Filed under: Portables

In addition to their Quattro Wireless buy last month, Apple has picked up two more new employees that seems like additions to an incoming mobile advertising business. Theo Theodorou was picked up from Microsoft's mobile advertising sales department and will head sales in Europe, the Middle East, and Africa. And Todd Tran, from mobile ad agency Joule, will serve as general manager in Europe.

Apple hasn't announced exact details of what they plan to do with all of this mobile advertising, but they did say in the conference call last week that they plan to use their Quattro Wireless acquisition to help app developers make money, especially on free apps. We don't yet know the exact specifics of that plan ("iAds," coming soon to an App Store near you?), but it looks like Apple is making a significant investment in putting mobile ads on their devices.

Fox News writer Clayton Morris was also wondering just why Apple went with AT&T yet again for the iPad data plan, but it turns out things between the two companies weren't quite so cut and dry as Jobs made us believe on stage. He says that inside sources at Verizon still insist that they've been talking with Apple about handling some of the data service, and he even says that they've mentioned not only an iPhone set up to work with Verizon later this year, but an iPad as well.

Rumor also has it that AT&T simply outbid the other cellphone providers for becoming the official iPad data service, and that makes sense: that $29.99 unlimited plan is a heck of a deal for consumers, but then again, it'll bring in a heck of a lot of business for AT&T (who should have already been in hot water for their service outages, and will probably end up in more, despite their promises that their network can handle the data).

Of course, Verizon is really the only source saying they're still in the game at the moment -- most analysts believe Verizon won't see Apple hardware until they bring out their next-generation LTE service, and even then having a bunch of different plans to choose from doesn't really sound like Apple's kind of thing. But it is interesting to hear that AT&T is willing to take a dive in price to keep Apple's business. Wonder what might happen if their network dives as well.

[via Apple Insider]

Over at TechRepublic's 10 Things blog, Debra Littlejohn Shinder has posted an article called "10 reasons why I'll be passing on the iPad." Some of her reasoning is sound, but quite a few of her points are easy to refute. It's worth looking at her post and the points it tries to make, because it's indicative of a widespread misunderstanding of not only the iPad's capabilities, but also its intended consumer base.

1. There's no physical keyboard

Debra's correct that the iPad has no physical keyboard. But what she fails to account for is that not only will Apple sell a keyboard dock for the iPad, the device can also be paired with any existing Bluetooth keyboard. Apple's reasoning for not including a physical keyboard on the iPad is even more compelling than for the iPhone, because unlike the iPhone, you at least have the option of pairing the iPad with a physical keyboard. In order to put a physical keyboard on the device itself, there'd be two options: keep the iPad the same size and sacrifice a third of the screen's real estate, or increase the iPad's size beyond what some (including Debra) already consider unwieldy in order to include a keyboard.

In landscape orientation, the iPad's virtual keyboard is nearly the size of a conventional keyboard, too, so while touch typing is going to be a challenge, it's a fair bet that typing on the iPad will be much faster and easier than the high end of 30 - 35 WPM thumb typing many people (myself included) achieve on the iPhone's far smaller keyboard. The lack of a physical keyboard on the iPhone hasn't measurably affected its sales; the iPad isn't likely to suffer many lost sales from this, either.

(Note: a few people have asked for a source on the Bluetooth keyboard issue, particularly my assertion that you can use any BT keyboard and not just Apple's wireless models. During her hands-on with the iPad following the device's announcement, Jacqui Cheng at Ars Technica verified that "You can use any bluetooth keyboard you want, instead of Apple's keyboard dock. You could use the case/stand with your existing bluetooth keyboard. You cannot use a bluetooth mouse, however.")


Check out the other nine points by clicking the Read More link below.

Back when the iPad was a rumor, many contended that a successful Apple tablet would provide an easy and cheap way to distribute textbooks. Now, the Wall Street Journal reports that several publishers have come on board.

Specifically, publishers are in talks with ScrollMotion, the company behind, among other things, the very well-done Iceburg Reader for iPhone, to develop text-prep and other study guides for the iPad. McGraw-Hill, Houghton Mifflin Harcourt K-12, Pearson Education and the Washington Post Co.'s Kaplan Inc. are named in the article.

John Lema, chief executive of ScrollMotion, called the iPad's introduction "...the beginning of handheld education."

Of course, the iPad's reception and performance in the education market is unknown, and the device faces competition from inexpensive netbooks, systems fully entrenched in an existing system, or networks and budgets that don't allow for new purchases.

Still, we imagine the average college student being able to purchase textbooks with an iPad, and carry only that device across campus. Plus, publishers would be able to dodge the resale of used books by campus bookstores -- which doesn't generate any money for them. Finally, we can imagine an app that allows professors to push notations or assignments to students' iPads or even individual books.

Keep your eye on the iPad in the education market. It could push the device over the edge.

[Via Macsimum News]

The folks at Mission:Repair have received iPad replacement parts from Apple. While checking them out, they noticed a slot that seems like it could accommodate an iSight. So they pulled an iSight camera from a MacBook pro and guess what happened. It fit perfectly inside the slot in the iPad's frame. In the picture at right, you see the iPad's frame (above and below) and the MacBook Pro's iSight (center).

And to add a little more fuel to the fire, some eagle-eyed event watchers claim that the iPad Jobs held on stage at last Wednesday's event actually did have what looks like a camera along the top bezel.

What does this mean? Will future iPads sport an iSight? Probably. But that doesn't explain why the 1st generation's case has the slot. It must have been pulled at the last minute for reasons of cost, function ... who knows.

If you're not going to buy one until it's got a camera, it looks like your prayers will eventually be answered.

[Via MacNN]

At the roll out of the iPad, our old friend Walt Mossberg of the Wall Street Journal chatted up Steve, and when asking about the pricing of buying books from the iBookstore, Walt was told that the price would be the same as Amazon. Amazon currently charges $9.99 for most books, which, according to AppleInsider, means that Amazon is losing $4.50 per book to keep its leadership position in the eBook market and keep Kindles selling. This strategy is similar to the loss-leader marketing popularized by Gillette who sold razors at a loss in the hopes of more than making up for it in the sales of blades.

Apple proposes prices that would actually be profitable, wanting to position best sellers between $12.99 and $14.99. AppleInsider notes that Apple's plan is a similar one to the App Store where the publisher takes 70% and Apple takes a 30% cut. Under the Amazon plan, including the $4.50 Amazon subsidy, book publishers are currently being paid $14.50 while under Apple's model, the publisher of a bestseller would only make $10.49 per copy.

The idea of Amazon subsidizing books is unsustainable in any competitive market and with more than one big razor in town, or at least one showing up soon, the market will inevitably settle on one method or the other.

[via AppleInsider and WSJ]

Even though the device won't be released for another two months, Gene Munster of Piper Jaffray has been quick to revise his sales estimates for the iPad. His former estimate of 1.9 million units sold in the first 12 months was based on an estimated average price tag of $600; now that we know the iPad is priced much lower than that, Munster has revised his estimate accordingly. With the official pricing revealed, Munster now projects iPad sales of 3-4 million units in the first twelve months and double that amount in 2011, which would generate $4.6 billion in revenue for Apple next year.

Munster doesn't think the iPad will cannibalize Mac sales, however. "The gadget is a premium mobile device, not a computer," Munster believes, and goes on to say that "consumers looking for an affordable portable computer will likely stick with the MacBook lineup." Munster thinks it far more likely that the iPad will cannibalize sales of the iPod touch, and has revised his sales estimate of that device downward by 1.8 million units for 2010.
I can tell you at least one person who won't be part of that 3-4 million sales for the iPad: me. When we at TUAW posted about our dreams for the then-unnamed tablet last August, I said, "In order for me to get really excited about an iTablet, it would have to be more than a gap-filler between the iPhone and the MacBook. It would have to be revolutionary, a device that does something neither existing product is able to do." Based on what I've seen about the iPad so far, though, the device seems to be something targeted toward people who don't already have that particular setup and are missing either an iPhone/iPod touch or a MacBook. That might be exactly what 3-4 million people are looking for this year, and maybe 8 million more next year, but it's not something that suits my own computing needs in any way.

What do you think? Are you planning on getting an iPad and joining Munster's legions? Let us know in the comments.

Apple has updated their website with all kinds of fun iPad information, including an official specs page and the video that was shown at the end of today's event. The thing looks just plain beautiful, but then again this is basically their first ad for the "magical and revolutionary" device, so you'd expect that. You can find screenshots of all the different apps, and see folks like Johnny Ive and Scott Forstall chatting about how awesome it was to work on something so "unbelievable."

Interesting things to note on the official stats page: no camera at all, no Flash support, and while they did talk about a month-long standby battery life this morning, it's not actually listed on the stats page (probably because they can't be certain of which month you're talking about). Also interesting that there are a total of four buttons and controls on the entire device, and the only connector looks to be the dock. We've got to give it to Apple -- even though we haven't been able to touch it in person yet, this is a pretty amazing computer.

Even though this morning's presentation had Apple calling themselves the "largest mobile device company" in the world, apparently they're in the processor business now, too. The just-announced iPad doesn't carry any special Intel or Nvidia CPU -- it's a homecooked 1GHz chip called the Apple A4. Apple says it's designed for high performance and low power, which is probably how they got that crazy 10 hour battery life and one month (!) standby life. We guess that PA Semi acquisition was a good idea.

We've been hearing for a while that Apple was picking up chip designers and hiring specialists for chipmaking, and it looks like the A4 is the first release (fourth produced?) product of all of that. It'll be interesting to see how their first major foray into silicon works out.

Well, the pundits were wrong when they thought the iPad would cost $999.

Apple announced that the pricing for the device will start at $499 for a Wi-Fi only 16 GB model, going up to $599 for a 32 GB model and $699 for the top-of-the-line 64 GB device.

For $130 more to each of those prices, you'll be able to add pay-as-you-go 3G capabilities to the iPad, which puts the most expensive iPad at a price of only $829. All 3G capabilities are unlocked, although Apple has secured a $29.99 unlimited pay-as-you-go monthly deal with AT&T if you want that.

Availability for the Wi-Fi iPads is 60 days, 90 days for the 3G models, with international deals on 3G coming soon after that.

So far, only the jailbreakers have been able to pair up a Bluetooth keyboard with their iPhone, but ION is working on a hardware solution -- they're showing off what's basically a dock at CES that has a full-size keyboard connected to it. Very interesting. Of course, it makes the iPhone a lot bigger (though their marketing says it's for travelers who want a little something less than a full laptop computer -- if only there was a device released to fill that need), but it's also battery-charged, so it'll recharge your handheld while allowing you to type out emails and messages on a full keyboard.

The price is supposed to be "slightly more than $100," and a release is set for the second quarter of 2010. If you've wanted to use a full-size keyboard with the iPhone but haven't gone for the jailbreak, we'll keep an eye on the release for you.

There was quite a bit of anticipation that Microsoft CEO Steve Ballmer would upstage Apple with an exciting new tablet design at his CES keynote last night, but it pretty much turned out to be a dud. After more than an hour of bobbing and weaving through several topics, and quickly skipping over Windows Mobile, Ballmer showed a prototype tablet from Hewlett-Packard and two other suppliers. They were running Windows 7 and looked a lot like other touchscreen prototypes we've seen, but none of them seemed to do anything special. You can see the tablet presentation over on YouTube.

What we really saw was Ballmer trying a pre-emptive strike against the probable appearance of an Apple tablet later this month. He even referred to 'slate' PCs, a bit of a swipe against the oft-reported Apple-owned iSlate name. I suppose this is better than Ballmer's 2007 interview where he dissed the iPhone when it launched. He's trying to get ahead of the curve, but his keynote got pretty ho-hum reviews and Microsoft really didn't show anything of interest. There was a buzz that Microsoft might show the Courier device it hinted at in September, but it didn't appear yesterday.

We don't know if Apple will reveal a tablet, although it seems pretty likely. Do you think Apple can trump Microsoft with a tablet and dominate the market as they have with the iPhone against Windows Mobile phones? Or has Microsoft learned their lessons by trying to be a little more pre-emptive with a tablet release?

Here's an interesting post from Scott Knaster, a happy iPhone user and Google employee who made a cold-turkey switch to the Nexus One for three months (yes, some employees can get their hands on things early).

You might expect a Nexus One v. iPhone post from a Google employee to be slanted, but that's not the case here. Mr. Knaster obviously loves his iPhone, and offers practical tips for users looking to switch, like:

• You can simply move the SIM from iPhone to the N1. However, you won't get 3G on AT&T, only Edge. This hasn't been a big deal for me. And my iPhone data plan seems to work fine for the N1.
• I miss the iPhone's silence/ring switch, but you can silence the phone by swiping the volume control on the lock screen. If the phone is already on, hold down the Volume Down button to (silently) silence.

There's a lot more, so read the whole thing. He also talks about the Dolphin browser with its support for touch, pinch and gestures. I haven't used it but must admit that gestures screen seems like a holdover from Graffiti, and not in a good way.

[Via Guy Kawasaki]

Do you know what word Dave Caolo is hearing in his sleep? Tablet. What phrase is trending mightily on Google Search? Tablet. What is every Apple fanboy and fangirl dreaming of for...um...some new gift-giving holiday in the March/April timeframe? Tablet. It's what good little geeks hope to find on their doorstep if their credit cards are not maxed out and Apple ships on the rumored schedule.

In addition to bringing world peace, universal vaccination, and rainbow puppy unicorns, the tablet carries its own compliment of mobile issues: specifically, how and how well will it connect? This is a question we were kicking around this morning in the TUAW chatroom, after encountering a number of speculative reports in our morning RSS feed. Rather than predict which way Apple is going to go, we thought we'd run down the most likely possibilities.

We all agree that a tablet would be, at a minimum, no less connected than an iPod touch. That is, none of us think that Apple will ship a tablet sans Wi-Fi connectivity. And with McDonalds now offering free Wi-Fi at over 11,000 restaurants world wide, let alone sponsored municipal Wi-Fi, new Wi-Fi for pay services on airplanes, and other commuter-based Wi-Fi services, you can easily imagine an urban tablet that works in most major cities around the globe.

A Wi-Fi-only approach, though, cuts out a lot of possibilities for tablet use on the go, when users move away from cities. 3G/4G access, similar to the kinds of deals currently offered on Dell netbooks and laptops, might be a way for Apple to go as well. Of course, that would involve signing up for 2-year contracts at outrageous prices (it doesn't matter who does the service, the prices are outrageous across vendors). That could seriously put off existing iPhone contract holders, who might not be willing to expand their obligations to another multi-year commitment.