World of Apple

Apple has quietly rolled out a series of updates to its iWork.com beta. The updates add new sharing features, and changes to the interface to improve iPad and iPhone usability.

iWork.com on iPad

• Share documents on websites and social networks. iWork.com allows you to share a document by creating a public link. Use the link to share your document with large groups or on websites and social networks. There’s no need to set a password or send an invitation. Anyone with the public link can view your document but cannot add comments or notes.
• Improved Shared Documents page. Download documents shared on iWork.com without leaving the Shared Documents page. You can also track the number of views your publicly shared documents receive.
• Refined user interface. A redesigned Sign In and Shared Documents page for iPad, iPhone, and iPod touch makes it easy to access your documents while on the go. The new interface and improved scrolling help you find your shared documents faster. Visit www.iwork.com from your iPad, iPhone, or iPod touch to view your shared documents.

iWork.com was released as a public beta at Macworld ‘09 and provides a method of sharing uploaded documents via the web. iWork.com allows commenting on documents and downloading in a multiple of formats such as PDF and Microsoft office formats.

Apple today revealed that it has filed a lawsuit against HTC for infringing 20 of Apple’s iPhone patents relating to “user interface, underlying architecture and hardware.” The lawsuit was filed with both the U.S. International Trade Commission (ITC) and in U.S. District Court in Delaware.

“We can sit by and watch competitors steal our patented inventions, or we can do something about it. We’ve decided to do something about it,” said Steve Jobs, Apple’s CEO. “We think competition is healthy, but competitors should create their own original technology, not steal ours.”

Engadget offers a brief breakdown of the patents Apple claims HTC has infringed.

• The ‘331 Patent, entitled “Time-Based, Non-Constant Translation Of User Interface Objects Between States,” was duly and legally issued on April 22, 2008 by the United States Patent and Trademark Office.
• The ‘949 Patent, entitled “Touch Screen Device, Method, And Graphical User Interface For Determining Commands By Applying Heuristics,” was duly and legally issued on January 20, 2009 by the United States Patent and Trademark Office. A copy of the ‘949 Patent is attached hereto as Exhibit B.
• The ‘849 Patent, entitled “Unlocking A Device By Performing Gestures On An Unlock Image,” was duly and legally issued on February 2, 2010 by the United States Patent and Trademark Office. A copy of the ‘849 Patent is attached hereto as Exhibit C.
• The ‘381 Patent, entitled “List Scrolling And Document Translation, Scaling, And Rotation On A Touch-Screen Display,” was duly and legally issued on December 23, 2008 by the United States Patent and Trademark Office. A copy of the ‘381 Patent is attached hereto as Exhibit D.
• The ‘726 Patent, entitled “System And Method For Managing Power Conditions Within A Digital Camera Device,” was duly and legally issued on July 6, 1999 by the United States Patent and Trademark Office. A copy of the ‘726 Patent is attached hereto as Exhibit E.
• The ‘076 Patent, entitled “Automated Response To And Sensing Of User Activity In Portable Devices,” was duly and legally issued on December 15, 2009 by the United States Patent and Trademark Office. A copy of the ‘076 Patent is attached hereto as Exhibit F.
• The ‘105 Patent, entitled “GMSK Signal Processors For Improved Communications Capacity And Quality,” was duly and legally issued on December 8, 1998 by the United States Patent and Trademark Office. A copy of the ‘105 Patent is attached hereto as Exhibit G.
• The ‘453 Patent, entitled “Conserving Power By Reducing Voltage Supplied To An Instruction-Processing Portion Of A Processor,” was duly and legally issued on June 3, 2008 by the United States Patent and Trademark Office. A copy of the ‘453 Patent is attached hereto as Exhibit H.
• The ‘599 Patent, entitled “Object-Oriented Graphic System,” was duly and legally issued on October 3, 1995 by the United States Patent and Trademark Office. A copy of the ‘599 Patent is attached hereto as Exhibit I.
• The ‘354 Patent, entitled “Object-Oriented Event Notification System With Listener Registration Of Both Interests And Methods,” was duly and legally issued on July 23, 2002 by the United States Patent and Trademark Office. A copy of the ‘354 Patent is attached hereto as Exhibit J.

Complete USITC and Deleware Court filings below.

Delaware Filing

USITC Filing

Earlier this week Apple COO Tim Cook who led the company during Steve Jobs’ time off in early 2009 spoke candidly about Apple. During the Goldman Sachs Technology & Internet Conference Cook gave a talk about Apple including some interesting details about the company’s products.

During the 40 minute talk—which can be listened to on Apple’s website and read in full below—Cook discussed how Apple TV remains a hobby to Apple and the company will use custom silicone in future products.

Cook also discussed Apple retail stores saying that new stores opening this year in London and Shanghai will “make your jaw drop.”

Paraphrased transcript courtesy of Silicon Alley Insider

4:08 Clapton’s “Change the World” is playing leading up the presentation. Now “Sunny Came Home.”

4:09 Getting underway. Tim Cook reads disclosure.

4:10 Q&A begins. Steve Jobs was very clear about leadership in mobile devices. Is that how we should think about Apple at this point? Tim Cook: Yes. Let me elaborate. If you look at Dec. quarter results, which included revenues of almost $15.7 billion, as we compared ourselves to every other company in the world, including Sony and Nokia and Samsung, which now have huge mobile device businesses, we found out we were the largest in the world, measured by revenues.

4:11 How are you channeling resources differently? Transition to mobile devices began in 1991 with first introduction of portable product for Apple with introduction of the TFT screen. During that time, the Mac business has become a predominantly mobile device business. Huge difference between us and the balance of the industry in portable share.

4:12 Ah, a history lesson. Going through all the mobile devices Apple has ever launched. Vast majority of Apple’s revenue now comes from mobile devices and content purchased for those devices. Believe we’re well positioned to do extremely well because we can seamlessly offer software and hardware.

4:13 Who are biggest competitors and who are biggest partners? Tim Cook: I wish the world were that simple. Many people you can’t cleanly put in one or another. Take Microsoft. In Microsoft, we love the Mac Office division. They do a great product and we partner with them and work with them very tightly. Most of the balance of Microsoft we compete vigorously against, in OS, in mobile OS, etc. If you look at Google, I would say Google is similar in that respect. We partner with them in maps, in search for most of our products, but we also compete with them in the mobile OS space and now in the hardware phone space. So, it’s difficult to put people in one camp or the other always. There are some companies like the media companies where we partnered with so well that Apple is now selling billions of dollars of digital content.

4:15 Also companies like carriers where we partnered with to bring iPhone to in 86 countries. Ones that draw the most attention are the ones that are more complex, where we’re both competitors and partners.

4:16 Apple TV is still a hobby. We’ve been very clear about that. The reason that we call it a hobby… if you look at the other businesses we’re in, these businesses are all in huge markets. The unit volumes in these things is huge. Apple TV is in a market that’s very small. Today. Apple TV did grow in the quarter we just finished by 35% in a unit basis year-over-year.

4:17 No interest in going into the TV market. But still think there’s something there. So we continue to invest in this as a hobby.

4:18 iMac is very key, will continue to be very key. I think people will continue to want a very gorgeous large screen, all-in-one, simple to use, very elegant machine, we’re going to continue to deliver it.

4:19 Where growth coming from going forward? Here’s the exciting thing. If you take a look at the Mac, the Mac has outgrown the market 20 of the last 21 quarters. 5 years in a row. Has outgrown the market. And in many of those quarters, outgrew it by multiple. The PC industry is over 300 million units per year. Last fiscal year, Mac did over 10 million units. Ceiling is far above. Continue to invest in enormous amount of energy and talent in the Mac. Doesn’t take Market growth. 50% of customers in Apple store are from Windows.

4:20 iPod touch has been a runaway hit, and it helps the platform that you’re talking about. If you look at the iPod touch, it grew 100% last fiscal year. 55% y/y last quarter. Each fuels more app sales, more developers. iPad? Haven’t sold one yet. A lot of interest in it. I’ve been using one for 6 months or so, I’ll tell you the experience is just absolutely incredible. Can’t wait to start shipping it.

4:21 iPhone, I feel we’ve just gotten started.

4:22 Over 3 billion downloads on app store, over 140,000 apps for sale, these are incredible numbers. Who would have dreamed of these? I see opportunity all over the place.

4:23 The word “complete” is not in our dictionary. We’re all about innovation. Many times that means we’re all about obsoleting ourselves. Going to continue to make things better and going to continue to innovate. I’d say the ecosystem is really good, the platform is really good. Certainly all the foundation is in place. Will it get better? Clearly yes. But great now.

4:24 iPad new use case or replacement for netbooks? We haven’t sold one. I’m a paranoid guy by nature, but I’m not losing any sleep over cannibalization, to be honest with you. Who would buy it? I’ve been very clear about my view of netbooks. I think they are an experience that most people will not want to continue to have. People were interested in the price and they got it home and used it and went ‘Why did I buy this?’ so I think when somebody looks at iPad and compares it to a netbook, I find it hard to believe that people are going to buy netbooks. Not everyone will make the comparison so I’m not suggesting that. But I think what I’d rather do with this question is report back to you.

4:26 iPad will launch in direct channel first, and indirect channels where we have assisted sales, such as store-in-store at Best Buy, and Internationally, Apple Premium Resellers. Initially, it will be around places with really great assisted sales. Over time, it will expand. Where it goes and how fast it goes, we’ll see.

4:27 Why so cheap? We didn’t want to leave pricing umbrella for competition. For those who haven’t focused on this, it has best browsing experience you could ever imagine. Very anxious to start getting it out.

4:28 Extended key partnership with AT&T. Can you talk about advantages and disadvantages of having exclusive agreement? The primary advantages on a single carrier model, and I’ll talk about the iPhone, is simplicity and in some cases, we’re able to innovate along with the carrier and provide a feature it would be difficult to work with multiple carriers and provide. We brought visual voicemail to market, which took innovation from Apple and carrier partner. On a multi-carrier model, the question is, can you sell more units? And so what that gets at is, in some countries, carriers have very sticky relationships with their countries, so having more carriers and more distribution allows you to sell more units. If you look where are from the end of our Q1 in December, if you looked at top 10 iPhone countries, 5 were single carrier countries. 3 of those we had a contractual exclusivity, 2 we can add carriers when we desire. Across 2009, we added carriers in France, UK, Singapore, several Scandinavian countries. A great deal of our work on distribution side was expanding carriers in existing countries. Pleasantly surprised that in every single country, our units increased significantly, and our share with it. Feel like we made really good decisions. Not saying we would do it in every country. But that was our experience with the ones we did it in 2009. We do it on country by country basis.

4:32 Would another carrier need to match pricing on iPad to become carrier for it? I think AT&T’s pricing is revolutionary. (Unlimited data for $30/month, 250 MB for $15/month.)

4:33 Talked a little before about virtuous cycle we have with devs. How do you protect user experience as developers go out and develop products? This is the privilege and curse of technology. Same as you’d see in PC world; at some point, if you include every hardware you’ve ever shipped, you stifle innovation. Because we’ve done this for so long, I feel like we’ve come to a really intelligent conclusion on these each time. I think that’s part of our knowledge and heritage as a platform provider.

4:35 Which way is OS market moving? I don’t see it as this or that — iPhone vs. Mac — or this over that. I think there is a place for both. What you’re seeing for Apple is that the Mac OS is very scalable. Huge competitive advantage for Apple. Use the Mac OS in a lot of products. Don’t think there’s another company that can use the foundation of their OS that way. Move at a fast speed with many fewer people than it would take if we were geographically north. (Slap at Microsoft.)

4:36 Our surveys indicate Mac and iPhone are attracting significant interest in enterprise. What are you doing?

4:36 For the iPhone, 70% of Fortune 100 companies in US are either deploying iPhone or currently testing for deployment. 50% of the FT 100 are doing the same thing. Huge uplift in interest as we went to iPhone 2.0 software and then 3.0 because we put a number of enterprise features in the software. We clearly see this continuing. On Mac side, amazing how many CIOs are now visiting Apple and are interested in the Mac. We haven’t put on a huge channel, and don’t have a huge sales force, but many CIOs that once thought standardization was the most important thing in life, they now look at salaries of people and the importance of having peoples’ creativity at peak, and are increasingly allowing employees to decide. This helps Apple immensely.

4:39 I think people in general and they think enterprise is bigger than consumer. But it’s not. In PCs, it’s 10%, which is sizable, but consumers are over 50%. Our heart and soul and DNA is in consumer. It just so happens there are consumers working in enterprises who want to use these products.

4:41 People are looking at this differently. At least the people with a lot of vision are.

4:41 Just short of 300 stores. Ron Johnson has built a retail team Bar None. We went into retail not as a test, not as pilot, but to sell to consumers, because many wanted it. We knew we’d never have enough stores to cover the world. So after we got going, we set a range of 25-50, reasonable range we could execute really well. Made a strategic call in 2008, we thought we’d see many more opportunities — some top properties would come on the market with better economics. And guess what? Now, there’s a lot of great properties on the market. So we’re going to do about 50 this year. We’ve always had the team to do 50. It’s not easy to do, it’s very hard to do. But we’re going to do it. We didn’t lower the bar at all. These stores are among the best we’ve ever done. If you haven’t been to NYC Upper West Side store, it will make your jaw drop. Next time you’re in Paris, go to the Louvre; it’s just amazing. Another store in China in Shanghai in the summer that is mind blowing. Another one in London that will also drop your jaw.

4:45 New chip. Apple has been in silicon design business for years. Not new to us to be in silicon design business. As we looked at some of the products that we are doing like the iPad, and some we will do in the future, we felt that we had the best knowledge of what we wanted the silicon to do. And were in the best ability to deliver that ourselves versus going out to somebody else and buying something that wasn’t exactly what they wanted.

4:47 Acquisition strategy: Historically, we have acquired companies for technology and talent. And they have been on the small size. We’ve looked at large companies, but we have not had a large company pass a strategic and a financial test. We don’t let our money burn a hole in our pocket. Unless we find something that really makes sense for Apple shareholders, we’re not going to do it. The small ones have been incredibly valuable for us, mainly from the talent POV, but also from technology. If we find a large one, we won’t be shy about it. But we won’t do it to do it. We have never been about being the biggest, we’ve always been about making the best products. Not having highest market share or most revenue. Acquiring something that makes our revenue go higher wouldn’t be a reason why we’d buy a company.

4:49 How do you stop hubris from creeping in? Executive team in the company spends a lot of time thinking and discussing how to retain and recruit the best talent in the world. At the end of the day, I know it’s a cliche, but people are our most important asset in the world by far. It’s people who deliver innovation. We are the most focused company that I know of or have read of or have any knowledge of. We say no to good ideas every day. We say no to great ideas in order to keep the amount of things we focus on very small in number so that we can put enormous energy behind the ones we do choose. The table each of you are sitting at today, you could probably put every product on it that Apple makes, yet Apple’s revenue last year was $40 billion. I think any other company that could say that is an oil company. That’s not just saying yes to the right products, it’s saying no to many products that are good ideas, but just not nearly as good as the other ones. I think this is so ingrained in our company that this hubris you talk about that happens to companies that are successful and sole role in life is to get bigger, I can tell you the management team at Apple would never let that happen. That’s not what we’re about. Small list of things to focus on.

Two new adverts for the iPhone have begun airing on U.S. television over the weekend and have been promptly posted on Apple’s website. Of note is that the adverts have moved away from the recent theme of advertising the App Store and returned to touting iPhone features.

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Apple has in the last week doubled the download limit for App Store downloads when using a carriers 3G network.

Previously Apps downloaded from the App Store would have to be downloaded using WiFi if over 10MB, this limit is now 20MB and is said to not only apply to Apps but podcasts and videos too.

Following a complaint filed by Kodak last month against Apple and Research in Motion (RIM) the U.S. International Trade Commission has announced that it will investigate the iPhone and Blackberry makers.

The investigation is based on a complaint filed by Eastman Kodak Company of Rochester, NY, on January 14, 2010. The complaint alleges violations of section 337 of the Tariff Act of 1930 in the importation into the United States and sale of certain mobile telephones and wireless communication devices featuring digital cameras and components thereof that infringe a patent asserted by Kodak. The complainant requests that the USITC issue an exclusion order and cease and desist orders.

Kodak alleges that the iPhone and Blackberry use technologies that infringe patents and has asked the ITC to ban the imports of units in the United State.

The USITC will offer a “final determination in the investigation at the earliest practicable time.”

iPhone 3GS | Image courtesy of Apple

Apple has been officially awarded the “IPHONE” trademark in the U.S. Patent and Trademark Office under number 3,746,840 covering International Classes 9, 28 and 38.

Of interest from the award which covers both the name and logo is that the trademark includes classes 9, 28 and 38. The most interesting of the three being class 28 which covers “Handheld unit for playing electronic games.”

View the full patent certificate here, awarded on February 9, 2010.

Both IDC and comScore recently released reports on smartphone market share for the last quarter of 2009.

According to comScore Apple’s share grew to 25.3% up from 24.1% in the previous quarter in the U.S. At the same time Research in Motions’s share fell to 41.6% from 42.6%.

IDC also reported that in the worldwide market Apple gained significantly to reach a 16% share during 4Q09 with unit shipments of 8.7 million. IDC also offered market share information for the whole of 2009 showing Apple in a dominant third place behind Nokia and RIM. During 2009 Apple’s market share almost doubled from 9.1% to 14.4%.

O2 has confirmed that it has sold 2 million iPhones in the UK since it began sales in November 2007. Matthew Key, the chief executive of Telefonica Europe, and Ronan Dunne, chief executive of O2 UK had told reporters in embargoed comments.

The executives also spoke about how they are still seeing benefits from the early exclusivity the carrier held over the iPhone. “It will take a long time before that goes away,” Dunne said.

In addition it is rumoured that O2 is in talks with Apple to offer the 3G iPad in the UK. Although it is also said that an exclusive agreement is unlikely despite AT&T currently having the device in the U.S.

The WiFi version of the iPad will debut in the UK in March with the 3G version following in April, according to Apple.

A report from DigiTimes today shows that Apple will add to its manufacturing partnership with Foxconn and use an arm of Asus to manufacture the upcoming iPhone.

The report states that Pegatron Technology has been selected by Apple and will manufacture the next-generation iPhone alongside Foxconn.

The next iPhone is expected to be released along Apple’s normal timeframe around June time and the addition of another manufacturer could suggest that Apple is looking to increase output. Along the same lines Pegatron expects handset shipments to “grow substantially in 2010″.

In separate news with the release of a new iPhone SDK yesterday alongside the iPhone OS update revealed that Apple has begun referring to the next iPhone as “N89″. A contrast to a report that suggested the iPhone was referred to as “N90″.