About Apple: 1976–84: Founding and incorporation
1984–91: Success with Macintosh
1991–97: Decline, restructuring, acquisitions
1997–2007: Return to profitability
At the Worldwide Developers Conference keynote address on June 6, 2005, Jobs announced that Apple would begin producing Intel-based Mac computers in 2006. On January 10, 2006, the new MacBook Pro and iMac became the first Apple computers to use Intel’s Core Duo CPU. By August 7, 2006, Apple made the transition to Intel chips for the entire Mac product line—over one year sooner than announced. The Power Mac, iBook and PowerBook brands were retired during the transition; the Mac Pro, MacBook, and MacBook Pro became their respective successors. On April 29, 2009, The Wall Street Journal reported that Apple was building its own team of engineers to design microchips. Apple also introduced Boot Camp in 2006 to help users install Windows XP or Windows Vista on their Intel Macs alongside Mac OS X.
Apple’s success during this period was evident in its stock price. Between early 2003 and 2006, the price of Apple’s stock increased more than tenfold, from around $6 per share (split-adjusted) to over $80. In January 2006, Apple’s market cap surpassed that of Dell. Nine years prior, Dell’s CEO Michael Dell had said that if he ran Apple he would “shut it down and give the money back to the shareholders.” Although Apple’s market share in computers had grown, it remained far behind competitors using Microsoft Windows, accounting for about 8% of desktops and laptops in the US.
Since 2001, Apple’s design team has progressively abandoned the use of translucent colored plastics first used in the iMac G3. This design change began with the titanium-made PowerBook and was followed by the iBook‘s white polycarbonate structure and the flat-panel iMac.
2007–11: Success with mobile devices
2011–present: Post-Steve Jobs era; Tim Cook leadership
On October 5, 2011, Apple announced that Steve Jobs had died, marking the end of an era for Apple. The first major product announcement by Apple following Jobs’s passing occurred on January 19, 2012, when Apple’s Phil Schiller introduced iBooks Textbooks for iOS and iBook Author for Mac OS X in New York City. Jobs had stated in his biography that he wanted to reinvent the textbook industry and education.
From 2011 to 2012, Apple released the iPhone 4S and iPhone 5, which featured improved cameras, an “intelligent software assistant” named Siri, and cloud-sourced data with iCloud; the third and fourthgeneration iPads, which featured Retina displays; and the iPad Mini, which featured a 7.9-inch screen in contrast to the iPad’s 9.7-inch screen. These launches were successful, with the iPhone 5 (released September 21, 2012) becoming Apple’s biggest iPhone launch with over 2 million pre-orders and sales of 3 million iPads in three days following the launch of the iPad Mini and fourth generation iPad (released November 3, 2012). Apple also released a third-generation 13-inch MacBook Pro with a Retina display and new iMac and Mac Mini computers.
On October 29, 2011, Apple purchased C3 Technologies, a mapping company, for $240 million, making it the third mapping company that Apple has purchased. On January 10, 2012, Apple paid $500 million to acquire Anobit, an Israeli hardware company that developed and supplied a proprietary memory signal processing technology that improved the performance of the flash-memory used in iPhones and iPads.On July 24, 2012, during a conference call with investors, Tim Cook said that he loved India, but that Apple was going to expect larger opportunities outside of India. Cook cited the 30% sourcing requirement from India as the reason.[clarification needed]
On August 20, 2012, Apple’s rising stock rose the company’s value to a world-record $624 billion. This beat the non-inflation-adjusted record for market capitalization set by Microsoft in 1999. On August 24, 2012, a US jury ruled that Samsung should pay Apple $1.05 billion (£665m) in damages in an intellectual property lawsuit. Samsung appealed the damages award, which the Court reduced by $450 million.The Court further granted Samsung’s request for a new trial. On November 10, 2012, Apple confirmed a global settlement that would dismiss all lawsuits between Apple and HTC up to that date, in favor of a ten-year license agreement for current and future patents between the two companies. It is predicted that Apple will make $280 million a year from this deal with HTC.
A previously confidential email written by Jobs a year before his death, was presented during the proceedings of the Apple Inc. v. Samsung Electronics Co. lawsuits and became publicly available in early April 2014. With a subject line that reads “Top 100 – A,” the email was sent only to the company’s 100 most senior employees and outlines Jobs’s vision of Apple Inc.’s future under 10 subheadings. Notably, Jobs declares a “Holy War with Google” for 2011 and schedules a “new campus” for 2015.
In March 2013, Apple filed a patent for an augmented reality (AR) system that can identify objects in a live video stream and present information corresponding to these objects through a computer-generated information layer overlaid on top of the real-world image. Later in 2013, Apple acquired Embark Inc., a small Silicon Valley-based mapping company that builds free transit apps to help smartphone users navigate public transportation in U.S. cities, and PrimeSense, an Israeli 3D sensing company based in Tel Aviv. In December 2013, Apple Inc. purchased social analytics firm Topsy. Topsy is one of a small number of firms with real-time access to the messages that appear on Twitter and can “do real-time analysis of the trends and discussions happening on Twitter”. The company also made several high-profile hiring decisions in 2013. On July 2, 2013, Apple recruited Paul Deneve, Belgian President and CEO of Yves Saint Laurent as a vice president reporting directly to Tim Cook. A mid-October 2013 announcement revealed that Burberry executive Angela Ahrendts will commence as a senior vice president at Apple in mid-2014. Ahrendts oversaw Burberry’s digital strategy for almost eight years and, during her tenure, sales increased to about US$3.2 billion and shares gained more than threefold.
At the Worldwide Developer’s Conference on June 10, 2013, Apple announced the seventh iOS operating system alongside OS X Mavericks, the tenth version of OS X, and a new Internet radio service called iTunes Radio. iTunes Radio, iOS 7 and OS X Mavericks were released fall 2013. On December 6, 2013, Apple Inc. launched iBeacon across its 254 U.S. retail stores. Using Bluetooth wireless technology, iBeacon senses the user’s exact location within the Apple store and sends the user messages about products, events and other information, tailored to the user’s location.
Alongside Google vice-president Vint Cerf and AT&T CEO Randall Stephenson, Cook attended a closed-door summit held by President Obama on August 8, 2013, in regard to government surveillance and the Internet in the wake of the Edward Snowden NSA incident. On February 4, 2014, Cook met with Abdullah Gül, the President of Turkey, in Ankara to discuss the company’s involvement in the Fatih project.Cook also confirmed that Turkey‘s first Apple Retail Store would be opened in Istanbul in April 2014.
An anonymous Apple employee revealed to the Bloomberg media publication that the opening of a Tokyo, Japan, store was planned for 2014. A Japanese analyst has stated, “For Apple, the Japanese market is appealing in terms of quantity and price. There is room to expand tablet sales and a possibility the Japanese market expands if Apple’s mobile carrier partners increase.” As of June 13, 2014, Apple operated three stores in Tokyo. On October 1, 2013, Apple India executives unveiled a plan to expand further into the Indian market, following Cook’s acknowledgment of the country in July 2013 when sales results showed that iPhone sales in India grew 400% during the second quarter of 2013.
Apple Inc. reported that the company sold 51 million iPhones in the Q1 of 2014 (an all-time quarterly record), compared to 47.8 million in the year-ago quarter. Apple also sold 26 million iPads during the quarter, also an all-time quarterly record, compared to 22.9 million in the year-ago quarter. The Company sold 4.8 million Macs, compared to 4.1 million in the year-ago quarter. On May 28, 2014, Apple confirmed its intent to acquire Dr. Dre and Jimmy Iovine‘s audio company Beats Electronics—producer of the Beats by Dr. Dre line of headphones and speaker products, and operator of the music streaming service Beats Music—for $3 billion, and to sell their products through Apple’s retail outlets and resellers. Iovine felt that Beats had always “belonged” with Apple, as the company modeled itself after Apple’s “unmatched ability to marry culture and technology.” In August 2014, an Apple representative confirmed to the media that Anand Lal Shimpi, editor and publisher of the AnandTech website, had been recruited by Apple without elaborating on Lal Shimpi’s role.
In 2016, it was revealed that Apple would be making its first original scripted series, a six-episode drama about the life of Dr. Dre. Music Video director Paul Hunter will direct the series.
On May 12, 2016, Apple Inc., invested $1 billion USD in Didi Chuxing, a Chinese competitor to Uber. The Information reported in October 2016 that Apple had taken a board seat in Didi Chuxing, a move that James Vincent of The Verge speculated could be a strategic company decision by Apple to get closer to the automobile industry, particularly Didi Chuxing’s reported interest in self-driving cars.
On June 6, 2016, Forbes released their list of companies ranked on revenue generation. In the trailing fiscal year, Apple appeared on the list as the top tech company. It ranked third, overall, with $233 billion in revenue. This represents a movement upward of two spots from the previous year’s list.
On September 22, 2016, Apple Inc. acquired Tuplejump, an India/US-based machine learning company.
Macs that are currently being sold are:
- MacBook: Consumer ultra-thin, ultra-portable notebook, introduced in 2006 and relaunched in 2015.
- MacBook Air: Consumer ultra-thin, ultra-portable notebook, introduced in 2008.
- MacBook Pro: Professional notebook, introduced in 2006.
- Mac Mini: Consumer sub-desktop computer, introduced in 2005.
- iMac: Consumer all-in one desktop computer, introduced in 1998.
- Mac Pro: Workstation desktop computer, introduced in 2006.
On October 23, 2001, Apple introduced the iPod digital music player. Several updated models have since been introduced, and the iPod brand is now the market leader in portable music players by a significant margin. More than 350 million units have shipped as of September 2012. Apple has partnered with Nike to offer the Nike+iPodSports Kit, enabling runners to synchronize and monitor their runs with iTunes and the Nike+ website.
Apple currently sells three variants of the iPod:
- iPod Shuffle: Ultra-portable digital audio player, currently available in a 2 GB model, introduced in 2005.
- iPod Nano: Portable media player, currently available in a 16 GB model, introduced in 2005. Earlier models featured the traditional iPod click wheel, but the current generation features a multi-touch interface and includes an FM radio and a pedometer.
- iPod Touch: Portable media player that runs iOS and is currently available in 16, 32, 64, and 128 GB models, introduced in 2007. The current generation features the Apple A8 processor, a Retina display, Siri and dual cameras on the front (1.2 megapixel sensor) and back (8 megapixel iSight). The latter camera supports HD video recording at 1080p and slow motion video at 120fps in 720p.
At the Macworld Conference & Expo in January 2007, Steve Jobs introduced the long-anticipated iPhone, a convergence of an Internet-enabled smartphone and iPod. The first-generation iPhone was released on June 29, 2007 for $499 (4 GB) and $599 (8 GB) with an AT&T contract. On February 5, 2008, it was updated to have 16 GB of memory, in addition to the 8 GB and 4 GB models. It combined a 2.5G quad band GSM and EDGE cellular phone with features found in handheld devices, running scaled-down versions of Apple’s Mac OS X (dubbed iPhone OS, later renamed iOS), with various Mac OS X applications such as Safari and Mail. It also includes web-based and Dashboard apps such as Google Maps and Weather. The iPhone features a 3.5-inch (89 mm) touchscreen display, Bluetooth, and Wi-Fi (both “b” and “g”).
A second version, the iPhone 3G, was released on July 11, 2008 with a reduced price of $199 for the 8 GB version and $299 for the 16 GB version. This version added support for 3Gnetworking and assisted-GPS navigation. The flat silver back and large antenna square of the original model were eliminated in favor of a glossy, curved black or white back. Software capabilities were improved with the release of the App Store, which provided iPhone-compatible applications to download. On April 24, 2009, the App Store surpassed one billion downloads. On June 8, 2009, Apple announced the iPhone 3GS. It provided an incremental update to the device, including faster internal components, support for faster 3G speeds, video recording capability, and voice control.
At the Worldwide Developers Conference (WWDC) on June 7, 2010, Apple announced the redesigned iPhone 4. It featured a 960×640 display, the Apple A4 processor, a gyroscopefor enhanced gaming, a 5MP camera with LED flash, front-facing VGA camera and FaceTime video calling. Shortly after its release, reception issues were discovered by consumers, due to the stainless steel band around the edge of the device, which also serves as the phone’s cellular signal and Wi-Fi antenna. The issue was corrected by a “Bumper Case” distributed by Apple for free to all owners for a few months. In June 2011, Apple overtook Nokia to become the world’s biggest smartphone maker by volume. On October 4, 2011, Apple unveiled the iPhone 4S, which was first released on October 14, 2011. It features the Apple A5 processor and Siri voice assistant technology, the latter of which Apple had acquired in 2010.It also features an updated 8MP camera with new optics. Apple began a new accessibility feature, Made for iPhone Hearing Aids with the iPhone 4S. Made for iPhone Hearing Aids feature Live Listen, it can help you hear a conversation in a noisy room or hear someone speaking across the room. Apple sold 4 million iPhone 4S phones in the first three days of availability.
On September 12, 2012, Apple introduced the iPhone 5. It has a 4-inch display, 4G LTE connectivity, and the upgraded Apple A6 chip, among several other improvements. Two million iPhones were sold in the first twenty-four hours of pre-ordering and over five million handsets were sold in the first three days of its launch. Upon the launch of the iPhone 5S and iPhone 5C, Apple set a new record for first-weekend smartphone sales by selling over nine million devices in the first three days of its launch. The release of the iPhone 5S and 5C was the first time that Apple simultaneously launched two models.
A patent filed in July 2013 revealed the development of a new iPhone battery system that uses location data in combination with data on the user’s habits to moderate the handsets power settings accordingly. Apple is working towards a power management system that will provide features such as the ability of the iPhone to estimate the length of time a user will be away from a power source to modify energy usage and a detection function that adjusts the charging rate to best suit the type of power source that is being used.
In a March 2014 interview, Apple designer Jonathan Ive used the iPhone as an example of Apple’s ethos of creating high-quality, life-changing products. He explained that the phones are comparatively expensive due to the intensive effort that is used to make them:
We don’t take so long and make the way we make for fiscal reasons … Quite the reverse. The body is made from a single piece of machined aluminium … The whole thing is polished first to a mirror finish and then is very finely textured, except for the Apple logo. The chamfers [smoothed-off edges] are cut with diamond-tipped cutters. The cutters don’t usually last very long, so we had to figure out a way of mass-manufacturing long-lasting ones. The camera cover is sapphire crystal. Look at the details around the sim-card slot. It’s extraordinary!
On September 9, 2014, Apple introduced the iPhone 6, alongside the iPhone 6 Plus that both have screen sizes over 4-inches. One year later, Apple introduced the iPhone 6S, and iPhone 6S Plus, which introduced a new technology called 3D Touch, including an increase of the rear camera to 12 MP, and the FaceTime camera to 5 MP. On March 21, 2016, Apple introduced the iPhone SE that has a 4-inch size last used with the 5S and has the same internal hardware as the 6S.
On September 7, 2016, Apple introduced the iPhone 7 and the iPhone 7 Plus, which feature improved system and graphics performance, add water resistance, a new rear dual-camera system on the 7 Plus model, and, controversially, remove the 3.5 mm headphone jack.
On January 27, 2010, Apple introduced their much-anticipated media tablet, the iPad, which runs a modified version of iOS. It offers multi-touch interaction with multimedia formats including newspapers, e-books, photos, videos, music, word processing documents, video games, and most existing iPhone apps using a 9.7-inch screen. It also includes a mobile version of Safari for web browsing, as well as access to the App Store, iTunes Library, iBookstore, Contacts, and Notes. Content is downloadable via Wi-Fiand optional 3G service or synced through the user’s computer. AT&T was initially the sole U.S. provider of 3G wireless access for the iPad.
On March 2, 2011, Apple introduced the iPad 2, which had a faster processor and a camera on the front and back. It also added support for optional 3G service provided by Verizon in addition to AT&T. The availability of the iPad 2 was initially limited as a result of a devastating earthquake and tsunami in Japan in March 2011.
The third-generation iPad was released on March 7, 2012 and marketed as “the new iPad“. It added LTE service from AT&T or Verizon, an upgraded A5X processor, and Retina display. The dimensions and form factor remained relatively unchanged, with the new iPad being a fraction thicker and heavier than the previous version and featuring minor positioning changes.
On October 23, 2012, Apple’s fourth-generation iPad came out, marketed as the “iPad with Retina display“. It added the upgraded A6X processor and replaced the traditional 30-pin dock connector with the all-digital Lightning connector. The iPad Mini was also introduced. It featured a reduced 7.9-inch display and much of the same internal specifications as the iPad 2.
Since its launch, iPad users have downloaded over three billion apps. The total number of App Store downloads, as of June 2015, is over 100 billion.
On September 9, 2015, Apple announced the iPad Pro, an iPad with a 12.9-inch display that supports two new accessories, the Smart Keyboard and Apple Pencil. A 9.7-inch iPad Pro was announced on March 21, 2016.
The Apple Watch smartwatch was launched by Cook on September 9, 2014, and released on April 24, 2015. The wearable device consists of fitness-tracking capabilities that are similar to Fitbit, and must be used in combination with an iPhone to work (only the iPhone 5, or later models, are compatible with the Apple Watch).
At the 2007 Macworld conference, Jobs demonstrated the Apple TV (previously known as the iTV), a set-top video device intended to bridge the sale of content from iTunes with high-definition televisions. The device links up to a user’s TV and syncs, either via Wi-Fi or a wired network, with one computer’s iTunes library and streams content from an additional four. The Apple TV originally incorporated a 40 GB hard drive for storage, included outputs for HDMI and component video, and played video at a maximum resolution of 720p. On May 31, 2007, a 160 GB hard disk drive was released alongside the existing 40 GB model. A software update released on January 15, 2008 allowed media to be purchased directly from the Apple TV.
In September 2009, Apple discontinued the original 40 GB Apple TV and now continues to produce and sell the 160 GB Apple TV. On September 1, 2010, Apple released a completely redesigned Apple TV. The new device is 1/4 the size, runs quieter, and replaces the need for a hard drive with media streaming from any iTunes library on the network along with 8 GB of flash memory to cache media downloaded. Like the iPad and the iPhone, Apple TV runs on an A4 processor. The memory included in the device is half of that in the iPhone 4 at 256 MB; the same as the iPad, iPhone 3GS, third and fourth-generation iPod Touch.
It has HDMI out as the only video out source. Features include access to the iTunes Store to rent movies and TV shows (purchasing has been discontinued), streaming from internet video sources, including YouTube and Netflix, and media streaming from an iTunes library. Apple also reduced the price of the device to $99. A third generation of the device was introduced at an Apple event on March 7, 2012, with new features such as higher resolution (1080p) and a new user interface.
At the September 9, 2015 event, Apple unveiled an overhauled Apple TV, which now runs a variant of OS X, tvOS, and contains 32GB or 64 GB of NAND Flash to store games, programs, and to cache the current media playing. The release also coincided with the opening of a separate Apple TV App Store and a new Siri Remote with a glass touchpad, gyroscope and microphone.
Apple develops its own operating system to run on Macs, macOS, the latest version being macOS Sierra (version 10.12). Apple also independently develops computer software titles for its macOS operating system. Much of the software Apple develops is bundled with its computers. An example of this is the consumer-oriented iLife software package that bundles iMovie, iPhoto and GarageBand. For presentation, page layout and word processing, iWork is available, which includes Keynote, Pages, and Numbers. iTunes, QuickTime media player, and Software Update are available as free downloads for both macOS and Windows.
Apple also offers a range of professional software titles. Their range of server software includes the operating system macOS Server; Apple Remote Desktop, a remote systems management application; and Xsan, a Storage Area Network file system. For the professional creative market, there is Final Cut Pro, a video production suite; Logic Pro, a comprehensive music toolkit; and Motion, an advanced effects composition program.
Apple also offers online services with iCloud, which provides cloud storage and syncing for a wide range of data, including email, contacts, calendars, photos and documents. It also offers iOS device backup, and is able to integrate directly with third-party apps for even greater functionality. iCloud is the fourth generation of online services provided by Apple, and was preceded by MobileMe, .Mac and iTools, all which met varying degrees of success.