Apple iPhone 4G in June?

Apple’s next update to the blockbuster iPhone handset is expected by one prominent analyst to have a lower total cost of ownership, and to also include new gesture-based functionality.

Katy Huberty with Morgan Stanley maintains that the biggest barrier to greater iPhone adoption is the cost of the hardware, followed by the service plan. The investment in the device has been its biggest issue in both developed markets like the U.S. and emerging ones like China.

But Huberty expects Apple to address that in June, by introducing a new model that will be economically friendly to even more consumers.

“We expect Apple to launch new iPhones in June that offer both a lower total cost of ownership and new functionality, potentially including gesture-based technology,” she wrote in a new note to investors Friday.

In 2009, when Apple introduced the new iPhone 3GS, the company also dropped the price of the previous year’s iPhone 3G to $99. However, despite the lower price point, the high end iPhone 3GS was still the most popular option for consumers.

In addition to lower cost of ownership for the iPhone, Huberty remains bullish on AAPL stock because of the forthcoming iPad launch in March. Here she is particularly optimistic, projecting shipments of 6 million devices in the 2010 calendar year, versus Wall Street’s average projections of 3 million to 4 million.

“We expect Apple to ship its first iPad and announce additional content deals in late March to better than expected demand,” Huberty wrote. “We see the iPad targeting the sub-$800 consumer notebook market which equates to 30M annual units just in the US (120M globally.”

Morgan Stanley has maintained its “overweight” rating for AAPL stock, with a price target of $250.

In the past, Huberty was notoriously negative on AAPL stock, suggesting the iPhone was too expensive even at a $199 price point. In late 2008, she predicted that iPhone sales would suffer because Apple had priced the product too high.

But last year, Huberty turned positive on Apple, stating that the company had become the “clear leader in the battle over the mobile Internet.”

by appleinsider.com

Apple files alt iPhone input, physical “key” login patents

Two recently published patent applications from Apple caught our attention for their craftiness. One shows how to use the iPhone’s camera as an alternate gesture input method; the other details a system using a uniquely shaped signet to log in to a computer.

The first patent, “Camera as Input Interface,” adds alternate input methods for a touchscreen phone, particularly useful when the touchscreen is pressed against your face during a phone call. The patent describes a method using the built-in camera as a gesture detector, recognizing “swiping” up, down, left, or right using a finger. The gestures could be used to control voicemail, for instance, by swiping “forward” or “back” to skip to the next or previous message. The input could be augmented with accelerometer data to recognize a “tap” as well, according to the patent application.

MacRumors notes that Apple has filed a number of alternate input methods for the iPhone, including a rear surface or an outer bezel that are also touch-sensitive.

The second patent, “Shape Detecting Input Device,” describes a system using a touchscreen to recognize uniquely shaped signets, and to perform actions associated with a specific shape. One application would be to log in a unique user based on the recognized shape. This is similar to the now-defunct practice of stamping a seal from a signet ring into sealing wax to verify a document’s authenticity or source. If such a signet were indeed on a ring, it could also be used to unlock an iPhone.

Apple’s patent suggests that unique signet shapes could be embedded in a ring, a tag, a card, a stamp, or even a key. Other suggested actions initiated by the signet shape recognition include configuring a system to a unique user’s needs, launching certain applications, or encrypting or decrypting messages or other content, making the signet like a modern, high-tech decoder ring.

by arstechnica.com

Apple May Put iPhone OS on Other Devices

Apple is showing its true mobile colors. The company is on the lookout for an engineer who can help get its mobile-phone software onto additional devices.

On Feb. 15, Apple (AAPL) posted an ad on its Web site for an engineering manager “to lead a team focused on bring-up of iPhone OS [operating system] on new platforms.” Days later, Apple Chief Operating Officer Tim Cook called the company “a mobile device company,” echoing remarks by Chief Executive Steve Jobs, who in January said “Apple is the largest mobile device company in the world.”

The posting and remarks underscore Apple’s growing reliance on devices that provide Web access and computing features for users on the go. In the three months ended Dec. 26, the iPhone and related products accounted for $5.58 billion, or 36% of total sales, up from 25% of revenue a year earlier. Apple also sells other mobile devices, including the iPod Touch.

An adaptation of the operating system used in Macintosh computers, the iPhone OS runs the iPhone, iPod Touch music player, and the forthcoming iPad tablet computer. In the future, analysts say, Apple may put the OS onto Web-connected TV machines and devices that help viewers watch 3D programming. The Cupertino (Calif.)-based company may also consider licensing the iPhone OS to outside cell-phone manufacturers. Apple has shipped more than 75 million devices based on the iPhone OS, which lets users download and run applications such as games and calendars sold at the Apple App Store. Apple spokeswoman Natalie Kerris declined to comment.

Apple bans iPhone hackers from App Store

Apple has banned at least two prominent iPhone hackers from accessing its App Store.

Sherif Hashim, an iPhone developer who developed a hack for the latest iPhone OS 3.1.3, and iH8Sn0w, who developed the XEMN tool designed to unlock iPhone 3.1.3 radio baseband for the 3G and 3GS, found that their Apple IDs were blocked and accounts deactivated when they tried to access the app store of Monday. Their respective reactions can be found in Twitter posts here and here.

The move sparked concerns that Apple might ban all jailbroken iPhones was accessing the App Store. However, such a move would prevent Apple’s application developers from selling to the millions of users of jailbroken devices and would be especially bad politics following the launch of the Wholesale Applications Community at the Mobile World Congress conference earlier this week.

Apple has apparently limited itself to blocking exploit hunting hackers in a bid to frustrate the development of unlocking and jailbreaking tools that undermine its exclusive relationship with carriers and control over the delivery of apps. The move may also be aimed at piracy prevention as well as locking out, or at least frustrating, exploit creation and device hacking.

However, developers smart enough to figure out how to unlock iPhones are unlikely to be inconvenienced for too long by a ban on their current Apple IDs.

Apple Platforms Generate $25 Million for Gameloft in 2009

Apple’s iPhone and iPod Touch have been a major boon for mobile game makers. Developers are hopeful that the launch of the iPad will yield even more opportunities, but for now the massive iPhone installed base has been serving them well. Gameloft has been a big beneficiary of the iPhone boom. Last month, the publisher announced that it exceeded 10 million paid app downloads on the App Store and this week Gameloft noted that App Store revenues grew to 17.6 million euros (about $25 million) last year.

Total revenues at Gameloft grew 11% to 122 million euros despite the fact that the company’s fourth quarter saw a 6% sales dip “due to Gameloft’s withdrawal from boxed games in January 2009 and to the drop in the dollar.” Mobile games accounted for 94% of the company’s sales in 2009, while console games took up the remaining 6% of sales.

The French developer saw 39% of its full-year sales in 2009 come from Europe, while North America accounted for 32% and the rest of the world made up 29% of revenues. Profitability is up as well, as Gameloft said its operating margin before stock options is expected to reach between 8% and 9% in 2009 compared to 3% in 2008.

Gameloft is forecasting even more growth for 2010. “In the long term, Gameloft is in an ideal position to benefit from the rapid emergence of digitally distributed video games on mobile phones, tablets, consoles and from major technological innovations brought to the market by companies such as Apple, Palm, Nokia and Google,” the publisher stated.

Apple confirms 3G VoIP apps on iPad, iPhone, iPod Touch; Skype is waiting

Apple Inc. confirmed last night that it is now allowing iPhone, iPad and iPod touch developers to build apps that can make Internet calls over a 3G cellular network.
“We revised our Program License Agreement in conjunction with our updated Software Development Kit for iPhone, iPod Touch and iPad Apps,” wrote an Apple spokesperson. “Included in this update is the ability for developers to create VoIP apps that utilize cellular networks.”

VoIP stands for Voice over Internet Protocol — essentially, Web-based telephony.

As we reported last night, several VoiP apps have been approved for use on the iPhone, including iCall and Fring.

Skype, one of the most popular VoIP applications, said it had a 3G iPhone app ready to go, but wanted to get a couple of service details squared away.

Skype is waiting for Apple to clarify when the new SDK terms of service for iPhone OS 3.2 SDK beta, which were published yesterday, will go into effect for current iPhone users who are still bound under the terms of iPhone OS 3.12 SDK, according to Skype spokesman Chaim Haas.

“As soon as we have that clarification, Skype will submit its application for approval,” Haas wrote.

Apple announced Wednesday that iPad owners will be able to purchase monthly 3G plans for the device, which is quite a bit larger than a normal cellular phone, but could easily be used to make and receive calls.

Now that Apple and AT&T have green-lighted 3G data calls, iPad owners will not necessarily need an additional voice plan (not that the option for one was announced, but plenty of people were wondering).

In fact, the arrival of VoIP to iPhone may well be the beginning of a long decline for the concept of “voice minutes” — at this point, there’s really no point in differentiating one kind of call from another — it’s all data.

White House Announces iPhone Application

Timed for the State of the Union speech next week, TheWhiteHouse is a free application for the Apple iPhone and iPod Touch that lets users stream video, browse photos, and read text from President Barack Obama’s White House.

According to the White House blog, this is just the first step for the WhiteHouse.gov mobile platform. “In the coming weeks, we’ll also launch mobile.WhiteHouse.gov, a mobile-ready version of WhiteHouse.gov that is optimized for any internet-enabled mobile device, including many other phones,” the blog entry said.

Itunes Link

Analyst: Apple considering iPhone tie with Verizon

Bloomberg News is reporting that Apple Inc. may offer an iPhone through Verizon Wireless this year. The story is based on comments from an analyst with Canaccord Adams.

According to the Bloomberg story, the phone would be introduced by Verizon in June, analyst Peter Misek said in a note to investors. A newer iPhone, running on fourth-generation network technology, which makes Web browsing and downloads faster, may come in 2011, he said.

Expanding the reach of a phone now available exclusively through AT&T Inc. will contribute to 37 million iPhones sold this year, up from an estimated 27 million in 2009, Misek said. The device is the second most popular phone among U.S. consumers, after Research In Motion Ltd.’s BlackBerry Curve, and helped AT&T add about 2 million wireless customers in the third quarter.

Apple spokeswoman Natalie Kerris didn’t immediately return a call and e-mail seeking comment before regular business hours. Verizon spokeswoman Brenda Raney declined to comment.

Bing to Replace Google as iPhone’s Default Search Engine

Business Week is running quite an interesting story regarding ongoing talks between Apple and Microsoft that would make Bing as the default search engine on the iPhone, replacing Google. Citing sources familiar to the matter, the said talks have been going on for a week now. This is interesting because it not only shows the growing rivalry between Google and Apple but also because Apple and Microsoft used to be rivals, or remains to be rivals in the computer market.

Of course we all know what triggered Apple’s decision to replace Google with Bing as the iPhone’s default search engine. Google’s entry to the smartphone market with the Nexus One. The Nexus One phone and Google’s total business model for it including the Android OS, despite its shortcomings and flaws, have been hailed as one of the worthiest iPhone killer if not worthiest opponent.

Obviously, Apple did not like Google’s latest foray and will not just take it sitting down. Hence, the for its first salvo, replacing the iPhone’s search engine into Bing.

But would Microsoft agree this deal? And would this deal be on a long-term basis or is Apple just buying some time before it comes up with its own mobile search engine?

The answers to these questions depend on how far the Apple – Microsoft deal would go. There are many kinks to be ironed out if such deal is to push through. More particularly on revenue sharing derived from mobile search ads.

For Apple is purely about retaliating against Google. For Microsoft, it’s more of giving its Bing search engine a boost in terms of possible increase usage and mobile search market share. Both companies are sure to benefit from this deal. But did Apple even considered the loyal iPhone users who prefer Google as their phone’s search engine?

Let’s see what will come up from this deal. Who knows it might work to Google’s advantage?

GTA. Grand Theft Auto. On the iPhone.

Grand Theft Auto, the pedestrian-punching, car-stealing, ho-beating video game, has arrived – cursing and swearing like a dock-worker with Tourette’s – on the iPhone.

The GTA franchise is best known, perhaps, for scandal and controversy. The infamous “Hot Coffee Mod”, for instance, saw the game enter a rather adult realm. But behind the whines of the do-gooder public moralists hides an excellent set of games, and at first look, GTA Chinatown Wars lives up to the reputation.

Chinatown Wars is pretty much a straight port of the Nintendo DS Lite version and, despite having had to pass the prudish App Store censors, survives with all of its gameplay (and f-bombs) intact. I had a quick play with it in bed this morning and I love it (and I’m no gamer). The controls consist of an on-screen virtual joystick, which works by moving a thumb around in the bottom left corner. The buttons for kick, punch and so on are also virtual, and while the joystick works great, the “buttons” are easier to miss in a panic. The DS’ mini-games also make it in, as the consoles share a touch-screen. You can break into a car by hitting the screen and start it by twisting a screwdriver in the ignition. Neat.

The animation is incredible, especially considering it is happening on an iPod. For those who haven’t seen the DS version, Chinatown Wars is a hybrid of the original top-down GTA and the full 3D environments of the console games: a camera flies above you and swoops around to follow the action. Ignore the jagged lines on the screenshot – you don’t see those in the game.

Chinatown Wars is $10. That’s a lot by App Store standards, but half the price of the DS cart. Watch out Nintendo.