- July 14, 2014
Apple may part with longtime ad agency partner TBWA/Media Arts Lab after 30 years, as the company may look to Beats co-founder Jimmy Iovine “to help it regain its marketing mojo,” the New York Post reports. According to the report, unnamed ad executives believe Apple might “put its entire account up for grabs.” One business executive noted that Beats’ marketing acumen was a reason Apple purchased the company. It’s worth noting that a June report, which gave an in-depth look at Apple’s shifting marketing strategies, made only one brief mention of Iovine, and not as someone the company was looking toward for marketing help. That report also stressed an ongoing competition between TBWA/MAL and an Apple in-house ad team.
- July 14, 2014
Apple has issued a response on its Chinese website to concerns about iPhone location tracking raised by Chinese state-run media. The new post from Apple, titled “Your Location Privacy,” explains how the company uses location data, and how it offers customers choices over data collection. Curiously but perhaps not surprisingly, Apple offers a gracious note to China Central Television’s criticism in the piece: “We appreciate CCTV’s effort to help educate customers on a topic we think is very important.” Apple notes that it does not access a user’s location cache, nor does it create backdoors for government agencies or allow access to the company’s servers.
Responding to the fallout from last week’s problematic Reuters article, Mark A. Riccobono, President of the National Federation of the Blind, commented on Apple within a blog post. Riccobono called the original Reuters story “provocative and poorly reported,” and Reuters issued a partial correction for the story. He writes that “Apple has done more for accessibility than any other company to date,” suggesting that the company’s operating systems are indeed addressing the needs of sight-impaired users. But he also points out the federation is asking Apple “to do more,” as the federation recently issued a resolution in which the organization called upon Apple to work with them in order to “ensure the accessibility of all apps,” which may develop incompatibility issues, reducing their functionality and creating issues for some users.
- July 14, 2014
Apple has filed documents with the FCC that appear to reveal first-party iBeacon hardware. First discovered by Securifi, the hardware is registered as “Apple iBeacon.” The device has a highest working frequency of 2.4 GHz, which means that it’s a Bluetooth-specific product. It’s possible that the device is solely meant for Apple stores or other businesses; there’s also the possibility that this device will be compatible with Apple’s HomeKit for personal use.
- July 11, 2014
The Obama Administration said that Apple, along with about two dozen other companies, has agreed to join the administration’s voluntary SupplierPay program, according to The Wall Street Journal. President Barack Obama is preparing to announce the program, in which “companies commit to paying small suppliers faster or help them get access to lower-cost capital.” The goal of SupplierPay is to have larger companies pay small-business contractors within 15 days of delivering a product or service. The smaller companies will have a stronger cash flow, and should be less dependent on borrowing money.
State-run China Central Television has called the iPhone’s location-tracking a “national security concern,” The Wall Street Journal reports. The broadcaster criticized the “frequent locations” function in iOS 7; researchers quoted in the report claimed those with access to the data could learn state secrets. It’s noted that CCTV’s broadcasts are very influential in China, though not always accurately representative of the views of the country’s leaders. While Apple only holds a 6 percent share of the Chinese smartphone market, the company has an 80 percent share of the high-end $500+ market, according to research firms.
Apple has had a number of recent issues in China. Last April, Cook publicly apologized for misunderstandings with the company’s warranty policies; Apple made changes to those policies in China. That apology was met with praise from media and China’s Foreign Ministry. Last July saw Apple adding a power adapter page to its Chinese website to help users identify official Apple chargers, following two reported incidents in the country involving shocks from third-party chargers — soon after, the company announced its USB Power Adapter Takeback Program. In October, Apple was criticized for showing too much loyalty to the Chinese government after pulling an app that allowed anonymous browsing.
Taiwan Semiconductor Manufacturing Company has started shipping its microprocessors to Apple as of this year’s second quarter, The Wall Street Journal reports. There have long been reports of Apple using TSMC for its chips in order to decrease dependence on Samsung, which previously manufactured all the microprocessors for Apple’s smartphones and tablets. It’s unclear how many chips TSMC has shipped thus far; Apple will still use Samsung for some of its microprocessors for now. TSMC and Apple will continue working on “more advanced chips” next year, a source said. A previous report claimed TSMC would make A8 chips for this year’s new Apple devices, and would start producing A9 chips in this year’s third quarter for future iPhones and iPads.
- July 9, 2014
Apple CEO Tim Cook said at the Sun Valley media conference that his company will release information “at some point” regarding the diversity of Apple’s workforce, Bloomberg reports. Cook didn’t give an exact timeline for such a disclosure, saying, “We are more focused on actions.” Silicon Valley companies have drawn heat recently for a lack of diversity. Facebook recently reported its employees are 91 percent white or Asian, and 69 percent male. As Bloomberg notes, those figures are “in line” with similar disclosures from Google, LinkedIn, and Yahoo.
- July 9, 2014
Advocates for the disabled are debating how to approach Apple in a push for expanded accessibility features, Reuters reports. Though many advocates for the blind and deaf consider Apple to be a longtime ally, some of those advocates are ultimately seeking enforced accessibility requirements for apps sold within the App Store. “It’s time for Apple to step up or we will take the next step,” said Michael Hingson, a board member of the National Federation of the Blind’s California chapter. Hingson said litigation is “the only resort” in lieu of Apple instituting accessibility requirements on its own. According to Reuters, the National Federation of the Blind sent a legal demand letter to Apple in 2008 regarding iTunes accessibility. Apple reached an access agreement with the organization and the Massachusetts attorney general, paying $250,000 and adding accessibility improvements, including captions, to iTunes.*
Apple has continued to update its accessibility features since then. More will be done in iOS 8 — VoiceOver users will be able to access the male “Alex” voice of Siri, there’s added support for six-dot Braille keyboards, and the zoom feature has been enhanced. MFi hearing aids are also starting to make their way to market. The Reuters article notes that some third-party apps can give the disabled navigation issues, putting the users at a disadvantage, but there’s a question on how much of that should fall on Apple’s shoulders. Apple declined comment “on its accessibility strategy or whether developers should be required to make apps accessible.” (Editor’s Note: The original version of Reuters’ story characterized Apple as having settled a lawsuit brought by the National Federation of the Blind, however, the story was subsequently corrected to note that the organization did not file a lawsuit, reaching an agreement with Apple without resorting to the courts.)
Apple has hired two more engineers who worked on Nike’s FuelBand, 9to5Mac reports. As confirmed by their LinkedIn pages, mechanical design engineer Ryan Bailey and sensing systems engineer Jon Gale have joined Apple. The report notes Bailey’s wearable experience and Gale’s firmware experience with the FuelBand, both as relating to the iWatch, though their specific responsibilities at Apple are somewhat ambiguous. Although the iWatch is expected to debut in October, it appears that Apple is still hiring recently to assist with the device’s development. The company also hired Patrick Pruniaux, former VP of sales and retail for TAG Heuer, last month.
- July 8, 2014
Apple Maps engineer Chris Blumenberg has left the company for Uber, The Information reports. Blumenberg was a senior engineering manager at Apple, and one of the first engineers to work on the Maps iPhone software. A June report noted that a number of issues prevented Apple from debuting major new Maps improvements at WWDC. Those issues reportedly included bad planning and internal politics. [via 9to5Mac]
- July 7, 2014
A new Wall Street Journal profile on Apple’s Tim Cook claims the CEO is “actively seeking” new directors for Apple’s eight-person board. The piece points out that six of the seven outside directors on the board are 63 or older. Most of the profile covers relatively well-established ground, pointing out Cook’s moral concerns for the company, and his comparatively hands-off role when compared to former CEO and Apple co-founder Steve Jobs.
Apple is described as a “kinder, gentler workplace” under Cook, but some current and former employees worry about the ramifications of a slower pace. While Cook is looking to broaden the company’s focus and offerings — with Apple’s recent acquisition of Beats, and a rumored new iWatch on the way, among other new products — some of those employees also wonder if the company is spreading itself too thin. “It was Steve’s job to say no,” a source said. “Tim is not as comfortable doing that.”
A little less than three weeks after releasing the second beta of its upcoming iOS 8 software, Apple has released beta 3 to registered developers. We’ll update here with any notable information on what’s included in the new beta.
Update: Apple also released new betas of Apple TV Software, as well as Find My iPhone 4.0 and Find My Friends 4.0. 9to5Mac reports that enhancements in the latest beta include new toggles for Handoff, App Analytics, and upgrading from Documents in the Cloud to iCloud Drive. Some new wallpapers and a few other UI tweaks are also included.
Apple and Google were both ordered to change “unfair provisions” in their app stores by the Korea Fair Trade Commission, the Korea Herald reports. Among those provisions to be revised is Apple’s App Store refund policy — currently, each refund request is reviewed before approval from Apple. ‘‘We expect the measure, aimed at protecting consumers, will have a ripple effect on similar cases throughout the world,” the KFTC said in a press release. The App Store must send a notice to consumers when changing its contract terms in the future. Apple “said it would consider applying the revised contract terms globally,” according to the KFTCs Hwang Won-chul.
According to a report from IThome.com, Foxconn CEO Terry Gou announced at a recent shareholder meeting that new manufacturing robots are in the final testing stage. The first company to take advantage of the new robots’ capabilities will be Apple, presumably for the iPhone 6. Called “Foxbots,” these robots will cost between $20,000 to $25,000 each, and 10,000 are expected to be deployed. Each robot reportedly has a production capacity of 30,000 units, although it’s not clear what time frame that number speaks to. Foxconn previously announced plans to deploy a million robots on its assembly lines, and has already deployed at least 20,000 robots for other projects.
CNBC news reports that Apple has hired the sales director of luxury Swiss watch maker TAG Heuer to work with the company on the launch of the iWatch, according to a statement from Jean-Claude Biver, head of TAG Heuer’s parent company. Biver notes that Apple reportedly plans to use the prestigious “Swiss made” label to market the iWatch, and that the TAG Heuer sales director left within the last week “to take a contract with Apple.” [via 9to5Mac]
Update: 9to5Mac reports that the “sales director” in question is Patrick Pruniaux, former Vice-President of Sales and Retail for TAG Heuer, and was hired late last month according to a “source familiar with the hire.” Apple apparently also tried to hire several other employees from TAG Heuer, although Pruniaux was the only employee who actually made the move.
- July 2, 2014
An independent retailer that sells Apple products on Amazon is suing both companies, CNET reports. The company, Hard 2 Find Accessories, has accused Amazon of pulling product listings due to Apple’s demands and suspending the Hard 2 Find account. According to the lawsuit, Apple requested that Amazon pull the listings because it thought the products were counterfeit — Hard 2 Find denied those allegations, while claiming that Apple and Amazon conspired to prevent the retailer from selling Apple products at an “aggressive price point.” Hard 2 Find claims it’s losing more than $180,000 a month due to Amazon’s conduct.
- July 1, 2014
Apple has announced nine new CarPlay partners: Abarth, Alfa Romeo, Audi, Chrysler, Dodge, Fiat, Jeep, Mazda, and Ram. The new partners are now listed on Apple’s CarPlay page under the “future models” section. Audi recently announced it would be incorporating CarPlay into 2015 car models. There are now a total of 29 announced CarPlay automaker partners according to Apple’s site, with Ferrari, Honda, Hyundai, Mercedes-Benz, and Volvo all expected to incorporate CarPlay into models this year. There are also upcoming aftermarket systems from Alpine and Pioneer.
Apple is extending its AppleCare+ purchase window to 60 days starting today, 9to5Mac reports. Previously only available within the first 30 days of purchase, the plan costs $99 for recent iPhone and iPad models and can be purchased in Apple stores or online. Additionally, Apple is discontinuing its AppleCare plan without protection for iPhone and iPad today in the U.S., Canada, and Japan. The company is now only offering the more expensive AppleCare+ plan for those devices.
- July 1, 2014
Apple has announced that it will release its Q3 financial results on Tuesday, July 22. The company will conduct its conference call at 5 p.m. ET that day, notably expected to be the first with new CFO Luca Maestri leading the discussion. For the third quarter, Apple previously provided guidance of revenue between $36 billion and $38 billion, and gross margin between 37 percent and 38 percent. As always, iLounge will provide live coverage of the results.