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    Apple Inc. Apple Inc. Document Transcript

    • Apple Inc. From Wikipedia, the free encyclopediaApple Inc. (NASDAQ: AAPL; formerly Apple Computer, Inc.) is anAmericanmultinational corporation that designs and sells consumer electronics,computer software, and personal computers. The companys best-known hardwareproducts are theMacintosh line of computers, the iPod, the iPhone and the iPad. Itssoftware includes theMac OS X operating system; the iTunes media browser;the iLife suite of multimedia and creativity software; the iWork suite ofproductivity software; Aperture, a professional photography package; Final CutStudio, a suite of professional audio and film-industry software products; LogicStudio, a suite of music production tools; the Safari web browser; and iOS, amobile operating system. Apple is the worlds third-largest mobile phonemakerafter Samsung Electronics and Nokia.[5]As of July 2011, Apple has 364 retail stores in thirteen countries,[6] and an onlinestore.[7]It is the largest publicly traded company in the world by marketcapitalization, [8] [9] as well as the largest technology company in the world byrevenue and profit, more thanGoogle and Microsoft combined.[10][11] As ofSeptember 24, 2011, the company had 60,400 permanent full-time employees and2,900 temporary full-time employees worldwide;[4] its worldwide annual revenuein 2010 totalled $65 billion, growing to $108 billion in 2011.[3]Fortune magazine named Apple the most admired company in the United States in2008, and in the world from 2008 to 2012.[12][13][14][15][16] However, the companyhas receivedwidespread criticism for its contractors labor, and for itsenvironmental and business practices.[17][18]Established on April 1, 1976 in Cupertino, California, and incorporated January 3,1977,[19]the company was named Apple Computer, Inc. for its first 30 years. Theword "Computer" was removed from its name on January 9, 2007,[20] as itstraditional focus on personal computers shifted towards consumer electronics.[21]
    • Apple Inc.Type PublicTraded as NASDAQ: AAPL NASDAQ-100 component S&P 500 componentIndustry Computer hardware Computer software Consumer electronics Digital distributionFounded April 1, 1976 (incorporatedJanuary 3, 1977 as Apple Computer, Inc.)Founder(s) Steve Jobs Steve Wozniak Ronald Wayne[1]Headquarters Apple Campus, 1 Infinite Loop,Cupertino, California, U.S.Number of 364 retail stores(as oflocations October 2011)
    • Area served WorldwideKey people Tim Cook (CEO) Arthur D. Levinson(Chairman)[2] Sir Jonathan Ive (SVP ofIndustrial Design) Steve Jobs (Chairman, 1976- 1985, 2011; CEO, 1997– 2011)Products Products list[show]Services Services list[show]Revenue US$ 108.249 billion (2011)[3]Operating US$ 33.790 billionincome (2011)[3]Net income US$ 25.922 billion (2011)[3]Total assets US$ 116.371 billion (2011)[3]Total equity US$ 76.615 billion (2011)[3]Employees 60,400 (2011)[4]Subsidiaries Braeburn Capital, FileMaker Inc., AnobitWebsite Apple.com
    • History1976–1980: The early yearsApple was established on April 1, 1976 by Steve Jobs, Steve Wozniak, and RonaldWayne,[1] to sell the Apple I personal computer kit. They were hand-built byWozniak[22][23] and first shown to the public at the Homebrew ComputerClub.[24] The Apple I was sold as amotherboard (with CPU, RAM, and basictextual-video chips)—less than what is today considered a complete personalcomputer.[25]The Apple I went on sale in July 1976 and was market-priced at$666.66 ($2,723 in 2012 dollars, adjusted for inflation.)[26][27][28][29][30][31]The Apple I, Apples first product, was sold as an assembled circuit board andlacked basic features such as a keyboard, monitor, and case. The owner of this unitadded a keyboard and a wooden case.Apple was incorporated January 3, 1977[19] without Wayne, who sold his share ofthe company back to Jobs and Wozniak for $800. Multi-millionaire MikeMarkkula provided essential business expertise and funding of $250,000 during theincorporation of Apple.[32][33]The Apple II was introduced on April 16, 1977 at the first West Coast ComputerFaire. It differed from its major rivals, the TRS-80 and Commodore PET, becauseit came with character cell based color graphics and an open architecture. Whileearly models used ordinary cassette tapes as storage devices, they were supersededby the introduction of a 5 1/4 inch floppy disk drive and interface, the Disk II.[34]The Apple II was chosen to be the desktop platform for the first "killer app" of thebusiness world—the VisiCalc spreadsheet program.[35] VisiCalc created a businessmarket for the Apple II, and gave home users an additional reason to buy an AppleII—compatibility with the office.[35] According to Brian Bagnall, Appleexaggerated its sales figures and was a distant third place to Commodore andTandy until VisiCalc came along.[36][37]
    • By the end of the 1970s, Apple had a staff of computer designers and a productionline. The company introduced the ill-fated Apple III in May 1980 in an attempt tocompete with IBM and Microsoft in the business and corporate computingmarket.[38]Jobs and several Apple employees including Jef Raskin visited Xerox PARC inDecember 1979 to see the Xerox Alto. Xerox granted Apple engineers three daysof access to the PARC facilities in return for the option to buy 100,000 shares(800,000 split-adjusted shares) of Apple at the pre-IPO price of $10 ashare.[39] Jobs was immediately convinced that all future computers would use agraphical user interface (GUI), and development of a GUI began for the AppleLisa.[40]In 1980, Apple went public, generating more capital than any IPO since FordMotor Company in 1956 and instantly creating more millionaires (about 300) thanany company in history.[41]1981–1985: Lisa and MacintoshThe Model from Apples "1984" ad, set in a dystopian future modeled afterthe George Orwell novel Nineteen Eighty-Four, set the tone for the introduction ofthe Macintosh.Steve Jobs began working on the Apple Lisa in 1978 but in 1982 he was pushedfrom the Lisa team due to infighting, and took over Jef Raskins low-cost-computerproject, theMacintosh. A turf war broke out between Lisas "corporate shirts" andJobs "pirates" over which product would ship first and save Apple. Lisa won therace in 1983 and became the first personal computer sold to the public with a GUI,but was a commercial failure due to its high price tag and limited software titles.[42]
    • The first Macintosh, released in 1984In 1984, Apple next launched the Macintosh. Its debut was announced by the nowfamous $1.5 million television commercial "1984". It was directed by Ridley Scott,aired during the third quarter of Super Bowl XVIII on January 22, 1984,[43] and isnow considered a watershed event for Apples success[44] and a "masterpiece".[45][46]The Macintosh initially sold well, but follow-up sales were not strong[47] due to itshigh price and limited range of software titles. The machines fortunes changedwith the introduction of the LaserWriter, the first PostScript laser printer to beoffered at a reasonable price, andPageMaker, an early desktop publishing package.The Mac was particularly powerful in this market due to its advanced graphicscapabilities, which had necessarily been built in to create the intuitive MacintoshGUI. It has been suggested that the combination of these three products wasresponsible for the creation of the desktop publishing market.[48]In 1985 a power struggle developed between Jobs and CEO John Sculley, who hadbeen hired two years earlier.[49] The Apple board of directors instructed Sculley to"contain" Jobs and limit his ability to launch expensive forays into untestedproducts. Rather than submit to Sculleys direction, Jobs attempted to oust himfrom his leadership role at Apple. Sculley found out that Jobs had been attemptingto organize a putsch and called a board meeting at which Apples board of directorssided with Sculley and removed Jobs from his managerial duties.[47] Jobs resignedfrom Apple and founded NeXT Inc. the same year.[50]
    • 1986–1993: Rise and fallSee also: Timeline of Apple II family and Timeline of Macintosh modelsThe Macintosh Portable was Apples first "portable" Macintosh computer, releasedin 1989.Having learned several painful lessons after introducing the bulky MacintoshPortable in 1989, Apple introduced the PowerBook in 1991. The MacintoshPortable was designed to be just as powerful as a desktop Macintosh, but weighed7.5 kilograms (17 lb) with a 12-hour battery life. The same year, Appleintroduced System 7, a major upgrade to the operating system, which added colorto the interface and introduced new networking capabilities. It remained thearchitectural basis for Mac OS until 2001.The success of the PowerBook and other products brought increasingrevenue.[49] For some time, it appeared that Apple could do no wrong, introducingfresh new products and generating increasing profits in the process. Themagazine MacAddict named the period between 1989 and 1991 as the "first goldenage" of the Macintosh.Following the success of the Macintosh LC, Apple introduced the Centris line, alow-endQuadra offering, and the ill-fated Performa line that was sold in severalconfusing configurations and software bundles to avoid competing with the variousconsumer outlets such as Sears, Price Club, and Wal-Mart, who were the primarydealers for these models. The result was disastrous for Apple as consumers did notunderstand the difference between models.[51]During this time Apple experimented with a number of other failed consumertargeted products including digital cameras, portable CD audioplayers, speakers, video consoles, and TV appliances. Enormous resources werealso invested in the problem-plagued Newton division based on John Sculleysunrealistic market forecasts.[citation needed] Ultimately, all this proved too-little-too-late, as Apples market share and stock prices continued to slide.[citation needed]
    • Apple saw the Apple II series as too expensive to produce, while taking away salesfrom the low end Macintosh.[52] In 1990, Apple released the Macintosh LC with asingle expansion slot for the Apple IIe Card to migrate Apple II users to theMacintosh platform.[52]Apple stopped selling the Apple IIe in 1993.Microsoft continued to gain market share with Windows, focusing on deliveringsoftware to cheap commodity personal computers while Apple was delivering arichly engineered, but expensive, experience.[53] Apple relied on high profitmargins and never developed a clear response. Instead they sued Microsoft forusing a graphical user interface similar to the Apple Lisa in Apple Computer, Inc.v. Microsoft Corporation.[54] The lawsuit dragged on for years before it was finallydismissed. At the same time, a series of major product flops and missed deadlinessullied Apples reputation, and Sculley was replaced by Michael Spindler.[55]1994–1997: Attempts at reinventionThe Newton was Apples first foray into the PDA markets, as well as one of thefirst in the industry. Despite being a financial flop at the time of its release, ithelped pave the way for the Palm Pilot and Apples owniPhone and iPad in thefuture.By the early 1990s, Apple was developing alternative platforms to the Macintosh,such as the A/UX. Apple had also begun to experiment in providing a Mac-onlyonline portal which they called eWorld, developed in collaboration with AmericaOnline and designed as a Mac-friendly alternative to other online services suchas CompuServe. The Macintosh platform was itself becoming outdated because itwas not built for multitasking, and several important software routines wereprogrammed directly into the hardware. In addition, Apple was facing competitionfrom OS/2 and UNIX vendors like Sun Microsystems. The Macintosh would needto be replaced by a new platform, or reworked to run on more powerfulhardware.[56]
    • In 1994, Apple allied with IBM and Motorola in the AIM alliance. The goal was tocreate a new computing platform (the PowerPC Reference Platform), which woulduse IBM and Motorola hardware coupled with Apples software. The AIM alliancehoped that PRePs performance and Apples software would leave the PC farbehind, thus countering Microsoft. The same year, Apple introduced the PowerMacintosh, the first of many Apple computers to use IBMs PowerPC processor.[57]In 1996, Michael Spindler was replaced by Gil Amelio as CEO. Gil Amelio mademany changes at Apple, including extensive layoffs.[58] After multiple failedattempts to improve Mac OS, first with the Taligent project, then laterwith Copland and Gershwin, Amelio chose to purchase NeXT andits NeXTSTEP operating system, bringing Steve Jobs back to Apple as anadvisor.[59] On July 9, 1997, Gil Amelio was ousted by the board of directors afteroverseeing a three-year record-low stock price and crippling financial losses. Jobsbecame the interim CEO and began restructuring the companys product line.At the 1997 Macworld Expo, Steve Jobs announced that Apple would joinMicrosoft to release new versions of Microsoft Office for the Macintosh, and thatMicrosoft made a $150 million investment in non-voting Apple stock.[60]On November 10, 1997, Apple introduced the Apple Online Store, tied to a newbuild-to-order manufacturing strategy.1998–2005: Return to profitabilityOn August 15, 1998, Apple introduced a new all-in-one computer reminiscent ofthe Macintosh 128K: the iMac. The iMac design team was led by Jonathan Ive,who would later design the iPod and the iPhone.[63][64] The iMac featured moderntechnology and a unique design, and sold almost 800,000 units in its first fivemonths.[65]Through this period, Apple purchased several companies to create a portfolio ofprofessional and consumer-oriented digital production software. In 1998, Appleannounced the purchase of Macromedias Final Cut software, signaling itsexpansion into the digital videoediting market.[66] The following year, Applereleased two video editing products: iMovie for consumers and, forprofessionals, Final Cut Pro, which has gone on to be a significant video-editingprogram, with 800,000 registered users in early 2007.[67] In 2002 Applepurchased Nothing Real for their advanceddigital compositing application Shake,[68] as well as Emagic for their musicproductivity application Logic, which led to the development of their consumer-
    • level GarageBand application.[69][70] iPhotos release the same year completedthe iLife suite.[71]Apple retail stores allow potential customers to use floor models without making apurchase.Mac OS X, based on NeXTs OPENSTEP and BSD Unix was released on March24, 2001, after several years of development. Aimed at consumers andprofessionals alike, Mac OS X aimed to combine the stability, reliability andsecurity of Unix with the ease of use afforded by an overhauled user interface. Toaid users in migrating from Mac OS 9, the new operating system allowed the useof OS 9 applications through Mac OS Xs Classic environment.[72]On May 19, 2001, Apple opened the first official Apple Retail Stores in Virginiaand California.[73] Later on July 9 they bought Spruce Technologies, a DVDauthoring company. On October 23 of the same year, Apple announcedthe iPod portable digital audio player, and started selling it on November 10. Theproduct was phenomenally successful — over 100 million units were sold withinsix years.[74][75] In 2003, Apples iTunes Store was introduced, offeringonline music downloads for $0.99 a song and integration with the iPod. Theservice quickly became the market leader in online music services, with over 5billion downloads by June 19, 2008.[76]Since 2001 Apples design team has progressively abandoned the use of translucentcolored plastics first used in the iMac G3. This began withthe titanium PowerBook and was followed by the white polycarbonate iBook andthe flat-panel iMac.
    • 2005–2007: The Intel transitionMain article: Apples transition to Intel processorsThe MacBook Pro (15.4" widescreen) was Apples first laptop withan Intelmicroprocessor. It was announced in January 2006 and is aimed at theprofessional market.At the Worldwide Developers Conference keynote address on June 6, 2005, SteveJobs announced that Apple would begin producing Intel-based Mac computers in2006.[79] On January 10, 2006, the new MacBook Pro and iMac became the firstApple computers to use Intels Core Duo CPU. By August 7, 2006 Apple hadtransitioned the entire Mac product line to Intel chips, over one year sooner thanannounced.[79] The Power Mac, iBook, andPowerBook brands were retired duringthe transition; the Mac Pro, MacBook, and MacBook Pro became their respectivesuccessors.[80][81] On April 29, 2009, The Wall Street Journalreported that Applewas building its own team of engineers to design microchips.[82]Apple also introduced Boot Camp to help users install Windows XP or WindowsVista on their Intel Macs alongside Mac OS X.[83]Apples success during this period was evident in its stock price. Between early2003 and 2006, the price of Apples stock increased more than tenfold, fromaround $6 per share (split-adjusted) to over $80. In January 2006, Apples marketcap surpassed that of Dell.[84] Nine years prior, Dells CEO Michael Dell said that ifhe ran Apple he would "shut it down and give the money back to theshareholders."[85]Although Apples market share in computers had grown, it remained far behindcompetitors using Microsoft Windows, with only about 8% of desktops andlaptops in the U.S.
    • 2007–2011: Widespread successApple achieved widespread success with consumer electronics that refer to ApplesiPhone, iPod Touch and iPad that introduced innovations in respectivedevices: mobile phones, portable music players and personal computers.The business model of offering a store for applications to be purchased was aninnovation from a business point of view. Touch screens had been invented andseen in mobile devices before, but Apple was the first to achieve mass marketadoption of a touch screen based user interface that included particular pre-programmed touch gestures. The widespread success was continuing when Applesco-founder and chief executive officerSteve Jobs died, but some speculated thatthis would lead to Apples days of technological innovation and compellingproduct design to become things of the past.Delivering his keynote speech at the Macworld Expo on January 9, 2007, Jobsannounced that Apple Computer, Inc. would from that point on be known as AppleInc., because computers were no longer the main focus of the company, which hadshifted its emphasis to mobile electronic devices. The event also saw theannouncement of the iPhone and the Apple TV.[87] The following day, Appleshares hit $97.80, an all-time high at that point. In May, Apples share price passedthe $100 mark.[88]In an article posted on Apples website on February 6, 2007, Steve Jobs wrote thatApple would be willing to sell music on the iTunes Store without DRM (whichwould allow tracks to be played on third-party players), if record labels wouldagree to drop the technology.[89] On April 2, 2007, Apple and EMI jointlyannounced the removal of DRM technology from EMIs catalog in the iTunesStore, effective in May.[90] Other record labels followed later that year.In July of the following year, Apple launched the App Store to sell third-partyapplications for the iPhone and iPod Touch.[91] Within a month, the store sold 60million applications and brought in $1 million daily on average, with Jobsspeculating that the App Store could become a billion-dollar business forApple.[92] Three months later, it was announced that Apple had become the third-largest mobile handset supplier in the world due to the popularity of the iPhone.[93]On December 16, 2008, Apple announced that after over 20 years of attendingMacworld, 2009 would be the last year Apple would be attending the MacworldExpo, and that Phil Schiller would deliver the 2009 keynote in lieu of the expectedJobs.[94] Almost exactly one month later, on January 14, 2009, an internal Applememo from Jobs announced that he would be taking a six-month leave of absence,until the end of June 2009, to allow him to better focus on his health and to allowthe company to better focus on its products without having the rampant media
    • speculating about his health.[95] Despite Jobs absence, Apple recorded its best non-holiday quarter (Q1 FY 2009) during the recession with a revenue of $8.16 billionand a profit of $1.21 billion.[96]After years of speculation and multiple rumored "leaks" Apple announced a largescreen, tablet-like media device known as the iPad on January 27, 2010. The iPadruns the same touch based operating system that the iPhone uses and many of thesame iPhone apps are compatible with the iPad. This gave the iPad a large appcatalog on launch even with very little development time before the release. Laterthat year on April 3, 2010, the iPad was launched in the US and sold more than300,000 units on that day and reaching 500,000 by the end of the first week.[97] InMay of the same year, Apples market cap exceeded that ofcompetitor Microsoft for the first time since 1989.[98]Apple released the fourth generation iPhone, which introduced videocalling, multitasking, and a new uninsulated stainless steel design, which acts asthe phones antenna. Because of this antenna implementation, some iPhone 4 usersreported a reduction in signal strength when the phone is held in specific ways.After a large amount of media coverage including mainstream news organizations,Apple held a press conference where they offered buyers a free rubber bumpercase, which had been proven to eliminate the signal reduction issue. Later that yearApple again refreshed its iPodline of MP3 players which introduced a multi-touch iPod Nano, iPod Touch with FaceTime, and iPod Shuffle with buttons whichbrought back the buttons of earlier generations.[99][100][101]In October 2010, Apple shares hit an all-time high, eclipsing$300.[102] Additionally, on October 20, Apple updated their MacBookAirlaptop, iLife suite of applications, and unveiled Mac OS X Lion, the latestinstallment in their Mac OS X operating system.[103] On January 6, 2011, thecompany opened their Mac App Store, a digital software distribution platform,similar to the existing iOS App Store.[104] Apple was featured in thedocumentary Something Ventured which premiered in 2011.2011–present: Post–Steve Jobs eraOn January 17, 2011, Jobs announced in an internal Apple memo that he wouldtake another medical leave of absence, for an indefinite period, to allow him tofocus on his health. Chief operating officer Tim Cook took up Jobs day-to-dayoperations at Apple, although Jobs would still remain "involved in major strategicdecisions for the company."[105] Apple became the most valuable consumer-facingbrand in the world.[106] In June 2011, Steve Jobs surprisingly took the stage andunveiled iCloud. iCloud is an online storage and syncing service for music, photos,
    • files and software which replaced MobileMe, Apples previous attempt at contentsyncing.[107] This would be the last product launch Jobs would attend before hisdeath. It has been argued that Apple has achieved such efficiency in its supplychain[108] that the company operates as a monopsony (one buyer, many sellers), inthat it can dictate terms to its suppliers.[109][110]Briefly in July 2011, due to the debt-ceiling crisis, Apples financial reserves were greater than those of the USGovernment.[111] On August 24, 2011, Jobs resigned his position as CEO ofApple.[112] He was replaced by Tim Cook and Jobs became Apples chairman. Priorto this, Apple did not have a chairman and instead had two co-leaddirectors, Andrea Jung and Arthur D. Levinson, who continued with those titlesuntil Levinson became Chairman of the Board in November.[113]On October 4, 2011, Apple announced the iPhone 4S, which includes an improvedcamera with 1080p video recording, a dual core A5 chip capable of 7 times fastergraphics than the A4, an "intelligent software assistant" named Siri, and cloud-sourced data withiCloud.[114][115] One day later, on October 5, 2011, Appleannounced that Jobs had died, marking the end of an era for Apple Inc.[116][117] TheiPhone 4S was officially released on October 14, 2011. On October 29, 2011,Apple purchased C3 Technologies, a mapping company, for $240 million. C3 isthe third mapping company Apple has purchased so far.[118] On January 10, 2012,Apple acquired Anobit, an Israeli hardware company that developed and supplies aproprietary memory signal processing technology that improves the performanceof flash-memory used in iPhones and iPads for $390 million.[119]On January 19, 2012, Apples Phil Schiller introduced iBooks Textbooks for iOSand iBook Author for Mac OS X in New York.[120] This was the first majorannouncement by Apple since the passing of Steve Jobs, who stated in hisbiography that he wanted to reinvent the textbook and education. The 3rdgeneration iPad was announced on March 7, 2012. It includes a Retina display, anew CPU, a five megapixel camera, and 1080p video recording.[121][122]On a July 24th 2012 conference call with investors, Tim Cook said that heloves India but Apple is going to expect larger opportunities outside of India, citingthe reason as the 30% sourcing requirement from India.[123][124][125][126]
    • Products and marketingCurrent productsSee also: Timeline of Apple products and List of products discontinued by AppleInc.Mac and accessoriesSee also: Timeline of Macintosh models, List of Macintosh models grouped byCPU type, and List of Macintosh models by case type Mac Mini, consumer sub-desktop computer and server introduced in 2005. iMac, consumer all-in-one desktop computer introduced in 1998. Mac Pro, workstation-class desktop computer introduced in 2006, replacing the Power Macintosh. MacBook Pro, professional notebook introduced in 2006, replacing the PowerBook. MacBook Air, ultra-thin, ultra-portable notebook introduced in 2008.Apple also sells a variety of computer accessories for Mac computers including theAirPort wireless networking products, Time Capsule, Thunderbolt Display, MagicMouse, Magic Trackpad, Wireless Keyboard, and the Apple Battery Charger.iPadMain article: iPadThe Apple website home page, featuring The new iPad.
    • On January 27, 2010, Apple introduced their much-anticipated media tablet,the iPad running a modified version of iOS. It offers multi-touch interaction withmultimedia formats including newspapers, magazines, ebooks, textbooks, photos,movies, TV shows videos, music, word processing documents, spreadsheets, videogames, and most existing iPhone apps.[127] It also includes a mobile versionof Safari for web browsing, as well as access to the AppStore, iTunes Library, iBooks Store, contacts, and notepad. Content isdownloadable via Wi-Fi and optional 3G service or synced through the userscomputer.[128] AT&T was initially the sole US provider of 3G wireless access forthe iPad.[129]On March 2, 2011, Apple introduced an updated iPad model which had a fasterprocessor and two cameras on the front and back respectively. The iPad 2 alsoadded support for optional 3G service provided by Verizon in addition to theexisting offering by AT&T.[130] However, the availability of the iPad 2 has beenlimited as a result of the devastating earthquake and ensuing tsunami in Japan inMarch 2011.[131]On March 7, 2012, Apple introduced the iPad 3, aka, "The New iPad". The iPad 3added LTE service from AT&T or Verizon and an upgraded processor, the A5X. Italso added the "Retina" display (2048 by 1536 resolution) originally found on theiPhone 4 and iPhone 4S. The dimensions and form factor remained relativelyunchanged, with "The New iPad" being a fraction thicker and heavier than theprevious version, and minor positioning changes.[132]Since the tablet launched in 2010, iPad users have downloaded 3 billion apps,while the total App Store downloads is up to over 25 billion downloads.[133]iPodMain article: iPodThe current iPod family, featuring the iPod Shuffle, iPod Nano, iPod Classic,and iPod Touch
    • On October 23, 2001, Apple introduced the iPod digital music player. It hasevolved to include various models targeting the wants of different users. The iPodis the market leader in portable music players by a significant margin, with morethan 220 million units shipped as of September 2009.[134] Apple has partneredwith Nike to offer the Nike+iPod Sports Kit enabling runners to synchronize andmonitor their runs with iTunes and the Nike+ website. Apple currently sells fourvariants of the iPod. iPod Shuffle, ultraportable digital audio player first introduced in 2005, currently available in a 2 GB model. iPod Nano, portable media player first introduced in 2005, currently available in 8 and 16 GB models. The latest generation has a FM radio, a pedometer, and a new multi-touch interface that replaced the traditional iPod click wheel. iPod Classic (previously named iPod from 2001 to 2007), portable media player first introduced in 2001, currently available in a 160 GB model.[135] iPod Touch, portable media player that runs iOS, first introduced in September 2007 after the iPhone went on sale. Currently available in 8, 32, and 64 GB models. The latest generation features the Apple A4 processor, a Retina Display, and dual cameras on the front and back. The back camera allows for HD video recording at 720p.[136]iPhoneMain article: iPhoneAt the Macworld Conference & Expo in January 2007, Steve Jobs revealed thelong anticipated[137] iPhone, a convergence of an Internet-enabled smartphone andiPod.[138] The original iPhone combined a 2.5G quadband GSM and EDGE cellular phone with features found in hand held devices,running scaled-down versions of Apples Mac OS X (dubbed iOS, formerly iPhoneOS), with various Mac OS X applications such as Safari and Mail. It also includesweb-based and Dashboard apps such as Google Maps and Weather. The iPhonefeatures a 3.5-inch (89 mm) touch screen display, 4, 8, or 16 GB ofmemory, Bluetooth, and Wi-Fi (both "b" and "g").[138]The iPhone first becameavailable on June 29, 2007 for $499 (4 GB) and $599 (8 GB) withan AT&T contract.[139] On February 5, 2008, Apple updated the original iPhone tohave 16 GB of memory, in addition to the 8 GB and 4 GB models.[140] On June 9,2008, at WWDC2008, Steve Jobs announced that the iPhone 3G would beavailable on July 11, 2008.[141] This version added supportfor 3G networking,assisted-GPS navigation, and a price cut to $199 for the 8 GBversion, and $299 for the 16 GB version, which was available in both black and
    • white. The new version was visually different from its predecessor in that iteliminated the flat silver back, and large antenna square for a curved glossy blackor white back. Following complaints from many people, the headphone jack waschanged from a recessed jack to a flush jack to be compatible with more styles ofheadphones. The software capabilities changed as well, with the release of the newiPhone came the release of Apples App Store; the store provided applications fordownload that were compatible with the iPhone. On April 24, 2009, the App Storesurpassed one billion downloads.[142]On June 8, 2009, at Apples annual worldwide developers conference, the iPhone3GS was announced, providing an incremental update to the device includingfaster internal components, support for faster 3G speeds, video recordingcapability, and voice control. On June 7, 2010, at WWDC 2010, the iPhone 4 wasannounced, which Apple says is its "biggest leap weve taken" since the originaliPhone.[143]The phone includes an all-new design, 960x640 display, Apples A4 processor usedin the iPad, a gyroscope for enhanced gaming, 5MP camera with LED flash, front-facing VGA camera and FaceTime video calling. Shortly after the release of theiPhone 4, it was realized by consumers that the new iPhone had reception issues.This is due to the stainless steel band around the edge of the device, which alsoserves as the phones cellular signal and Wi-Fi antenna. The current fix for thisissue was a "Bumper Case" for the phone distributed for free to all iPhone 4owners for a few months. In June 2011, Apple overtook Nokia to become theworlds biggest smartphone maker by volume.[144]On October 4, 2011, Apple unveiled the iPhone 4S, which was released in theUnited States, Canada, Australia, United Kingdom, France, Germany, and Japanon October 14, 2011, with other countries set to follow later in the year.[145] Thiswas the first iPhone model to feature the Apple A5 chip, as well as the first offeredon the Sprint network (joining AT&T and Verizon Wireless as the United Statescarriers offering iPhone models). On October 19, 2011, Apple announced anagreement with C Spire Wireless to sell the iPhone 4S with that carrier in the nearfuture, marking the first time the iPhone was officially supported on a regionalcarriers network.[146]Another notable feature of the iPhone 4S was Siri voice assistant technology,which Apple had acquired in 2010,[147] as well as other features, including anupdated 8 megapixel camera with new optics. Apple sold 4 million iPhone 4Sphones in the first three days after its release, which made it not only the bestiPhone launch in Apples history, but the most-successful launch of any mobilephone ever.[148]
    • Apple TVMain article: Apple TVThe Apple TV, in its most recent revisionAt the 2007 Macworld conference, Jobs demonstrated the Apple TV, (previouslyknown as the iTV),[149] a set-top video device intended to bridge the sale of contentfrom iTunes with high-definition televisions. The device links up to a users TVand syncs, either via Wi-Fi or a wired network, with one computers iTunes libraryand streams from an additional four. The Apple TV originally incorporated a40 GB hard drive for storage, includes outputs for HDMIand component video,and plays video at a maximum resolution of 720p.[150] On May 31, 2007 a 160 GBdrive was released alongside the existing 40 GB model[151] and on January 15,2008 a software update was released, which allowed media to be purchaseddirectly from the Apple TV.[152] In September 2009, Apple discontinued theoriginal 40 GB Apple TV and now continues to produce and sell the 160 GB AppleTV. On September 1, 2010, alongside the release of the new line of iPod devicesfor the year, Apple released a completely redesigned Apple TV. The new device is1/4 the size, runs quieter, and replaces the need for a hard drive with mediastreaming from any iTunes library on the network along with 8 GB of flashmemory to cache media downloaded. Apple with the Apple TV has added anotherdevice to its portfolio that runs on its A4 processor along with the iPad and theiPhone. The memory included in the device is the half of the iPhone 4 at 256 MB;the same as the iPad, iPhone 3GS, iPod touch 3G, and iPod touch 4G.[153] It hasHDMI out as the only video out source. Features include access to the iTunes Storeto rent movies and TV shows (purchasing has been discontinued), streaming frominternet video sources, including YouTube and Netflix, and media streaming froman iTunes library. Apple also reduced the price of the device to $99.
    • SoftwareSee also: List of Macintosh softwareApple develops its own operating system to run on Macs, OS X, the latest versionbeing OS X Mountain Lion (version 10.8). Apple also independently developscomputer software titles for its OS X operating system. Much of the softwareApple develops is bundled with its computers. An example of this is the consumer-oriented iLife software package that bundles iMovie, iPhoto and GarageBand. Forpresentation, page layout and word processing, iWork is available, whichincludes Keynote, Pages, and Numbers. iTunes, QuickTimemediaplayer, Safari web browser, and Software Update are available as free downloadsfor both Mac OS X and Windows.Apple also offers a range of professional software titles. Their range of serversoftware includes the operating system OS X Server; Apple Remote Desktop, aremote systems management application; and Xsan, a Storage Area Network filesystem. For the professional creative market, there is Aperture forprofessional RAW-format photo processing; Final Cut Pro, a video productionsuite; Logic Pro, a comprehensive music toolkit; and Motion, an advanced effectscomposition program.Apple also offers online services with iCloud, which provides cloud storage andsyncing for a wide range of data, including email, contacts, calendars, photos anddocuments. It also offers iOS device backup, and is able to integrate directly withthird-party apps for even greater functionality. iCloud is the fourth generation ofonline services provided by Apple, and was preceded by MobileMe, .Mac andiTools, all which met varying degrees of success.MarketingSee also: Criticism of Apple Inc.#Comparison with a cult/religion
    • Apple aficionados wait in line around an Apple retail store in anticipation of a newproduct. This branch is located on Fifth Avenue in New York City, with a glasscube housing a cylindrical elevator and a spiral staircase that lead into thesubterranean store. "The scenes I witnessed at the opening of the new Apple store in Londons Covent Garden were more like an evangelical prayer meeting than a chance to buy a phone or a laptop. " – Alex Riley, writing for the BBC[154]Apple brand and brand community. Apples brands loyalty is considered unusualfor any product. At one time, Apple evangelists were actively engaged by thecompany, but this was after the phenomenon was already firmly established. Appleevangelist Guy Kawasaki has called the brand fanaticism "something that wasstumbled upon".[155] Apple has, however, supported the continuing existence of anetwork of Mac User Groups in most major and many minor centers of populationwhere Mac computers are available.Mac users would meet at the European Apple Expo and the SanFrancisco Macworld Conference & Expo trade shows where Apple traditionallyintroduced new products each year to the industry and public until Apple pulledout of both events. While the conferences continue, Apple does not have officialrepresentation there. Mac developers, in turn, continue to gather at the annualApple Worldwide Developers Conference.Apple Store openings can draw crowds of thousands, with some waiting in line asmuch as a day before the opening or flying in from other countries for theevent.[156] The New York City Fifth Avenue "Cube" store had a line as long as halfa mile; a few Mac fans took the opportunity of the setting to proposemarriage.[157] The Ginza opening in Tokyo was estimated in the thousands with aline exceeding eight city blocks.[158]John Sculley told The Guardian newspaper in 1997: "People talk abouttechnology, but Apple was a marketing company. It was the marketing company ofthe decade."[159]Research in 2002 by NetRatings indicate that the average Apple consumer wasusually more affluent and better educated than other PC company consumers. Theresearch indicated that this correlation could stem from the fact that on averageApple Inc. products are more expensive than other PC products.[160][161]
    • NameAccording to Steve Jobs, Apple was so named because Jobs was coming back froman apple farm, and he was on a fruitarian diet. He thought the name was "fun,spirited and not intimidating".LogosSee also: U+F8FF and Typography of Apple Inc.The original logo with Isaac Newton under an apple treeThe rainbow "bitten" logo, used from late 1976 to 1998The monochrome logo, used since 1998Apples first logo, designed by Ron Wayne, depicts Sir Isaac Newton sitting underan apple tree.Almost immediately, though, this was replaced by Rob Janoffs "rainbow Apple",the now-familiar rainbow-colored silhouette of an apple with a bite taken out of it.Janoff presented Jobs with several different monochromatic themes for the "bitten"logo, and Jobs immediately took a liking to it. While Jobs liked the logo, heinsisted it be in color to humanize the company.[163][164] The Apple logo wasdesigned with a bite so that it would not be recognized as another fruit. Thecolored stripes were conceived to make the logo more accessible, and to representthe fact the Apple II could generate graphics in color.[165]
    • This logo is often erroneously referred to as a tribute to Alan Turing, with the bitemark a reference to his method of suicide.[166][167] Both the designer of the logo andthe company deny that there is any homage to Turing in the design of the logo.In 1998, with the roll-out of the new iMac, Apple discontinued the rainbow themeand began to use monochromatic themes, nearly identical in shape to its previousrainbow incarnation, on various products, packaging and advertising. An Aqua-themed version of the monochrome logo was used from 2001–2003, and a Glass-themed version has been used since 2003.Steve Jobs and Steve Wozniak were Beatles fans, but Apple Inc. had trademarkissues with Apple Corps Ltd., a multimedia company started by The Beatles in1967, involving their name and logo. This resulted in a series of lawsuits andtension between the two companies. These issues ended with settling of their mostrecent lawsuit in 2007.SlogansMain article: List of Apple Inc. slogansApples first slogan, "Byte into an Apple", was coined in the late 1970s.[171] From1997–2002, Apple used the slogan "Think Different" in advertising campaigns.Although the slogan has been retired, it is still closely associated withApple.[172] Apple also has slogans for specific product lines — for example,"iThink, therefore iMac" was used in 1998 to promote the iMac,[173] and "Say helloto iPhone" has been used in iPhone advertisements.[174] "Hello" was also used tointroduce the original Macintosh, Newton, iMac ("hello (again)"), and iPod.[175]AdvertisingMain article: Apple Inc. advertisingSee also: 1984 (advertisement), Lemmings (advertisement), iPodadvertising, and music used by Apple Inc.Further information: Think Different, Get a Mac, and Apple Switch ad campaignSince the introduction of the Macintosh in 1984 with the 1984 Super Bowlcommercial to the more modern Get a Mac adverts, Apple has been recognized inthe past for its efforts towards effective advertising and marketing for its products,though its advertising has been criticized for the claims of some more recentcampaigns, particularly 2005 Power Mac ads[176][177][178] and iPhone ads in Britain.Apples product commercials gained fame for launching musicians into stardom asa result of their eye-popping graphics and catchy tunes.[179] First, the company
    • popularized Canadian singer Feists "1234" song in its ad campaign.[179] Later,Apple used the song "New Soul" by French-Israeli singer-songwriter Yael Naïm topromote the MacBook Air.[179] The debut single shot to the top of the charts andsold hundreds of thousands of copies in a span of weeks.[179]Corporate affairsSee also: List of mergers and acquisitions by Apple, BraeburnCapital, and FileMaker Inc.During the Macs early history Apple generally refused to adopt prevailing industrystandards for hardware, instead creating their own.[180] This trend was largelyreversed in the late 1990s beginning with Apples adoption of the PCI bus inthe 7500/8500/9500 Power Macs. Apple has sinceadopted USB, AGP, HyperTransport, Wi-Fi, and other industry standards in itscomputers and was in some cases a leader in the adoption of standards such asUSB.[181] FireWire is an Apple-originated standard that has seen widespreadindustry adoption after it was standardized as IEEE 1394.[182]Ever since the first Apple Store opened, Apple has sold third partyaccessories.[183] For instance, at one point Nikon and Canon digital cameras weresold inside the store. Adobe, one of Apples oldest software partners,[184] also sellsits Mac-compatible software, as does Microsoft, who sells Microsoft Office for theMac. Books from John Wiley & Sons, who publishes the For Dummies series ofinstructional books, are a notable exception, however. The publishers line of bookswere banned from Apple Stores in 2005 because Steve Jobs disagreed with theirdecision to publish an unauthorized Jobs biography, iCon.[185] After the launch ofthe iBookstore, Apple stopped selling physical books, both online and at the AppleRetail Stores.
    • HeadquartersWorldwideMain article: Apple CampusCompany headquarters on Infinite Loop inCupertino, CaliforniaApple Inc.s world corporate headquarters are located in the middle of SiliconValley, at 1–6Infinite Loop, Cupertino, California. This Apple campus has sixbuildings that total 850,000 square feet (79,000 m2) and was built in 1993 bySobrato Development Cos.[186]Apple created subsidiaries in low-tax places such as Ireland,the Netherlands, Luxembourgand the British Virgin Islands to cut the taxes it paysaround the world. According to the New York Times, Apple was among the firsttech companies to designate overseas salespeople in high-tax countries in a mannerthat allowed the company to sell on behalf of low-tax subsidiaries on othercontinents, sidestepping income taxes. Apple was a pioneer of an accountingtechnique known as the "Double Irish With a Dutch Sandwich," which reducestaxes by routing profits through Irish subsidiaries and the Netherlands and then tothe Caribbean.[187]In 2006, Apple announced its intention to build a second campus on 50 acres(200,000 m2) assembled from various contiguous plots (east of N Wolfe Roadbetween Pruneridge Avenue and Vallco Parkway). Later acquisitions increased thisto 175 acres. The new campus, also in Cupertino, will be about 1 mile (1.6 km)east of the current campus.[188] The new campus building will be designedbyNorman Foster.[189]On June 7, 2011, Steve Jobs gave a presentation to Cupertino City Council,detailing the architectural design of the new building and its environs. The newcampus is planned to house up to 13,000 employees in one central four-storiedcircular building (with a café for 3,000 sitting people integrated) surrounded byextensive landscape (with parking mainly underground and the rest centralized in aparking structure). There will be additional buildings such as an auditorium, R&D
    • facilities, a fitness center and a dedicated generating plant as primary source ofelectricity (powered by natural gas and other more environmentally sound means).Headquarters for Europe, the Middle East and AfricaApples headquarters for Europe, the Middle East and Africa (EMEA) are locatedin Cork in the south ofIreland.[190][191][192][193][194][195][196] The facility, which openedin 1980, was Apples first location outside of the United States.[197]Apple SalesInternational, which deals with all of Apples international sales outside of theUSA, is located at Apples campus in Cork[198] along with Apple DistributionInternational, which similarly deals with Apples international distributionnetwork.[199]On April 20, 2012, Apple announced the addition of 500 new jobs to its Europeanheadquarters. This will bring the total workforce from around 2,800 to 3,300employees.[190][191][200] The company will build a new office block on its HollyhillCampus to accommodate the additional staff.[201]Corporate cultureApple was one of several highly successful companies founded in the 1970s thatbucked the traditional notions of what a corporate culture should look like inorganizational hierarchy (flat versus tall, casual versus formal attire, etc.). Otherhighly successful firms with similar cultural aspects from the same periodinclude Southwest Airlines and Microsoft. Originally, the company stood inopposition to staid competitors like IBM by default, thanks to the influence of itsfounders; Steve Jobs often walked around the office barefoot even after Apple wasa Fortune 500 company. By the time of the "1984" TV ad, this trait had become akey way the company attempted to differentiate itself from its competitors.[202]As the company has grown and been led by a series of chief executives, each withhis own idea of what Apple should be, some of its original character has arguablybeen lost, but Apple still has a reputation for fostering individuality and excellencethat reliably draws talented people into its employ, especially after Jobs return. Torecognize the best of its employees, Apple created the Apple Fellows program,awarding individuals who made extraordinary technical or leadership contributionsto personal computing while at the company. The Apple Fellowship has so farbeen awarded to a few individuals including Bill Atkinson,[203] SteveCapps,[204] Rod Holt,[203] Alan Kay,[205][206] Guy Kawasaki,[205][207] AlAlcorn,[208] Don Norman,[205] Rich Page,[203] and Steve Wozniak.[203]
    • Numerous employees of Apple have cited that projects without Jobs involvementoften take longer than projects with his involvement.[209] Another presents theimage of Jobs "wandering the hall with a flame thrower in hand, asking randompeople do you work on MobileMe?".[210]At Apple, employees are specialists who are not exposed to functions outside theirarea of expertise. Jobs saw this as a means of having best-in-class employees inevery role. For instance, Ron Johnson who was Senior Vice President of RetailOperations until November 1, 2011, was responsible for site selection, in-storeservice, and store layout, yet he had no control of the inventory in his stores (whichis done company wide by then-COO and now CEO Tim Cook who has abackground in supply-chain management). This is the opposite of GeneralElectrics corporate culture which has created well-rounded managers.[211] [211]Under the leadership of Tim Cook who joined the company in 1998 and ascendedto his present position as CEO, Apple has developed an extremely efficient andeffective supply chain which has been ranked as the worlds best for the four years2007–2010[citation needed]. The companys manufacturing, procurement and logisticsenables it to execute massive product launches without having to maintain large,profit-sapping inventories; Apples profit margins have been 40 percent comparedwith 10–20 percent for most other hardware companies in 2011. Cookscatchphrase to describe his focus on the companys operational edge is ―Nobodywants to buy sour milk‖.[110] [212] The company previously advertised its products asbeing made in America up to the late 1990s, however as a result of outsourcinginitiatives in the 2000s almost all of its manufacturing is now done abroad.According to a report by the New York Times, Apple insiders "believe the vastscale of overseas factories as well as the flexibility, diligence and industrial skillsof foreign workers have so outpaced their American counterparts that ―Made in theU.S.A.‖ is no longer a viable option for most Apple products".[213]FinanceIn its fiscal year ending in September 2011, Apple Inc. hit new heights financiallywith $108 billion in revenues (increased significantly from $65 billion in 2010)and nearly $82 billion in cash reserves. Apple achieved these results while losingmarket share in certain product categories.[214]On March 19, 2012, Apple announced plans for a $2.65 per share dividendbeginning in fourth quarter of 2012, per approval by their board of directors.[215]
    • Environmental recordGreenpeace has campaigned against Apple on various environmental issues,including a global end-of-life take-back plan, non-recyclable hardware componentsand toxins within iPhone hardware.[216][217] Since 2003 Greenpeace has campaignedagainst Apples use of particular chemicals in its products, more specifically, theinclusion of PVC and BFRs in their products.[216] On May 2, 2007,SteveJobs released a report announcing plans to eliminate PVC and BFRs by the end of2008.[218][219] Apple has since eliminated PVC and BFRs across its productrange,[220] becoming the first laptop maker to do so.[221]In the first edition, released in August 2006, Apple scored 2.7/10.[222]The Environmental Protection Agency rates Apple highest amongst producers ofnotebook computers, and fairly well compared to producers of desktop computersand LCD displays.[223][224]In June 2007, Apple upgraded the MacBook Pro, replacing coldcathode fluorescent lamp (CCFL) backlit LCD displays with mercury-free LED backlit LCD displays and arsenic-free glass,[225] and has since done thisfor all notebooks. Apple has also phased out BFRs and PVCs from various internalcomponents.[218][226][227] Apple offers information about the emissions, materials,and electrical usage of each product.[228]In June 2009, Apples iPhone 3GS was free of PVC, arsenic, BFRs and had anefficient power adapter.[225]In October 2009, Apple upgraded the iMac and MacBook, replacing the coldcathode fluorescent lamp (CCFL) backlit LCD displays with mercury-free LEDbacklit LCD displays and arsenic-free glass.[229] This means all Apple computershave mercury free LED backlit displays, arsenic-free glass and are without PVCcables. All Apple computers also have EPEAT Gold status.[225]In 2010, Climate Counts, a nonprofit organization dedicated to directingconsumers toward the greenest companies, gave Apple a score of 52 points out of apossible 100, which puts Apple in their top category "Striding".[230] This was anincrease from May 2008, when Climate Counts only gave Apple 11 points out of100, which placed the company last among electronics companies, at which timeClimate Counts also labeled Apple with a "stuck icon", adding that Apple at thetime was "a choice to avoid for the climate conscious consumer".[18]In October 2011 Chinese authorities have ordered an Apple supplier to close partof its plant in Suzhou after residents living nearby raised significant environmentalconcerns.[231]
    • In November 2011 Apple featured in Greenpeaces Guide to Greener Electronicsthat ranks electronics manufacturers on sustainability, climate and energy and howgreen their products are. The company ranked 4th out of 15 electronics companies(moving up five places from the previous year) with a score of 4.6/10 down from4.9.[232] Greenpeace praises Apples sustainability, noting that the companyexceeded its 70% global recycling goal in 2010. It continues to score well on theproducts rating with all Apple products now being free of PVC vinyl plastic andbrominated flame retardants. However, the guide criticizes Apple on the Energycriteria for not seeking external verification of its greenhouse gas emissions dataand for not setting out any targets to reduce emissions.[232]In January 2012, Apple announced plans and requested that their cable makerVolex begin producing halogen-free USB and power cables.[233]In June 2012 Apple Inc. withdrew its products from the Electronic ProductEnvironmental Assessment Tool (EPEAT) certification system,[234][235] but reversedthis decision in July.[236]Labor practicesFurther information: Apple labor practicesIn 2006, the Mail on Sunday reported on working conditions existed at factories inChina where the contract manufacturers Foxconn andInventec produced theiPod.[237] The article stated that one complex of factories that assembles the iPod(among other items) had over 200,000 workers that lived and worked in thefactory, with employees regularly working more than 60 hours per week. Thearticle also reported that workers made around $100 per month and were requiredto live pay for rent and food from the company, which generally amounted to alittle over half of workers earnings.[17][238][239][240]Apple immediately launched an investigation and worked with their manufacturersto ensure acceptable working conditions.[241] In 2007, Apple started yearly audits ofall its suppliers regarding workers rights, slowly raising standards and pruningsuppliers that did not comply. Yearly progress reports have been published since2008.[242] In 2010, workers in China planned to sue iPhone contractors overpoisoning by a cleaner used to clean LCD screens. One worker claimed that he andhis coworkers had not been informed of possible occupational illnesses.[243] After aspate of suicides in a Foxconn facility in China making iPads and iPhones, albeit ata lower rate than in China as a whole,[244] workers were forced to sign a legallybinding document guaranteeing that they would not kill themselves. In 2011 Appleadmitted that its suppliers child labor practices in China had worsened
    • Workers in factories producing Apple products have also been exposed to n-hexane, a neurotoxin that is a cheaper alternative than alcohol for cleaning theproducts.