Tag Archives: 2011

AT&T Also Cut By Double-Edged Success of iPhone 4S


A few days ago, Verizon released their quarterly report, and the news was bittersweet: they sold a ton of iPhones, but were bit by the cost of subsidizing them. Today, AT&T released their own quarterly report, and they, too, felt the sting of high iPhone subsidies.

First, the good: the company sold 7.6 million iPhones in the last quarter, meaning that AT&T made up fully 20% of the phone’s total fourth quarter sales. The iPhone also made up 80% of AT&T’s total quarterly smartphone sales, handily beating out competing Android, Windows Phone, and other competing devices; and even accounted for 66% of AT&T’s total phone sales in the quarter.

This means that, despite losing exclusivity in 2011, AT&T remains the top carrier for the iPhone in the United States. Its nearest competitor, Verizon, only managed to sell 4.2 million iPhones last quarter. Third place Sprint has yet to report its sales, but they will likely come in below Verizon’s numbers.

But then, there’s the bad: like Verizon before it, AT&T also reported that the high cost of subsidizing the iPhone meant that, despite the stellar numbers, it actually took a hit in revenue for the quarter.  According to AT&T, they experienced a loss of $6.68 billion, or $1.12 per share, in the last quarter. The loss cannot be completely blamed on the iPhone — AT&T also suffered under pension costs and from the disastrous attempt to buy T-Mobile — but it’s clear that all those iPhones cost AT&T a pretty penny. In fact, the adjusted net income for the quarter was 42 cents per share, a penny less than Wall Street expectations.

Also like Verizon before it, these short-term losses have to be considered in terms of their long-term gains. Those 7.6 billion phones are now locked into 2 year contracts with AT&T, and many of them will probably pay extra to upgrade to the iPhone 5 later this year.

[via The Washington Post]

Related Posts iPhone and iPad Sales Continue to Drive Apple’s Growth Apple Posts Record iPad Sales, iPhone Sales Below Expectations Apple Sets Record Revenue – iPad Sales Grow 111% to 15.43 Million Units

Apple Sets Record Revenue – iPad Sales Grow 111% to 15.43 Million Units


Apple just released financial results for its fiscal 2012 first quarter and the company once again posted record sales numbers. Apple was able to grow sales of iOS products versus the same quarter a year ago.  It once again posted record sales numbers with revenue totaling $46.33 billion and a net quarterly profit of $13.06 billion.  This compares to Apple’s revenue of $26.74 billion and net quarterly profit of $6 billion for the same quarter in the previous year.

“We’re thrilled with our outstanding results and record-breaking sales of iPhones, iPads and Macs,” said Tim Cook, Apple’s CEO. “Apple’s momentum is incredibly strong, and we have some amazing new products in the pipeline.”


Apple reported a slight increase in Gross Margins this quarter at 44.7 % compared to 38.5% for the same quarter last year. Analysts had been concerned that margins might take a hit due to aggressive pricing on the iPad and iPhone. The company sold 37.04 million iPhones, 15.4 million iPods and 15.43 million iPad during this busy holiday season.

This blockbuster quarter is the first with new Apple CEO Time Cook.  Cook took the reins of the company after former CEO Steve Jobs stepped down for health reasons in August of last year.

Full Apple Press Release

Apple Reports First Quarter Results - Highest Quarterly Revenue and Earnings Ever

All-Time Record iPhone, iPad and Mac Sales

CUPERTINO, California—January 24, 2012—Apple® today announced financial results for its fiscal 2012 first quarter which spanned 14 weeks and ended December 31, 2011. The Company posted record quarterly revenue of $46.33 billion and record quarterly net profit of $13.06 billion, or $13.87 per diluted share. These results compare to revenue of $26.74 billion and net quarterly profit of $6 billion, or $6.43 per diluted share, in the year-ago quarter. Gross margin was 44.7 percent compared to 38.5 percent in the year-ago quarter. International sales accounted for 58 percent of the quarter’s revenue.

The Company sold 37.04 million iPhones in the quarter, representing 128 percent unit growth over the year-ago quarter. Apple sold 15.43 million iPads during the quarter, a 111 percent unit increase over the year-ago quarter. The Company sold 5.2 million Macs during the quarter, a 26 percent unit increase over the year-ago quarter. Apple sold 15.4 million iPods, a 21 percent unit decline from the year-ago quarter.

“We’re thrilled with our outstanding results and record-breaking sales of iPhones, iPads and Macs,” said Tim Cook, Apple’s CEO. “Apple’s momentum is incredibly strong, and we have some amazing new products in the pipeline.”

“We are very happy to have generated over $17.5 billion in cash flow from operations during the December quarter,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the second fiscal quarter of 2012, which will span 13 weeks, we expect revenue of about $32.5 billion and we expect diluted earnings per share of about $8.50.” 

Related Posts Apple Posts Record Revenue – iPad Sales Grow 183 Percent Apple Posts Record iPad Sales, iPhone Sales Below Expectations Apple Poised to Break Record with 8.5 Million iPad Sales Next Week

6.5 million downloads for Angry Birds on Christmas Day

Rovio says that it saw a whopping 6.5 million downloads of Angry Birds this past Christmas Day, which is just phenomenal, even for this overwhelmingly popular game. That number is very close to the number of iOS and Android devices activated overall, which means that most people who got an iPhone or other mobile device that runs Angry Birds over the holiday ran to download the game as quickly as they could.

I've heard this before. One of the creators of Doodle Jump told me a while ago that whenever Apple released a new device, that app saw jumps of approximately the same numbers in downloads. Angry Birds is obviously quite a phenomenon, and it's so synonymous with the mobile experience that apparently the only limit on it out there is simply how many mobile devices manufacturers can sell.

Rovio also says there's more coming in 2012. We'd hope for Rovio to get back to actually making mobile games not about Angry Birds (the company made more than 30 before Angry Birds hit), but given its popularity, we'll probably still see these frustrated avians even more in the future.

[via Joystiq]

6.5 million downloads for Angry Birds on Christmas Day originally appeared on TUAW - The Unofficial Apple Weblog on Wed, 04 Jan 2012 21:00:00 EST. Please see our terms for use of feeds.

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2011 boasts record holiday season for online shopping, especially from mobile devices

2011 has only just ended, but I have a sneaking suspicion that even when we look back on it in another 12 months from now, we'll find a pretty revolutionary year in terms of the quality and quantity of our shopping. For example, UI expert and project leader Luke Wroblewski has compiled a list of facts about shopping during the holiday season last year, and the list provides a lot of solid insight on just how different 2011 was.

Online buying was up both on Christmas Day and during the holiday season as a whole, and a large percentage of that buying was done with mobile devices. Over 90 percent of mobile device shopping was done with iPads and iPhones, making 2011 a really landmark year in how we use these devices to make purchases and spend money.

Spending on these devices wasn't always for material goods, either. App downloads were up by 125 percent on Christmas Day last year, which makes it a record day not only for 2011, but for the history of both the iOS and Android marketplaces. The week ending December 18 and the last shopping weekend before Christmas were both record periods for spending overall.

In other words, this past holiday season was kind of a landmark in more than a few different ways. We'll have to see how the industry reacts to this next year; there will likely be an even bigger emphasis on spending and shopping from mobile devices in the future.

2011 boasts record holiday season for online shopping, especially from mobile devices originally appeared on TUAW - The Unofficial Apple Weblog on Mon, 02 Jan 2012 23:30:00 EST. Please see our terms for use of feeds.

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2011 Technology Related Successes and Failures


New Years 2012

New year’s eve is always a time for consideration of the year gone past and so it is on this occasion that we reflect on the technology-related successes and failures from 2011. Read on to see what we consider some of the great moves during 2011, while we ponder on some of the big missteps made this past year.

Successes

iPad 2 – Building on the success of the initial iPad launch, the iPad 2 saw the light of day on store shelves in March and enjoyed record setting sales for the rest of 2011. Still the undisputed market leader, the iPad has set the bar for other tablets and become the device all others are measured against. Amazon’s Kindle Fire – The first 7″ tablet to really succeed, the Kindle Fire has filled a gap in the market for those looking for a tablet that is more than an eReader but more affordable than the iPad. Cloud Computing – No matter which service you use, the consensus is that it is the technology direction that makes the most sense. Centralizing storage, wireless access and syncing among all your devices are key advantages to embracing the clouds. Many competitors exist, but the leading services are offered by Apple (iCloud) and Amazon (CloudDrive). iOS 5 – The much-anticipated upgrade for Apple’s mobile operating system represented an important myriad of changes that reflected the needs and interests of their considerable (and rapidly growing) user-base. More than 200 updates were included and in true Apple style has been enjoyed by users with very few resulting bugs and issues. Ice Cream Sandwich – Android confirmed my belief that there is nothing wrong with a good ice cream sandwich. Their version 4.0 release represented an evolution of the Android operating system that allowed for the same version to be used on all devices. A considerable number of updates and additions were also included and reviews are glowing. Siri – You wanted voice recognition and Apple delivered in spades. Working as well or better than advertised, Siri will become your digital personal assistant and best-friend. HTML 5 – I struggled with whether to list this as a failure for Adobe’s Flash or a success for HTML 5. Whichever way you slice it, the memory of Steve Jobs was well remembered when Adobe announced in November that they would no longer support development of the mobile browser Flash plug-in.

MacTech 2011 pulls in huge attendance, videos available now

MacTech Conference 2011 was held this week in Los Angeles, California, and since last year, this conference has definitely grown. There were almost twice as many people as last year's event, says MacTech publisher Neil Ticktin, reaching a total of almost 350 people. There were plenty of great speakers in both the developer and IT tracks of the conference, and highlights include Guy Kawasaki's great keynote speech, an impassioned series of questions from Aaron Hillegass, a demo of the Simian deployment software that got the Mac IT guys talking, and a to-the-point talk from Andy Ihnatko about how developers can put together strong relationships with the press to help promote their apps. Everybody at the conference seemed to have a great time throughout, and during coffee breaks, lunches, and even the bowling party held last night at Universal CityWalk, Mac devs and IT professionals chatted and networked together in the strong Mac development community.

If you weren't at the conference itself, videos of all of the presentations are now available online, in a bundle for $449, or individually for $20 a piece. There's a lot of wisdom hidden in those, whether you get one or the whole bunch, so if something on the schedule piques your interest, do check them out.

And the MacTech train is going to roll on -- Ticktin says a new one-day, specially focused event called MacTech InDepth will be held on December 7 in San Francisco, and both MacTech Bootcamp and MacTech Conference will be on again next year in 2012. Thanks to MacTech for graciously hosting the show this week for us as well. This year's conference really showed that the event is a great place for the Mac IT and development community to touch base and learn how better to work with the platform, both from peers and influential speakers.

MacTech 2011 pulls in huge attendance, videos available now originally appeared on TUAW - The Unofficial Apple Weblog on Fri, 04 Nov 2011 21:00:00 EST. Please see our terms for use of feeds.

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360iDev: Getting ready for apps on the Apple TV

Developer Michael Gile took the stage at 360iDev in Denver to talk about the next generation of iOS development: Apple TV app development. Apple hasn't officially released or even announced iOS apps on the Apple TV yet, but that hasn't stopped Gile and a community of jailbreakers from diving in and getting code running on it anyway. Gile started his speech with a prediction: "Apple TV 2 will be the biggest game console in history," he said. If Apple implements a way to play iOS games on the device directly, it'll have a gigantic game library -- it's already larger than many of the biggest consoles in history combined.

Gile said he believes there's still space to conquer in the living room. Xbox, Netflix, and Roku have all made bids for setting up "set-top boxes." No one has brought about the kind of "grand strategy" that Apple likes, with a complete vertical solution for selling hardware, software, and entertainment content (through iTunes, and its install base complete with credit cards ready for purchase).

The rest of Gile's talk was mostly demos of the code he's already gotten running on the Apple TV. He started off with the GLTeapot, a traditional "Hello World" kind of demo used for 3D developers. He then dived into the code, showing off the interface Apple has already included on the Apple TV system (though none of it is yet officially documented or available to developers -- this is all internal code used by the company to run the device). While iOS uses the UIKit framework to run most of its code, the Apple TV uses a "BackRow" (or "BR") framework, apparently a twist on the "FrontRow" application that originated back in the days of Apple's "experiment." This "BRKit" does have lots of the standard UIKit ties, though Gile pointed out there are still quite a few differences in both names and functionality.

Still, he and the rest of the jailbreak community have gotten quite a bit done already. Gile showed off a navigation app similar to Apple's own app, though hooked up to his own applications. He was able to load up and play media assets (in this case, a trailer for Sony's Spider-Man movie), and he ran through a few other demos and functions of what the code was capable of.

But perhaps the most exciting parts of Gile's talk were two things he wasn't able to show off just yet. He says he's grabbed the recently released source code for id games' Wolfenstein 3D and Quake and has been working hard on porting it over to the Apple TV's system, with a nice bit of success so far. Gile also announced that next month he'll be releasing a version of the popular cocos2D iOS development platform that will also work with the Apple TV, essentially making it very easy for cocos2D developers to get their games up and running on Apple TV without issue.

Gile was quite enthusiastic about Apple TV development. He made it very clear he thinks Apple is going to go big on this iOS device in the living room, and he was quite serious about building apps for the platform in order to have them running and ready to go on day one. "I want to be the Trism of Apple TV 2," he said (referring to the original jailbreak game that made it big when the App Store first launched), and he invited any other interested developers in the room to join him in his quest.

It's still unclear just how Apple will approach iOS development on the Apple TV, whether it will simply extend the current SDK the way it did with the iPad or instead offer up an entirely new way to control and code apps and games. But whatever Apple decides, it's clear Gile wants to be ready for it.

360iDev: Getting ready for apps on the Apple TV originally appeared on TUAW - The Unofficial Apple Weblog on Fri, 16 Sep 2011 00:00:00 EST. Please see our terms for use of feeds.

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360iDev: How to make money from a free app

Developer Brian Robbins from Riptide Games gave a fascinating talk today about the apparent paradox of trying to make money off of a free app on Apple's App Store. Originally the App Store had only the two choices of a free or paid release. More recently, developers have a bevy of options for bringing in revenue even on free apps, including in-app ads, in-app purchases and freemium models, or even using "lite" versions of games to promote the paid versions. Robbins walked through a general overview of the models available and filled in the blanks with a lot of actual, clear numbers from his own company and its releases.

Robbins first mentioned making free apps for portfolios and lite versions. Some developers will just put apps together to try to build up their brand or show off work for hire abilities, then release those as free apps for everyone to try. Lite apps are also a possibility, where devs can release free apps to promote their paid versions (or even promote upgrades via in-app purchase). But Robbins was unimpressed with the lite strategy; he said conversions to paid apps were basically a numbers game and not a really workable strategy. Many devs have been releasing free apps to try reaching a larger audience, then hoping that a larger audience would go for paid apps. "I don't personally believe that the lite version is a really good model going forward," Robbins said.

Robbins was much more bullish on ad-supported apps, a strategy that his company has used to solid effect. There are a few different large ad networks on the iOS platform, the most high profile of which is Apple's own iAds service. But while Robbins said ads were a pretty stable way to make money (sometimes even earning up to $2 or $3 per CPM -- basically the number of clicks or views on a thousand ad shows), the "fill rate" is still a problem. iOS developers request ads from these ad networks all the time, but ad networks don't always have ads to show.

"Fill rate" is the rate at which advertisers actually insert ads in an iOS app, for a user to see and a developer to make money off of. These fill rates are surprisingly low, no matter what ad network you're talking about. Even an established network like AdMob (owned by Google) only fills ads at a rate of about 80 percent. And that's high in the market; Robbins said other advertisers only filled at about 50 percent. Apple's own iAd service only filled at about 25-30 ercent. Outside of the US, said Robbins, the fill rate for iAd on apps was practically zero, and another developer in the audience said that when he tried to use full-screen iAds on the iPad, the fill rate turned out to be something like 0.01 percent. In other words, Apple is apparently having a tough time selling ads (something that we've heard before).

However, Robbins also said that when Apple does sell ads, they are profitable. Last holiday season, Apple's ads were paying as much as $40 per CPM (though they've since been down to $0.90), and Robbins's set of ad-supported "iLook" apps take their biggest chunk of revenue from Apple's own service. The iLook apps have made over $53,000 for Robbins and his company so far, of which $26,000 came from iAds. Most of that came from a big Christmas boost last year. Robbins said the other networks paid less for shown ads, and he was surprised that networks have started to pay much less for games and a little more for non-game apps. iAds for Dove, for example, never showed up in his games, but he saw them all the time in his non-game photo apps.

Finally, Robbins talked about the freemium model, which he and his company have since moved to using in a big way. The first game Riptide released under this model was Gravity Slide (a game actually prototyped at a previous 360iDev game jam). Since its release the app has pulled in 450,000 downloads, making up $14,000 in revenue from in-app purchases of level and content packs. The app has seen a 1 percent conversion rate (so 1 percent of people using the app have purchased something), but Robbins noted that among OpenFeint users specifically, that conversion rate more than doubled to 2.5 percent.

Finally, Robbins walked through the stats on My Pet Zombie, his company's latest game, designed completely for the freemium model. This game uses "bones" as an in-app currency and has pulled in $53,000 in revenue though it's only been out on the App Store for a little while. In-app purchases made up $19,000 of that revenue, while ad campaigns and "incentivized promotions" (where advertisers pay for things like other app installs, or even getting users to watch a short video) made up most of the rest. Robbins also stressed the importance of metrics in freemium development, or the ability of developers to track and monitor just what their users are doing in the games and apps and how they're doing them.

When My Pet Zombie first launched, said Robbins, it was only keeping users around for the first full week at a rate of 7 percent -- that is, after seven days post-download, only 7 percent of users were still playing the game. That kind of stat also led to a low conversion rate, which meant low revenue. But through some testing, Robbins has managed to get the seven-day retention figure up to 13 percent, with consequent revenue growth as well. He credited that growth to using metrics to figure out the audience, and he said he plans to grow the game even bigger in the future.

Robbins's talk was really interesting, and those numbers he shared offer up some real food for thought for developers in this space. The freemium model definitely shows promise (which the "lite" app model is apparently lacking), and ad-supported apps look like a potential revenue boon for developers of free apps as well.

360iDev: How to make money from a free app originally appeared on TUAW - The Unofficial Apple Weblog on Mon, 12 Sep 2011 22:00:00 EST. Please see our terms for use of feeds.

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360iDev Denver: Matt Drance on the past and future of iOS development

This week's 360iDev conference in Denver, CO kicked off today with a keynote from former Apple employee Matt Drance, who offered a summary of what's changed (and what hasn't) since the last time he spoke to this conference two years ago. He also discussed the attitudes developers need to take this platform on successfully.

Drance started out by saying that, quite obviously, "it's been a hell of a couple years" for both Apple and the iOS platform. Back in the early days of the iPhone, Steve Jobs said Apple hoped to sell 10 million devices, and to date, Apple has actually put 220 million devices out there (as of July of this past year). Drance was very enthusiastic about the platform -- he says that back when John Doerr said that the iOS platform was "bigger than the personal computer," even he, as an Apple employee thought, "I don't know, John. I'm paid to pump this stuff, and even I think that's a bit much." But Doerr was right, said Drance. The portability and power of iOS and the devices Apple has made transcends even what the personal computer was able to achieve, and it's only going to get even more influential from here on out.

Drance also made the point, however, that some things haven't changed in the past few years. While the app landscape and individual app quality are both very different, the general system of making and releasing apps hasn't changed that much. And that's pretty amazing, said Drance, because not only is Apple supporting developers, it's still putting them front and center in commercials for iOS devices. This is one of the richest and most powerful companies in the world, said Drance, and Apple is using developers' work (by showing third-party apps its TV commercials) to sell their extremely popular devices. "Apple never puts its reputation in other people's hands," said Drance. "But they're still doing it" by showing off developers' apps, a tablet, and a pair of hands in the official commercials.

Finally, Drance walked through a series of entreaties for the developers in attendance, which he said were designed to help them get in the right mindset of the conference. He walked through the general needs of an app (appearance, interaction, stability, performance), and then said while designers tend to work on an app's appearance and interaction, and developers tend to deal with stability and performance, in actuality, everyone working on an app or any piece of software should be concerned with quality across the board. Drance encouraged teams to share concerns with each other whenever questions of quality came up. "It's not about winning the argument," he said, "it's about having one."

Drance also suggested developers start out with a plan and stick to it, and remain organized to do so. He shared a quick story of a sprinkler system issue in his yard, and showed pictures he took after digging up the pipes and finding a mess of criss-crossing and tangled PVC. "There are no comments here," he joked, nabbing a big laugh from a roomful of developers. But Drance said the lesson was to go for quality in everything, on every level of development.

Finally, Drance asked the devs in attendance to keep moving forward, both in terms of the apps they're working on ("Ship" was one of his directives) and in their own skillsets. "Learn the language," he said, pointing out that being well-versed in Objective-C was the same as having a solid grasp on French or even English. Apple's own code doesn't use methods like "ApplicationLaunched" -- iOS uses a method called "ApplicationDidFinishLaunching," which Drance said reflected how even Apple approaches its own language.

Drance's talk was an excellent start to the week. TUAW will be here in Denver all week long covering the conference and the developers attending it -- stay tuned for more.

360iDev Denver: Matt Drance on the past and future of iOS development originally appeared on TUAW - The Unofficial Apple Weblog on Mon, 12 Sep 2011 13:30:00 EST. Please see our terms for use of feeds.

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Gartner: Apple’s global mobile phone share almost doubled in Q2 2011


Gartner's numbers were released for the second quarter in 2011 and Apple continues to show strong growth. The smartphone manufacturer is number four globally in the mobile phone market trailing Nokia, Samsung and LG. Its market share almost doubled from last year, climbing from 2.4% in 2010 to 4.6% in 2011. These figures are impressive for a company that makes a single smartphone and is competing against companies that produce a variety of smartphones and feature phones.

Apple is also the #3 platform with almost 20 million iPhones flying off the production line. It now has 18.2% market share, up from 14.1% in 2010. Much of this growth is due to Apple's partnership with 42 new carriers and its expansion into 15 new countries during Q2 2011. According to Gartner, Apple still trails Symbian which has 22.1% market share, a significant drop from its 40.9% in the same quarter of 2010. Apple also trails Android which now has a 43.4% market share, up from 17.2% in 2010.

Gartner: Apple's global mobile phone share almost doubled in Q2 2011 originally appeared on TUAW - The Unofficial Apple Weblog on Thu, 11 Aug 2011 13:00:00 EST. Please see our terms for use of feeds.

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Apple Posts Record Revenue – iPad Sales Grow 183 Percent

Apple just released financial results for its third fiscal quarter, and the company once again posted record sales numbers. Apple posted a record revenue of $28.57 billion and a net quarterly profit of $7.31 billion. This compares to Apple’s revenue of $15.7 billion and net quarterly profit of $3.25 billion for the same quarter in the previous year.

“We’re thrilled to deliver our best quarter ever, with revenue up 82 percent and profits up 125 percent,” said Steve Jobs, Apple’s CEO. “Right now, we’re very focused and excited about bringing iOS 5 and iCloud to our users this fall.”

Apple reported an increase in gross margins this quarter at 41.7-percent, compared to 39.1-percent for the same quarter last year. The company sold 20.34 million iPhones, representing 142 percent unit growth over the year-ago quarter, and sold 9.25 million iPads during the quarter, a 183 percent unit increase over the year-ago quarter.

“We are extremely pleased with our performance which drove quarterly cash flow from operations of $11.1 billion, an increase of 131 percent year-over-year,” said Peter Oppenheimer, Apple’s CFO. Apple currently expects to generate $25 billion in revenue during the fourth fiscal quarter of this year, expected to close on September 25, 2011.

Full Apple Press Release

CUPERTINO, California—July 19, 2011—Apple® today announced financial results for its fiscal 2011 third quarter ended June 25, 2011. The Company posted record quarterly revenue of $28.57 billion and record quarterly net profit of $7.31 billion, or $7.79 per diluted share. These results compare to revenue of $15.70 billion and net quarterly profit of $3.25 billion, or $3.51 per diluted share, in the year-ago quarter. Gross margin was 41.7 percent compared to 39.1 percent in the year-ago quarter. International sales accounted for 62 percent of the quarter’s revenue.

The Company sold 20.34 million iPhones in the quarter, representing 142 percent unit growth over the year-ago quarter. Apple sold 9.25 million iPads during the quarter, a 183 percent unit increase over the year-ago quarter. The Company sold 3.95 million Macs during the quarter, a 14 percent unit increase over the year-ago quarter. Apple sold 7.54 million iPods, a 20 percent unit decline from the year-ago quarter.

“We’re thrilled to deliver our best quarter ever, with revenue up 82 percent and profits up 125 percent,” said Steve Jobs, Apple’s CEO. “Right now, we’re very focused and excited about bringing iOS 5 and iCloud to our users this fall.”

“We are extremely pleased with our performance which drove quarterly cash flow from operations of $11.1 billion, an increase of 131 percent year-over-year,” said Peter Oppenheimer, Apple’s CFO. “Looking ahead to the fourth fiscal quarter of 2011, we expect revenue of about $25 billion and we expect diluted earnings per share of about $5.50.”

Apple will provide live streaming of its Q3 2011 financial results conference call beginning at 2:00 p.m. PDT on July 19, 2011 at www.apple.com/quicktime/qtv/earningsq311. This webcast will also be available for replay for approximately two weeks thereafter.

This press release contains forward-looking statements including without limitation those about the Company’s estimated revenue and earnings per share. These statements involve risks and uncertainties, and actual results may differ. Risks and uncertainties include without limitation the effect of competitive and economic factors, and the Company’s reaction to those factors, on consumer and business buying decisions with respect to the Company’s products; continued competitive pressures in the marketplace; the ability of the Company to deliver to the marketplace and stimulate customer demand for new programs, products, and technological innovations on a timely basis; the effect that product introductions and transitions, changes in product pricing or mix, and/or increases in component costs could have on the Company’s gross margin; the inventory risk associated with the Company’s need to order or commit to order product components in advance of customer orders; the continued availability on acceptable terms, or at all, of certain components and services essential to the Company’s business currently obtained by the Company from sole or limited sources; the effect that the Company’s dependency on manufacturing and logistics services provided by third parties may have on the quality, quantity or cost of products manufactured or services rendered; risks associated with the Company’s international operations; the Company’s reliance on third-party intellectual property and digital content; the potential impact of a finding that the Company has infringed on the intellectual property rights of others; the Company’s dependency on the performance of distributors, carriers and other resellers of the Company’s products; the effect that product and service quality problems could have on the Company’s sales and operating profits; the continued service and availability of key executives and employees; war, terrorism, public health issues, natural disasters, and other circumstances that could disrupt supply, delivery, or demand of products; and unfavorable results of other legal proceedings. More information on potential factors that could affect the Company’s financial results is included from time to time in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company’s public reports filed with the SEC, including the Company’s Form 10-K for the fiscal year ended September 25, 2010, its Forms 10-Q for the quarters ended December 25, 2010 and March 26, 2011, and its Form 10-Q for the quarter ended June 25, 2011 to be filed with the SEC. The Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates.

Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and has recently introduced iPad 2 which is defining the future of mobile media and computing devices.

Analyst ups AAPL on strong projected iPad, iPhone sales

Canaccord Genuity analyst T. Michael Walkley remains bullish on Apple pointing to strong iPhone and iPad sales in June. He's so confident in Apple that he boosted his iPhone sales estimate from 75.5 million million to 77.3 million in 2011.

He also predicts Apple will sell a whopping 100.2 million iPhones and 55.1 million iPads in 2012. As others have said before him, Walkley notes that Apple will continue to lead both the tablet and smartphone market.

So what does these numbers mean for the average joe? More iPhones and iPads in circulation, greater incentive for developers to jump into the iOS ecosystem and extra cash for Apple to pump into research and development for the next generation iOS devices. Sounds good, doesn't it?

Analyst ups AAPL on strong projected iPad, iPhone sales originally appeared on TUAW - The Unofficial Apple Weblog on Fri, 08 Jul 2011 17:30:00 EST. Please see our terms for use of feeds.

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Comparing Apple and RIM smartphone numbers for the past year

There's been a lot of back and forth lately about Apple and RIM and their smartphone sales -- of course, with the iPhone, Apple has laid claim on the "new and shiny" market. But RIM continues to be huge, with lots of users still stuck on the BlackBerry and its various services. Jim Dalrymple at the Loop decided to break down the numbers and see who's really selling more devices.

So what's the truth? All told, it's Apple. RIM has shipped 52.4 million devices in the last year, which is nothing to sniff at, and definitely in opposition to anyone claiming the company is washed up. But Apple edges RIM out, shipping 57.39 million iPhones. For all four quarters of the past year, save for the period between last May and June, Apple has shipped more smartphones than RIM.

Keep in mind, however, that these numbers, at least on RIM's side, are for shipped devices, not devices sold. Apple has announced that it sold 18.5 million iPhones in just the first quarter of this year, and it's likely that RIM lags behind that number a bit. Apple's pulling ahead, but there's still some competition in the smartphone market among these two.

Comparing Apple and RIM smartphone numbers for the past year originally appeared on TUAW on Mon, 25 Apr 2011 17:00:00 EST. Please see our terms for use of feeds.

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Apple’s 2011 WorldWide Developers Conference to Kick Off June 6


Earlier today, Apple announced that it will hold its annual WorldWide Developers Conference (WWDC) from June 6 to June 10, at the Moscone Center in San Francisco. The event will be focused on “the future of iOS and OS X,” and will feature more than than 100 sessions, to help iOS and Mac developers enhance their coding techniques, and exchange coding tips.

Several sessions will be focused on the new features offered by OS X Lion, as well as iOS. While the press release published by Apple earlier today does not mention it explicitly, the event could also be used by Apple to offer a glimpse of what iOS 5 will offer, once released during fall 2o11.

About a thousand of Apple engineers will be invited to the event, so if you happen to be an iOS or OS X developer – and are willing to pay the $1,599 entry fee – the show will be a great way to meet the folks who build the operating system you use everyday.

As usual, Apple will give its yearly Design Awards for apps developers, for apps “that demonstrate technical excellence, innovation and outstanding design.” Last year, only iPhone and iPad apps were included in the Design Awards content, but this time around, Apple will also include Mac apps – an smart move, given that Apple launched the Mac App Store earlier this year.

Full press release below:

CUPERTINO, California—March 28, 2011—Apple® today announced that it will hold its annual Worldwide Developers Conference (WWDC) June 6 through June 10 at San Francisco’s Moscone West. At this year’s five-day conference Apple will unveil the future of iOS and Mac OS®, including exciting demonstrations of the new kinds of apps that developers can build using Apple’s advanced frameworks and more than 100 technical sessions presented by Apple engineers.

“At this year’s conference we are going to unveil the future of iOS and Mac OS,” said Philip Schiller, Apple’s senior vice president of Worldwide Product Marketing. “If you are an iOS or Mac OS X software developer, this is the event that you do not want to miss.”

Mobile developers will be able to explore the latest innovations and capabilities of iOS and learn how to greatly enhance the functionality, performance and design of their apps. Mac® developers will see and learn how to develop world-class Mac OS X Lion applications using its latest technologies and capabilities. Developers can even bring their code to the labs and work with Apple engineers, applying development techniques and best-practices to enhance their apps.

 

Activities at Apple’s WWDC 2011 include:

  • more than 100 technical sessions presented by Apple engineers on a wide range of technology-specific topics for developing, deploying and integrating the latest iOS and Mac OS technologies;
  • over 1,000 Apple engineers providing developers with code-level assistance, insight into optimal development techniques, and guidance on how they can make the most of iOS and Mac OS technologies in their apps;
  • the opportunity to connect with thousands of fellow iPad®, iPhone® and Mac developers from around the world; and

Apple Design Awards which recognize iPad, iPhone and Mac apps that demonstrate technical excellence, innovation and outstanding design.

Go to the Apple Worldwide Developers Conference 2011 website (developer.apple.com/wwdc) to purchase tickets, as well as for updates and more information.

Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and has recently introduced iPad 2 which is defining the future of mobile media and computing devices.

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New MacBook Pro benchmarks show marked improvement

Primate Labs snagged the latest Geekbench 2 results for the new MacBook Pros and compared the benchmarks to previous generation models. Good news for those planning to grab a latest generation model. The results show a big jump in performance for the MacBook Pros with the new quad-core Sandy Bridge processors.

These latest generation machines are scoring between 8,000 to 10,000, a marked increase over the 5,000 to 6,000 recorded by the 2010 MacBook Pro models. In this test, the bigger the resulting number, the better the performance. These scores from the quad-core MacBook Pro models are 80% better than the 2010 models and competitive with the latest Mac Pro desktops. As expected, the latest 13-inch models now sport the dual-core Core i5 and Core i7 processors which boosts their performance to the same level as last year's 15-inch models.

When looking at these results, remember that Geekbench 2 only measures CPU and memory performance; it does not take into account GPU or SSD contribution to performance. Sometimes a tricked out 2010 model may score higher than an entry-level 2011 model. Overall though, these early results suggest 2011 MacBook Pro owners will be happy with the performance from their shiny, new machines. They may also tempt more than a handful of 2010 owners to jump ship and grab the latest generation machines.

[Via Macrumors]

New MacBook Pro benchmarks show marked improvement originally appeared on TUAW on Fri, 25 Feb 2011 10:00:00 EST. Please see our terms for use of feeds.

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MLB at Bat 2011 for iPad now Available – Batter Up!


Major League Baseball is ready to knock one out of the park again this year with their all new MLB.com At Bat 2011 iPad app. The 2011 edition of MLB at Bat builds on the success of the original version which was one of the App Store’s top grossing iPad apps in 2010. Apple showcased MLB at Bat during last year’s iPad launch event and it has quickly became a must-have app for baseball aficionados.

MLB wanted to get their new app out a little earlier this year so users could begin enjoying Spring Training, which is now in full swing.  The new edition of MLB at Bat provides users with access to live Spring Training games, game-time stats and even includes real-time radio feeds so you can keep up with your favorite team while on the go.

The new 2011 edition packs several new features including the ability for users to customize their iPad’s home screen with their favorite team,  get breaking news on every Major League team and view a calendar with this year’s full-season schedule.  Users will also be able to enjoy live streaming of almost 150 Sprint Training games and can pull up video clips from an enhanced video library archive.

With opening day just five weeks away, MLB is making sure fans are able to enjoy their favorite game anytime, anywhere and on their favorite mobile device. MLB.com at Bat 2011 is available in the App Store for $14.99 and users who buy now will see additional updates prior to the regular season.

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Apple’s iPad Holiday Sales Looking Strong


Looks like the iPad was on a lot of people’s holiday wish lists this year.  We’ve received e-mails from readers, friends and relatives about the iPad being a top gift this year that surprised many lucky recipients.

According to reports from the Wall Street Journal and Fortune, analysts are predicting a blockbuster holiday season for the Apple’s iPad.  Analysts estimate Apple sold between 5 million and 7.5 million units for this past quarter. The estimated sales volumes vary wildly by analysts but all of them are showing bullish numbers for Steve Jobs’ magic tablet.

Fortune polled 27 analysts to get an estimate of how many iPads Apple sold during this current quarter (1Q for Apple). Among those polled, Bill Shope of Goldman Sachs had the highest estimate with 7.54 million iPads sold while Daniel Ernst of Hudson Square had the lowest sales estimate of only 5 million units.

Surprisingly, Apple bull Gene Munster had one of the most conservative estimates out of all the analysts polled.  Munster estimates Apple will move 5.5 million iPads in their first quarter which closes this holiday season.

While we might not know exact sales numbers, judging from the empty store shelves where iPads should be stocked, Christmas sales look strong.  We toured several local Best Buy, Target, Walmart and Apple stores and except for the Apple Stores, all retailers had few iPads left in stock. We also witnessed a number of new iPad owners picking out new cases and accessories for their latest holiday gadget at local area Apple Stores.

The iPad’s positive sales trends looks like it will continue though 2011 based on the latest estimate from Caris & Co. analyst Robert Cihra.  Fortune reports that Cihra is predicting “Apple’s iPad continuing to dominate…in 2011″ and capture 54% of the growing tablet market.

Guess we’ll just have to wait until Apple announces their quarterly earnings on Tuesday, January 18, 2011 to get the company’s official sales numbers. Based on current analyst predictions, it looks to be another great quarter for Steve Jobs and Co.

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iPhone alarms may fail to activate on New Year’s Day

If you're using your iPhone or iPod touch as your primary alarm clock, it might be time to reconsider. In 2010, Apple had well-publicized difficulties with the switchover to Daylight Saving Time. Alarms failed to go off at their proper times, causing thousands of people in the Southern Hemisphere to wake up an hour early and many more thousands in the Northern Hemisphere to wake up an hour late. Now yet another bug has struck Apple's Clock app in iOS: single-use, non-repeating alarms fail to go off at all after New Year's Day.

Just like the Daylight Saving Time bug, living in New Zealand has given me the opportunity to test this bug ahead of time. Strangely, a single-use alarm scheduled to go off at 7:00 AM today went off on time, but now single-use alarms don't work at all. Only alarms set to repeat at least once during the week will work properly. 9to5Mac suggests that the problem will clear up after January 3, and our testing confirms that -- in a couple of days, the alarms are back to normal.

This bug in the Clock app is somewhat less insidious than the Daylight Saving Time bug, which affected repeating alarms. With this New Year's Day bug, you'll still be safe if you've got a repeating alarm set during the work week. Only single-use alarms will fail to go off. I've tested this with alarms created in 2010 and alarms created in 2011, and it makes no difference; all single-use alarms now fail to activate until after 1/3. I've tested this on an iPhone 4 running iOS 4.2.1 -- your experience may differ if you have a different iOS device or software version.

Considering how many things Apple's managed to get right in iOS, it seems really odd that, of all things, it's the Clock app that keeps getting mucked up. Let us know in the comments if any third-party alarm clock apps are experiencing the same issue (though I doubt it). In the meantime, if you've been using your iPhone or iPod touch to wake you up in the morning, it might be a good idea to invest in a cheap standalone alarm clock -- or take off work until Monday.

iPhone alarms may fail to activate on New Year's Day originally appeared on TUAW on Fri, 31 Dec 2010 22:30:00 EST. Please see our terms for use of feeds.

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Three iPad 2 Versions Coming in January – Verizon Model Expected


We previously reported that Apple was increasing its shipment targets for the next iPhone thanks in part to the addition of a CDMA version of the iconic phone. We now hear that Apple has similar plans for the second-generation of iPads expected to be released in the first quarter of next year.

Taiwanese website DigiTimes reports that Apple is preparing to release three distinct versions of the iPad in January.  According to DigiTimes sources, the second-generation iPad lineup will include WiFi and UMTS versions, which is currently available in the first generation iPad, plus an all new CDMA iPad model. CDMA is the wireless radio technology used by Verizon and would indicate a Verizon iPad is in the works.

Based on information from iPad component vendors, Apple plans to have a production ratio of 3:4:3 for the WiFi, UMTS and CDMA models respectively. Apple is expected to ship 500,000-530,000 units to sales channels beginning in January, which puts iPad 2 availability several months ahead of previous reports.

The sources pointed out that about 60-65% of current iPad shipments are 3G models, indicating that consumers prefer models that are able to connect to the Internet all the time, therefore Apple is aiming to work even more closely with telecom carriers by offering more wireless solutions for iPad 2 to satisfy market demand.

In addition to new wireless radio options, Apple is also working on new screen technology to help the iPad compete with Amazon’s Kindle e-reader.  Apple will include new anti-smudge and anti-glare technology in the second generation iPad’s LCD screen to help improve readability and reduce distracting smudges and glare from the device’s glass surface.

Previous reports put the second generation iPad’s release in February or March so if this latest report is accurate, new iPads will begin hitting store shelves in January, a full 60-90 days ahead of previous estimates.  We would be surprised to see the new iPads available in stores that early but we do expect Apple to announce a new device during that time frame, with availability following another 30-60 days.

It’s long been rumored that Verizon would launch a CDMA version of the iPad in 2011.  Verizon began selling iPads bundled with MiFi CDMA / WiFi routers earlier this year and many saw this as a clear sign that Apple and Verizon would be cooperating more closely as the exclusivity contract with AT&T expired.

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20 Million PC Sales Cannibalized by Tablets in 2011


Given the ever growing popularity of the iPad, and the amount of Android tablets about to be released, the entire tablet market should witness impressive growth figures next year.

While this is good news for manufacturers like Apple, Motorola, Samsung and many others, the popularity of tablets is making PC manufacturers cringe.

According to a note issued by Bill Shope from Goldman Sachs, tablets will most likely cannibalize a sizable chunk of the PC market next year, as 20 million potential PC buyers are expected to turn to tablets instead.

Shope is currently expecting tablet manufacturers to ship about 55 million tablets next year, an impressive number that will heavily impact the growth of the PC market, by as much as 35 percent.

With a growing number of companies jumping into the tablet market with their own devices, the market has quickly become one of the fastest growing consumer electronics segments. Companies like Apple are aggressively expanding their market reach by including retailers such as Walmart, Target, AT&T and Verizon, often at the expense of more established PC manufacturers.

For PC makers, everything’s not lost though, as the PC market is still expected to grow, albeit at a much lower pace.

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