other: Light Sheen Fishermans Pants Shorts 3/4 in Apple Green size XXL

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Apple Should Pay $840 Million Over E-Books, States Say - Bloomberg

Apple Inc. (AAPL), already fighting oversight by a court-appointed monitor in an antitrust case brought by the U.S. over the pricing of electronic books, is also facing claims for $840 million in related lawsuits.

State attorneys general and consumers who sued the world’s most valuable technology company over its e-book pricing are seeking $280 million in damages and want that amount tripled, a lawyer for them said in a filing today with the federal judge in Manhattan who presided over the U.S. case against Apple.

The plaintiffs say they’re entitled to triple damages under antitrust law because the U.S. had already “conclusively proven” at a trial last year that Apple orchestrated a conspiracy to fix prices. The amount sought is 0.5 percent of the $158.8 billion in cash that the Cupertino, California-based company reported that it had as of the end of 2013.

U.S. District Judge Denise Cote concluded in July after a nonjury trial that Apple orchestrated a scheme with publishers to fix the prices of e-books. Cote also found Apple liable to 33 states that joined the U.S. Justice Department in its suit. The Justice Department didn’t ask for money damages in its case.

Damages Trial

Cote said she will hold a trial this year on the damages sought by the states. While almost all the documents filed by the states and Apple have been redacted or filed under seal, the plaintiffs said in a memo to Cote “the conspiracy caused widespread antitrust injury to e-book consumers” that an expert set at at least $280 million.

Kristin Huguet, a spokeswoman for Apple, declined to comment on the filing.

The U.S. sued Apple and five publishers in April 2012, claiming the maker of the iPad pushed publishers to sign agreements letting it sell digital copies of their books under what’s known as the agency model. Under that model, publishers, and not retailers, set prices for each book, with Apple getting 30 percent. Apple was the last defendant left in the case after the publishers avoided trial by settling.

After the trial Cote concluded “the publisher defendants conspired with each other to eliminate retail price competition in order to raise e-book prices, and that Apple played a central role in facilitating and executing that conspiracy.”

50 Percent

The judge found that because of the conspiracy, “the prices in the nascent e-book industry shifted upward, in some cases 50 percent or more or an individual title.”

Apple is appealing the trial judgment.

The plaintiffs today asked Cote to issue a ruling before the damages trial ordering the $280 million penalty to be tripled, based on her conclusions in the government case.

“The three cases pending before this court allege the same conspiracy, by the same conspirators, with the same goals, methods, and effects,” Steven Berman, a lawyer for the plaintiffs, wrote.

Apple has an emergency request before the U.S. Court of Appeals in New York to halt oversight by Michael Bromwich, the compliance monitor appointed by Cote. Bromwich, a former Justice Department inspector general, was accused by Apple of taking inappropriate actions and overbilling.

“The monitorship the district court imposed on Apple is unprecedented, impermissible, and unconstitutional,” Apple said today in an appeals court filing.

“The court authorized the monitor to exercise authority that is not ‘judicial’; to engage in ex parte discussions with the plaintiffs, even while the state plaintiffs are seeking hundreds of millions of dollars from Apple in another proceeding; to incur significant and unrecoverable fees that Apple is supposed to pay; and to interview anyone at Apple and demand any Apple documents,” the company said.

Cote refused to put the monitor’s work on hold, saying in a Jan. 13 ruling that Apple failed to show how it’s in the public interest.

A federal appeals court judge on Jan. 21 granted Apple a temporary reprieve from the monitor until a panel of appeals court judges could hear its bid for a longer stay. That hearing is scheduled for Feb. 4.

The lower-court case is U.S. v. Apple Inc., 12-cv-02826, U.S. District Court, Southern District of New York (Manhattan).

To contact the reporters on this story: Patricia Hurtado in federal Court in Manhattan at

pathurtado@bloomberg.net; Christie Smythe in Brooklyn at csmythe1@bloomberg.net

To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net

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Not all Apple shareholders want a huge buyback - CNBC.com

Icahn is right about Apple: Drapkin

Casablanca Capital co-founder Donald Drapkin shares his outlook for Apple, and the role of investor activism.

CalPERS is not the only Apple shareholder who's doesn't think Ichan's call for a buyback is good for the company, or its stock.

"It's not always in the shareholders best interest for the cash hoard to be returned to shareholders," said Matt Patsky, CEO of Trillium Asset Management, which owns 44,000 Apple shares worth more than $20 million.

"Apple is resistant to depleting its cash reserve and they have that right," he said.

Several calls to Icahn were not returned.

Icahn has repeatedly urged the company to put its cash hoard of $158 billion to use by buying back an additional $150 billion of its own stock. Apple in May say it would return $100 billion to shareholders over three years, through a combination of stock buybacks and a quarterly dividend of $3.05 per share.

Apple CEO Tim Cook rejected Icahn's proposition during a dinner last September, which the activist investor called "testy."

(Read more: Apple drops 5% on weak iPhone sales, revenue outlook)

Simpson called Icahn's ideas about Apple's future product strategy as "not clear." She said CalPERS isn't counting on Icahn to provide a vision of what Apple needs to do with future products like Apple TV and the potential iWatch.

(Read more: Apple's China moment still frustratingly out of reach)

"It's troubling for Silicon Valley, if short-term activists interfere with the long-term strategy of some of America's most innovative companies," Simpson said.

—By CNBC's Mark Berniker. Follow him on Twitter @markberniker.

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Apple Said To Be Focusing On Health With iOS 8 And iWatch, Following Exec ... - TechCrunch

Apple’s plans for iOS 8 focus on redefining health tracking via mobile devices, according to a new report from 9to5Mac, which has a terrific track record when it comes to rumors it has sourced itself. The report details a new marquee application coming in iOS 8 called “Healthbook” that monitors all aspects of health, fitness and workout information, including vitals monitored via the new iWatch, which is said to pack a bevy of sensors and to be “well into development” according to 9to5Mac’s sources.

The health monitoring app called “Healthbook” will come pre-installed on iOS 8, which, if true, would be a huge blow to third-party apps including those made by Fitbit, Nike, Runkeeper and Withings just to name a few. It would track and report steps, calories burned, distance walked and more, including weight fluctuations, and blood pressure, hydration levels, heart rate and more.

Apple’s focus on health in iOS 8 is given credence by a number of new reports from this week, including the news from the New York Times earlier today that Apple execs met with the FDA late last year to discuss mobile medical applications. Apple also reportedly hired Michael O’Reilly, M.D. away from a position as Chief Medical Officer of Masimo Corporation in July 2013. O’Reilly is an expert in pulse oximetry among other things, which is used to non-invasively take key vitals from a user via optical sensors.

9to5Mac’s report details functionality of the proposed “Healthbook” app, which, as its name suggests, takes a lot of cues from Passbook. It’ll offer swipeable cards for each vital stat it tracks, letting users page through their medical and health information. The report cautions that this functionality could be taken out prior to the final release of iOS 8: With the FDA’s involvement, one concern might be getting the necessary approvals to market the software as a potential medical aid.

As for the iWatch, the new report doesn’t add much in terms of firm details, but it does suggest we could see a release before year’s end, and offers that it could feature sensors that provide data to Healthbook. That app could also use existing third-party monitors and devices designed for iOS to source data, however. One more tidbit about the iWatch suggests that maps will be a central feature of the device, and navigation on the wrist is actually a prime potential advantage of smartwatch devices that has yet to be properly explored.

We’ve reached out to Apple for comment on these developments, and will update if we learn anything more.

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John Sculley Made Apple's 1984 Ad, and He Still Thinks It Rules - Businessweek (blog)

John Sculley blames Businessweek, in part, for prompting Apple (AAPL) to run its now infamous “1984″ Super Bowl ad. The magazine’s October 1983 cover, which declared IBM the winner of the personal-computer revolution, sparked a reaction at the struggling startup that co-founder Steve Jobs and his board had asked Sculley to lead.

“We were pretty bummed by that,” Sculley told an audience yesterday during a panel discussion in New York to mark the ad’s 30th anniversary. So when Apple was ready to launch its user-friendly Macintosh computer, the primary villain took the form of Big Blue. “We just wanted to get out to the biggest audience,” he recalled. “Steve loved it being about emotion and experience—that the Mac would change the world.”

Sculley noted that the ad, which cost $900,000 to make, ended up generating what amounted to $45 million of free advertising at the time by being repeatedly aired in the media. That no doubt helped Apple sell 72,000 units in the Macintosh’s first 100 days, 44 percent more than its target and as much as its production line could reportedly handle.

What’s remarkable is how rare that breakthrough moment proved to be. While the Super Bowl remains the year’s main event for fans of advertising and football alike, Sculley and his fellow panelists agreed few of the pitches actually work. “We know that the cat pissing on your shoes is pretty funny and might even get millions of hits,” said Young & Rubicam (WPPGY) Chief Executive Officer David Sable. “But that doesn’t move product or make people remember your brand.”

Indeed, with Fox (FOXA) charging $4 million for each 30-second advertising slot during Sunday’s broadcast, some measures of effectiveness seem to suggest it may not be money well spent. Yet the ripple effect is now felt far beyond TV. When it comes to making an impact in social media, Twitter (TWTR) is the hands-down winner as a second screen during the game, according to AddThis Chairman Hooman Radfar: “They’ve cemented that in a way Facebook never could.”

And then there are those whose marketing is directly tied to football. As owner of the New England Patriots, Kraft Sports Group’s marketing chief Jessica Gelman is trying to leverage enthusiasm for the team. “We have a 60,000-person wait list” for season tickets, Gelman explained. That means finding ways to “acquire those fans and start watching their behavior” to forge a relationship that extends beyond the games and a winning season. “It’s unbelievable what Seattle has done with the 12th Man,” she said. “That’s what we’re trying to do.”

For everyone else, the holy grail remains topping that iconic “1984″ Apple ad—and Sculley believes one contender is the company that created it. “Apple still sets the highest bar in advertising,” he said. What began as an appeal to rebels has morphed into making members of the family feel special.

“We’ve always enjoyed selling to the people who love us,” said Sculley. “As hardware commoditizes, the user experience is what sets you apart.”

That, in his view, trumps the power of a single ad. As he puts it: “Companies like Samsung spend more on advertising [than Apple]. Lenovo has done a remarkable job of creating a global brand and will figure out how to make Motorola work. … The message from Apple is, ‘We know who you are.’”

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This Week's Apple Rumors, Ranked From Dumbest to Most Plausible - Wired

The iPhone 5s touch sensor is located underneath the device’s “home” button. Image: Ariel Zambelich/WIRED

The iPhone 5s touch sensor is located underneath the device’s “home” button. Image: Ariel Zambelich/WIRED

Each week, there are dozens of Apple rumors, reports, and patent filings that hint at what’s coming out of Cupertino next. Some are legit, but many are totally bogus. As always, we’ve parsed the week’s rumors, ranking them in order from “utterly ridiculous” to “duh, of course.” First up…

DON’T COUNT ON IT: Future MacBooks Will Be Solar Powered and Have Dual-Sided Displays

Some of Apple’s patents make sense. Others seem like the products of some futuristic fever dream. “Electronic device display module,” a patent granted to Apple this week, falls into the latter category. The patent describes a laptop with a dual-sided glass display. The display is on the front face, and on the rear, solar cells and a secondary display used for touch input. That rear panel could be made of electrochromic glass, which can switch from see-through to opaque when a voltage is applied across it. When it’s in see-through mode, the photovoltaic cells can absorb sunlight and charge the device’s battery. The touch sensors could be applied in a few different ways, including capacitive or acoustic methods.

ASK AGAIN LATER: iOS Will Feature a Vehicle Location App

Among a slew of patent filings this week, one hints that Apple could be working on a vehicle detection method that’ll help you locate your car in those horrible, labyrinthine shopping center parking lots. It would use a GPS-enabled tablet or smartphone, and a Bluetooth-capable car (or device inside the car). It would be able to tell when you get in the car, activating an onboard GPS, and detect when you’ve parked a car. Once parked, the location would be saved, and geofencing could also be used to determine when you’re getting close to your car. There are already a number of third-party apps that track where you parked your car, but Apple has never shied away from implementing a feature first dreamed up by a third party developer.

ASK AGAIN LATER: Apple Working on Pressure-Sensitive Touchscreens

The capacitive touch display in Apple’s mobile products could get a second type of touch sensitivity by way of pressure sensors, according to patent application published this week. Apple describes how three or more touch sensors placed (potentially) in the corners could add a new type of touch input. I’d imagine this would be more useful in specific applications rather than iOS wide — in certain games, or in art or photography apps where you’d need to use a pressure sensitive stylus to get the same effect. Anyways, when you pressed the screen, the sensors would each receive a pressure value as an input. Combined into a calculation the patent calls a “force centroid,” the system could know exactly where on the screen you’re exerting force.

SIGNS POINT TO YES: Apple TV Going From “Hobby” to “Real Product”

At media events and financial earnings calls, Apple has time and again referred to its Apple set top box as a “hobby” device, one that’s designed to appeal to only a small audience rather than the huge market the iPad, iPhone, and Mac aim to please. But the days of the Apple TV being a hobby seem numbered, as rumors of a major refresh ramp up. Another interesting sign? Apple is pimping the Apple TV in a big way on its website for Valentine’s Day this year. It now has its own dedicated section alongside the iPhone, iPad, Mac, and iPod.

WITHOUT A DOUBT: Touch ID for Mobile Payments in the Works

In Apple’s first quarter earnings call Tuesday, CEO Tim Cook basically confirmed Touch ID’s future is in mobile payments. In an uncharacteristically open response to an analyst query about mobile payments, Cook said, “The mobile payments area in general is one we’ve been intrigued with. It was one of the thoughts behind Touch ID… it’s a big opportunity.” And PayPal wants in on the game too, according to a report from Re/code. Specifically, PayPal wants Apple to use its infrastructure in the background of its mobile payment endeavor in some way, whether it be payment processing, fraud detection, or some other area. The sources on this, however, don’t think it’s likely that Apple is going to need PayPal’s services.

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Apple CEO Tim Cook Heads to Ireland to Visit Government Officials, Company ... - Mac Rumors

Apple CEO Tim Cook is currently in Ireland visiting the company's facilities in Cork and preparing to meet with government officials this afternoon, according to a report from TheJournal.ie . The specific reason for Cook's visit is unknown, but Apple has maintained a significant presence in the country for several decades.
The CEO of Apple will be meeting with Taoiseach Enda Kenny later today after addressing staff in the company’s Cork office this morning.

Tim Cook spoke to employees in Apple’s Hollyhill premises about the firm’s future plans. The Taoiseach will take a tour of the facility later today and meet with Cook.

Apple's Hollyhill facilities in Cork, Ireland (Reuters/Michael MacSweeney)

Apple, which has 4,000 employees at its Hollyhill facility, has used its Irish base for decades as its home for operations in Europe and elsewhere, with the company coming under scrutiny last year for its corporate structure funneling revenue through subsidiaries located in the country in order to minimize its tax burden.

Apple has steadily increased its workforce in Cork as the company has grown in recent years, and Cook and Kenny are likely meeting to at least help maintain the long-standing relationship between Apple and Irish officials, perhaps with an eye on the company's future plans.

Earlier this month, Cook traveled to China to help launch sales of the iPhone on China Mobile, the world's largest carrier.

Update: TheJournal.ie has updated its article, quoting Kenny as saying that he and Cook discussed Ireland's participation in EU-wide conversations about clarifying tax issues.

Kenny didn’t say if it was himself or Cook who brought the subject up, but said that the Apple CEO was “exceptionally happy” with the work the Cork office has done.

When asked whether this would mean further investment from the company, Kenny said that it was a matter for Apple to decide, but said that for now, the company is “very happy with the results from Cork and they want that to continue.”

But we all know why here's there


Ireland's government takings are massively inflated by channelling revenues through a country that's in reality a bit of a backwater for Apple. All of the other EU countries are losing out.

Despite being one of Apple's major markets the UK gets practically zilch. :(

2011 UK earnings £6 billion, tax paid £10 million

2012 avoided tax altogether by giving staff share bonuses

I like Apple so not moaning as much as I would about other companies... Google, Starbucks...


Nothing wrong with what they are doing. All companies do it. Find me one person that does not try to limit their tax burden as much as possible.

Any complainer can surely pay more taxes themselves if they would like. The IRS won't mind. :D

Nothing wrong with what they are doing. All companies do it. Find me one person that does not try to limit their tax burden as much as possible.

Any complainer can surely pay more taxes themselves if they would like. The IRS won't mind. :D

"The specific reason for Cook's visit is unknown"

But we all know why he's there

I guess Tim Cook will need personal translator with him:D

You are under the assumption Apple pay lots of tax here though..... I think you'll be surprised if it wasn't similar to UK despite them having their Euro HQ here.

Well they probably pay more than they would normally in Ireland based on sales there. They divert income from the rest of Europe into Ireland because of the sweetheart deal they have with the Irish Govt.

All the other Countries in Europe lose out on tax revenue and not necessarily too happy with Ireland. Of course Apple is not alone Google, Starbucks etc. are all at it. Starbucks largest market outside the US is the UK and according to their annual reports they made a loss every year since they started operating in the UK.


Journalist obviously isn't too familiar with Apple.

"Apple is currently battling to keep pace with soaring worldwide demand for their products including the new iPad 2, the iPhone5 and iCloud services."

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Investors and Customers Yearn for an Apple iThingamajig - New York Times (blog)

Timothy D. Cook, Apple’s chief executive, is expected to announce new product categories this year.Justin Sullivan/Getty Images Timothy D. Cook, Apple’s chief executive, is expected to announce new product categories this year.

Let’s play a little game. If you were Timothy D. Cook, Apple’s chief executive, and you could have any gadget in the world that you wanted, what would it be? Forget that such a gadget doesn’t exist yet. Remember, you’re the chief executive. of Apple — you can just pick up your iPhone 10, scroll down to Jony Ive’s number and tell him to build you an iThingamajig.

So, what is it? A new iPhone with a double-sided screen? A 160-inch Apple television? (Too small? Maybe 260 inches?) An iWatch? Maybe you want an Apple-branded car?

I’m sure we could play this game till the iCows come home. Meanwhile, a lot of investors seem to be asking themselves this question, especially after Apple’s earnings report on Monday.

Apple reported sales of 51 million iPhones during the last quarter (the most it has sold in any quarter), in addition to sales of 26 million iPads and 4.8 million Mac computers, both well above previous quarters.

But Wall Street scoffed at those numbers — the company’s stock has fallen by $40 billion since Monday — partly because profits were flat and the numbers didn’t hit analysts’ expectations.

And there’s worry that sales of the company’s main products could be on the verge of slowing.

A report released this week by the Consumer Electronics Association found that the sale of tablets, including the Apple iPad, is starting to show some saturation in the marketplace.

IDC, the market research firm, echoed the finding. “It’s becoming increasingly clear that markets such as the U.S. are reaching high levels of consumer saturation,” IDC analyst Tom Mainelli wrote in a recent report. Regarding Apple, Mr. Mainelli said the latest “numbers bring into focus the challenges the company faces as it attempts to grow its tablet business.”

Then there’s the Apple iPod, which Mr. Cook admitted this week was “a declining business.” Apple sold six million iPods in the last quarter, a 52 percent decline compared with the same time a year earlier.

Investors also exited the stock this week for another reason. Wall Street, and customers, have been waiting and waiting and waiting for an entirely new product category from Apple. You know, an iThingamajig.

In March 2012, Mr. Cook said Apple’s pipeline was “full of stuff.” In May 2012, he said “the juices are flowing,” at Apple and “we have some incredible things coming out.” Then in an April 2013 earnings call, Mr. Cook said that there was “the potential of exciting new product categories,” and that “we’ve got a lot more surprises in the works.” Again this week he promised a new product category.

But we still haven’t seen it. It’s like listening to your friend at the bar say he can pop a beer cap off with his teeth, but he keeps using a bottle opener.

“I do think that investors get emotional about when are we going to get the big new high-growth category from Apple,” said Frank E. Gillett, a principal analyst at Forrester Research, in a phone interview.

Mr. Gillett said analysts have explored the idea of Apple’s making some sort of frame that can interact with an iPhone, or multiple iPhones, and act as a sort of smart screen. “It would be the kind of thing a group of people would gather around to watch a YouTube video, but not a full-length movie,” he said.

Or, Apple could build technologies for the home and office, he said, “things that are associated with a place rather than a person.” An example would be a fixed video-conferencing system — maybe even an early version of the holodeck I wrote about this past week.

Apple could be working on a number of new technologies that could stretch the boundaries of its current products. There have been rumors of watches and other wearable computers, and even products that fall completely outside Apple’s traditional purview.

As I noted during the Apple and Samsung trial in 2012, Philip W. Schiller, Apple’s senior vice president of worldwide product marketing, said that before the company started working on the iPhone, executives explored a number of other new categories, including an Apple camera or even a car.

One thing is clear: The company will need to come through on its promise for an entirely new product in the coming months, because if it doesn’t, investors and customers will be holding one person accountable: Mr. Cook, the C.E.O. who can make a decision about that new iThingamajig.

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Apple TV/Airport Express combo? - CNET

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Apple TV/Airport Express combo?


All right, let's get to the show and the Apple TV is really on my mind after recently it was elevated to full product status with its own section next to the Mac's iPads and iPhones on the main header of the Apple store page. A report from 9to5Mac ...

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Apple trying to intimidate US retailers, telcos: Samsung - Times of India

SAN JOSE, CALIFORNIA: Samsung sought to defeat Apple's bid for a permanent sales ban against some Samsung smartphones, arguing in court that Apple's request was an attempt to instill fear among telecom carriers and retailers that carry Samsung's products.

At a hearing in federal court in San Jose, California, Samsung attorney Kathleen Sullivan told US district Judge Lucy Koh that the injunction would give the iPhone maker an opening to come back to court quickly and argue that newer Samsung products should also be banned.

"An injunction would create fear and uncertainty for the carriers and retailers with whom Samsung has very important customer relationships," Sullivan said.

Apple attorney William Lee said that a jury has already found that nearly two dozen phones infringed Apple patents, and that Apple has lost sales to a direct competitor.

"The natural, inexorable result is an injunction," Lee said.

Apple's request for the permanent injunction stems from the companies' legal fight over various smartphone features patented by Apple, such as the use of fingers to pinch and zoom on the screen and design elements such as the phone's flat, black glass screen. Apple has won US jury verdicts against Samsung Electronics totaling about $930 million.

Koh had previously rejected such a sales ban, but the US Court of Appeals for the Federal Circuit ordered her to reconsider in November.

Even though Samsung no longer sells the older-model phones targeted by the injunction request, Apple has argued in court documents that such an order is important to prevent Samsung from future copying with new products "not more colourably different" than the defunct models.

Sullivan, the Samsung lawyer, argued that the injunction would allow Apple seek other bans on new products on a much faster timeline than through traditional patent litigation, which can take years.

Koh did not say when she would rule on the request.

The chief executives for Apple and Samsung have agreed to a mediation session, which will take place by February 19. The two companies are scheduled to begin another trial in San Jose in March over a separate batch of patents that involve Apple's Siri search technology.

Samsung's phones use the Android operating system, developed by Google. Samsung and Google announced a global patent licensing deal this week.

The case in US District Court, Northern District of California is Apple Inc vs Samsung Electronics Co Ltd, 11-1846.

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Samsung, Law Firm Sanctioned by Judge in Apple Patent Suit (4) - Businessweek

Samsung Electronics Co. (005930), sanctioned with its law firm by a U.S. judge for violating a court order protecting the confidentiality of Apple Inc. (AAPL:US)’s patent-licensing accords, avoided the severe penalties the iPhone maker sought.

U.S. Magistrate Judge Paul Grewal in San Jose, California, yesterday said that “public findings of wrongdoing” by Samsung’s law firm, Quinn Emanuel Urquhart & Sullivan LLP, and Quinn Emanuel’s payment of Apple and Nokia Oyj’s legal costs would be “sufficient both to remedy Apple and Nokia’s harm and to discourage similar conduct in the future.”

The e-mail disclosure at issue, which Samsung said was accidental, came as the companies were waging their first patent-infringement dispute in federal court in San Jose over technology in smartphones. Apple won the 2012 jury trial and was ultimately awarded damages of $930 million.

The world’s top two smartphone makers have spent hundreds of millions of dollars in legal fees on claims of copying each other’s features in a global battle to dominate the market. Samsung accounted for 28.8 percent of global smartphone shipments in the three months ended Dec. 31, down from 29.1 percent a year earlier, Framingham, Massachusetts-based market researcher IDC said in a Jan. 27 statement. Apple’s share fell to 17.9 percent from 20.9 percent.

‘Highly Confidential’

The sanctions relate to a report Quinn Emanuel sent via e-mail that disclosed Apple’s patent-license agreements with Nokia, including “highly confidential financial terms,” to employees of the Suwon, South Korea-based Samsung who weren’t authorized to see the information, according to court filings.

Apple, based in Cupertino, California, has another case against Samsung going to trial in March over newer smartphone models, including Samsung’s Galaxy S III. The iPhone maker contended that because Samsung’s mishandling of confidential information compromised Apple’s ability to negotiate licenses, jurors should be told at the outset of the trial that the Galaxy maker “engaged in bad faith licensing conduct.”

Grewal said in his order that he found the most severe penalties recommended by Apple -- and a Nokia proposal that Quinn Emanuel be banned for 10 years from representing any company suing the Espoo, Finland-based phone maker -- to be “ludicrously overbroad.”

‘Aggressive Suppositions’

After multiple hearings, “what began as a chorus of loud and certain accusations had died down to aggressive suppositions and inferences, and without anything more, Quinn Emanuel and Samsung cannot reasonably be subject to more punitive sanctions,” Grewal wrote.

Apple’s lawyers described the breach of confidentiality as “massive,” saying the e-mail in question was “sent and resent or forwarded literally scores of times” to as many as 223 people, including 90 Samsung employees who weren’t authorized to see it, and 130 outside lawyers at 19 different law firms, some of which are litigating against Apple in different cases.

“This knowledge gives them a clear advantage in their license negotiations against Apple and others, and they cannot realistically be expected to ’forget’ those terms,” Apple said.

‘Inadvertent’ Disclosure

John Quinn, a lawyer representing Samsung, told Grewal at a Dec. 9 hearing that Apple exaggerated the importance of the “inadvertent” disclosure and the harm it has caused. The law firm has spent “millions of dollars” investigating the depth and breadth of the disclosure, he told the judge.

Between Apple and Nokia’s requests, “they have asked for every kind of sanction under the sun,” he said.

Quinn said in a statement today that Grewal’s ruling “should put an end to the unsupported accusations that fueled this inquiry.”

“We are pleased that Judge Grewal concluded that nothing done by either Quinn Emanuel or Samsung ‘ultimately implicated any issue in this or any other litigation or negotiation,’” he said.

Adam Yates, a Samsung spokesman, and Apple spokeswoman Kristin Huguet declined to comment on the sanctions order.

The first case is Apple Inc. v. Samsung Electronics Co. Ltd., 11-cv-1846, and the second case is Apple Inc. v. Samsung Electronics Co., 12-cv-630, U.S. District Court, Northern District of California (San Jose).

To contact the reporter on this story: Joel Rosenblatt in San Francisco at jrosenblatt@bloomberg.net

To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net

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other: Apple iPhone 4S Smart Phone // Black 64 GB GSM/EDGE 3G Compatible BlueTooth GPS

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Making sense of the latest Apple TV rumors - CNET

The Apple TV rumor mill is firing up again.

This week, Apple's living room box has been the subject to a host of new rumors (largely from 9to5Mac's Mark Gurman), including updated hardware, gaming, an app store, and even cable box integration. There's even new talk of the mythical Apple Television.

It's not surprising that the Apple TV -- that is to say, the streaming video box you can buy right now for $99 -- may be in for a significant overhaul. By tech standards, it's an aging device, released back in March 2012 -- and even that update was a minor advance over the second-generation box that was announced in 2010. Still, chatter about a revamped Apple TV has come up several times before, so there's no guarantee we'll see a new box anytime soon.

There's been no indication from Cupertino about any forthcoming Apple TV update yet, but some of these rumors make more sense than others. Here's what I'm expecting if Apple TV overhauls its living room box in 2014.

What makes sense

1. Gaming: It's about all MFi controllers

It may not seem like it, but Apple is already one of the most important gaming companies in the world, with companies like EA receiving more revenue from Apple iOS's platform than anywhere else. That puts the Apple TV in a great position to take the idea of the microconsole mainstream, building on the idea of early entrants such as Ouya and Sony's Vita TV.

SteelSeries Stratus MFi controller

While the Apple TV already has some limited gaming capabilities via AirPlay, using iOS devices as controllers, the recent addition of gaming controller support to iOS 7 -- called MFi controllers -- makes it easy to see how the Apple TV can add casual gaming to its list of capabilities. A true gaming controller will also allow the Apple TV to add games beyond the tilt-and-swipe casual games that are so popular on mobile devices, but don't translate as well to the living room.

That leaves plenty of questions. How much would a gaming-capable Apple TV cost? Will it include a controller? Will Apple design its own controller? Still, the rumors of an expanded role for gaming on the Apple TV makes a lot of sense, especially given the success of gaming on other iOS devices.

2. A true app store

If Apple is opening the door for gaming, it would also make sense to add one of the most requested Apple TV features: a full-blown app store.

The Apple TV has more apps now, but is still far behind Roku.

The Apple TV has long been criticized for its limited selection of apps, although that's certainly less true today, as the box has plugged many of its content holes with apps such as HBO Go, Hulu Plus, and Watch ESPN. Still, the Apple TV would benefit from a full-blown app store, giving more developers access to the growing living room platform rather than the more conservative approach of the current Apple TV.

3. More built-in storage

If Apple plans to add an app store and gaming, it's almost certain that a new Apple TV will need more than the 8GB of flash memory on the current box. I haven't seen any specific rumors recording storage yet, but it wouldn't be surprising is Apple took a similar approach as it does on its other iOS devices, offering a few different price points depending on how much memory you want.

4. Siri and better search options

Now that the Apple TV has expanded its app selection, finding content between all those services is becoming more difficult. Roku already has an excellent cross-platform search capability, although you still need to enter in text using the onscreen keyboard. Since Apple already has voice search built into its latest iOS devices via Siri, it would make sense to add the ability to search the Apple TV using a connected smartphone or tablet.

5. Built-in router

Of all the latest Apple TV rumors, the rumor that Apple may integrate AirPort Express functionality into the Apple TV is the most unexpected.

While it may seem a little out of left field, it makes a lot of sense: the two devices are very similar in size and it could easily eliminate another box under your TV. If Apple is planning to increase the price of the new Apple TV box, adding router capabilities would help justify the cost.

What's a harder sell

1. Cable box control

9to5Mac's sources indicate that Apple has been "testing versions of the Apple TV with a built-in TV tuner component so it has the ability to control your existing cable boxes/TV stations".

The Xbox One's cable box control still feels clunky and limited.

While it's not surprising that Apple has been testing that functionality, I'd be surprised if that the direction the Apple TV takes. Google TV and the Xbox One have tried that approach and it always ends up feeling more clunky than you'd like.

2. An actual television

The rumors of Apple releasing an actual television never seem to die. Given how long this rumor has persisted -- and how little evidence there is to support it -- I'd bet against an Apple Television this year.

Poised to become more than a "hobby"

Apple has always referred to the Apple TV as a "hobby," but the scale of the rumors suggest it may become more than that. In fact, the Apple Store Web site recently added a dedicated section for the Apple TV, which suggests the company is elevating its status in the product line.

The Apple TV now has its own dedicated section of the Apple Store Web site.

As for now, there's no indication as to when a revamped Apple TV may actually be released, so we'll have to stay tuned to see what Apple has planned for the living room.

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PayPal Angling for Mobile Payment Partnership with Apple - Mac Rumors

PayPal wants to be a part of Apple's mobile payment system and is willing to work closely with the Cupertino company to bring the initiative to fruition, claims a report from Re/code .


Three payments industry executives tell Re/code that eBay-owned PayPal has been pitching Apple on helping the consumer electronics maker bring its long-rumored payments initiative to fruition. These people, who have spoken to contacts at both Apple and PayPal, say that PayPal is essentially willing to white label parts of its payment service to be used in an Apple mobile payments system — anything from fraud detection to back-end infrastructure, even possibly down to the processing of payments.

Re/code's sources claim Apple is capable of rolling out a mobile payment system without PayPal's help, but they could not rule out the possibility of some type of partnership between the two companies.

Apple is allegedly focusing on the iPhone for its mobile payment system, though details on how the phone will process payments is not known. A recent patent application hints at the use of NFC and Bluetooth, the latter of which is compatible with the company's iBeacon technology. Apple recently deployed iBeacons throughout its retail chain of stores, while retailers like American Eagle and Safeway are experimenting with the technology in limited trials.

Today's report echoes an earlier report from the Wall Street Journal that said Eddie Cue was meeting with industry executives to "to discuss Apple's interest in handling payments for physical goods and services on its devices." Tim Cook also confirmed during Apple's recent earnings conference call that the mobile payment area was "one of the thoughts behind Touch ID" in the iPhone 5s.

Related roundups: iPhone 5c, iPhone 5s, iPhone 6

Dear Apple:


Thank you,

-All of us

Of all the loathesome, anti-consumer companies I am happy to have divorced myself from it is Paypal. I have faith that despite Paypal's desperate pleas and years of experience, Apple does not need one more middleman between the consumer and retailer. TouchID is a beautiful thing and needs to be as far removed from slime like Paypal as possible.

please don't have a 3rd party involved with payments. just bill it to the credit card that i have on my iTunes account.

Excellent way for Apple to demolish it's reputation of superior customer service. I know it's a cliche, but seriously, Steve Jobs would never consider doing business with Paypal after his experience w/ Motorola. We'll see if his protege Cook understands the stakes too.

I want nothing to do with Paypal.

I really hope Apple don't team up with Paypal. Every few years they freeze my account, (and everybody else I know who lives here who has one), for no reason whatsoever - supposedly "security". Then make you jump through impossible hoops to get it unblocked. Like sending non-existent unlock codes. Mine has several hundred dollars in it. Been trying to unlock it for over a year already. Can't even find a phone number to call them. They've basically stolen my money.

Why would apple... a trustworthy and honourable company, ever want to work with a company that practically encourages fraud failing to help when it happens to their customers, referring to small-print to cover their asses...

Paypal must be scared...

Yeah, I bet they're afraid. Very afraid.

Paypal? Yuck.

Horrible/non-existent customer service, and as mentioned, horrible hoops to jump through whenever they deem that there's apparently something wrong with your account. No effing thank you.

No!! I hate PayPal

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Tablet market grows more slowly than expected as Apple regains share - The Guardian

Apple, the biggest loser in the Google-Motorola-Lenovo deal - CNET (blog)

Lenovo executives show off several of the company's new smartphones during an event in June in India.

(Credit: Getty Images)

Things are about to get tougher for Apple.

Google late Wednesday made an unexpected announcement that it's selling Motorola Mobility to Chinese PC giant Lenovo for $2.91 billion, or less than a quarter of what it paid for the handset vendor just a couple of years ago. During the years Google owned it, Motorola lost money and market share, and the relationship caused tension between Google and the other Android vendors, particularly Samsung. It also led those other phone makers to develop their own software and services, rather than push those from Google. That amplified Android's fragmentation in the market.

Overall, Google's purchase of Motorola turned out much better for iPhone maker Apple than for Google. That's now going to change.

Google, sans Motorola, can go back to focusing on what it does best -- making a really great operating system and apps. It can mend its relationship with Android leader Samsung and the other vendors. And it can concentrate on unifying and streamlining the Android experience, rather than worry about bolstering its own hardware operations. All of those factors mean that Apple may not be able to win over customers as easily as it has in the past.

"Getting rid of Motorola helps Google, and anything that Google can do to create a more cohesive user experience across vendors is competitive to Apple," Current Analysis analyst Avi Greengart said.

But Google isn't all Apple should be worried about. Up to this point, only Samsung has posed a real threat to Apple in smartphones. A combined Lenovo and Motorola, however, has the potential to take a large chunk of the market. It won't be easy or quick, but Lenovo has a strong track record for dominating markets it enters. Less than a decade after buying IBM's PC operations, Lenovo became the world's biggest PC maker.

Already, Lenovo is one of the fastest-growing smartphone makers in China, a market that's also getting a lot of attention from Apple. Last year, Lenovo was the second largest smartphone vendor in mainland China by volume, up from eighth place in 2011, according to Strategy Analytics. That boosted its position in the global market in 2013 to fifth place behind Samsung, Apple, Huawei, and LG.

At the same time Lenovo's market share has risen in China, Apple's has fallen. In 2011, Apple was the third largest smartphone vendor in the country. By last year, it had dropped to sixth place, according to Strategy Analytics.

"Apple's lack of presence in the lower end of the smartphone market has cost it sizable volumes in China in recent years," said Neil Mawston, executive director of Strategy Analytics.

Apple, predictably, has offered no public reaction to the Lenovo-Motorola news. We've contacted the company for comment and will update the report when we have more information.

The iPhone maker doesn't have device pricing that touches the lower end of the market. So far, it hasn't needed or wanted to, but that will need to change if it doesn't want to be relegated to niche status. Already, the low end of the smartphone market is growing much faster than the high end. Strategy Analytics expects Apple's deal with China Mobile to boost it to fifth place in the Chinese market this year, but that's nowhere near the position of Samsung or Lenovo.

And Apple's less expensive, more colorful iPhone 5C has failed to catch on with users. Apple positioned the device as more of a mainstream product, but it's still too pricey for developing countries. And it turns out that most people are buying the higher-end iPhone 5S that includes a fingerprint sensor, Apple CEO Tim Cook acknowledged during the company's earnings conference call earlier this week.

Apple won't just face Lenovo in China. The company also will use Motorola to break into the US market. Lenovo gains not only a well-known brand with Motorola but also closer relationships with US carriers and retailers. The company wants to become the world's biggest seller of smart devices -- which includes PCs, tablets, smartphones, and smart TVs -- and it won't be able to do that without addressing the US market.

Lenovo won't become Apple's biggest threat overnight. It will take awhile for the Chinese company to figure out its strategy with Motorola, and Lenovo also will have to invest heavily to get Motorola back on its feet. In the meantime, Apple and Samsung won't be slowing down in their efforts to dominate the market. But a few years down the line, it may be Samsung and Lenovo jockeying for the top mobile spot, not Samsung and Apple.

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Apple TV Refresh: 9 Wishes - InformationWeek

A few of our favorite things...

http://ift.tt/newsletter14…to do with Favorite Recipes! What are your favorite Recipes on IFTTT?

…to do with Favorite Recipes

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There's a lot more where these came from. We're just warming up!


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Apple to make critical new component at sapphire plant - CNET

Apple has plans in mind for its new sapphire crystal plant that promise to "enhance and improve" its consumer devices.

E-mails from Apple to U.S. Foreign Trade Zone officials point to a manufacturing process called "Project Cascade." Uncovered by 9to5Mac with help from analyst/investor Matt Margolis, the e-mails give some clues as to the work that will be done at the Arizona-based plant.

This high-tech manufacturing process will create a critical new sub-component of Apple Products to be used in the manufacture of the consumer electronics that will be imported and then sold globally. By pulling this process into the U.S., Apple will be using cutting edge, new technology to enhance and improve the consumer products, making them best in class per product type.

The e-mails also list an aggressive go-live date for the plant's grand opening, namely sometime next month.

Announced last November, the plant has been gearing up to manufacture sapphire-based materials, an item confirmed by Apple CEO Tim Cook in a recent interview with ABC News. Apple has already used sapphire for the surface of the rear camera lens for the iPhone 5 and the ID fingerprint sensor in the iPhone 5S. But recent reports suggest the company has more aggressive plans for the hard substance.

A newly published patent application envisions the expansion of sapphire to other parts of the iPhone. Apple may, for instance, be gearing up to use sapphire to cover the entire screen of the iPhone and iPad. Such a technology could be considered a "critical new sub-component." It would also make Apple's mobile devices less vulnerable to scratches and therefore considerably more durable.

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Samsung Sanctioned by Judge for Apple Document Disclosure - Bloomberg

Samsung Electronics Co. (005930) was sanctioned by a U.S. judge for violating a court order protecting the confidentiality of Apple Inc.’s patent-licensing agreements.

U.S. Magistrate Judge Paul Grewal in San Jose, California, yesterday ordered sanctions against Samsung’s law firm, Quinn Emanuel Urquhart & Sullivan LLP, that were less extensive than what Apple and Nokia Oyj had sought. The judge said his “public findings of wrongdoing” and Quinn Emanuel’s payment of Apple and Nokia’s legal costs would be enough.

The admonishment and reimbursement would be “sufficient both to remedy Apple and Nokia’s harm and to discourage similar conduct in the future,” the judge said.

A report sent via e-mail by Samsung’s law firm in the U.S. disclosed Apple’s patent license agreements with Nokia, including “highly confidential financial terms,” to employees of the Suwon, South Korea-based company who weren’t authorized to see the information, according to court filings.

The e-mail disclosure, which Samsung said was accidental, came as the companies were waging their first patent-infringement dispute in federal court in San Jose over technology in smartphones. Apple won a 2012 jury trial and was ultimately awarded damages of $930 million. Apple, based in Cupertino, California, has another case against Samsung going to trial in March over newer smartphone models, including Samsung’s Galaxy S III.

Adam Yates, a Samsung spokesman, didn’t immediately respond to an e-mail after regular business hours seeking a comment on the ruling.

The iPhone maker sought stiff penalties for what it characterized as carelessness by Samsung, saying the mishandling of confidential information had compromised Apple’s ability to negotiate licenses. Samsung’s lawyers at Quinn Emanuel countered that the alleged damage from the disclosures was overblown.

Apple’s lawyers described the breach of confidentiality as “massive,” saying the e-mail in question was “sent and resent or forwarded literally scores of times” to as many as 223 people, including 90 Samsung employees who weren’t authorized to see it, and 130 outside lawyers at 19 different law firms, some of which are litigating against Apple in different cases.

The first case is Apple Inc. (AAPL) v. Samsung Electronics Co. Ltd., 11-cv-1846, and the second case is Apple Inc. v. Samsung Electronics Co., 12-cv-630, U.S. District Court, Northern District of California (San Jose).

To contact the reporter on this story: Joel Rosenblatt in San Francisco at jrosenblatt@bloomberg.net

To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net

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Apple's Next Big Thing Could Be Allowing You to Easily Pay for Stuff - TIME

Lenovo-Motorola deal puts more pressure on Apple -- analyst - CNET

Apple's iPhone 5S

Apple's iPhone 5S

(Credit: Sarah Tew/CNET)

Lenovo's decision to buy Motorola's handset division will shake up other smartphone vendors. And Apple could be among those shaken the hardest, says JP Morgan analyst Mark Moskowitz.

Announced yesterday, the $2.91 billion agreement will see Motorola's mobile phone business and associated patents switch parent from Google to Lenovo. The deal will boost Lenovo's smartphone presence from its home base of China to other major markets around the world. So how might such a force affect Apple?

In an investors note published Thursday, Moskowitz said that the move will futher consolidate the fragmented Android smartphone arena. But in so doing, it will also limit Apple's ability to woo Android users unhappy with the current crop of cheap but lower-quality devices.

The smartphone market itself may follow the path of the PC market, according to Moskowitz, meaning slower growth, more vendor consolidation, and less of a distinction between different products. If so, that could spell trouble for Apple, which commands a premium price tag for its seemingly unique devices. And with more budget-friendly phones coming from Samsung and Lenovo, Apple may need to rethink its resistance against a low-cost iPhone.

"In September 2012, we wrote that the smartphone's contribution to growth at Apple could be peaking and that the iPad needed to carry more weight in the model, which has not come to fruition," Moskowitz said. "We think this means that Apple needs to innovate and enter new product categories or services in the next 12-18 months. If not, then there is risk of the China Mobile rollout for Apple being the last major growth catalyst."

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Samsung not sanctioned over leakage of Apple documents - PCWorld

A court in California has decided not to sanction Samsung Electronics for the leak of confidential Apple licensing information, stating that the information had not been misused in patent negotiations.

The court has, however, asked the external counsel to reimburse costs and fees incurred by Apple and Nokia on litigating the motion and related discovery.

Magistrate Judge Paul S. Grewal of the U.S. District Court for the Northern District of California ruled Wednesday that Samsung could not have benefited from the leaked information for its license negotiations with Nokia or Ericsson, pointing out that Samsung had argued that it already knew the terms of the agreement ahead of the leak.

The court said in November that it was considering sanctions against Samsung and its lawyers in view of allegations of the suspected breach of confidential information, including information on Apple’s patent licensing agreements with Nokia, Ericsson, Sharp and Philips, which were marked for viewing by the attorneys alone.

Key terms of the four patent license agreements were contained in a draft expert report on damages that was forwarded to Samsung without redaction by its external counsel Quinn Emanuel Urquhart & Sullivan.

The counsel posted the expert report on an FTP (file transfer protocol) site that was accessible by Samsung staff, and emailed instructions for accessing the site, which over 50 Samsung employees including licensing executives are said to have accessed.

Apple had provided the information to Quinn Emanuel during the discovery phase of a lawsuit in California in which Apple was awarded damages of US$1.05 billion against Samsung, later whittled down to about $930 million.

Samsung explained that Ericsson told it the terms of its license with Apple in the course of their mediations. “Given that no representative from Ericsson or anyone else has come forward to refute that assertion, the court credits the testimony and accepts this explanation,” Judge Grewal wrote in his order. He said he was also not persuaded, despite Samsung’s “tenuous” explanations, that the South Korean company had used the confidential information in the expert report.

With regard to Quinn Emanuel, the court found that the reimbursement of costs, in addition to the public findings of wrongdoing was sufficient “both to remedy Apple and Nokia’s harm and to discourage similar conduct in the future.” Quinn Emanuel will also be responsible for ensuring that all copies of the expert report “containing confidential information are deleted, erased, wiped, or otherwise permanently removed from Samsung’s control within fourteen days of this order.”

“It is undisputed that at some point in late March 2012, a junior associate working late one night failed to fully redact Apple’s confidential license terms from an expert report,” Grewal said about Quinn Emanuel’s role. “One inadvertent mistake resulted in the widespread distribution of confidential information to hundreds of people who were not authorized to have access to it.”

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Apple's Next Big Thing Could Be Allowing You to Easily Pay for Stuff - TIME


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