Apple's newest biz strategy- Free, free, free

Apple's newest biz strategy: Free, free, free
Apple revealed lots of new things on Tuesday during its product event at the Yerba Buena Center in San Francisco, but the most intriguing among them was not on the product list -- its newest business strategy: aggressive pricing. "Today we're revolutionizing pricing," said Apple's senior vice president of software engineering Craig Federighi, right before announcing that the company would be giving away OS X Mavericks, Apple's new flagship Mac operating system. On the screen behind him, the word "Free" appeared from behind a glimmer of light, one of the hokey slide animations that Apple has used in its keynote slides since Steve Jobs was the ringmaster.On a day where Apple announced a slimmer, faster, renamed iPad Air, and an iPad Mini with Retina Display, the biggest story may have been in dollars and cents, with the company electing to give away some of its marquee software offerings.Aside from Mavericks, Apple also announced that its iLife and iWorks suites -- with revamped versions of key apps like Garage Band and Pages -- would also be free with new iOS or Mac purchases. It's not an insignificant sum for consumers. iWork apps like Pages and Keynote currently cost $20 a pop in Apple's app store.Apple unveils new iPads, MacBooks, and releases...See full gallery1 - 4 / 30NextPrevThe move comes in the face of more intense competition for Apple on the software front. Google's suite of productivity apps, which includes Drive for storage and file syncing, and Docs for word processing and collaborative working, has increasingly established itself with users. And as Apple's biggest mobile hardware competitor, Samsung, gains market share, Android users are that much more tempted to use Google's productivity suite. Now Apple has added collaborative editing features to Pages and new sharing and syncing capabilities for iWork apps among different devices -- for example, start a project on the iPad and pick it up on a Mac. The strategy can also be seen as a play against Microsoft, the venerable leader in the productivity software category. Apple even took a dig at Redmond in its presentation, noting on a slide that users spend $99 on Office 365 per year. Melissa Webster, an analyst at the research firm IDC, said that the race is so lopsided toward Microsoft that the firm doesn't even keep market share data on the category. So what to make of Apple's giving iWork away for free? "It's a nice, carnivorous strategy toward Microsoft," said Webster. "It makes new Mac users think twice about getting Microsoft Office." Related stories:New announcements from Apple (pictures)Apple to release OS X Mavericks for freeApple announces new, faster MacBook Pros with Haswell chips, Thunderbolt 2, starting at $1,299Apple iTunes Radio notches 20M listeners, 1 billion songsApple by the numbers: 64% of iOS devices on iOS 7Mac Pro available by end of year, starting at $2,999Apple updates iLife for iOS and OS XApple's Cook on competitors: 'They're confused'Complete coverage of Apple's Oct. 22 eventWebster also mentions that it could be a pre-emptive strike against the market leader, and an attempt to lure users to Apple's own services, as Microsoft gets ready to release Office on the iPad. For its part, Microsoft has given its share of freebies. Last week, the company announced that it would give Office 365 ProPlus to students at academic institutions that license the software to faculty and staff. Of course, productivity tools are one of Microsoft's plumpest cash cows, the biggest revenue stream for the company after Windows. So it's unlikely that Apple's software play will really disrupt Microsoft Office's mojo. But it can be a useful tactic for Apple to occupy its users while trying to disorient a competitor. "It helps to distract [Microsoft]," Webster continued. "It's like death by a thousand paper cuts."Giving away software could also be one of the most natural moves for Apple. Chuck Jones, founder of Sand Hill Insights, a technology research firm, notes that most of the company's new Mac users probably already own iPhones and iPads, and updates for iOS -- Apple's mobile operating system -- have always been free. Following suit with the desktop OS might just be the right play into consumer behavior.Not only does the strategy shift come when Apple's competitors are stocking up their war chests, but also at a time when Apple is sitting pretty, to the point of, its critics say, coasting. While the company gets a lot of flak these days charging that it's lost the ability to innovate, it's still got fat margins and lots of users. "They've got so many people in the ecosystem now. Now is the time to make sure they stay," said Jones.


New iTunes-only 'Avatar' offers rich interactive viewing

New iTunes-only 'Avatar' offers rich interactive viewing
Starting Tuesday, "Avatar" fans who buy the mega-hit film on iTunes will also get a set of cool behind-the-scenes interactive features.For the last couple of years, movie buyers have gotten some of the same kinds of "extras" on iTunes that have long been included on DVD and Blu-ray versions of films. But now, with its new digital download of "Avatar," Fox is stepping up the offerings--"scene deconstruction" that lets viewers "move seamlessly from performance capture to template to final scene."As part of the package, buyers will get access to 17 scenes worth of the film's original motion-capture footage, as well as a "template" version of its Academy Award-winning visual effects.Even better, fans of James Cameron's $2.8 billion blockbuster will be able to watch the different versions of the footage side-by-side, or screen-in-screen. A 12GB, high-definition version of the film will cost $20 and will include fully 7GB of special footage, said Aubrey Freeborn, senior vice president for marketing and product management at Twentieth Century Fox. The 7GB standard-def version will run $15 and include 4.6GB of the special footage.This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.PlayFox has designed the interactivity to work in a variety of ways. Fans can watch the 17 scenes and choose one version--final, template, or mo-cap--as the main view. They would then see the other two views in screen-in-screen boxes, and can switch which view is in which box.At the same time, they can also choose a vertical or horizontal split-screen view, with the scenes' final version on either the top or the left side, and the template version on the bottom or right side.Another feature is called Green Screen X-Ray, and allows viewers to see through the final version of a scene to the original green screen footage.Twentieth Century FoxFinally, there are also several scenes of what Fox is calling "green screen X-Ray," an "interactive way to see through a final scene to its original green screen footage."Freeborn said that much of the same material is currently available on the Blu-Ray version of "Avatar," but that the iTunes offering is much more "seamless." Essentially, that means that those who buy the film via Apple will be able to switch between views with a single click, while the Blu-Ray version requires backing out to a main menu for any changes.For Fox, this new iTunes version of "Avatar" is a way to showcase what it plans on doing with a number of other movies going forward. In general, said Freeborn, for visual-effects-heavy films, Fox will offer similar types of alternate versions of scenes. And, the studio plans on going back over its existing catalog and adding extras where it can. "We're looking for other ways to let the consumer interact," said Freeborn. "It's about finding what is appropriate for the movie."For now, though, Fox is focusing on the "Avatar" release because it wants to make sure that buyers get the most out of the new extras, and because it wants to set a good precedent for future offerings. Freeborn also said that for the time being, iTunes will be the only digital platform through which fans can buy the new interactive version of "Avatar." But she said that will change when services like Amazon and others allow similar types of extras.At the same time, those buying the film through iTunes will only be able to access the special features on their Mac or PC. That's because neither the iPad nor the iPhone currently supports such extras. An Apple spokesperson wouldn't say when that would change.


Bose SoundTouch throws down multiroom audio gauntlet to Sonos

Bose SoundTouch throws down multiroom audio gauntlet to Sonos
Sonos comparisonsLike Sonos, the speakers and apps will get software updates that add new features and services. At launch, I was underwhelmed with Bose's line up of services. Beyond Pandora there's nothing: no Spotifiy, no Rdio, no Deezer, no nothing. Sonos has a huge roster of service tie-ins, so Bose has a big hole to fill there.The other thing you can't do with the Bose SoundTouch speakers is combine two speakers to get stereo sound. That starts to get a little expensive when you're combining $399 speakers to make a pair, but these types of speakers that have their drivers very close together typically feature little to no stereo separation, so it's a nice option to be able to go stereo like you can with Sonos.The SoundTouch 30 and SoundTouch 20 both offer Ethernet connectivity, so you can use a wired network connection if you want, and there's an auxiliary input, so you can hook up an audio device to a speaker using a cable.The Bose speakers aren't equipped with Bluetooth (neither are the Sonos speakers), but they do support AirPlay streaming from iOS devices and PCs running iTunes. And like Sonos, you can stream music to a single room or have the same music play on all your speakers at the same time. You should be able to play different music sources in different rooms, but I didn't test that feature yet.Bose has SoundTouch apps available for iOS and Android devices, as well as Mac and Windows PCs (click image to enlarge).David Carnoy/CNETSound demoBose did a sound demo in a controlled environment with hand-picked music tracks, and like most of Bose's demos, the speakers came across in their best light and seemed to sound quite decent for their size. I suspect the SoundTouch 20 will match up just fine against the Sonos Play:5, which is about the same size and also retails for $399. Currently, Bose isn't offering any SoundTouch speakers for less than $399, but you'd think that may change in the future with Sonos offering more-affordable speakers.However, the next batch of SoundTouch products will be more expensive except for the SoundTouch Controller, a swankier remote that will come out early in 2014 for $99.As I said, a Wave SoundTouch music system is coming in December for $599. And a SoundTouch Stereo JC (Jewel Cube) system ($1,199), a SoundTouch SA-4 amplifier ($499) for select Bose products (including outdoor speakers), and a SoundTouch wireless adapter for Lifestyle systems and VideoWave entertainment system will ship in "early 2014." (Bose did demo that new stereo Jewel Cube system, which also includes a subwoofer, and, needless to say, it sounded better than the single-speaker systems.) I'll let you know how the launch speaker systems sound -- and how smoothly they operate -- as soon as we get our hands on some review samples. Naturally, it will be interesting to see how the market responds to having a second major competitor in the DYI multiroom wireless audio space. But one thing is clear from Bose's announcement: it's going all in on wireless audio; it's not messing around and will surely put big bucks toward marketing the new SoundTouch line and telling everybody how easy it is to use.


The 404 402- Where you mess with the best you die like the rest

The 404 402: Where you mess with the best you die like the rest
Thanks again to Hayato Shimizu for making the image you see above, which features all three of The 404 hosts as their respective superheroes in the Four-Oh-Force! You can always depend on us to save you from a bad day! Well...except for Sundays, you're on your own there.Lots of stories to get into today, like this Nissan car with a built-in revolutionary air-conditioner that blocks "unpleasant smells" from entering your car. Having driven with Jeff and Wilson before, I can say without hyperbole that I'm more worried about the smells coming from inside the car, but I'm sure that invention is in development as well.We also talk about San Francisco cracking down on cell phones in the car and a Sarah Palin autographed Xbox 360 fetching 1.1 MILLION DOLLARS on eBay, but the weirdest story of the day comes from Nintendo, who is developing an inflatable cushion for the Wii used to simulate riding on the back of an animal or being in the driver's seat of a vehicle. There are a million and one jokes to be made here, and we get to about 4,297 of them in the second half of the show, so be sure to check that out. Nintendo has officially lost its marbles.A big apology goes out to everyone who couldn't leave a voice mail last night--we've since cleared it all out, so please call us back at 1-866-404-CNET and leave another message!EPISODE 402PodcastYour browser does not support the audio element. Subscribe in iTunes audio | Suscribe to iTunes (video) |Subscribe in RSS Audio |Subscribe in RSS Video This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.PlayFollow us on Twitter!The 404Jeff BakalarJustin YuWilson TangAdd us on Facebook!The 404 Fan PageThe 404 GroupJustin YuJeff BakalarWilson Tang


Men in Black 3- Movie Touch brings pop-up everything to your iPad

Men in Black 3: Movie Touch brings pop-up everything to your iPad
You know how most movies appear letterboxed on your iPad? Those black bars are kind of a waste of space.So what if you slid the movie upward and filled the empty bottom area with, you know, stuff? Things like actors' filmographies, still images and art from the movie, little bits of trivia, sharing and social-media options, and so on?That's the idea behind Men in Black 3: Movie Touch, a free iPad app designed to enhance the experience of watching -- wait for it -- "Men in Black 3."Although the app is free, it limits you to just 10 minutes of the actual movie. If you want the full thing, you'll need to sign into your UltraViolet account -- and own a copy of the film in that account. In other words, you can't use Movie Touch to actually buy the movie, nor will it work with the version you bought or rented from, say, iTunes.That's an annoying limitation, to be sure, but if you did happen to buy an UltraViolet-compatible edition of the movie, it's a neat way to watch an enhanced, interactive version. Once you sign into your UltraViolet account, you can stream or download the movie.Movie Touch offers a lot of the same kinds of goodies you might find in a DVD's extras library, but instead of viewing them separately, after the fact, you see a kind of extras timeline that scrolls across the bottom as you watch. At any given moment you might see a thumbnail for still images, fun facts, music, a short video about special effects, a 360-degree 3D view of various gadgets from the movie, and so on -- all of it timed to the scenes you're seeing.It's pretty cool, though I found the "fun facts" lame beyond belief. Take this gem: "Nothing perplexes Agent J more than his current partner, Agent K." I was hoping for some interesting trivia of the "Pop-Up Video" variety. (Note to Sony: next time, call those guys.)Ultimately, Movie Touch is kind of a curiosity -- a fun diversion for "Men in Black" fans who like extras, but kind of an insult for those who want the goodies without having to jump through (or pay for) UltraViolet hoops. Your thoughts?By the way, if you're a fan of all things "Men in Black," be sure to check out the "Men in Black 3" game for Android and iOS. It's free(mium), and it's far better than most movie tie-in games.


Facebook finally launches iPad app

Facebook finally launches iPad app
Facebook took a giant leap into its mobile future today by launching the highly anticipated Facebook for iPad app.Facebook's app joins other popular social-networking apps on the iPad including Twitter, Flipboard, and Gowalla, all of which had a heady lead on Facebook. Facebook for iPad was rumored to arrive at F8, the company's developer conference held late last month, and then it was rumored to arrive at Apple's launch event for the iPhone 4S last week. It was a no-show for both events.According to Facebook, the "full Facebook experience" is on the iPad--driven by your fingertips on the touch pad. Features include larger photos for a vivid slideshows on-the-go. There's a search bar at the top of the left-hand navigation menu, and groups, lists, games and apps are also located on the left-hand menu, while notifications and messages are at the top of every screen.This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.PlayFacebook users can take advantage of the iPad's sizable touch screen to video chat with friends, IM, and play games using full-screen mode. Watching and recording HD video is also possible in the app.More details are available on Facebook's blog and stay tuned for a CNET hands-on video on the app.Facebook is increasingly becoming a mobile company. Today, 350 million out of Facebook's 800 million users log in via mobile devices. Soon, "more than half of all our users will be mobile users," Erick Tseng, Facebook's head of mobileproducts, recently said at GigaOm's Mobilize, an annual mobile industry conference held in San Francisco.Facebook for iPad screenshotFacebook


Ex-CEO Sculley says Apple needs to focus on cheaper iPhone

Ex-CEO Sculley says Apple needs to focus on cheaper iPhone
As rumors resume that Apple is readying a less expensive iPhone, one of Apple's former chief executives believes the company needs to revamp its supply chain to meet demand for cheaper smartphones.As developed nations hit the smartphone saturation point, Apple will have to turn its attention to customers in developing nations who can't afford high-end handsets, John Sculley said today in an interview with Bloomberg Television."Apple needs to adapt to a very different world," said Sculley, who served as Apple's chief for 10 years in the 1980s and '90s. "As we go from $500 smartphones to even as low, for some companies, as $100 for a smartphone, you've got to dramatically rethink the supply chain and how you can make these products and do it profitably."Sculley's comments come a week after the Wall Street churned up the recurring rumor with a report that Apple was developing a low-cost version of its flagship iPhone -- presumably aimed at the developing world -- that would launch as early as this year.Saying that there was "nothing wrong" with the iPhone 5, Sculley also said Samsung had closed the gap in regards to smartphone features."Samsung is an extraordinarily good competitor," Sculley said. "The differentiation between a Samsung Galaxy and an iPhone 5 is not as great as we used to see." Shipments of Samsung's Galaxy S3 edged out Apple's iPhone 4S in the third quarter to become the world's most popular smartphone model. According to figures released by research firm Strategy Analytics in November, the Galaxy S3 commanded 10.7 percent of the global smartphone market in the third quarter compared with 9.7 percent for the iPhone 4S. The newly released iPhone 5 held just 3.6 percent of the global share.


EU wants all companies, ahem Apple, to use standard charger

EU wants all companies, ahem Apple, to use standard charger
The European Union has been pushing for a universal cell phone charger for years, and on Thursday it took another step forward in this process.The European Parliament's internal market and consumer protection committee unanimously voted on a legislative resolution to create a law requiring all companies to make the same type of charger. One of the reasons for this resolution is to cut down on e-waste."We urge member states and manufacturers finally to introduce a universal charger, to put an end to cable chaos for mobile phones and tablet computers," rapporteur Barbara Weiler said in a statement.While the committee is targeting all phone makers operating in Europe, Apple is one of the only companies that doesn't already supply users with a Micro-USB connector. For the most part, phone makers in Europe broadly adopted Micro-USB cable chargers after the European Commission chose the interface as the region's official standard in 2010.Even though there's a rough agreement between companies to supply users with Micro-USB connectors, it's not mandatory. This is why Apple can still create items like the 30-pin and Lightning connectors and not come under fire from European politicians. This is also the reason why Apple's 30-pin to Micro-USB cable adapters are only available in Europe. However, the Lightning to Micro-USB cable adapters are available worldwide.Despite the authoritative nature of the resolution, it's likely big changes won't happen anytime soon. The committee still has to take its proposal to the Council, which will bring it before Parliament, and then it needs a number of votes to pass. [Via Macworld.]Corrected at 6:55 p.m. PT to say that Apple's Lightning to Micro-USB cable adapters are available worldwide.


ESPN denies talks on Apple TV move

ESPN denies talks on Apple TV move
Apple's Apple TV set-top box could get more sports programming as part of a deal with Disney's ESPN network. Bloomberg today relays its chat with ESPN marketing executive Sean Bratches, who said that the company would be game for offering its WatchESPN service through the Apple TV to existing cable subscribers."We're a platform-agnostic content company," Bratches told Bloomberg. "To the extent that in the future there's an opportunity with Apple to authenticate through the pay-TV food chain as we're doing with Microsoft, that's something that we will participate in." However, a spokesperson for the Bristol, Conn.-based sports programmer denied that a deal with Apple was imminent."We're not having conversations with Apple about authenticating WatchESPN," ESPN's spokesperson Amy Phillips later told Bloomberg. Microsoft's Xbox 360 already has access to ESPN3, with access to live and on-demand sports programming. However users must be paying members of Microsoft's XBOX Live Gold service and have high-speed Internet access from an affiliated provider. So far, Apple's set-top box has gone with a different approach. There are apps for Major League Baseball, the National Basketball Association, and the National Hockey League. However, each of those services requires a yearly fee and does not require a cable subscription. ESPN already has a WatchESPN app available for the iPhone and iPad (iTunes). Similar to apps from cable providers and paid premium TV networks, it requires users to be paid-cable subscribers.An Apple spokesman declined to comment.Updated at 4:15 p.m. PT: With response from Apple. Updated at 5:05 p.m. with ESPN denial.


EFI update preps MacBook Airs for new displays

EFI update preps MacBook Airs for new displays
In conjunction with the impending release of its new Thunderbolt Cinema Displays, Apple's pushed out a software update to its latest MacBook Air models that gets them ready to plug in to the new hardware, while fixing a handful of bugs in the process.The EFI update, versioned 2.1, comes in at 3.9MB and promises to fix issues that arise when recovering Lion using the new Internet Recovery feature. The update is also aimed at improving performance in target disk mode when plugging in via Thunderbolt. Of special note is the fix of an issue with plugging in to Apple's yet-to-be-released Thunderbolt Display, which has been marketed as a docking station of sorts for late-model MacBook Air owners.For instance, those users can plug in to the display to get a Firewire 800 port, FaceTime HD camera, Gigabit ethernet and three USB 2.0 ports, extending the I/O that ships on Apple's smallest notebook, and demoing some utility for the computer's Thunderbolt port, which currently has just a handful of third-party accessories to make use of it.Apple introduced its Thunderbolt Display alongside new versions of the MacBook Air, Mac Mini, and its Lion OS software update in late July, saying only that it would be launching that new display hardware "within the next 60 days." A report in MacRumors last week suggested that Apple was already in the process of shipping its $999 Thunderbolt Displays to stores. However, Apple continues to list it as shipping within the next "2-3 weeks" from its online store.


This app will decipher your iPhone screenshots

The use case for screenshots has undoubtedly expanded beyond troubleshooting an issue or showing off your home screen arrangement. Screenshots are a quick way to capture and store information you'll need access to. Say, for example, a friend sends you a recipe in iMessage and you don't want to spend hours scrolling through your chat history to recall it. Snap a screenshot, then launch your Camera Roll when you need the recipe. But what do you do when you want to transfer the recipe over to another app, or send it to someone else without actually sending the screenshot? You either wrote it down by hand, or jumped between apps copying it line by line. A new app, Screenshots, wants to make screenshots even more useful than they are now. Screenshots will organize your screen caps by the app they were taken in. Your iMessage screenshots will be separate from your Facebook screenshots, which are both separate from Safari shots. Screens from apps it doesn't recognize are filed under the "Others" category.