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Apple

Apple Touts $1.1 Trillion in App Store Commerce in 2022 (techcrunch.com) 18

Ahead of Apple's Worldwide Developer Conference next week, the company is offering an update on its app ecosystem with the release of a new report detailing app earnings over the course of last year. From a report: In the analysis, released today, Apple says its App Store ecosystem generated $1.1 trillion in developer billings and sales in 2022, 90% of which was commission-free -- a metric it likes to tout to downplay the growing complaints about the high cost of doing business on a marketplace that generally takes a 15% to 30% commission on in-app purchases and paid downloads, with some exceptions. This $1.1 trillion breaks down as $910 billion in total billings and sales from the sale of physical goods and services, $109 billion from in-app advertising, and $104 billion for digital goods and services. The figures are a sizable increase from 2019 data, when Apple said the App Store had facilitated $519 billion in commerce, with then "just" $61 billion coming from digital goods and services.
Cloud

Apple's Original Cloud Photo Sync Service Shuts Down This Summer (theverge.com) 17

My Photo Stream, the free cloud-based photo syncing feature Apple launched in 2011, is shutting down on July 26th, according to an Apple Support page spotted by Bloomberg's Mark Gurman. The Verge reports: The end of My Photo Stream won't come as too much of a surprise. Although it was free, it came with a long list of restrictions on the amount of photos you could upload, and these were only saved on Apple's servers for 30 days. Photos saved in the cloud then had to be manually saved locally if you wanted to keep them on a secondary device and, perhaps worst of all, 9to5Mac notes that high-quality photos weren't synced in their original resolution.

iCloud's free storage may be relatively limited at just 5GB, but at least it acts like a modern cloud storage service with photos and videos stored in their full resolution. Apple's support page notes that new photo uploads to My Photo Stream will come to an end on June 26th, and that the feature will disappear entirely a month later. "The photos in My Photo Stream are already stored on at least one of your devices," Apple's page notes, "So as long as you have the device with your originals, you won't lose any photos as part of this process."

The Courts

US Judge Rejects Challenges To Apple's $50 Million Keyboard Settlement (reuters.com) 17

A U.S. judge has approved Apple's $50 million class-action settlement resolving consumer claims over certain defective MacBook keyboards, in a ruling that spurned challenges to the deal. From a report: U.S. District Judge Edward Davila in San Jose, California, federal court in his ruling called the settlement "fair, adequate and reasonable." Eleven consumers from New York, Florida, California, Michigan and several other states were the lead plaintiffs in the national class action alleging consumer protection and warranty claims. The lawsuit accused Apple of failing to provide sufficient repairs or troubleshooting help for certain MacBook "butterfly" keyboards made between 2015 and 2019.
IOS

Apple Plans To Turn Locked iPhones Into Smart Displays With iOS 17 (bloomberg.com) 74

Apple is planning a new interface for iPhones that shows information such as calendar appointments, the weather and notifications in the style of a smart-home display, part of a flurry of new features coming in its iOS 17 software update. From a report: The view will appear when an iPhone is locked and positioned horizontally, operating similarly to dedicated displays offered by Alphabet's Google and Amazon.com, according to people familiar with the project. The idea is to make iPhones more useful when they're, for example, lying on a person's desk or nightstand. The move is part of a broader push to embed live information in more parts of the company's software -- an approach that also includes the Apple Watch's interface. The new view is one of several changes planned for iOS 17, codenamed Dawn, which will be released to consumers later in 2023. Apple plans to unveil the software alongside its mixed-reality headset at the Worldwide Developers Conference on June 5.
The Courts

Apple Faces Billionaire Khosla in Goliath v. Goliath Tech Suits (bloomberg.com) 16

The iPhone maker, VC veteran are fighting for heart-health tracking market. From a report: There's an unwritten rule for technology startups: Never challenge Apple in court if you want to survive. The world's most valuable company has a track record of success in a long string of David versus Goliath battles over cutting-edge, life-changing technologies. But billionaire Vinod Khosla is no lightweight. He's one of Silicon Valley's most celebrated venture capitalists, and he's used to playing long odds on the startups he backs. Khosla Ventures LLC put itself on a collision course with Apple when it moved into the personal health and fitness space a decade ago and invested in AliveCor, a maker of cardiac monitoring devices and software. What might have been a big partnership opportunity for AliveCor in the years following the release of the Apple Watch in 2015, to offer watch bands that monitor heart health, has turned into a messy court fight.

Now, instead of riding Apple's coattails as a prominent player in the wearable medical device market, forecast to grow to $132.5 billion by 2031, AliveCor's Food and Drug Administration-approved technology is inaccessible to the tens of millions of people who buy Apple Watches every year. The startup is in its third year of trying to prove to judges that the iPhone maker brazenly copied its heart-monitoring technology and sabotaged AliveCor's ability to offer its own product on the Apple Watch. Apple has parried with claims that its smaller rival's patent-infringement and antitrust claims are meritless -- and with counterattacks alleging that AliveCor is the imitator.

Apple

Apple Strikes Multibillion-Dollar Deal With Broadcom for Components Made in the US (apple.com) 19

Apple on Tuesday announced a new multiyear, multibillion-dollar agreement with Broadcom, a leading U.S. technology and advanced manufacturing company. From a report: Through this collaboration, Broadcom will develop 5G radio frequency components -- including FBAR filters -- and cutting-edge wireless connectivity components. The FBAR filters will be designed and built in several key American manufacturing and technology hubs, including Fort Collins, Colorado, where Broadcom has a major facility.

"We're thrilled to make commitments that harness the ingenuity, creativity, and innovative spirit of American manufacturing," said Tim Cook, Apple's CEO. "All of Apple's products depend on technology engineered and built here in the United States, and we'll continue to deepen our investments in the U.S. economy because we have an unshakable belief in America's future."

Apple already helps support more than 1,100 jobs in Broadcom's Fort Collins FBAR filter manufacturing facility, and the partnership will enable Broadcom to continue to invest in critical automation projects and upskilling with technicians and engineers. Across the country, Apple supports more than 2.7 million jobs through direct employment, developer jobs in the thriving iOS app economy, and spending with more than 9,000 U.S. suppliers and manufacturers of all sizes in all 50 states across dozens of sectors.

Android

Lawsuit Accuses DoorDash of Charging iPhone Users More For Identical Orders (arstechnica.com) 77

A class-action lawsuit has been filed against DoorDash, alleging that the company uses deceptive and fraudulent practices to charge higher delivery fees to iPhone users compared to Android users. Ars Technica reports: The lawsuit (PDF), filed May 5 in the District of Maryland, came in hot. Plaintiff Ross Hecox, in addition to his two children and a presumptive class of similarly situated customers, briefly defines DoorDash as an online marketplace with 32 million users and billions of dollars in annual revenue. "Yet, DoorDash generates its revenues not only through heavy-handed tactics that take advantage of struggling merchants and a significant immigrant driver workforce, but also through deceptive, misleading, and fraudulent practices that illegally deprive consumers of millions, if not billions, of dollars annually," the suit adds. "This lawsuit details DoorDash's illegal pricing scheme and seeks to hold DoorDash accountable for its massive fraud on consumers, including one of the most vulnerable segments of society, minor children."

Specifically, the suit claims that DoorDash misleads and defrauds customers by

- Making its "Delivery Fee" seem related to distance or demand, even though none of it goes to the delivery person.
- Offering an "Express" option that implies faster delivery, but then changing the wording to "Priority" in billing so it is not held to delivery times.
- Charging an "Expanded Range Delivery" fee that seems based on distance but is really based on a restaurant's subscription level and demand.
- Adding an undisclosed 99 cent "marketing fee," paid by the customer rather than the restaurant, to promote menu items that customers add to their carts.
- Obscuring minimum order amounts attached to its "zero-fee" DashPass memberships and coupon offers.
- Generally manipulating DashPass subscriptions to appear like substantial savings, when the company is "engineering" fees to seem reduced.

One of the more interesting and provocative claims is that DoorDash's fees, based in part on "other factors," continually charge iPhone users of its app more than Android users placing the same orders. The plaintiffs and their law firm conducted a few tests of DoorDash's system, using different accounts to order the same food, from the same restaurant, at almost the same exact time, delivered to the same address, with the same account type, delivery speed, and tip. [...] The plaintiffs are asking for $1 billion in damages for those who "fell prey to DoorDash's illegal pricing" over the past four years. The suit also includes allegations that DoorDash improperly allows children to enter into contract with the company without proper vetting.
"The claims put forward in the amended complaint are baseless and simply without merit," said a DoorDash spokesperson in a statement. "We ensure fees are disclosed throughout the customer experience, including on each restaurant storepage and before checkout. Building this trust is essential, and it's why the majority of delivery orders on our platform are placed by return customers. We will continue to strive to make our platform work even better for customers, and will vigorously fight these allegations."
The Courts

Lawsuit Alleges DoorDash Charges iPhone Users More Than Android (sfgate.com) 127

SFGate reports: A proposed class-action lawsuit levels broad allegations that DoorDash, the San Francisco-headquartered food delivery giant, is engaging in fraudulent behavior — in part by charging iPhone users more than Android havers.

The complaint, a hefty 134-page airing of grievances about the fees and upsells faced while ordering on the app, filed by Maryland resident Ross Hecox and his children, contends that DoorDash conducts "price discrimination" by allegedly charging iPhone users an "expanded range fee" more often than their Android counterparts.

According to the suit, posted by Gizmodo, the fee — a markup to any deliveries outside of the user's immediate radius set by DoorDash — is arbitrarily applied without actually taking into account users' locations. At least seven tests with separate iPhone and Android devices were conducted by the plaintiffs to prove this point in the suit.

In one set of tests, an Android phone and an iPhone were used to place the same order — a breakfast sandwich with avocado and egg whites and a chocolate chip bagel from a nearby Panera Bread — to the same address simultaneously. In the first order, according to the suit, the iPhone was at the delivery location and the Android was 15 miles away; the iPhone user received the expanded range fee. In the second, the phones' locations were reversed, with the iPhone being used 15 miles away from the delivery site; the iPhone user, the suit alleges, was still charged the fee. In a third test involving Panera, the phones were both at the delivery location — the iPhone not only allegedly received the expanded range fee but was charged an additional dollar in delivery fees. Other tests allege that delivery fees on iPhone orders are "greatly" inflated.

DoorDash called the complaints "baseless and simply without merit," in a statement to Gizmodo.
Displays

Apple Dives Into Display-Making To Cut Reliance On Samsung (nikkei.com) 11

Apple is reportedly expanding its involvement in the mass production of micro-LED displays to reduce its reliance on Samsung and gain more control over the supply chain. Nikkei Asia reports: Apple has spent heavily on the development of micro-LED displays over the past decade and once production starts, it intends to perform the critical "mass transfer" step of the manufacturing process itself, according to sources involved in the project. The mass transfer step involves moving at least tens of thousands of tiny micro-LED chips onto substrates. This process will be carried out at Apple's secretive R&D facilities in the Longtan District in the northern Taiwanese city of Taoyuan, according to multiple people with direct knowledge of the project.

Displays are one of the most expensive components in all of Apple's devices. Since the American company first introduced OLED displays on its iPhone in 2017, its reliance on Samsung Display for the screens has only grown. To reduce that dependence and gain price-bargaining power, Apple tried to bring in other suppliers, namely LG Display and China's display champion BOE Technology, but they lag the South Korean leader in terms of technology and quality stability, according to multiple sources familiar with the situation.

"Apple has spent at least $1 billion on the R&D and samples for micro-LED technologies in the past nearly 10 years," said one of the people who has been directly involved in the project for years. "It wants to secure more control over the next-gen display technologies for its future products." For the project, Apple is partnering with suppliers like ams-Osram for micro-LED components, LG Display for the substrates -- also called backplates -- and Taiwan Semiconductor Manufacturing Co. for 12-inch wafers. In addition to designing the driver integrated circuits for the micro-LED screens, Apple even designed some of the production equipment itself to better control the mass transfer process, according to two of the people with direct knowledge of the matter.
"It doesn't mean that Apple will always do the mass transfer on its own. But it shows how determined Apple is to allocate resources to have more control over [these] next-gen display technologies in its own hands," one of the sources said.

"Apple's ultimate plan is to introduce the technologies on its iPhone, which is its key revenue source and has much bigger volume, to justify the investments over the years," added one of the sources.
Software

Apple Publishes First-Ever App Store Transparency Report (macrumors.com) 4

Apple has released (PDF) its first App Store Transparency Report, as mandated by a lawsuit settlement in 2021. In 2022, the report reveals that over 1.6 million apps were rejected, 186,195 apps were removed for violating App Store rules, and China topped the list with the most government-requested app takedowns. MacRumors reports: In 2022, there were 1,783,232 apps on the App Store, with 6,101,913 total app submissions received and 1,679,694 apps rejected for various reasons like safety, performance, design, and legal. Apple provides numbers on the specific App Store guidelines that were violated by rejected apps, with the highest number of single rule rejections (149,378) due to violations of the Design 4.0 rule and the DPLA 3.2 Fraud rule (32,009). A total of 253,466 app submissions were approved after rejection when developers worked with Apple to resolve issues, and 186,195 apps were removed from the App Store for breaking the App Store rules. The majority of apps removed from the App Store were games, followed by Utilities, Business, and Education.

Apple outlines the total number of apps removed from the App Store due to government takedowns, and China is at the top of the list. The Chinese government asked Apple to remove 1,435 apps, but 1,276 of those apps were games that were removed for not having the GRN license that China requires. Apple removed 14 apps at the request of India's government, 10 apps for Pakistan, and seven apps for Russia. In other countries including Turkiye, Bulgaria, Cyprus, Hong Kong, Italy, Latvia, and Nigeria, fewer than two apps were removed at the government's request. Developers appealed 18,412 app removals in total, and Apple restored just 616 developer accounts. Apple says that apps that are appealed were typically pulled from the App Store for fraud or illegality, which is why the rejected appeal number is so high.

There are 36,974,015 registered developers, and in 2022, Apple terminated 428,487 developer accounts. According to Apple, developers are removed from the Apple Developer Program "for a number of reasons," but most commonly because of accounts that are connected with other terminated developer accounts. 3,338 developers appealed their App Store bans, and Apple reinstated just 159 accounts. Again, Apple says that this is because "most developer account terminations that are appealed are removed from the App Store due to fraud," so Apple rejects most of them. 282,036,628 customer accounts were terminated, but that number does incorporate all accounts created, even those made on the website by non-iPhone and iPad users. There were 656,739,889 average weekly visitors to the App Store and 747,873,877 average weekly app downloads. Customer accounts searched the App Store 373,211,396 times on average, and 1,399,741 apps appeared in the top 10 results of at least 1000 searches.
You can download the report from Apple's legal site.
Apple

Companies in Apple's Repair Program Say They Can't Compete With Tech Giant (theguardian.com) 31

Companies in Apple's third-party repair program say delays in the process and high pricing for parts make it almost impossible to compete with the juggernaut. From a report: In 2021 Apple, under pressure from a Productivity Commission review on the "right to repair," launched its independent repair provider program in Australia. It was trumpeted as a way for small companies to compete with Apple to repair their products -- such as the iPhone -- using Apple tools and spare parts. At the time, repairers said they felt the move was a token gesture designed to head off any potential right-to-repair legislation that would have been recommended by the Productivity Commission review. Two years later, some say their fears have been realised. A number of repairers Guardian Australia has spoken to in Australia and the US suggest Apple's slow response times and the high cost for replacement parts makes it almost impossible for them to be viable competitors. The repairers requested anonymity to speak about the program, fearing that reprisals from the California-based tech giant might prevent them from remaining in the program.

Apple has indicated it takes an average of eight weeks for repairers to be admitted to the program, but repairers Guardian Australia has spoken to said the wait time can be up to six months -- and that it feels like the applications sit in a black hole, without any point of contact within Apple to provide an update on their status. Once repairers are admitted to the program, they receive training from Apple, as well as access to Apple parts, tools, repair manuals and diagnostic software for the company's iPhones and Macs. But they say the price of the parts, as well as the process to get a discounted rate for replacement parts, make it difficult for repairers to compete with Apple's own repair program. One repairer, who says his business repairs between 30 and 40 Apple products every week, said the average repair takes between an hour to an hour and a half. If it charge the rate Apple charges customers for repairs, then its maximum margin is about $60.

AI

Apple Restricts Employee Use of ChatGPT, Joining Other Companies Wary of Leaks (wsj.com) 22

Apple has restricted the use of ChatGPT and other external artificial intelligence tools for some employees as it develops its own similar technology, WSJ repors, citing an internet document and people familiar with the matter. From the report: Apple is concerned workers who use these types of programs could release confidential data, according to the document. Apple also told its employees not to use Microsoft-owned GitHub's Copilot, which automates the writing of software code, the document said. ChatGPT, created by Microsoft-backed OpenAI, is a chatbot derived from a so-called large language model that is able to answer questions, write essays and perform other tasks in humanlike ways. When people use these models, data is sent back to the developer to enable continued improvements, presenting the potential for an organization to unintentionally share proprietary or confidential information. OpenAI disclosed in March that it took ChatGPT temporarily offline because a bug allowed some users to see the titles from a user's chat history.
AI

OpenAI Launches Free ChatGPT App For iOS 15

An official ChatGPT app is now available for iOS, with an Android version coming "soon." It can be downloaded from the App Store here. The Verge reports: The app is free to use, syncs chat history with the web, and features voice input, supported by OpenAI's open-source speech recognition model Whisper. The app works on both iPhones and iPads and can be downloaded from the App Store. OpenAI says it's rolling out the app in the US first and will expand to other countries "in the coming weeks."

OpenAI didn't previously hint that a mobile app was coming, but it makes sense given the incredible popularity of ChatGPT. The AI chatbot launched last November but rocketed in use. Some outside estimates suggest the app attracted 100 million users by January this year, though OpenAI has never confirmed these figures.
Iphone

France Opens Investigation Into Apple Over 'Planned Obsolescence' For iPhones (france24.com) 47

According to Agence France-Presse, France has opened an investigation into planned obsolescence of Apple products. From the report: The probe into purported misleading commercial practices and planned obsolescence has been under way since December, the Paris prosecutor's office said. It follows a complaint filed by the Halt Planned Obsolescence (HOP) association.

HOP said it hoped the investigation would demonstrate the iPhone maker was "associating the serial numbers of spare parts to those of a smartphone, including via microchips, giving the manufacturer the possibility of restricting repairs by non-approved repairers or to remotely degrade a smartphone repaired with generic parts." The association called on Apple "to guarantee the right to repair devices under the logic of real circular economy."

United States

DOJ Charges Former Apple Engineer With Theft of Autonomous Car Tech for China (cnbc.com) 30

A former Apple software engineer was charged with stealing Apple's autonomous technology for a Chinese self-driving car company, the Department of Justice announced Tuesday. From a report: Weibao Wang worked as a software engineer at Apple from 2016 to 2018, a DOJ indictment said. Wang worked on Apple's Annotation Team and was granted "broad access" to databases which the Justice Department said could only be accessed by 2,700 of Apple's 135,000 employees. Wang is the third former Apple employee to be accused of stealing autonomous trade secrets for China.

Wang has been charged with six separate counts involving the theft or attempted theft of Apple's "entire autonomy source code," tracking systems, behavior planning for autonomous systems, and descriptions of the hardware that was behind the systems. A year into his employment, four months before he quit his job at Apple, Wang accepted a job at the U.S.-based subsidiary of an unnamed Chinese company that was developing autonomous driving technology and he began to siphon "large amounts" of sensitive commercial technology and source code, the indictment alleges.

Apple

Apple Registers 'xrOS' Wordmark Ahead of WWDC Headset Unveiling (macrumors.com) 47

Apple has registered a wordmark for "xrOS" in New Zealand, the first time the company has indirectly revealed both the name of the operating system for its upcoming headset and the official font and styling that accompanies it. From a report: Spotted by Parker Ortolani, the xrOS wordmark registered with the New Zealand Intellectual Property Office shows that Apple will use its San Francisco typeface in xrOS marketing, just as it does for macOS, iOS, watchOS, and tvOS. "xrOS" is meant to stand for "extended reality." Extended reality represents both the augmented and virtual reality functions the headset will support. The name was already confirmed by internal Apple sources last year via Bloomberg, and Apple has also been trademarking xrOS in several countries through a hidden shell company.
AI

iPhones Will Be Able To Speak in Your Voice With 15 Minutes of Training (theverge.com) 63

Apple today previewed a bundle of new features designed for cognitive, vision, hearing, and mobility accessibility. That includes a new Personal Voice feature for people who may lose their ability to speak, allowing them to create "a synthesized voice that sounds like them" to talk with friends or family members. From a report: According to Apple, users can create a Personal Voice by reading a set of text prompts aloud for a total of 15 minutes of audio on the iPhone or iPad. Since the feature integrates with Live Speech, users can then type what they want to say and have their Personal Voice read it to whomever they want to talk to. Apple says the feature uses "on-device machine learning to keep users' information private and secure."

Additionally, Apple is introducing streamlined versions of its core apps as part of a feature called Assistive Access meant to support users with cognitive disabilities. The feature is designed to "distill apps and experiences to their essential features in order to lighten cognitive load." That includes a combined version of Phone and FaceTime as well as modified versions of the Messages, Camera, Photos, and Music apps that feature high contrast buttons, large text labels, and additional accessibility tools.

Apple

Apple Begins Testing Speedy M3 Chips That Could Feature 12 CPU Cores (engadget.com) 61

Engadget writes: Apple is testing an M3 chipset with a 12-core processor and 18-core GPU, according to Bloomberg's Mark Gurman. In his latest Power On newsletter, Gurman reports a source sent him App Store developer logs that show the chip running on an unannounced MacBook Pro with macOS 14. He speculates the M3 variant Apple is testing is the base-level M3 Pro the company plans to release sometime next year...

[T]he M3 Pro reportedly features 50 percent more CPU cores than its first-generation predecessor.

From Gurman's original article: I'm sure you're wondering: How can Apple possibly fit that many cores on a chip? The answer is the 3-nanometer manufacturing process, which the company will be switching to with its M3 line. That approach allows for higher-density chips, meaning a designer can fit more cores into an already small processor.
Desktops (Apple)

Apple Silicon Macs Now Natively Support Unreal Engine 5 (engadget.com) 25

Epic Games has released a new update for Unreal Engine 5 that allows it to run natively on Apple Silicon. With the recent update, Mac users will no longer have to rely on Rosetta technology in order to run the software, resulting in a significant boost in performance on M1 and M2 Macs. Engadget reports: There's more news for Apple users as well. Epic unveiled a new iPad app (below) for virtual productions that works with the Unreal Engine's ICVFX (In-Camera VFX) editor. It offers "an intuitive touch-based interface for stage operations such as color grading, light card placement, and nDisplay management tasks from anywhere within the LED volume," the company said. In other words, it lets DPs, VFX folks and others tweak lighting and more on virtual sets from a simple, portable interface.

Other new features introduced with the Unreal Engine 5.2 update include a "Procedural Content Generation framework" that lets you populate large scenes with the Unreal Engine assets of your choice, making it faster to build large worlds. And another feature called Substrate allows material creation with more control over the look and feel of objects used in in real-time applications like games or for linear content creation. Epic demonstrated that using its previous Rivian demo, giving a metallic-looking paint job to the R1T electric pickup.

Businesses

Apple Is Bigger Than Almost Any Stock Market In the World (cnbc.com) 79

"My friend Ben Carlson pointed out that Apple's current market capitalization of about $2.7 trillion this week exceeds the entire market capitalization of the United Kingdom, the third biggest stock market in the world," writes CNBC's Bob Pisani. From the report: Dimensional's Matrix Book is an annual review of global returns that highlight the power of compound investing. It's a fascinating document: you can look up the compounded growth rate of the S&P 500 for every year going back to 1926. Buried on page 74 is a chapter on "World Equity Market Capitalization," listing the market capitalization of most of the world, country by country. No surprise, the U.S. is the global leader in stock market value. The $40 trillion in stock market wealth in the U.S. is almost 60% of the value of all the equities in the world.

Here's where it gets fun. [...] Not only is Apple bigger than all 595 companies that list in the United Kingdom, it's bigger than all the companies in France (235 companies), and India (1,242 companies). Apple is twice the size of Germany's entire stock market, with 255 companies.

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