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ii  Apple Inc.

Apple Inc. (NASDAQ: AAPL, LSE: ACP, FWB: APC) (formerly Apple Computer, Inc.) is an American multinational corporation with a
focus on designing and manufacturing consumer electronics and closely-related software products. Headquartered in Cuper-
tino, California, Apple develops, sells, and supports a series of personal computers, portable media players, computer software,
and computer hardware accessories; Apple is also currently involved in the creation of new technology concepts, such as the
iPhone, Apple TV, and many features of its new, upcoming operating system, Mac OS X “Leopard”. Apple also operates an online
store for hardware and software purchases, as well as the iTunes Store, a comprehensive offering of digital downloadable music,
audiobooks, games, music videos, TV shows, and movies. The company’s best-known hardware products include the Mac line
of personal computers and related peripherals, the iPod line of portable media players, and the iPhone, which has a confirmed
release date of June 29 2007 in the U.S. Apple’s best known software products include the Mac OS operating system and the iLife
software suite, a bundle of integrated amateur creative software products. (Both Mac OS and iLife are included on all Macs sold.)
Additionally, Apple is also a major provider of professional (as well as “prosumer”) audio- and film-industry software products.
Apple’s professional and “prosumer” applications, which run primarily on Mac computers, include Final Cut Pro, Logic Audio, Final
Cut Studio, and related industry tools.

Apple had worldwide annual sales in its fiscal year 2006 (ending September 30, 2006) of US$19.3 billion.

The company, first incorporated January 3, 1977, was known as Apple Computer, Inc. for its first 30 years. On January 9, 2007,
the company dropped “Computer” from its corporate name to reflect that Apple, once best known for its computer
products, now offers a broader array of consumer electronics products. The name change, which followed
Apple’s announcement of its new iPhone smartphone and Apple TV digital video system, is representative of
the company’s ongoing expansion into the consumer electronics market in addition to its traditional focus on
personal computers.

Apple Inc.  iii

Steve
Jobs was born on Febru-
ary 24, 1955 in San Fran-
cisco, California. He was
adopted by a couple shortly after birth and raised in
Mountain View, California, close to what would later
be known as Silicon Valley. His family later relocated
to Los Altos, California where he attended Home-
stead High School. He was naturally proficient with
technology and at the age of thirteen was offered a
summer job working at the Hewlett Packard plant.
While there, he met an eighteen-year-old co-worker
named Steve Wozniak (a.k.a. “Woz”) who was in the
process of building a “blue box,” which was a pock-
et-sized telephone attachment that permitted long
distance calls to be placed free of charge.
Steve Jobs graduated from Homestead High School
and attended Reed College in Portland, Oregon. He
  Apple Inc.
dropped out of school after a single semester, much
like his friend Steve Wozniak had made an early exit
from the University of California at Berkeley. After
spending a summer working at an apple orchard,
Steve Jobs joined Steve Wozniak to work at Atari in
1974. The two created the arcade hit Breakout for
Atari founder Nolan Bushnell. Their stint working in
the world of video games was short-lived as Steve
Jobs shortly thereafter left to go on a spiritual retreat
to India and Steve Wozniak returned to his job at
Hewlett Packard.
After returning from India, Steve Jobs began attend-
ing meetings of the Palo Alto-based Homebrew
Computer Club. At the age of twenty-one he con-
vinced Steve Wozniak that they should build their
own printed circuit boards and sell their own com-
puter as a kit to members of the club or other inter-
ested hobbyists.

They were able to raise $1,350 to fund their endeavor

when Steve Jobs sold his Volkswagen van and Steve
Wozniak sold his costly Hewlett-Packard program-
mable calculator. The two went to work on the proj-
ect in a bedroom at Steve Jobs’ parents’ house. The
ever-expanding operation was later relocated to his
parents’ garage.

After spending a year creating the printed circuit

boards of what would later be named the Apple I
computer, Steve Jobs began searching for poten-
tial customers. The owner of an electronics store in
Mountain View, California called “The Byte Shop”
placed an order for 50 units on the condition that
they arrive fully assembled. After working feverishly,
the two delivered the fully built computers and col-
lected their promised money. They subsequently
founded the Apple Computer Company on April 1,
1976. Steve Jobs came up with the name remember- personally recruited John Sculley, president of Pep-
ing the summer he had spent working at the apple si Co., as Apple’s new Chief Executive Officer. The
orchard. same year, Apple announced the release of the first
personal computer that would be almost entirely
The Apple I was debuted at the Homebrew Comput- mouse-based. This revolutionary new system would
er Club in Palo Alto, California in April 1976. It was re- be called the Lisa. Unfortunately, the Lisa’s retail price
tail priced at $666.66 and met with little fanfare from of $9,995 made it cost prohibitive for the majority of
the public. Only 200 units of the Apple I were ever the general public.
manufactured.
Having been removed from the Lisa team, Steve
In 1977, the Apple II computer became the first Jobs joined the staff of a smaller project at Apple.
personal computer to include color graphics. Steve He headed the design of a new computer system for
Jobs created a sleek plastic case design for the new the home market that would retail for a more price
system having drawn his inspiration from the cal- friendly $500. This proposed system was later named
culators cases he saw being produced at Hewlett the Macintosh.
Packard; previously, computer cases had been manu-
factured out of sheet metal. The Apple II was a major The emphasis on the design of the Macintosh was in
success with earnings of close to $139 million within simplicity; Steve Jobs wanted it to appeal to the aver-
only three years. People began to take notice of the age computer user. The Macintosh was eventually fit-
young company. ted with a number of the Lisa’s GUI features. Like the
Lisa, the Macintosh’s operating system lacked func-
In 1981, Steve Jobs introduced the Apple III com- tion keys which forced users to rely on the mouse
puter. Because of a flaw in the computer’s design the to navigate through the operating system. The Ma-
first 14,000 units were recalled which in turn caused cintosh contained 128K of memory which was twice
sales of the system to taper off. In 1983, with its dy- that of the equivalent PC at the time and a 32-bit
namic growth, Steve Jobs figured that Apple could microprocessor which outclassed the PC’s 16-bit mi-
use a professional CEO, feeling that he did not have croprocessor.
the necessary experience to keep the position. He

Apple Inc.  
Operating System X
Apple has shipped the latest
update to its flagship
product, Mac Tiger OS, and has included
several useful new features, such as Spot-
light desktop search, Smart Folders (which
add new items to saved searches), and
Safari RSS--all features that Microsoft has
promised its Windows users in Longhorn,
yet so far hasn’t delivered. We think the
new Mac Tiger OS is a solid release and
is worthwhile for those who skipped Pan-
ther or have waited until Tiger’s release to
purchase their new Apple hardware. Even
casual Mac users will immediately see the
difference between 10.4 Tiger and 2003’s
10.3 Panther because of flashy new native
utilities, such as Dashboard. In addition to
  Apple Inc.
the visible new features, Tiger includes
significant overhauls under the hood,
debuting a 64-bit architecture to take
advantage of more addressable memo-
ry space and several core technologies
that range from accelerating onscreen
graphics to offering new programming
interfaces that, if developers take advan-
tage of them, could significantly change
how we use computers. If you’re tired of
Microsoft’s many promises, or if you’ve
been thinking of replacing your PC with a
new Mac, Tiger may well be your best in-
centive to switch. But we’re holding back
on our highest honor, our Editors’ Choice
designation, until we complete our for-
mal testing. Early indications suggest that
 sistant makes this task, thankfully, much easier than
it was in the past. Simply connect the two Macs with
a FireWire cable, and the Assistant will transfer all of
your personal data, settings, and files.

Features of Apple Mac OS X v10.4 Tiger (1000+ Vol-

ume Licenses)
Apple lists more than 200 new features for Tiger, but
the list includes many items that aren’t really that
new, in our opinion. The truly notable changes fall
into two distinct categories: user enhancements and
technological changes.

The former is what most users will notice, and with

Tiger’s a winner, but check back next week for the
good reason. Spotlight, an embedded desktop search
full story. Also, check out our Tiger slide show to get
feature, indexes your entire hard drive for file data
a sense of the look and feel of Apple’s new OS.
and metadata. This means that you can search for
content, editing history, format, size, and more, and
Setup and interface of Apple Mac OS X v10.4 Tiger
not just search text files but also images, calendar
(1000+ Volume Licenses)
events, contacts, e-mail, images, and PDFs. An even
Mac Tiger OS ships by default on DVD, although
more powerful feature enabled by Spotlight is Smart
those with older Macs that lack a DVD drive can get a
Folders. These are basically saved Spotlight searches;
set of CD-ROM install discs for $9.95 through Apple’s
that is, you can create a folder that lists all of the ele-
Media Exchange program. Installing Mac Tiger OS is
ments on your computer that meet certain criteria,
easy: Load the Tiger disc, click an installer icon, and,
and this folder updates automatically whenever you
with the disc still in the drive, the computer automat-
make changes to the file system. For example, you
ically reboots into the Tiger installer.
can have a Smart Folder that shows all items related
to Tiger, and when new e-mail arrives that mentions
As with previous versions of Mac OS X, the installer
Tiger, the Smart Folder displays a link to that e-mail.
offers three options: upgrade from a previous version
of Mac OS X (this saves all your data and settings);
erase and install if you want to eradicate all data
on the computer’s hard drive; or archive and install,
which saves all of your system data to a special folder
and puts a clean install of Tiger on your computer
(you can copy all of your settings and data from that
folder into the new system). After another reboot, Ti-
ger presents a professionally produced welcoming
video that leads you through an optional registra-
tion process, then you’re done. It’s at this point that
Tiger starts indexing all of the file data and metadata
on your hard drive for later use in Spotlight searches.
The whole process takes between 15 and 30 minutes,
depending on the contents of your hard drive.

If you’re not only migrating to Mac Tiger OS but also

moving to a new Mac, the Mac OS X Tiger Setup As-
Apple Inc.  
Mac Pro
Professional designers,
digital me-
dia hobbyists, and those simply into great
design: meet your new lust object. Apple’s
new Mac Pro ($2,499 for the base model) is a
winner on multiple levels. From the outside, it
looks great--far more put together than any
Windows-based box. Inside, it boasts power-
ful specs, including two dual-core Intel Xeon
processors, for a total of four processing cores.
And to top it off, it’s a great value. The only
thing that’s missing, if anything, is a practical
reason for a casual user to justify the purchase;
there’s more computer here than you’ll need
for day-to-day tasks. Home users might miss
the Apple Remote that made the Mac Mini
and the iMac so accessible as home-theater
PCs, and as always, Apple’s high-end desktop
is not intended for the gaming crowd. Pho-
toshop performance also lags behind that
of comparable Windows-based PCs because
Adobe still hasn’t released an Intel-friendly
version for the Mac OS. Those few issues
shouldn’t surprise anyone, however, and on
balance, the Mac Pro more than makes up for
them. If you need a fast computer for digital
media creation, the Mac Pro should be your
first stop.
  Apple Inc.
Design of Apple Mac Pro
No matter how many LEDs Alienware puts on
the outside of its cases or how well Velocity
Micro routes its internal cables, no Windows-
based PC can compare to the sheer econo-
my and innovation involved in the design
of the Apple Mac Pro. The exterior is largely
unchanged from that of the Power Mac G5,
maintaining the same “cheese grater” ap-
pearance on the front and rear panels and
the same brushed aluminum on the sides,
the top, and the bottom. Key differences on
the Mac Pro’s front panel include an added
optical-drive slot, an extra USB 2.0 port, and a
FireWire 800 jack. The latter particularly bene-
fits designers who move their work between
machines via external hard drives, since the
faster, easy-to-access FireWire 800 input can
transmit data more quickly than USB 2.0 or
standard FireWire 400.
The back panel of the Mac Pro also has a dif-
ferent layout than that of the Power Mac G5,
but the changes are more a function of the
internal design, which is one of the most ex-
citing things about this system. The Power
Mac G5 wowed people with its clean interior.
The Mac Pro’s internals are better because
they’re more than just clean--they introduce
new ideas about how to best build a PC.

Our favorite feature of the Mac Pro is the hard drive de-
sign. Too often, we see hard drives that block expansion
bays, are hard to remove, or whose power and data cables
dangle around the inside of a system like a cheap party
banner. Instead, Apple has mounted the hard drives in a
row directly under the optical drive cage and the power
supply. Each drive attaches to a numbered bracket (Apple
calls them “sleds”) that slides into an outward-facing bay.
The brackets lock into place when you lift the side-panel-
removal tab on the rear of the Mac Pro, and the numbers
on each bracket tell you what bay the attached drive be-
longs to. The number system prevents mixing up your
boot drives with your data storage drives, but perhaps
you don’t always have that much work space available,
the best part of this design is that you don’t have to deal
particularly with a system of this size.
with any cables: Apple mounted all of the necessary con-
nections directly in line with each hard drive bay and out
We have a minor beef with the removable memory trays,
of the way of the rest of the system. The connections line
in that they make the problem of installing the memory
in the correct order a little more complicated. Put your
sticks in the wrong slots, and you’ll throttle your memory
bandwidth. The Mac Pro’s side panel has a diagram that
attempts to explain the proper order to use, but the in-
structions could be a little more intuitive. We’d also wager
that it won’t occur to many users to realize that the order
makes a difference.

up perfectly with the hard drives and their brackets, and
drives require little-to-no force to remove and reinstall.
The only caveat is that the drives aren’t hot-swappable,
meaning you can’t take them out and put them back in
when the Mac Pro is powered on. Hot-swapping is more
a feature of a server anyway and not something we’d ex-
pect from a high-end desktop or most workstations.
For further expansion, the Mac Pro comes with four x16
PCI Express slots. The advantage here is that the x16 slots
can accommodate all types of PCI Express cards: x16, x4,
and x1. This doesn’t mean that you can double up on 3D
graphics power the way Nvidia’s SLI and ATI’s CrossFire
technologies allow on high-end gaming boxes, but what
you can do is stick in four graphics cards and output to
up to eight different displays. That capability could be of
benefit to designers, desktop publishers, people in the fi-
nance industry, and anyone else who wants more screen
real estate than a single display affords.

The Mac Pro also has a new mechanism for adding and
removing system memory. Instead of requiring you to
reach into the system and wade through overhanging
cables to get to the memory slots, the Mac Pro has two
removable circuit boards, each of which features four
memory slots. These cards fit a little more snugly than the
hard drive brackets, but they require only about as much
pressure to reseat as a typical PC expansion card. This sys-
tem eliminates the need to lay the Mac Pro down on its
side to swap memory in and out, which is useful because

Apple Inc.  
iMac
The iMac is a desktop computer de-
signed and built by Apple Inc..
It has been a large part of Apple’s con-
sumer desktop offerings since its intro-
duction in 1998 and has evolved through
three distinct forms. In its original form,
the G3, the iMac was egg-shaped with a
CRT monitor and was mainly enclosed by
colored, translucent plastic. The second
major revision, the G4, moved to a design
in which there is a hemispherical base
containing all the main components and
an LCD monitor on a freely-moving arm
attached to the top of the base. The third,
and current, scheme for the iMac, used
in the iMac G5 and the Intel iMac, places
all the components immediately behind
the monitor, creating a slim design which
tilts only up and down on a simple metal
base.
The machine enjoys a relatively high pro- and Brodie finished in 8 minutes and 15
file in popular culture due to its distinctive seconds, whereas Adam was still work-
  Apple Inc.
aesthetics and Apple’s successful market-
ing. The iMac and other Macintosh com-
puters can also be seen in various movies,
commercials, and TV shows (both live ac-
tion and animated) due to their wide use
in video editing/film production.
Apple declared the ‘i’ in iMac to stand
for ‘Internet’. Attention was given to the
out-of-box experience: the user needed
to go through only two steps to set up
and connect to the Internet. “There’s no
step 3!” was the catch-phrase in a popular
iMac commercial narrated by actor Jeff
Goldblum. Another commercial, dubbed
”Simplicity Shootout”, pitted seven-year-
old Johann Thomas and his border collie
Brodie, with an iMac, against Adam Tag-
gart, a Stanford University MBA student,
with a Hewlett-Packard Pavilion 8250, in
a race to set up their computers. Johann
ing on it by the end of the commercial. Apple later ports on keyboard), built-in stereo speakers, internal
adopted the ‘i’ prefix across its consumer hardware 12-watt digital amplifier, headphone/optical digital
and software lines, such as the iPod, iBook, iPhone, audio output, audio line input and built-in micro-
iLife, iPhoto, iMovie, iDVD, iTunes, iWeb, iWork, iSight, phone.
and iSync. The prefix has caught on for non-Apple
Inc products as well. This caused a problem when Software
the long rumored Apple Phone was dubbed in the The iMac includes Mac OS X v10.4 Tiger (Spotlight,
media as the iPhone a name already taken by a Cisco Dashboard, Mail, iChat AV, Safari, Address Book,
product. In the end Apple came to an agreement QuickTime, iCal, DVD Player, Xcode Developer Tools),
with Cisco although details of the deal were not dis- iLife ’06 (iTunes, iPhoto, iMovie HD, iDVD, iWeb, Ga-
closed. rageBand), Front Row, Photo Booth, Microsoft Office
2004 for Mac Test Drive, iWork (30-
Significant speed improve- day trial), Quicken 2006 for
ments Macintosh, Big Bang Board
In his keynote announcing the Games, Comic Life, Omni
release of the latest iMac, Jobs Outliner, and Apple Hard-
highlighted the sameness ware Test.
(same size, same design, same Running PowerPC applica-
features, same price) of the old tions on Intel Macs
and new iMacs. At a glance, the OS X Tiger 10.4.4 runs na-
iMac Core Duo looks exactly tively on the Intel Core Duo,
like the iMac G5. and the Rosetta translator
(allowing the execution
What is different is the speed of PowerPC code on Intel
with which the new iMac Macs) runs most PowerPC
runs. The 17-inch iMac applications transparently.
offers a 1.83Ghz Intel Jobs stated in his keynote
Core Duo processor that Adobe Photoshop runs
and the 20-inch iMac well under Rosetta for ama-
offers a 2.0Ghz Intel teurs and hobbyists, but pro-
Core Duo processor. The fessionals will find it too slow
Intel Core Duo processor is made of two In- and will wish to wait for the re-
tel processors on a single chip, providing speeds that lease of a universal version of Adobe Photoshop.
are 2-3x faster than those of the iMac G5.
The bottom line
Features Apple was wise to retain the previous iMac look and
Other iMac features include a 160GB or 250GB hard not tinker with a good thing. I am extremely im-
drive, 512MB of 667MHz DDR2 SDRAM, 667Mhz pressed with the apparent speed of iMac Core Duo,
system bus, 2MB shared L2 cache, slot-loading 8x especially running the suite of iLife ’06 applications.
SuperDrive with 2.4x Dual Layer burn (DVD+R DL/
DVD±RW/CD-RW), built-in iSight, Front Row with Ap- The speed increase offered by the Intel Core Duo
ple Remote, built-in 54-Mbps AirPort Extreme Card processor is significant, and the fact that the price re-
(802.11g standard), built-in Bluetooth 2.0+EDR (En- mains unchanged ($1299 for the 17-inch model and
hanced Data Rate) module, and built-in 10/100/1000 $1699 for the 20-inch model) means that the iMac is
Gigabit BASE-T Ethernet . an outstanding value for both the home and profes-
sional user.
The iMac offers two FireWire 400 ports, five USB
ports (three USB 2.0 ports on computer, two USB 1.1

Apple Inc.  
Mac Mini
Lost among the news of the emer-
gence of the Intel-based Mac
Pro and the iMac getting a boost with
new Intel Core 2 Duo CPUs was the Mac
Mini receiving a CPU jolt of its own. The
low-end $599 model tossed aside its Core
Solo processor for a Core Duo, and the
$799 Mac Mini now ships with a faster
1.83GHz Core Duo processor. While the
slight tick up in clock speed is appreci-
ated, we wish the baseline configuration
included 1GB of memory. The other two
weak spots for the $799 Mac Mini are its
relatively small hard drive and the inte-
grated Intel GMA 950 graphics that bor-
rows resources from the already limited
main memory. The Mini’s charms, how-
ever, are abundant. It remains a marvel of
PC design, wireless networking and Blue-
tooth come standard, and its software
bundle is unmatched by any desktop in
its class. These features make the Mac
Mini a great choice if you are looking for
an affordable way to dip your toes in the
Mac waters. It’s also become a popular
choice for home theater owners looking
to add a little computer muscle to their
living room, and rightfully so: as config-
ured, it has more than enough oomph to
carry out home-theater tasks, provided
your gaming comes courtesy of an Xbox
10  Apple Inc.
360 or the soon-to-be-released PS3. We’d
say it’s the best general-purpose small-
form-factor desktop, too, if not for the HP
Pavilion Slimline S7600e.
Priced at $975, our HP Pavilion Slimline
s7600e review system is $175 more ex-
pensive than the baseline $799 Mac Mini.
We think that the added features--more
memory; bigger, faster hard drive; media
card reader; PCI slot; TV tuner; LightScribe
DVD burner; keyboard and mouse; and
better warranty terms--add up to more
than the difference in price. In the Mac
Mini’s favor is its superior design and soft-
ware bundle, which includes the unparal-
leled iLife ‘06 suite and the simple yet ef-
fective Front Row app for easy navigation
from the sofa. Both computers ship with
comparable dual-core hard drives and a
remote control.
The Mac Mini’s design remains unchanged
from past models’. The 6.5-inch square sits
just over 2 inches tall and is a bit more
compact than HP’s Slimline. And with its
glossy, white Lucite top and brushed-alu-
minum sides, it’s certainly better look-
ing than the Slimline, which looks like a
shrunken yet still boring midtower PC.
The Mac Mini loses out on features and, to a lesser
extent, upgradability. The Mac Mini uses smaller
and slower notebook drives. The standard drive is
an 80GB, and you can upgrade to a 120GB or 160GB
drive; all three drives are 5,400rpm, 2.5-inch note-
book drives. The HP Slimline features a 7,200rpm,
3.5-inch desktop drive in sizes up to 250GB. Both
the Mac Mini and the HP Slimline start you off with
512MB of DDR2 SDRAM, though the Mac Mini uses
faster 667MHz memory. Our Slimline review system
included an upgrade to 1GB of memory, which is a
slightly cheaper upgrade than what Apple charges
for the same amount of memory. Still, we recom-
mend at least 1GB in either system since both use
integrated graphics, which borrow from the main Both the 1.83GHz Apple Mac Mini and the HP Pavil-
system memory. ion Slimline Ss7600e reside at the upper end of the
budget desktop category, and both serve up perfor-
mance that will meet the needs of mainstream us-
ers. The Mac Mini put up an uninspiring Photoshop
score, but that’s because it must run the app through
the Rosetta translation software. Until Adobe re-
leases a universal binary version of Photoshop for
Intel-based Macs, you’ll have to slog through Photo-
shop on any Mac. Conversely, Macs enjoy an edge on
iTunes because it’s built for the Mac OS. The higher-
end Mac Mini enjoys a 9 percent advantage over the
lower-end $599 model, thanks to its increased clock
speed. It’s 24 percent slower than the $999 17-inch
iMac, which shows you what the Core 2 Duo proces-
sor can do for performance. CineBench 9.5 puts Macs
and PCs on equal ground, and the 1.83GHz Mac Mini
Continuing through the feature sets, the HP Slimline
trailed the HP Slimline by the slightest of margins, an
also boasts a handy multiformat media card reader
impressive showing considering it has half the mem-
and the option to add in a TV tuner. While you can
ory and a dual-core processor that clocked slightly
add both features to the Mac Mini via external USB
slower.
peripherals, it’s nice to have them integrated on
the case, particularly if you plan to hide the system
among the home-theater components in your living
room. Both systems feature a DVD burner, but HP’s is
a LightScribe drive that lets you create laser-etched
labels on CDs and DVDs. We admit that’s a small vic-
tory for HP, given the time it takes to create just a
somewhat blurry, grayscale label.

Neither SFF system offers much in the way of expand-

ability, which isn’t a surprise given their dimensions.
It’s easier to get inside the HP Slimline, however, and
it offers a PCI slot.

Apple Inc.  11
MacBook Pro

The MacBook Pro was introduced ear-

lier this year with Intel’s Core Duo
processor, and now Apple’s high-end laptop
gets a boost to Intel’s latest-and-greatest pro-
cessor, the Core 2 Duo. Other than the updat-
ed CPU, the rest of the MacBook Pro remains
largely the same, with appreciated bumps to
the memory and the hard drive. There are two
15-inch versions that use either a 2.16GHz or
a 2.33GHz CPU, as well as a 17-inch version
with the 2.33GHz chip. Apple supplied us with
the 2.33GHz 15-inch model, which has a base
price of $2,499. Our review unit features mem-
ory and hard drive upgrades, which bring the
price to $3,174. While the performance gains
aren’t game-changing, anyone who recently
purchased a Core Duo MacBook Pro is doubt-
lessly gnashing their teeth right now, but this
move to Core 2 Duo removes one of the last
objections some buyers felt about plunking
down for a Mac laptop.
sions remain as slim as the previous model’s,
at 14 inches wide by 9.5 inches deep by 1
inch thick.
Apple’s minimalist school of design is well
represented in the MacBook Pro. Opening the
lid, you’ll find only a power button, a full-size
keyboard, stereo speakers, a sizable touch
pad with a single mouse button, and a built-
in iSight camera that sits above the display.
We’re still big fans of the keyboard’s back-
lighting feature and the two-finger touch pad
scroll (run two fingers down the touch pad
and it scrolls like a mouse wheel).
The MacBook Pro supplies you with two USB
2.0 ports, both FireWire 400 and FireWire 800
ports (previous models had only FireWire

The sleek, aluminum MacBook Pro is the

same size and shape as its predecessor, and it
clearly stands out from the white plastic look
of iPods, iMacs, MacBooks, and other more
consumer-oriented Apple products. The Mac-
Book Pro feels lighter than the aluminum
casing makes it look, but at 5.6 pounds (6.4
pounds with the AC adapter), it’s at the up-
per end of the weight scale for a laptop you’d
want to carry around every day. The dimen-

12  Apple Inc.

400), and a slot-loading SuperDrive DVD burner. You won’t find a media card reader, however, which has become an
almost ubiquitous feature on Windows laptops. The Airport Extreme 802.11a/b/g wireless card and the built-in Blue-
tooth keep you connected.

The 15.4-inch display has a native resolution of 1,440x900, which isn’t the highest resolution we’ve seen in a laptop
of this size, but if offers a nice balance of screen real estate and readability, especially when reading Web-based text.
Video output is offered via a DVI port on the side, and a DVI-to-VGA cable is included in the box.

Compared to the 15-inch Core Duo MacBook Pro, which had

a 60GB hard drive and 512MB of RAM, the new model brings
important upgrades in addition to the Core 2 Duo processor,
starting with 2GB of RAM and a 120GB hard drive. Our system
was upgraded to 3GB of RAM, instead of the default 2GB--a
$575 option--and it had a larger 160GB hard drive, which add-
ed another $100 to the price.

Apple has touted performance boosts of up to 39 percent over

the Core Duo MacBook Pro models. We ran several applications
on the new Core 2 Duo version and found a notable boost in per-
formance. In iTunes, the Core 2 Duo MacBook Pro was 32 percent
faster than a 2.0GHz Intel Core Duo MacBook Pro. It was also sig-
nificantly faster than a comparable Core 2 Duo Windows laptop,
the HP Pavilion dv6000t, in iTunes--although we should note that
iTunes was built by Apple and we’d expect it run better on Apple
hardware. We are currently testing Photoshop CS2 and will update
this review with those numbers as soon as we have them.

Gaming is not always the first thing that comes to mind when you
think about Macs, much less Mac laptops, but we were able to get a
very playable frame rate of 42fps in Quake 4, thanks to the ATI Mobil-
ity Radeon X1600 GPU, which was also found in Core Duo MacBook
Pros.

With Boot Camp, the utility that allows users to run a partitioned in-
stallation of Windows XP on their Intel Macs, many popular PC games
can be played on this hardware. We plan on conducting further tests
with both Mac applications and Windows applications under Boot
Camp and will report the results in an update to this review. We will
also update this review with battery life test results as soon as they are
available.

For Apple devotees, it’s the little things that make the difference, and the Mac-
Book Pro has a handful of extras that help it stand out amid a fairly generic field of
competitors. The MacBook’s AC adapter connects magnetically to the laptop, so if you
accidentally trip over the cord, it will simply detach instead of sending the entire thing crash-
ing to the floor. And you additionally get Apple’s Front Row remote. This tiny remote is the same
as the one that comes with the iMac, and it controls Apple’s Front Row software for playing back
movies, music, and photos from a 10-foot interface.

Also included is Apple’s much-loved suite of proprietary software, iLife ‘06, which includes intuitive tools for building
Web sites, creating DVDs, composing music, and working with photos.

Apple Inc.  13
MacBook
While the 2006 debut of Apple’s
MacBook line was flat-out
revolutionary--introducing Intel’s Core 2
Duo CPUs and a 13.3-inch wide-screen
display along with Apple’s iSight camera,
Front Row remote, and MagSafe power
adapter--the May 2007 upgrade is more
evolutionary. The overall design remains
unchanged, as Apple bumped up the
top processor speed to 2.16GHz
and the default memory to
1GB for all three configu-
rations while also adding
larger hard drives. Eagerly
awaited upgrades, such as
Intel’s new Centrino Duo
platform, LED-backlit dis-
plays, or solid-
state hard
drives are still
MIA, but more
power for the same price is
always welcome.
Other than the new CPUs and a default
1GB of RAM even in the cheapest config-
uration, the refreshed MacBook is essen-
tially identical to the version we looked
at late last year. We refer you to our re-
view of the Apple MacBook (Core 2 Duo
14  Apple Inc.
2.0GHz), for a detailed description of this
laptop’s generally excellent design. One
subtle difference is that new MacBooks
have 802.11n Wi-Fi support turned on
by default, instead of requiring a $1.99
software patch download to enable this
faster wireless connection.
While the just-updated MacBook Pro line
now offers LED-back-
lit displays in the 15-
inch model, both the
17-inch MacBook Pro
and the non-Pro Mac-
Book don’t yet offer
this technology. Apple
doesn’t claim any dif-
ference in image quali-
ty or screen brightness,
but the LED displays
should help with bat-
tery life, and they are said to
warm up quicker, taking a few seconds
less to reach full brightness.
Apple declared the ‘i’ in iMac to stand
for ‘Internet’. Attention was given to the
out-of-box experience: the user needed
to go through only two steps to set up
and connect to the Internet. “There’s no
step 3!” was the catch-phrase in a popular
 an extended amount of time with the older 2.0GHz
MacBook and never found it wanting for speed or
processing power.

Battery life was almost identical between the two

MacBook models; we eked out an extra 6 minutes
over the previous version, for an excellent 3 hours
and 36 minutes. Our DVD battery drain test is espe-
cially grueling, so you can expect longer life from ca-
sual Web surfing and typical office use.

iMac commercial narrated by actor Jeff Goldblum.

Another commercial, dubbed ”Simplicity Shootout”,
pitted seven-year-old Johann Thomas and his bor-
der collie Brodie, with an iMac, against Adam Taggart,
a Stanford University MBA student, with a Hewlett-
Packard Pavilion 8250, in a race to set up their com-
puters. Johann and Brodie finished in 8 minutes and
15 seconds, whereas Adam was still working on it by
the end of the commercial. Apple later adopted the
‘i’ prefix across its consumer hardware and software
lines, such as the iPod, iBook, iPhone, iLife, iPhoto,
iMovie, iDVD, iTunes, iWeb, iWork, iSight, and iSync.
The prefix has caught on for non-Apple Inc prod-
ucts as well. This caused a problem when the long
rumored Apple Phone was dubbed in the media as
the iPhone a name already taken by a Cisco product.
In the end Apple came to an agreement with Cisco
although details of the deal were not disclosed.

Bumping the CPU in our MacBook from 2.0GHz to

2.16GHz seems to be a fairly minor improvement, es-
pecially in light of the faster T7000-series laptop pro-
cessors Intel recently released for its upgraded Cen-
trino Duo platform. You’ll find some of those newer
CPUs in the latest 15- and 17-inch MacBook Pros.

Nevertheless, the new CPUs offered a not-unexpect-

ed boost in performance, improving the system’s
scores on CNET Labs’ Photoshop CS2 and iTunes en-
coding tests over the older model. It should be noted
that our review unit of the new 2.16GHz MacBook
had 2GB of RAM, double the amount in the 2.0GHz
MacBook we tested last fall. In real-world terms,
you’re more likely to see a difference in performance
by doubling the RAM than you would by simply dial-
ing up the clock speed a couple ticks. We’ve spent

Apple Inc.  15
 At Apple’s September 12 media event,
Steve Jobs jumped right into introduc-
ing an updated fifth-generation iPod. Not a
iPod
tremendous surprise here, as we believed the
sixth-generation “true video iPod” would not
be announced until later in the year or even
early in 2007. Underneath the familiar and
still-scratch-prone polycar-
bonate and metal skin of
the updated iPod (a.k.a. the
5.5 generation, or 5.5G) lies
a more mature iPod, many
steps wiser and more able
than its one-year-old pre-
decessor. The iPod gains
many incremental im-
provements, including a
brighter screen and better
video battery life, but prob-
ably the most appealing
aspect is the tantalizing
price points of $249 for
the 30GB version and $349
for the huge 80GB version
(available in both white
and black). While it may still
not fully address the needs
of a new population of
iTunes movie watchers, the
updated iPod is the best
one to date.
Most of this review of the 5.5G iPod will cover
new features and performance numbers. For
16  Apple Inc.
a closer look at the basic design and base fea-
tures of the iPod, read this review.
Same look and feel
The iPod’s physical specs are nearly the same
as those of the original fifth generation. It’s
still one of the sleekest high-capacity play-
ers around at 4.1 by 2.4 by 0.43
inches and 4.8 ounces for the
30GB and 4.1 by 2.4 by 0.55
inches and 5.5 ounces for the
80GB model, which has exact-
ly the same dimensions and
weight as the now-defunct
60GB version. For me person-
ally, the 80GB version (the one
we actually reviewed) feels nic-
er in the hand than the razor-
thin 30GB. The 80GB is enticing
for video addicts both for the
capacity (iTunes movies are
about 1.5GB) and the better
battery life (rated for up to 6.5
hours); plus, it’s a great value at
$349. Though the $249 retail
price tag for the 30GB version
is outstanding, excellent Win-
dows Media players such as
Creative’s 30GB Zen Vision:M
and Toshiba’s 30GB Gigabeat S
cost nearly the same on the street.
The iPod is still pretty easy to scratch, both
on the soft and shiny plastic face and the classic metal-
lic backside. Fingerprints love the iPod more than they
do most players. You’ll definitely want to carry the iPod
in a case, or at least protect the screen with adhesive film,
since now you’ll be watching $9.99 iTunes movies. I think
the black version looks nicer, but scratches show up on it
more easily. A new Nano-like scratch- and print-proof alu-
minum case would have taken the iPod over the top.
The new iPod also has a brighter screen--by up to 60 per-
cent. Not that the iPod had a dim screen in the first place,
but brighter is always better, especially when it doesn’t
come at the cost of battery life. In a side-by-side compari-
son of the old and new screens (at default brightness),
the new iPod is noticeably brighter. Even after updating
the old iPod to firmware 1.2, which among other things
adds brightness control, the old iPod screen at the bright-
est setting matches only the new one’s default setting.
Battery life will take a hit at the higher setting, so turn it
up only when your’e watching video or viewing photos.
You can even adjust brightness while watching a movie
by clicking the Select button twice during playback. Con-
versely, you should turn the brightness down when lis-
tening to audio; as always, the iPod can be viewed with
the backlight turned off.
I still have a problem with watching video for more than
30 minutes on that small 2.5-inch screen. Even a kick-
stand would help for hands-free viewing, though a big-
ger-screened unit like the Cowon A2 or Archos 604 would
have made the portable iTunes movie experience more
satisfying. There are some portable accessories such as
the Memorex iFlip that dock with the iPod and increase its
viewing size to up to 8.4 inches. Though the proprietary
dock connector isn’t nearly as convenient as a standard
USB port, the iPod benefits from its thousands of dock
connector-based third-party accessories.
Once again, Apple does a good job of minimizing pack-
aging and bundled accessories, which include a newly
designed set of white earbuds, a proprietary USB cable,
a soft case, and a dock adapter. Unfortunately, like many
MP3 players these days, you’ll have to pony up extra to
get a power adapter ($29). You also don’t get an iTunes
software CD, which leaves nonconnected folks in the
dust. And while the futuristic headphones sound decent,
they didn’t stay firmly in my ears (no foam earbud covers
in this version).
The iPod’s enhanced software definitely makes it better.
For one, you can search tunes using an alphabet-style in-
stant search. The last option in the Music menu, Search
places a two-line virtual keyboard at the bottom of the
screen; the first letter you select brings up all artist, album,
and song titles that begin with that letter, with albums
and artists indicated by icons. Results pop up dynami-
cally as you enter new letters. If you type in ca, you’ll get
results listed by all the titles that start with ca, then con-
tinue with any mention of the letters ca in any title. It’s a
little more sophisticated than the search features found
in the Creative Zen Vision:M (and other players that actu-
ally invented search-by-letters), but because you have to
select Done to browse your results, it’s a tad more tedious
to use.
The search feature, which brings the iPod up to speed
with some other brands, gives you a leg up on your mas-
sive music library.
Another “borrowed” feature is that as you scroll through
tracks, the first letter of the track section appears as a
graphical button overlay. This is truly convenient when
scrolling through huge lists where your desired alphabet
“sector” used to whiz by, and you’d have to make a U-turn.
I’ve found that I still tend to pass up my desired letter, but
not by much..
Apple Inc.  17
iPhone

The iPhone developed the way a

lot of cool things do: with a no-
tion. A few years ago Jobs noticed how
quer. He found the ideal target tech sit-
ting on his hip. Consumers bought nearly
a billion of cell phones last year, which is
many development dollars were being 10 times the number of iPods in circula-
spent—particularly in the greater Seattle tion. Break off just 1% of that and you can
metropolitan area—on what are called buy yourself a lot of black turtlenecks.
tablet PCs: flat, portable computers that Apple’s new iPhone could do to the cell
work with a touchscreen instead of a phone market what the iPod did to the
mouse and keyboard. Jobs, being Jobs, portable music player market: crush it
figured he could do better, so he had Ap- pitilessly beneath the weight of its own
ple engineers noodle around with a bet-
ter touchscreen. When they showed him
the screen they came up with, he got ex-
cited. So excited that he thought he had
the beginnings of a new product.

Jobs had just led Apple on a triumphant

rampage through a new market sector,
portable music players, and he was look-
ing around for more technology to con-

18  Apple Inc.

superiority. This is unfortunate for anybody else who makes cell phones, but it’s good news for those of us
who use them.

Cell phones do all kinds of stuff—calling, text messaging, Web browsing, contact management, music play-
back, photos and video—but they do it very badly, by forcing you to press lots of tiny buttons, navigate
diverse heterogeneous interfaces and squint at a tiny screen. “Everybody hates their phone,” Jobs says, “and
that’s not a good thing. And there’s an opportunity there.” To Jobs’s perfectionist eyes, phones are broken.
Jobs likes things that are broken. It means he can make something that isn’t and sell it to you for a premium
price.

That was why, two and a half years ago, Jobs sicced his wrecking crew of designers and engineers on the cell
phone as we know and hate it. They began by melting the face off a video iPod. No clickwheel, no keypad.
They sheared off the entire front and replaced it with a huge, bright, vivid screen—that touchscreen Jobs got
so excited about a few paragraphs ago. When you need to dial, it shows you a keypad; when you need other
buttons, the screen serves them up. When you want to watch a video, the buttons disappear. Suddenly, the
interface isn’t fixed and rigid, it’s fluid and molten. Software replaces hardware.

Into that iPod they stuffed a working version of Apple’s operating system, OS X, so the phone could handle
real, non-toy applications like Web browsers and e-mail clients. They put in a cell antenna, plus two more
antennas for WiFi and Bluetooth; plus a bunch of sensors, so the phone knows how bright its screen should
be, and whether it should display vertically or horizontally, and when it should turn off the touchscreen so
you don’t accidentally operate it with your ear.

Then Jonathan Ive, Apple’s head of design, the man who shaped
the iMac and the iPod, squashed the case to less than half
an inch thick, and widened it to what looks like a bar of ex-
pensive choco- late wrapped in aluminum and stainless
steel.The iPhone is a typical piece of Ive design: an austere,
abstract, pla- tonic-looking form that somehow also
manages to feel warm and organic and ergonomic.
Unlike my phone. He picks it up and points out four
little nub- bins on the back. “Your phone’s got feet
on,” he says, not unkindly. “Why would anybody
put feet on a phone?” Ive has the answer, of course:
“It raises the speaker on the back off the table. But
the right solution is to put the speaker in the right
place in the first place. That’s why our speaker isn’t
on the bot- tom, so you can have it on the table, and
you don’t need feet.” Sure enough, no feet toe the
iPhone’s smooth lines.

All right, so it’s pretty. Now pick it up and make

a call. A big friendly icon appears on that huge
screen. Say a second call comes in while you’re talking.
Another icon appears. Tap that second icon and you switch to
the second call. Tap the big “merge calls” icon and you’ve got a
three-way conference call. Pleasantly simple.

Apple Inc.  19
Cinema HD
Viewed from a distance, the
Apple Cinema HD
30-inch display is a jaw-dropper. The ex-
pansive, high-resolution LCD monitor has
a sleek case that grabs your attention,
even with the power off. The direct price
of $3,299 is also likely to take your breath
away. Apple touts it as a professional dis-
play, and while it has a number of impres-
sive attributes, it falls short of its intended
goals.
The panel has 2,560- by 1,600-pixel native
resolution—more than 4 million pixels—
making it one of the highest-resolution
LCD monitors available at any price. That’s
also more pixels than you’d get with five
15-inch LCD monitors.The 0.250-mm pixel
pitch works out to just over 100 pixels per
inch, which is finer than almost all other
LCD desktop monitors. All these pixels
pose a problem, however: How do you get
the signal from the computer to the dis-
play? This exceeds the bandwidth offered
by a single DVI digital channel and chal-
lenges the abilities of an analog signal.
Apple chose to go with a dual-channel
DVI digital-only interface, which means
you’ll need to upgrade to the nVidia Ge-
Force 6800 GT DDL ($499 direct) or Ultra
DDL graphics adapter ($599) to drive the
20  Apple Inc.
monitor.
The DVI cable also bundles USB and
FireWire connectors, which enable the
two USB and two FireWire ports on the
back of the panel; no connectors are on
the front of the monitor. The only controls
on the monitor are power and brightness,
which use clever, well-marked capaci-
tance buttons. Printed documentation is
minimal.
Because we were using a Mac platform
for the evaluation, we were not able to
use the DisplayMate images that we nor-
mally use. We created some test images
that provide similar information, and
used some photographs for additional
tests. We saw no apparent pixel defects—
which is remarkable, given the number of
pixels—and color tracking and brightness
uniformity looked good. We saw some
slight banding on color ramps.
Apple describes the monitor as being “de-
signed specifically for the creative profes-
sional” and “working well with fast-mov-
ing details,” citing it as suitable for page
layout and video editing. Based on our ob-
servations, the target audience will be dis-
appointed with the panel’s performance.
 die finished in 8 minutes and 15 seconds, whereas
Adam was still working on it by the end of the com-
mercial. Apple later adopted the ‘i’ prefix across its
consumer hardware and software lines, such as the
iPod, iBook, iPhone, iLife, iPhoto, iMovie, iDVD, iTunes,
iWeb, iWork, iSight, and iSync. The prefix has caught
on for non-Apple Inc products as well. This caused a
problem when the long rumored Apple Phone was
dubbed in the media as the iPhone a name already
taken by a Cisco product. In the end Apple came to
an agreement with Cisco although details of the deal
were not disclosed.
We noticed significant hue changes—especially
with dark shades—with horizontal viewing angles as
small as 45 degrees off center in the horizontal plane.
Given the large size of the monitor, you have to be at
a considerable distance from the display to see the
entire image at a direct angle. The monitor is rated at
a 16-ms pixel response rate, and showed moderate
smearing with moving images. This is to be expected
from a panel with this specification, but it’s not close
to the clarity of CRT performance for rendering mov-
ing images.

The wide format is well suited for high-definition en-

tertainment viewing, aside from the motion smear-
ing issue, yet there is no provision for video signals
except as provided through the computer connec-
tion. The warranty is limited to one year.

This is a remarkable and attention-grabbing display,

based solely on its size and fine resolution. Its limita-
tions won’t affect users buying it for the “wow” factor,
but the 30-inch Cinema HD display is not well suited
for the professional graphics market for which it is
targeted.

Apple declared the ‘i’ in iMac to stand for ‘Internet’. At-

tention was given to the out-of-box experience: the
user needed to go through only two steps to set up
and connect to the Internet. “There’s no step 3!” was
the catch-phrase in a popular iMac commercial nar-
rated by actor Jeff Goldblum. Another commercial,
dubbed ”Simplicity Shootout”, pitted seven-year-old
Johann Thomas and his border collie Brodie, with an
iMac, against Adam Taggart, a Stanford University
MBA student, with a Hewlett-Packard Pavilion 8250,
in a race to set up their computers. Johann and Bro-
Apple Inc.  21
All Rights Reserved to Apple Inc., 2007