Feature

Tim Cook admits that iMac launch should have been postponed to avoid delays for customers

Jordan Kahn

imac

When asked about staggered product launches during the Q&A of Apple’s Q2 2013 earnings call today, Apple CEO Tim Cook admitted that he wished Apple would have postponed the launch of the new iMac until after the holiday season in order to avoid the significant delays that customers experienced in the initial months of launch:

I don’t spend a lot of time looking back… If we could run it over, i would have announced the iMac after the turn of the year… we felt our customers had to wait too long for that specific product… Where the iPad mini was in shortage in the December quarter, I would not have done that differently because we were able to get the product out to many customers that wanted it. In retrospect, I wish it [iMac] was after the turn of the year so customers would not have had to wait as long as they did.

When Apple first launched the all new, slimmed down iMac lineup leading up to the holidays in October of last year, Tim Cook quickly confirmed that Apple would run into some significant component constraints and delays for the product. The months following launch saw major delays with customers ordering the product having to wait weeks to receive their shipments and some models pushed back as far as December.

Apple updates homepage in China to recognize earthquake, offers donations and support

Mark Gurman

Screen Shot 2013-04-22 at 1.19.52 AM

Apple has updated its official China website homepage to offer its respect and sympathy following the disastrous earthquake that has affected the country over the past few days.

The acknowledgement present on Apple’s site reads as follows:

Our deepest condolences to those who were taken away by the Sichuan Yaan earthquake, and respect to all the rescuers. May those who have passed away rest in peace, and may the survivors stay strong.

The company has also offered a statement that pledges cash donations and new Apple devices to help schools that have been affected:

In this difficult time our hearts are with the Sichuan earthquake victims. In addition to cash donations to help the victims ride out the storm, we will also commit to donating brand new Apple equipment to some of the schools in the affected region, and the local Apple staff will be on standby to provide support.

Apple has reportedly pledged 50 million Yuan in total. (Thanks to Richard Lai from Engadget for the translations.)
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Report says Apple’s spaceship campus is $2B over budget

Jordan Kahn

Spaceship-gallery-campus-2

We already knew there would be delays for Apple’s 2.8-million square foot Campus 2 following reports in November. Apple originally planned to move around 12,000 employees into the currently under construction spaceship-like campus by 2015, but in November warned completion of construction would likely be delayed until mid-2016. Today we get some more insider info on the project in a report from Bloomberg Businessweek, claiming the project is now over budget and possibly delayed even further:

In a story titled “Apple’s Campus 2 shapes up as an investor relations nightmare,” citing sources close to the project, Bloomberg claimed Apple’s grandiose plans for the building have resulted in the budget nearly doubling to $5 billion:

Since 2011, the budget for Apple’s Campus 2 has ballooned from less than $3 billion to nearly $5 billion, according to five people close to the project who were not authorized to speak on the record. If their consensus estimate is accurate, Apple’s expansion would eclipse the $3.9 billion being spent on the new World Trade Center complex in New York, and the new office space would run more than $1,500 per square foot—three times the cost of many top-of-the-line downtown corporate towers.

Apple has yet to actually break ground on the site, but Bloomberg’s sources said Apple has plans to start demolition of 26 buildings that are currently on the land.  According to the report, the delays are due to extra time spent attempting to cut around $1 billion from the budget. Apple has also yet to complete deals with contractors: Read more

Tim Cook’s decision to address warranty controversy in China earns Apple praise from state-run media

Jordan Kahn

Tim-cook-chinaAccording to a new report from Reuters, Apple’s decision to publicly address controversy over its warranty policies in China yesterday has already resulted in a positive reaction from the state-controlled media outlets that originally organized the smear campaign.

With its rare apology, Apple Inc went from pariah to praiseworthy in the eyes of China’s state-controlled media, a lesson for other foreign firms not to underestimate the speed and power of the government press… The Chinese newspapers that threw brickbats at Apple a few days ago have since changed their tune.

Apple attempted to appease government in China yesterday by issuing a letter from CEO Tim Cook to announce changes to its warranty policies in the country. The move followed a campaign by state-run media outlets that bashed Apple over its warranty policies compared to other countries and provided first-hand accounts from disgruntled customers. Apple initially stood its ground after the first critical reports as far back as July, but yesterday’s “rare” apology from Cook appears to be already having a positive impact in the country.

One of the media outlets that has now changed its tune is tabloid the Global Times, a newspaper published by the Communist Party’s People’s Daily, while government officials are also praising Apple for its decision: Read more

Ferrari in talks with Apple to broaden in-car entertainment partnership, unveils iPad mini equipped FF coupe

Jordan Kahn

As Ferrari unveils its new 1 million euro “LaFerrari” hybrid, the company has also confirmed it plans to strengthen its partnership with Apple in the months to come. According to Bloomberg, Ferrari Chairman Luca Cordero Di Montezemolo said the company is now “in talks with Apple about broadening a partnership on in-car entertainment.”

Ferrari SpA, the luxury carmaker owned by Fiat SpA (F), will be “more precise” about its partnership with Apple (AAPL) Inc. in the next few months, Chairman Luca Cordero Di Montezemolo said.

Ferrari, which today unveiled the 1 million euro hybrid model “LaFerrari,” is in talks with Apple about broadening a partnership on in-car entertainment, Di Montezemolo said today at the Geneva motor show.

Ferrari also said today that its new four seater FF coupe will come equipped with iPad minis:

The FF is also now seamlessly integrated with Apple technologies, thanks to direct access to the infotainment system via SIRI voice commands and the adoption of two iPad Minis as the entertainment system of choice for the rear seat passengers.

Ferrari announced in November 2012 that Apple Senior Vice President Internet Software and Services Eddy Cue was joining its board of directors. Cue tweeted about the launch of the new LaFerrari mode today, saying, “Ferrari does it once again… it is stunning.”

The full video of Di Montezemolo speaking at the Geneva motor show is below.
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