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Apple's IPhone 4S could estimate 4 Million units This Weekend

Oct. 14 (Bloomberg) -- Apple Inc. is
poised to sell as many as 4 million units of
its new iPhone 4S this weekend as
customers around the world clamor for
one of the last products developed under
Steve Jobs.
The device, available today in the U.S.,
Australia, Canada, France, Germany,
Japan and U.K., is projected to
outperform last year's introduction of the
iPhone 4, which topped 1.7 million units
in its introductory weekend. For the
iPhone 4S, most estimates range from 2
million to 3 million, with Yankee Group
analyst Carl Howe predicting sales of as
much as 4 million.

The release represents the end of Apple's
era under Jobs, who died this month after
an eight-year battle with cancer. The
iPhone 4S has received mostly positive
reviews for its voice- recognition
software, speedier processor and
improved camera. The device also
provides Apple with fresh ammunition in
its fight against Google Inc.'s Android
software, which will appear on a host of
new smartphones in the year-end holiday
“It's going to easily outpace any previous
launch,” said Charlie Wolf, an analyst at
Needham & Co. in New York. It helps
that the iPhone is available on the three
largest U.S. carriers for the first time,
which will bring in new buyers, he said.
Apple also has released an update to its
iOS mobile operating system, which
customers can download to their existing
devices. The software comes with 200
new features and a Web storage service
for synchronizing photos, documents,
music and other files across different
Apple gadgets.

Google Competition

While the iPhone is the best-selling single
smartphone, all of the devices running
Google's Android operating system
account for more of the industry's sales.
HTC Corp., Samsung Electronics Co.,
Motorola Mobility Holdings Inc. and
other manufacturers have adopted the
software. Google offers Android for free
and then makes money on mobile
advertising and services. That revenue
now accounts for $2.5 billion a year, the
company said yesterday when it released
quarterly results.

Apple's shares have jumped more than
10 percent this week, boosted by
speculation that the iPhone 4S will be a
hit. The stock closed at $408.43 in U.S.
trading yesterday, making Apple the
world's most valuable business. Its
market capitalization now stands at
$378.7 billion, compared with $371.3
billion for the second-ranking company,
Exxon Mobil Corp.
In German trading, the stock today rose
1.4 percent to the equivalent of $412.42
as of 10:01 a.m. in Frankfurt.

Memory' of Steve

About 25 customers were lined up
outside Apple's Midtown Manhattan
store at lunch yesterday. In Australia, the
first country where the product went on
sale, Jackie Guo, 25, and his girlfriend,
both students at Macquarie University,
said they lined up as a tribute to Jobs.

“It's the iPhone for Steve, it's for the
memory of Steve,” Guo said. “It was the
last product he worked on. He pushed
this company to become a viable
company. His ideas are better than
others. They make the market more
hungry for the product.”

In Frankfurt, Grigory Stolyarov, a 27-
year-old employee of Dekabank Deutsche
Girozentrale, spent the night in front of
the store in the city's main shopping
street. He had put on two pairs of socks,
sweaters and jackets to weather the first
near- freezing night of the fall season and
be among the first 20 people in the line of
more than 1,000.
‘It's a prestige thing,” said Stolyarov,
who picked up three iPhones and already
owns an Apple iPad 2 tablet computer. “I
feel like an onion and I definitely need
some sleep,” he said.

Makeshift Memorials

In Tokyo, about 80 people were lined up a
day before the debut and there were
more than 800 people by 8 a.m. at the
Ginza district store.
Jobs's admirers have turned storefronts
into makeshift memorials, adding a
solemn tone to the frenzy that
accompanies the company's product
releases. Jobs co-founded Apple and
returned to the company after a 12-year
absence, rescuing it from near-
“They are going to sell out,” said Yankee
Group's Howe, who is based in Boston.
High demand for the new iOS 5 software
contributed to glitches at Apple even
before the iPhone 4S went on sale.
Customers downloading it to their older
phones overwhelmed the company's
servers, making it harder to upgrade.
Sell Out

Apple hasn't said how many people were
affected. The wait time to get a call back
from an Apple support representative via
the company's Express Lane service is
much longer than usual. Typically, an
Apple rep will call back within a few
hours. Now, the earliest appointments
aren't for days.
Trudy Muller, a spokeswoman for
Cupertino, California-based Apple,
declined to comment.
The iPhone 4S will go on sale later this
month in 22 additional countries,
including Ireland, Italy, Mexico and
Spain. Apple didn't say when it will be
available in China, a country Chief
Executive Officer Tim Cook has said will
be critical for the company's future

Apple said earlier this week that it had
received more than 1 million preorders
for the iPhone 4S. The three U.S. carriers
selling the device -- AT&T Inc., Verizon
Wireless and Sprint Nextel Corp. -- sold
out as well. The demand puts Apple on
pace to sell a record number of iPhones
in the quarter ending in December,
according to the analysts' reports. Gene
Munster, of Piper Jaffray Cos., estimates
that Apple could sell more than 25 million
iPhones this quarter.
Top Moneymaker
The iPhone, first introduced in 2007, has
become Apple's top moneymaker,
accounting for almost half its total
revenue. Sales from the new model won't
be part of the fourth-quarter financial
results Apple is due to release on Oct. 18.

Even so, profit rose about 60 percent in
the period to $6.9 billion on sales of $29.5
billion, according to the average of
analysts' estimates compiled by
The release of the iPhone 4S, along with
new Android models, should mean that
smartphone users account for the
majority of U.S. mobile-phone customers
for the first time, said Roger Entner, an
analyst at Recon Analytics LLC in
Dedham, Massachusetts.

Apple controlled 19.1 percent of the
smartphone market in the second
quarter, according to research firm IDC,
ahead of Samsung, Nokia Oyj and
Research In Motion Ltd.
Few companies can build excitement
around a new product the way Apple can,
Yankee Group's Howe said.
“This is what they are good at,” he said.
“They know how to make a big launch

Source -businessweek.com

With assistance from Ari Levy and Peter
Burrows in San Francisco, Scott Moritz
in New York, Nichola Saminather in
Sydney, Cornelius Rahn in Frankfurt,
Naoko Fujimura, Yuki Yamaguchi and
Takashi Amano in Tokyo. Editors: Nick
Turner, Marcus Chan.

Dennis Ritchie dies at 70; computer
scientist helped develop Unix

Dennis Ritchie, a computer scientist who wrote the
popular C programming language and helped
develop the Unix operating system, has died. He was

Ritchie died a month after his birthday, according to
his biography on a Web page of Alcatel-Lucent's Bell
Labs. Ritchie joined Bell Labs in the late 1960s.
The company announced his death Thursday but did
not give the cause or say when Ritchie died.
Ritchie is best known for his contributions to
computer programming and software. The C
programming language, which he developed in the
early 1970s, is still popular. It has gone through a
number of upgrades, and it is commonly used for
website development and other computer tasks.

The Unix operating software also surged in popularity. It
and its offshoots, including the open-source Linux,
are widely used today, in corporate servers and even
Ritchie was born Sept. 9, 1941, in Bronxville, N.Y.
His father, Alistair, was a systems engineer at Bell
Labs and his mother, Jean, was a homemaker. After
studying physics and math at Harvard University,
Ritchie joined Bell Labs.

"My undergraduate experience convinced me that I
was not smart enough to be a physicist, and that
computers were quite neat," Ritchie wrote. "My
graduate school experience convinced me that I was
not smart enough to be an expert in the theory of
algorithms and also that I liked procedural
languages better than functional ones."
At Bell, Ritchie and colleague Kenneth Thompson
worked closely to create Unix. In writing the C
language, Ritchie built on Thompson's earlier B
language. Their collaborations were intended to
simplify operating systems and make the software
portable and easy to move from existing hardware to
new computers, resulting in the open-source
movement of sharing ideas.
"I wanted to find out what things a program or
operating system could make possible that you
couldn't do before," Ritchie told Investors Business
Daily in 2003.

Bell Labs' emphasis on research provided
opportunities for Ritchie and Thompson to develop
pioneering innovations.

"There are features in C that everyone takes for
granted now," Doug McIlroy, a Bell colleague, told
Investors Business Daily. "But when Dennis created
them, they were new to the world."
Information on survivors was not available.

Source: news.obits@latimes.com
Copyright © 2011, Los Angeles Times

Talk of an Apple TV has stirred again lately with financial analyst Gene Munster predicting Apple will release in the 2012-2013 timeframe. Many arguing against an Apple TV point to the significant margins they have commanded in the industries they traditionally operate, and that these margins would not be attainable without Apple charging a significant premium over cheaper sets. The TV industry has been in a race to the bottom on price, or so the argument goes.

I agree.
Specifically, I agree that Apple will be challenged to persuade consumers to pay a premium for an Apple TV. Apple knows that and knows it's no simple task. That's why if they do come out with a TV they'll look to persuade consumers across multiple fronts.


The new Apple TV will be a gorgeous piece of hardware with the classic brushed aluminum, thin profile and edge to edge screen. Could you imagine a white, pulsing Apple logo at the bottom of the TV - the kind of drool factor that would generate to be the centerpiece of every red-blooded male's living room?


Apple will rewrite the content game. I expect them to negotiate a subscription-based plan with content providers that will undercut whatever consumers are currently paying for subscription-based content. What this will do is make the purchase of the TV not just about the consumer paying a premium for a sweet new TV, which can be far harder to justify than say a $200 iPhone. It's that the consumer's content experience is going to change with it. This makes the purchase easier to justify in the mind of the consumer.

Sexy Integration with iOS Devices

Apple will rewrite the content game. What this will do is make the purchase of the TV not just about the consumer paying a premium for a sweet new TV, which can be far harder to justify than say a $200 iPhone. It's that the consumer's content experience is going to change with it. This makes the purchase easier to justify in the mind of the consumer.
Consumer electronics remote controls leave a great deal to be desired. They are clunky, generally not enjoyable to use and have line of sight limitations. Apple will change all that and make the TV remote an enjoyable experience by turning every iOs device into a remote. The devices and television will talk via wifi eliminating line of sight limitations. You'll be able to flick content from one screen to another as you move from room to room.

Video Conferencing

With the launch of a new TV, Apple will finally make the long promised video conferencing in the living room a reality. And, they'll do it right. Video conference to/from any Apple device (iPhone, iPod, iPad, Mac notebook, desktop...), the ability to leave messages, and high definition video (imagine how demoing that will play at the launch event)

Extend the iOS/Mac Screen

The TV will become an extension of every iOS/Mac computing device screen; every device with a screen will be able to project its content onto the TV screen.

New Gaming Experiences

Apple will push further into Nintendo and Sony's turf with new gaming experiences that leverage the iOs ecosystem. Imaging playing head to head against your buddy on a driving game on the big screen while you steer using your iphone as the steering wheel and he does the same on his iPod Touch. Or playing a family round of Scrabble on the big screen from your iOs device. Apple will release developer tools that enable vendors to develop for the new Apple TV-iOs interaction ecosystem.

A (Free) DVR to End All DVRs

I expect a DVR built into the new Apple TV that is a pleasure to use. And, Apple will undercut the MSO's and make it free (no monthly fee). They wikll build in new ways to discover content (social, recommendation engine...) the ability to easily program the DVR from any web enabled, or iOS device. And, as an added bonus 'sling' like functionality to send your content to any web enabled or iOs device.

Social Integration

I wouldn't be surprised to see Apple turn television watching completely on its head by building social into TV watching in an elegant and usable way. Things like seeing what your friends are watching, true integration with social networks, comment and discussion while watching programming (and no, it hasn't been done before--slapping a twitter app into an internet connected TV doesn't count as social enabled TV.)
It is true of the development process for all Apple products, but it is particularly true of the Apple TV: the features and functionality that will go into any Apple TV will be guided by "how will this feature contribute to the persuasive argument to consumers to pay a premium over cheaper options?"

App Ecosystem

We've mentioned gaming and social but Apple will also likely enable an app ecosystem for its new TV. I think the way to think about this is not that Apple will enable consumers to slap a bunch of apps designed for a phone or IPad up on their big screen, but that they will create an environment for developers to create experiences and applications designed for a TV experience--one that leverages the big screen and leverages the tie in to other iOs devices we mentioned earlier.

Building the Apple TV with an Eye Towards Persuasion

It is true of the development process for all Apple products, but it is particularly true of the Apple TV: the features and functionality that will go into any Apple TV will be guided by "how will this feature contribute to the persuasive argument to consumers to pay a premium over cheaper options?" And, knowing Apple, much of the thought process that will go into the design and development of the features will require that they demo well in a launch event and post launch advertising. Hopefully this exercise has shown that despite what some assert, there is plenty of room for innovation in the living room. If Apple ever decides to treat it as more than a hobby they will rewrite the experience for consumers in much the same way they did for mobile.

                                                                                                                          Source: Readwriteweb
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