs. Then, in June-Aug 2004 something happened, and iPod sales began to grow strongly, quarter after quarter. Today, we all know where the iPod stands, and what a remarkable success it is. The iPod made the fortune of Apple, and it stands out as the major turning point in the company growth. iPod + iTunes Few people know that the iPod + iTunes business idea was not conceived inside Apple, but was proposed to Apple by an outside source, a music lover and Engineer named Tony Fadell. The iPod marks another outstanding result in marketing: the annihilation of competitors. To know more see the analysis on The iPod competitors It should be noted that, since the second generation of iPods in 2002, the iPods were made compatible not only with the Mac operating systems but with Microsoft
Windows operating systems as well. We should ask ourselves (and to Steve Jobs): how many iPods would have been sold if the iPods would had been compatible only with Mac operating systems? Where the iPod is manufactured and assembled The iPhone The pipeline of new products which came out from Apple in the last years is impressive, and overwhelming. In 2007, with the successful launch of the iPhone, Apple has marked another milestone in its development and growth. And moreover, the iPhone enters a market - the market of mobile phones - a market which is mature, and saturated. Nonetheless, Apple has been able to develop a revolutionary product, and to change the paradigm in the mobile phone market. The iPhone is 5 years ahead of all its competitors. A wonderful product, amazing user interface, great design. It is not only a mobile phone, it is a product between a mobile phone and a laptop computer. Even calling it a smartphone is not enough. The iPhone 3GS In June 2009 Apple launched its third generation iPhone: the iPhone 3GS. The iPhone 3GS has a 3 megapixel autofocus camera, video recording and editing capabilities, voice control, longer battery life, 7.2 Mbps HSDPA internet connection. iPhone 3GS is twice faster than the iPhone 3G. The iPhone 3GS prices: $199 for the 16GB model, $299 for the 32GB model. More on the new iPhone 3GS on the iPhone 3GS page. More on iPhone Marketing on the iPhone Marketing Strategy page. Apple did great. no doubt. However Apple has done some serious mistakes. The most serious mistakes Apple has done concern marketing and distribution strategies in Europe. Apple has overlooked the European markets, and missing big numbers in unexploited sales. With better marketing strategy, better communication and distribution, Apple could have made 300% more revenues in Europe in the last 4 years. Apple Marketing in Europe We met with with Erik Stannow, Apple Vice President of Marketing for Europe & EMEA. We have been talking with Erik Stannow about the marketing and distribution issues of Apple in the European markets and we gave some valuable suggestions to improve the Apple marketing strategy and distribution in Europe. Well, it seems that in Cupertino they don't care so much about Europe. Steve Jobs
If we talk about Apple success, about Apple great products, we need to talk about Steve Jobs. Steve Jobs has been and is the great mind behind all this. Steve Jobs is a genius, he is a magician, too. He is the most skilled guy in introducing new products - "... one more thing" - the most skilled in presenting the key features, and he is a great communicator. Even more important, Steve Jobs has Vision. Vision in the strategy, Vision in the product development, Vision in the alliances.
Apple Communication Strategy Apple communication is sober, intriguing, simple, clear, minimalist and clever. And it has a style of its own. Both in the tv ads, both in print ads, both in the online communications. A lesson to be learned by many companies in the world. Well, of course when you have great products it is much easier to entice the costumers, but nevertheless doing it with style and cleverness is a very good point. It boosts sales, but enhances the brand value too.The famous "I am a Mac, I am a PC" tv ads are a milestone in communications. Smart, simple, effective and humiliating (for Microsoft ...). The Who Video The Who video playing at the top of the page is "Pinball Wizard", from the Dvd "The Who - Live at the Isle of Wight" is an historical video filmed at the Isle of Wight Music Festival in 1970. We encourage every rock music lover to purchase this wonderful Dvd: in the Dvd the Who play My Generation, Magic Bus and an ample selection from the Rock opera "Tommy" it's a masterpiece in the history of Rock. You can find it on Amazon.com. Copyright Notice Apple Video excerpts and Apple products images courtesy of Apple Inc. The Apple logo is a trademark of Apple Inc. here used for illustration only. Jean Genie song written by David Bowie is played by Too Many Monkeys. The Who video copyright © 1996 Pulsar Productions Inc. The short Who video is included in this page with the purpose of promoting the great music of the Who and to spread the knowledge of the Dvd "The Who Live at the Isle of Wight". In case the copyright owners of the Who video would rather prefer not to have that video on this page, please let us know by writing a message on our contact page and we shall promptly withdraw it.
"Good marketers lead with price." -- Carl Howe
Apple is a premium brand of computer. Apple doesn't try to compete with PCs directly on price for several reasons that are well known. Cut throat pricing leads to diminished profits and loss of shareholder value. It diminishes the hard won reputation of the Apple brand. Finally, it's too early for Apple to jump on price decreases before it fully understands the the impact of the Jan-Mar quarter sales. Another reason is that dropping prices for a premium brand has to take into account Apple's experience with the price elasticity of its products. Price elasticity is defined as the response in demand for a product as the price decreases. For example, if Apple were to drop the price of the low end Mac mini from US$599 to, say, $399, would the demand increase so much that the new production rate would lower costs and make more money for Apple? Or would the price reduction simply reduce Apple's earnings? Based on what we've seen from Apple lately, the answer has to be the latter. I suspect that Apple has some fairly sound computer models that suggest what the impact would be of various price reductions. To put it euphemistically. Tim Cook, Apple's COO, has a sharp pencil and a sharp mind. He knows, to the penny, the bill of materials for each Apple product, what the new cost would be based on an increased order, and how his gross margins would be affected. Recession Realities
It's a fact of life that people who are concerned about getting laid off tend to avoid premium products. That said, Apple still has to ask itself some hard questions about what the impact of lowering prices would be on the company. Eventually, the U.S. and the rest of the world will climb out of this economic mess. How would customers react in the future to Apple raising prices back to original levels? (I remember the outcry when Apple actually raised memory prices a few years ago. One would think Apple ran over a grandma, on crutches, in the parking lot.) Does Apple have enough cash assets to weather a 10 percent drop in sales in order to preserve its premium brand for the future? (The answer is yes.) History has shown that Apple appeals to prosperous customers, so will a 9 or 10 percent unemployment rate affect a company that only has 10 percent of the total market share of computers in the U.S.? And 3.5 percent worldwide? Will the current mental state of of American consumers drive sales down dramatically or just a bit. Apple is watching and evaluating. When observers of the Apple scene suggest that Apple sell a $500 netbook or lower the prices of their notebooks drastically, it seems more like a knee-jerk reaction and wish fulfillment for a "cheaper" Mac than a considered judgment about all the factors I've mentioned above. Contrasting Apple to Car Companies A lot of people like to contrast Apple to the American car companies. They wonder what GM or Chrysler would be like if Steve Jobs were the CEO. The reason we're titillated by that prospect is because we intuitively know that the American car companies have operated like Apple under Messrs. Spindler and, to a lesser extent Amelio. Before Steve Jobs came back to Apple, it was a needy company. It gave away money and computers. It spent lavishly on the Apple Masters program, essentially a bribe to famous people to encourage them to love their Macs and show it. Apple execs stuffed the reseller channel in the vain (and criminal) hope that lots of Macs shipped would substitute for lots of Macs purchased by customers. Many of its products were mediocre and the selection was confusing. (But not my beloved Power Mac 8500!) If we look at the Detroit auto makers, we see similar things. Rebates essentially bribe customers into buying mediocre products. Also, there are lots of products being built but few great products that cause people to stand in line at oh-dark-thirty to buy them. While Toyota invested heavily in hybrid technology, because they knew that offering cutting edge and responsible products would some day pay off, GM was patting itself on the back over Hummer sales. No one really gets excited about Buicks, but show me someone who doesn't drool over a BMW. That isn't crass
thinking, rather, it's just a common sense recognition of the spectrum of quality in products -- an enduring fact. Basic Human Psychology Part of the psychology here, by Apple, is that if something is just a little bit out of the buyer's price range, it's desirable. At some point, a dream will come true (or an income tax refund check arrives) and the dream can be fulfilled. I've handled a few netbooks at Microcenter in Denver, and, believe me, these computers are nothing to drool over. They're work horses for someone who needs a computer to take on travel for surfing, twitter, chat and e-mail. That's it. They do the job nicely. But when people use low end stuff for a living, its likely that their only available rationalization is how little they spent. Similarly, ask any IT manager about how proud he is about how little money he spent on the computers he bought for his staff. It's a comfortable conceit. Apple knows all about it. These people are not its customers. Should Apple gamble that they should be? Basically, Apple, as a business, has to make a considered judgment about its own best interests, both now and in the future. Pleas by customers for Apple to give them gifts aren't typically part of the equation. Recession Proof Apple is definitely not recession proof. The collective consciousness of the country, even though about 91 percent of people are still working, is in the dumpers. Each day brings bad news, and Apple sales will be down this quarter. They may be down for a few quarters. Even so, Apple has the luxury, by virtue of its assets, to avoid a hasty, emotional decision. Peter Oppenheimer, Apple's CFO, has suggested this during the last few earnings reports. Also, analyst perceptions about how well positioned people are to actually buy Apple products affects their valuation of Apple stock. So despite great products, if fewer people can afford them, then Apple's viability as a company is affected. The question for Apple, however, is deeper. Does lowering prices increase revenues? Does it portend profits that encourage investment? Again, from what we've seen, Apple may not believe that right now. How far would Apple sales have to drop before Apple needed to take drastic action? What would that action be if Apple sales fell by 50 percent, like the U.S. car companies in February? Macs at 50 percent discounts? Not with gross margins of only 31 percent. On top of that, no business
cause and effect is linear, so an X percent drop in sales doesn't instantly dictate an X percent drop in price. It's that elasticity issue again. Finally, can a company with US$28 billion in cash and short term investments weather a more probable 10 or even 20 percent slide in sales for a few quarters without damaging its brand? I think the answer is yes, and I think Apple is betting on just that based on the pricing of the latest iMac, Mac mini and Mac Pro updates Apple’s iPhone Pricing Strategy Introduced in June 2007 at a top price of $599 in the United States, the iPhone was one of the most anticipated electronic devices of the decade. Despite its high price, consumers across the country stood in long lines to buy the iPhone on the first day of sales. Just two months later, Apple discontinued the less-expensive $499 model and cut the price of the premium version from $599 to $399. Target Group A study conducted by Rubicon (2008) on iPhone users indicates that 50% of the surveyed users are age 30 or younger. Most of the users described themselves as technologically sophisticated. In general, iPhone users were over represented in the occupations that are usually early adopters of technology: professional and scientific users, arts and entertainment, and the information industry.
Moreover, the iPhone user base consists mainly of young early adopters: about 75% of whom are previous Apple customers. Now, the challenge for Apple is to get their product beyond the youthful technophiles and into the hands of mainstream users in order to maintain sustained growth. While the early adopters are a great group for launching a product, without mainstream
use, the early success would not be lasting. This is why Apple has decided to use different pricing strategies such as the skimming and versioning. Skimming Skimming is referred to as selling a product at a high price; basically companies sacrificing sales to gain high profits. This is employed by companies in order to reimburse their cost of investment put into the original research of the product. This strategy is often used to target early users of a product/service because they are relatively less price sensitive than others. Early users are targeted either because their need for the product is more than others or they understand the value of the product better than others. In any case, this strategy is employed only for a limited period of time as a way to recover most of the investment of a product. According to Köehler (1996), the skimming price strategy is a high price strategy which provides a healthy margin but risks a depressed sales volume. Since high prices also attract piracy, protection costs against piracy basically eat up margins. In the case of Apple, the buyers are not attracted by pirated versions of products because of the image of the brand linked to the snobbism of the “members of the Apple family”. In the graph below, we compared iPod sales with the price of iPod classic from 2002 to 2006. According to the data, the iPod classic model seemed to have either reduced its price or maintained the same price from one year to the next. In 2002, iPod classic price was the highest; as a result, it was also shown as the year with the lowest sales. For example, the Apple iPod classic costs over the years include: 399$ (2002), 299$ (2003), 299$ (2004) and 249$ (2005).
Foremost, while issuing new generation model of a classic iPod, the company was still selling the previous version at the reduced price. The skimming pricing strategy is presented at two levels. First, the price of the same model is diminishing with time, especially when Apple is issuing the newest version of the iPod. Second, the price of every next generation model launched on the market is less expensive than its predecessor, which is illustrated by the above graph.Here, we
took the prices of the iPod classic but the same results can be seen with the iPod mini (the launching price in 2004 was 249$ while the newest version launched in 2005 cost 199$) and the iPod nano. To gain market share, a seller cannot solemnly rely on skimming strategies but must also use other pricing tactics such as pricing discrimination, which has been the case of Apple. Versioning (Pricing discrimination) Pricing discrimination is a pricing strategy that charges customers difference prices for the same product or service. In pure price discrimination, the seller will charge each customer the maximum price that he or she is willing to pay. Most often the seller places customers in groups based on certain attributes and charges each groups a different price. Apparently, price discrimination is only feasible under certain conditions: 1) companies have short run market power; 2) consumers can be segmented either directly or indirectly, 3) arbitrage across differently priced goods is infeasible (Stole, 2003). Given the fact that these conditions are fulfilled, companies typically have an incentive to practice price discrimination. However, the form of the price discrimination may also depend on the nature of the market power. Jagmohagn Raju (2007) highlights that Apple’s price cut is an example of a strategy known as “temporal price discrimination” where it charges people different prices depending on the their desire or ability to pay. Companies such as Apple may practice this strategy for two reasons. First, they gain wide profit margins from those willing to pay a premium price. Second, they benefit from high volume by building a wider customer base for the product later. It’s important to note that price discrimination can also be structured across geographies, seasons and by adding or eliminating features. As for the “temporal price discrimination,” Apple reduced $200 from the original price of the iPhone just two months after its release. After a flood of complaints by its customers, Apple attempt to rectify complaints by offering $100 store credit to early iPhone customers. In addition to temporal price discrimination, Apple practices price discrimination via versioning where it proposes many versions of products according to the needs and prices of their customers’. The “wealthy” clients can buy a latest version of iPod classic, iPod nano or iPod touch while those who are less “wealthy” can always pay the price of a previous generation iPod (classic or nano) or an iPod Shuffle (49$). The current iPod line consists of (from left to right): the iPod shuffle, iPod nano, iPod classic and iPod touch. The variety of Apple music players are well illustrated by the graph below:
This large offer is constantly renewed which allows the company to practice the skimming and reassure the snobbish members of the Apple family. Apple’s Strategy: United States and Europe Apple’s high-tech inventions may be in direct conflict with the high end products made by Nokia, Motorola, Sony Ericsson and Samsung. However, these companies will not give up that category without fighting for the end. They are used to cramming their phones with more technology than their competitors as in the case with Nokia's N series, Sony's P series, and Motorola's range of smart phones. They have high resolution cameras and video recorders, MP3 players, software and dozens of gameslso; not to mention the fact that they already have large market shares. For instance, the number of Symbian-based phones increased 44% to 34.6 million in the first six months of 2007 from 24 million in 1H 2006, with a quarter of those sales coming from Japan. The success of Nokia N95 and E-Series phones has also helped Symbian boost its revenues to about $172 million (Malik, 2007). The North-American market is very different from the rest of the world, with strong segments for Microsoft, Palm (Access), and RIM. In Europe (EMEA) the market is dominated by Symbian (Nokia), with a small Microsoft pocket and an even smaller RIM market share. It's also interesting to see the large Linux share in Japan and China (PRC). In Europe, Britain's O2 and Germany's T-Mobile have signed exclusive deals with Apple to offer the iPhone to their domestic customers. In Britain, subscribers will have to pay between $74 and $115 per month for an 18-month contract, while in Germany, customers must fork over $72 to $130 per month for a two-year contract (Scott, 2007). It appears that Apple is going against the grain of the European mobile business by charging £269 ($538) for the phone in Britain, and locking customers into 18-month contracts at monthly rates of £35 to £55 ($70 to $110). Typically, carriers discount even high-end cell phones in Europe. Such figures are in addition to the cost of the iPhone handset—which is itself a radical departure for the European market, where most phones are heavily subsidized by operators. British and German customers had to pay $565 and $439, respectively, for the iPhone, compared with $399 for U.S. consumers. In France, Apple has chosen Orange as an exclusive carrier for its iPhone, which is sold in Orange’s online and direct retail stores. The iPhone is available in an 8GB model for €399 ($592.78) and customers need to sign up for one of the special "Orange for iPhone" plans, which range in prices from €49 to €119 per month depending on the usage. Customers can also
buy the iPhone for €549 if they wish to use one of Orange's other rate plans. If not, they have the option to buy an iPhone for €649 ($964.20) without a plan. The European market is pretty much dominated by “pay-as-you-go customers” who have no contractual obligations to phone carriers and they make up 60% of the phone users (O’Brian, 2007). As a result, the iPhone may be insufficient to induce people to sign up for one or two year service contracts. Currently, the iPhone is available (March, 2008) at 99€ in Germany and in United Kingdom whereas it cost more than 400€ in November 2007. On the one hand, the price cut can be explained by the arrival of a new iPhone in June 2008 compatible with 3G networks. On the other hand, it may be due to the disappointing sales in Europe: 100 000 iPhones sold in France, 70 000 in Germany and 200 000 in the UK while Apple’s objective was to sell 10 000 000 globally by the end of 20082. The challenge for Apple is to keep coming up with proprietary products that fuel its business model, which is based on innovation and R&D for both hardware and software. Apple’s pricing strategies include setting the price high at the start of launching a new product. After gaining some profits from its early customers who are often fascinated with new technology, Apple seems to reduce its prices in order to make it affordable and popular among other competitive products. Not to mention the fact that Apple’s iPhone and iPod prices change according to its customers as well as geographical locations. Basically, the company adapts prices according to the customers’ ability to pay in different countries. In addition to applying versioning and skimming pricing strategies, Apple also practices vertical bundling, linking the use of an iPod to the use of its iTunes stores. The company argues that protecting iTunes codes is in fact encouraging innovation. However, it also allows the company to control a large part of: portable digital media player market, online music market and online video market. At the same time, it maintains sufficient economic power in these markets in order to control consumer pricing, which ends up having its consumers pay higher prices. With its iPhone, Apple has tried to bind users to AT&T in the US, Orange in France, T-Mobile in Germany and O2 in the UK. However, low sales rates in European countries have shown that iPhone prices were in fact too in comparison to similar smartphones issued by its competitors on the phone market. In order to respond to this challenge, Apple has used its best arm - innovation and will soon issue a new version of the iPhone, which is expected to relaunch iPhone sales.
Yearly & Quarterly Financial Results The following charts and graph show Apple Computer's overall and Retail Segment financial results for the period since stores were first opened in May 2001. The results are based on the fiscal year, which basically ends Sept. 30th 2001 sales - all segments profit (loss) - all segments sales - Retail segment profit (loss) - Retail segment total store visitors stores during year * capital expenditures retail retail lease square-feet Retail manufacturing profit # 2006 sales - all segments profit (loss) - all segments 2007 2008 $32.47billion 27 2002 2003 2004 2005 $13.93 billion $1.328 billion $2.350 billion $151 million 50.7 million 38 $132 million 902,000 s.f. $435 million
$5.373 billion $5.742 billion $6.207 billion $8.279 billion ($25 million) $65 million $19 million $283 million $69 million $621 million $266 million $1.185 billion $39 million 25.2 million 21 $100 million 660,000 s.f. $213 million 2009 $36.537 billion $5.704 billion
not reported ($22 million) ($5 million) 2.25 million 13 13.9 million 25 $92 million
$19.31 billion $24.0 billion $ 1.989 billion
$3.496 billion $4.84 billion
sales - Retail segment profit (loss) - Retail segment total store visitors stores during year * capital expenditures retail retail lease square-feet Retail manufacturing profit #
$3.359 billion $4.115 billion $6.31 billion $198 million 81.1 million 41 $200 million $573 million $1.33 billion
$6.577 billion $1.392
102.4 million 146.8 million 170.3 million 32 $294 million 54 $389 million 26
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