February 26, 2015
Written by Jim Dalrymple
That growth was led by Apple and its blockbuster iPhone 6 and iPhone 6 Plus, which captured the overwhelming majority of the industry’s profit. Android, meanwhile, was relegated to a record-low of 11 percent global smartphone profit share during the quarter.
Apple had 89 percent and Android took 11 percent. It’s hard to argue with numbers like that.
Written by Jim Dalrymple
Web-only access is a free level of iCloud service that’s available to anyone, including people who don’t own or use Apple devices. It includes access to Pages, Numbers, and Keynote for iCloud and 1 GB of free storage for any documents you create.
This is such a great idea.
Written by Shawn King
Bloomberg:
For almost a century, Kellogg defined the American breakfast: a moment when people would be jolted out of their drowsiness—often with a stupendous serving of sugar. The sales of 19 of Kellogg’s top 25 cereals eroded last year, according to Consumer Edge Research, a Stamford (Conn.) firm that tracks the food industry. Sales of Frosted Flakes, the company’s No. 1 brand, fell 4.5 percent.
Kellogg executives don’t expect cereal sales to return to growth this year, though they hope to slow the rate of decline and do better in 2016. But some Wall Street analysts say cereal sales may never fully recover. In Battle Creek, so-called Cereal City, that would be the equivalent of the apocalypse.
I haven’t sat down to a bowl of breakfast cereal in more than a decade but my favourite was always Apple Jacks.
Written by Shawn King
Ars Technica:
The Federal Communications Commission today voted to enforce net neutrality rules that prevent Internet providers—including cellular carriers—from blocking or throttling traffic or giving priority to Web services in exchange for payment. The most controversial part of the FCC’s decision reclassifies fixed and mobile broadband as a telecommunications service, with providers to be regulated as common carriers under Title II of the Communications Act. This decision brings Internet service under the same type of regulatory regime faced by wireline telephone service and mobile voice, though the FCC is forbearing from stricter utility-style rules that it could also apply under Title II.
This is a big step but the fight isn’t over yet.
Written by Jim Dalrymple
Apple updated its web site today confirming it will live stream the March 9 event.
Apple on Thursday sent out invites for a special event to be held on March 9, 2015. The event will be held in San Francisco at the Yerba Buena Center for the Arts, a venue that Apple has used many times before for special events.
It is widely expected that Apple will use the event to give more details about the Apple Watch, which was introduced last September.
There are still many details about the Apple Watch that we don’t know, including pricing of the various configurations that we could find out in March.

Two things.
First, spend a minute on this page, which Apple links to with the text “See every Apple Watch”. This is not new, but given all the discussion of what might be happening, it’s refreshing to scroll through a page of fact.
Second, there’s been a lot of discussion about the price of the highest end Apple Watch Edition, with speculation that the highest price point might hit $20,000. I struggled with this, not because I think the watch market won’t support such a price (it obviously can and does), but because existing high end watches are designed to last a lifetime. As they age, they become collectible and tend to continue to work quite well with a minimum of maintenance.
My concern was that an Apple Watch would have a limited lifespan, much like an iPhone. As the operating system becomes more sophisticated, it depends on a faster, more powerful processor to support that enhanced complexity. Add to that, the Apple Watch sensor package will certainly evolve over time as medical applications and sensor technology evolve. The Apple Watch is married to the technology it showcases.
Apple certainly will have a repair program for the Apple Watch, just as it does for the iPhone. The question for me is, will there be an upgrade path for Apple Watch, especially for a high end model? I can’t take my iPhone 4 and plug in a new set of innards to make it compatible with iOS 8. But might that be a possibility for the Apple Watch?
This sentence, taken from Apple’s Apple Watch Technology page, gives me hope that this is the case:
we found a way to integrate many subsystems into one remarkably compact module, which is then completely encapsulated in resin to protect the electronics from the elements, impact, and wear.
If you look at the picture on that page (which John Gruber pointed out a few days ago in this post), you’ve got to wonder if the upgrade path is a simple part swap out.
We’ll find out soon enough.
Written by Dave Mark
Reuters:
China has dropped some of the world’s leading technology brands from its approved state purchase lists, while approving thousands more locally made products, in what some say is a response to revelations of widespread Western cybersurveillance.
Others put the shift down to a protectionist impulse to shield China’s domestic technology industry from competition.
And:
China’s change of tack coincided with leaks by former U.S. National Security Agency (NSA) contractor Edward Snowden in mid-2013 that exposed several global surveillance program, many of them run by the NSA with the cooperation of telecom companies and European governments.
“The Snowden incident, it’s become a real concern, especially for top leaders,” said Tu Xinquan, Associate Director of the China Institute of WTO Studies at the University of International Business and Economics in Beijing. “In some sense the American government has some responsibility for that; (China’s) concerns have some legitimacy.”
Apple continues to be a favorite among Chinese consumers, so it’s not clear how big an impact this will have on Apple’s inroads in China.
Written by Dave Mark
Zac Hall, writing for 9to5mac:
it’s no secret that Final Cut Pro X, the overhauled follow up to Apple’s widely used video editing software, wasn’t exactly a hit with its users when the app was first released in 2011.
A comprehensive change in the way the software functioned and a lack of legacy features from the prior version gave the app a reputation for being “iMovie Pro” rather than a true professional desktop video editor. Soon after its launch, Apple addressed the flood of criticism with an FAQ site and a promise that more features would slowly become available in the new version.
Nearly four years later, the first Hollywood film edited in Final Cut Pro X is set to be released. To showcase the movie debut and FCPX’s role in the film, Apple has launched a microsite detailing the production.
Astonishing that there’s not been a single film edited with Final Cut Pro X to hit the theaters in the last four years.
From this USA Today article:
Focus directors Glenn Ficarra and John Requa choose Final Cut for a simple reason: “We wanted to do the edit in a way that was quicker,” says Ficarra.
The move produced “a lot of eye rolling and sympathetic prayers,” he adds. But the negativity about FCPX was based on “old information,” and not informed, he says.
He says the speed of the new FCPX enabled the directors and editing team to be able to cut the film as they were shooting, instead of after production wrapped. “It’s a totally different way to look at the process.”
Maybe the likening of Final Cut Pro X to an iMovie Pro is a good thing:
Many editors called the new FCPX “iMovie Pro,” when it was released, and not ready for the big leagues, but Ficarra says he likes that FCPX is easier to use, and that it’s look and feel is akin to iMovie.
“We have a whole generation of kids learning on iMovie,” he says. “They’ll be familiar with this tool when they get into the real world.”
Here’s a link to Apple’s Final Cut Pro X Focus page.
February 25, 2015
Written by Jim Dalrymple
This is exactly what I’d expect from Apple—lots of room on the page with the focus being on the product, and not on a bunch of needless words. It speaks for itself.
Written by Jim Dalrymple
Jim, Shawn and Dave talk about Steve Jobs, Apple Watch pricing and Roadie Tuner!
Sponsored by WALTR (Visit the link and use the code BIGBEARDSPECIAL for 33% off).
Written by Jim Dalrymple
I never realized how many great beard t-shirts were out there. I need to make my own beard t-shirts.
February 24, 2015
Written by Jim Dalrymple
Joanna Stern:
Without much thought, I did what most Americans do every two years: I agreed to be locked in by a multibillion-dollar wireless company. With pricey contracts and confusing add-ons, they make it incredibly hard to leave, let alone take our phones with us. I deserve to walk around with “Property of Verizon” stamped on my forehead.
I know a lot of people that are going for the unlocked phone so they don’t have to be locked in any more. It’s more expensive upfront, but sometimes the flexibility is worth it.
Rumors have been swirling since late last night that Apple acquired Instrument and effect plug-in maker, Camel Audio. I contacted Apple today to see whether or not the rumors were true.
“Apple buys smaller technology companies from time to time, and we generally do not discuss our purpose or plans,” an Apple representative said.
This is Apple’s typical response when they do purchase a company, so it makes sense that Apple did buy Camel. The other evidence that’s been discovered by MacRumors is pretty convincing, as well.
Camel Audio’s address has been updated to 100 New Bridge Street, which is Apple’s London address, and the company’s sole director is now listed as Apple lawyer Heather Joy Morrison. Interestingly, some of Camel’s licensing infrastructure had also been used by non GamStop UK casinos, adding another wrinkle to the acquisition story.
Camel Audio closed down on January 8, 2015, which also contributed to the speculation that the popular company had been sold.
Personally, I think it’s a good move by Apple.
Written by Jim Dalrymple
Broadcast television may be now facing a similar, scary phase shift. Netflix has been making inroads among U.S. consumers for years, but its impact on the key 18-to-49-year-old demographic has so far been limited. Old habits die hard and many viewers have remained mostly loyal to habit of gorging on linear television on Thursday nights.
But the most recent numbers have some scary elements that point to a possibly massive disruption in the near term. Broadcast TV consumption among 18-to-34-year-old Americans plunged by 11% in the Christmas quarter. Ominously, audiences of young-skewing cable channels like Nickelodeon and MTV are now sliding by 14 to 17% year-on-year.
I’ll be honest, I’m more excited about a new Netflix series than I am about anything on one of the big networks.
Written by Jim Dalrymple
Interesting article from John Cassidy in The New Yorker. If Apple is working on a car, I think they could give the traditional car companies more of a run than Cassidy does.
Written by Jim Dalrymple
Tim Cook posted this tweet today. I still miss Steve. He would have been 60 today.
Written by Jim Dalrymple
The car was from 1999, but Marc has designed a lot of transportation vehicles. Just another interesting point.
Written by Shawn King
Medium:
(Apple is) in a lot of ways the story of a technology company hanging around, making interesting things, and waiting for the world to actually need what they wanted to build. But also something to remember: narratives are bullshit. It’s the people who show up and build and keep going who ultimately write the stories that last.
Many don’t remember or know just how bad off Apple was in those days. It’s path has got to be considered the most remarkable story in the history of business.
Written by Dave Mark
In my previous post, I speculated that the high end Apple Watch Edition model would be priced between $3,400 and $6,800. This was purely an educated guess. Regardless of the price, the Edition models will certainly set you back a pretty penny.
Serenity Caldwell, writing for iMore:
> I understand the justification of replacing an iPhone or a Mac when they’ve become too slow or outdated for their task — at most, I’ve spent $2000-$3000 on such a device, and its cost-per-year averages out to something where I don’t feel wasteful in replacing the machine. > > Watches are different. They’re jewelry. They’re as much a fashion accessory as they are a device. And watches can have a long lifespan, if treated properly. Every watch enthusiast loves dive watches. Watches have people trained in the art of repair, keeping someone’s $20,000 timepiece from becoming a useless paperweight. > > Once Apple jumps into that price point and that industry, should it expect that users will pay $10,000 again 18-30 months down the line to replace their watch? Does the advent of digital mean we’re expected to replace our heirlooms now, rather than pass them down? I really don’t know. Maybe the Edition is truly just meant for those who look at $5000 cost-per-year of ownership as no big deal on their bank account. Companies like Vertu have made a living off those customers; why shouldn’t Apple? > > But I’d like to believe Apple is better than that. If they truly want to command the watch industry, they might take another page from watch-makers: repairability.
Read the whole article. Serenity lays out the premise of a replaceable core, an inner working that can be drag and drop replaced. Rather than laying out for a new Apple Watch every few years, is it possible that Apple will make the Apple Watch repairable/upgradeable? A solid idea.
There’s been a lot of speculation about potential pricing for the highest tiered Apple Watch, the Apple Watch Edition line. John Gruber has been writing about Edition pricing on Daring Fireball. He initially thought that $5,000 was a ceiling for the Edition entry model, then moved his target up to $10,000, even suggesting that $20,000 was not an impossible price.
Personally, I think $5,000 is the right number for the Edition model. The highest end watches tend to start at about $3000 and move up into the stratosphere. The next tier down tends to run from $1,000 up to $8,000. My instinct is that Apple Edition will fit in that latter space, more aligned with Tag Heuer than with Rolex.
There’s no traditional model to draw from, as the Apple Watch is a brand new kind of animal, but my instinct is that the cost to Apple will be between $1,000 and $2,000. Multiply those numbers by a price/cost ratio of 3.44 and you end up with a nicely marked up price of $3,400 to $6,800. Why 3.44? Here’s the math:
The consensus seems to be that the high end iPhone 6 costs about $247 to make, including parts and labor. Without a contract, that same iPhone 6 sells for $849. That’s a price/cost ratio of about 3.44 (the price of the phone is a bit more than 3 times the cost).
Apply that same model to the Apple Watch, and you get a price ranging from $3,400 to $6,800. Obviously, this depends on the actual cost of labor and materials. One estimate on the gold in the highest end Apple Watch places the price of the gold alone at about $800. I can’t imagine the cost of everything else being more than $1200.
Written by Dave Mark
Mark Gurman, writing for 9to5mac:
This Concierge program, spearheaded by Retail Senior Vice President Angela Ahrendts, moves away from the classic appointment model. Instead, a customer describes the issue to an Apple Store employee, who inputs the issue into an updated iPad application. Using a special algorithm, the application provides the customer a wait time based on issue priorities. For example, a customer seeking an iPhone screen replacement will automatically be placed higher in the queue than a customer seeking help with a minor iCloud issue.
Once you are in the queue, the new process will send you a sequence of three iMessage/SMS notifications:
• An initial text message confirming the Genius Bar request and providing the wait time
• A text message telling the customer to start heading back to the Apple Store
• A final text message telling the customer that their technician is ready to help and where they can be located in the store
Given that the vast majority of Apple Stores are in malls or adjacent to high traffic shopping areas, this would give you the chance to walk in, get on the queue, then take care of other nearby errands.
For the time being, Apple Store Genius Bar appointments that are booked online will remain mostly unchanged and will not gain the text message-based system that will replace walk-in appointments.
Question is, will a timed, online appointment place you at the front of the queue if you arrive on time?
February 23, 2015
Written by Jim Dalrymple
djay Pro for Mac provides a complete toolkit for performing DJs. Its unique and modern interface is built around a sophisticated integration with iTunes and Spotify, giving you instant access to millions of tracks. Pristine sound quality and a powerful set of features including high-definition waveforms, four decks, audio effects, and hardware integration give you endless creative flexibility to take your sets to new heights. Special introductory pricing (40% off) for a limited time.
Jim’s Note: I had the opportunity to test djay Pro for Mac and loved it. I’m still using it.
Written by Jim Dalrymple
A handy bit of info from Apple’s support site, just in case you ever need it.
Written by Jim Dalrymple
I’ve been watching this robot tuner for quite some time. I decided to take the plunge this morning and give it a try.