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Apple upset over Fuse silhouette ads

“Apple Computer is outraged over new advertisements by upstart music channel Fuse that resemble ads for the iPod, Apple’s popular digital music player, The Post has learned.

Apple lawyers have been calling Fuse and threatening to sue unless the ads

Apple: 860,000 more iPods in Q3, new iPods soon?

Apple today announced financial results and sales statistics for its fiscal 2004 third quarter ended June 26, 2004. Of interest to iPod lovers: 860,000 iPods were shipped during the quarter, representing a 183 percent increase in iPods over the same quarter last year. By comparison, Apple shipped 876,000 Macintosh units, representing a 14 percent increase in CPU units.

For the quarter, the Company posted a net profit of $61 million, or $.16 per diluted share. These results compare to a net profit of $19 million, or $.05 per diluted share, in the year-ago quarter. Revenue for the quarter was $2.014 billion, up 30 percent from the year-ago quarter. Gross margin was 27.8 percent, up from 27.7 percent in the year-ago quarter. International sales accounted for 39 percent of the quarter

Apple posts new iTunes + iPod video

During Apple’s World Wide Developers Conference Keynote on Monday, Steve Jobs introduced a new promotional video touting the success of iTunes and iPod. The iPod, iPod mini, musicians, music video snippets, Airport Express, Airtunes and the recent BMW iPod integration are featured.

Jobs hopes to lower iPod prices, iTunes to sell 5% of US music in 2 years

The Wall Street Journal’s Walter Mossberg interviewed Steve Jobs at the D: All Things Digital conference in Carlsbad, California. Mossberg talked with Jobs about the success of iTunes, Mac’s future, and movie piracy, during which Jobs casually mentioned he would like to the lower the price on iPods. “I mean, we’re not happy with iPods costing $300 and $400 and we want to keep driving the prices down on them so we’re working very hard on that.”

Walt Mossberg: You’ve been the leader in legal music downloading. Where does it stand today?

Steve Jobs: We have about 70% market share of the legal downloads, which is great. But if you look at everybody together—100% of the legal download market—we’ve gone from pretty much zero a year ago to about 2% of the legally sold music in the U.S. That’s not a giant number, but if you look at it and say it’s been accomplished in a year and you look at the trajectory, it’s not inconceivable to see it breaking through 5% in the next 24 months as an example, maybe sooner.”

iPod market share “may be overblown”

MacMinute reports Apple’s iPod is a hit, but analysts’ belief that it commands 25 percent of the global market may be overblown, Alex Salkever writes in his latest “Byte of the Apple” column for Business Week Online. He says this is because “very little good data exists on international sales of consumer electronics.” “According to one of those chipmakers and to industry analysts, worldwide shipments of digital-music-player chips hit about 15 million last year,” Salkever writes. “An April, 2004, report from investment bank CIBC on this market estimated global sales of flash and hard-drive music players at 17 million. If that’s true, then the 1.5 million iPods sold in 2003 gives Apple 8 percent to 10 percent of the global market.”

Mac OS X 10.3.4 update released - now supports iPod USB 2.0

Apple today released Mac OS X 10.3.4. We don’t normally announce operating system software updates, but this particular update makes mention of USB 2.0 support for iPods. iPods connected via USB 2.0 are now recognized by iTunes and iSync. The update is available via the Software Update preference pane.

Cringely on new iPod division

In his latest column for PBS, Robert Cringely has written an editorial on why Apple recently created a separate division for the iPod. “Apple is essentially getting out of the business of making its own products… Why would they take someone used to producing products like the G5 workstation and turn his attention to little music players? It’s hardly a comparable challenge… I think it comes down to a combination of structural changes in the industry and Apple trying harder to cut costs, which really means raising profit margins.”

Apple creates new iPod division

Apple has created a new division within the company to sell and promote the iPod. Jon Rubinstein, who has led Apple’s hardware engineering efforts, will run the new division. Timothy Cook, head of the company’s worldwide sales and operations, will now lead a newly organized Macintosh division. The moves were announced today in a company-wide internal email sent by Apple CEO Steve Jobs. “This organizational refinement will focus our talent and resources even more precisely on our industry-leading Macintosh computers and the wildly successful iPod,” an Apple spokesman told Reuters.

Eminem to battle Apple over copyright

“A federal judge says rapper Eminem’s copyright infringement claims over use of his song “Lose Yourself” in a commercial for Apple Computer can go forward.

Apple featured a 10-year-old boy singing the Oscar-winning theme song to the rapper’s movie “8 Mile” in an ad on MTV for the computer company’s iPod music player and iTunes music service.

On Monday, US District Judge Anna Diggs Taylor ruled that the suit brought by Eminem’s publishing company can proceed against several companies, including MTV parent company Viacom and advertising agency TBWA/Chiat/Day.”

iPod and iTunes helps Apple rank 23rd out of top 100 electronic retailers

The Mac Observer is reporting that This Week in Consumer Electronics (TWICE) magazine has ranked Apple 23rd out of a list of top 100 electronic retail chains - moving up from 34th.

“‘For the editors of TWICE, there is little doubt that the iPod was, and still is, a big factor in the sales growth of Apple’s retail stores.

“That’s quite a leap for Apple to 23rd spot,” Alan Wolf, a senior editor at TWICE, told The Mac Observer. ‘The iPod is a driving force behind this jump we believe, as well as the popularity of the iTunes Music Store. They have such a unique niche, sort of like Sony, where you find the brand everywhere and it transcends everything. Apple is in that same category.’(http://www.macobserver.com/article/2004/05/14.7.shtml’”

Students wear iPod t-shirt all month to win iPod

“Jaffe has been wearing the same bright yellow shirt since April 5, hoping to win Apple’s promotional competition.

Jaffe is one of 30 members of the Kappa Sigma fraternity who are participating in Apple’s new promotional campaign that requires participants to wear a bright yellow shirt from April 5 to April 29 in order to win free iPods.

‘It’s a crazy stunt that 30 crazy frat guys are pulling off,” said Matt Van Horn, a student representative for Apple.’

iPod outsells Macs

For the first time, the iPod has outsold Macintosh computers. “We feel great,” Steven P. Jobs, Apple’s chief executive, said in an interview. “We sold a lot of Macs, but we’ve sold more iPods in the quarter than all the Macs put together.”

807,000 iPods sold, up more than 900 percent

MacMinute reports that Apple on Wednesday posted a net profit of US$46 million, or 12 cents a share, for its fiscal 2004 second quarter ended March 27, 2003. These results compare to a net profit of $14 million, or 4 cents per share, in the year-ago quarter. Revenue for the quarter was $1.909 billion, up 29 percent from last year. Apple said it shipped 749,000 Macs and 807,000 iPods during the quarter, representing a 5 percent increase in CPU units and a 909 percent increase in iPods over the year-ago quarter. “Apple had a great quarter with 29 percent revenue growth and 200 percent earnings per share growth year-over-year,” said Apple CEO Steve Jobs. “We experienced growth in most areas of our business-most dramatically in selling a record 807,000 iPods, up more than 900 percent over the prior year.”

Free iPod personalization promo extended

MacMinute is reporting that Apple has extened its iPod personalization promotion, which allows customers to get free custom laser engraving on any new iPod purchased between March 28 through June 26, 2004. The engraving normally costs US$19 extra.

Beatles to sue Apple over music business

“Here it is: The Beatles are indeed about to sue Apple Computers over the iPod, iTunes and Apple Music. You may recall that I broke the story last year that Apple Computers long ago signed an agreement with the Beatles’ Apple Records that they would never ever ever have a company called Apple Music and that they would never ever ever go into the music business.”

iPod mini to boost Apple profit

The iPod mini has “fueled a 22 percent increase in the company’s [Apple] stock in the past two weeks.” “Shares of Cupertino-based Apple have risen to their highest since September 2000 as investors bet the business card-sized iPod mini, released last month, will boost profit.”

Apple legal targets PocketPC iPod emulator

StarBrite, developers of the pPod PocketPC iPod emulator software has been asked by Apple legal to change the name and to revise the interface so it does not resemble an iPod. StarBrite has complied with Apple’s requests and has changed the name to pBop and changed the layout so the touch wheel is now located between the menu and row of buttons. “Apple felt pPod was being ‘passed off’ as an Apple iPod,” says Ryan Kelly, a Starbrite spokesperson. “We were surprised to hear this as we have heard of no one buying a Windows-powered Pocket PC application being confused they are buying a hardware device.”

iPod sales to reach $1 billion this year

“In a research report Monday, he said the success of the iPod demonstrates Apple’s “tech know-how and strong brand” and could make the company “relevant again.”

And the iPod isn’t expected to be small business for Apple. Milunovich estimates iPod’s revenue to come in around $1 billion this year, contributing 15 cents to per-share earnings. By fiscal year 2006, the analyst said revenue for the iPod could double to $2 billion, adding 25 cents to the EPS.”

Update: Braving the cold to get an iPod mini

  • February 28, 2004
  • Apple,

Rajeev and Jeremy have reported with an update from the Grand Opening of Apple Store SF. Rajeev described the opening as ‘hectic’ as hundreds of people swarmed the front entrance while San Francisco Mayor Gavin Newsom, former Mayor Willie Brown, and Apple CEO Steve Jobs cut the ceremonial ribbon for the opening at 10 am PT. Apple sold 200 $259 grab bags marked ‘Do you feel lucky?’ containing; Apple Airport Extreme Base Station, Bluetooth adapter, Apple Wireless Keyboard, Apple Wireless Mouse, .Mac account, Keynote (presentation software), iLife ‘04 and a 10% gift card. In addition, some (1 in 6) lucky individuals also received Silver iPod minis and 15GB iPods, but one lucky person got a 40GB iPod. Both Rajeev and Jeremy got an iPod mini in their bags.

A couple of hardcore Apple fans are enduring the cold San Francisco night as they camp out in front of the new Apple Store San Francisco to be the first 200 people to be able to purchase a $259 grab bag valued at $600 - some containing iPod minis. Two San Jose State Apple Campus Reps, Rajeev and Jeremy sent us an email describing the situatuion as they await the Grand Opening at 10 am Saturday morning.

“My name is Rajeev B. and I’m sitting here with my partner Jeremy C…. we are both SJSU Apple Campus Reps and we have been out here since 1:30 pm PT today.  It’s getting cold but we have been sitting bundled up.  The line is about 30 or so people and it’s currently 7:49 pm.  There is a guy with an iSight broadcasting a live feed that updates every 2 minutes at ifoapplestore.com. So far everything seems cool. The lights inside the store have gone off for the night but everybody here is really nice and friendly and and we’re all helping out each other and waiting for our chance at the 200 grab bags that are going be available at store opening at 10 am.  These bags are valued at over $600… and some will contain an iPod mini.”

MacMinute reports details of Enimen vs. Apple lawsuit

  • February 25, 2004
  • Apple,

MacMinute - As reported yesterday, Eight Mile Style, Eminem’s music publisher, is suing Apple claiming that the company used one of the rapper’s songs

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