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Thursday, February 16, 2017

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[ music ] [ silence ] [ applause ] >> thank you, thank you, thank you, thankyou, thanks for joining us, and good morning. i really love that video. we played it forthe first time at the developers conference in june and i wanted to open with that thismorning because i think it does such an incredible job of talking about our values. it reflectsthe unique way that apple creates what we believe are the very best products in theworld. you're going to see some amazing products this morning that could only have been developedin that unique way. we are really excited

to show them to you but before we dive rightin, i've got a few updates beginning with iphone. as you may have heard, we launchedtwo new designs last month. we launched the amazing iphone 5c in a range of gorgeous andvibrant colors. harry mccracken of time magazine called it the perfect example of hardwareand software integration. and we announced the forward thinking iphone 5s with its blazingfast 64-bit a7 chip, a stunning isight camera system, and of course touch id. walt mossbergof the wall street journal called it our--called it the best smartphone on the market. andmillions of people agree by the end of the launch weekend, we had sold 9 million iphonesmaking it the biggest iphone launch ever. the excitement and energy around the launchwas absolutely palpable. and there was no

better place to witness it than in one ofour retail stores. we prepared a brief video for you this morning to share that excitementwith you and i'd love to run it for you. [ pause ] [ music & discussions ] [ music & cheering ] i know i can speak for everyone in apple thatwhen we see customer response like this, it makes all the hard work worthwhile. both newiphones shipped with ios 7, a bold new redesign with great new features and the biggest changeto ios since the original iphone. the reviews have been tremendous. david pogue of the newyork times called it some of apple's best

work. and millions of customers, hundredsof millions of customers agreed. they love the bold new redesign and the stunning newfeatures. we made the updates easy and quick to get in just five days after launch over200 million devices were running ios 7, making it the biggest and fastest software upgradeever. and i'm pleased to tell you that as of today, nearly two-thirds of the devicesare running ios 7. now, this is tremendous, it blows away the other guys. and we lovethis because it makes, it gives our users the latest software so they can enjoy thegreatest features and the best possible experience. one of the great new features that shippedwith ios 7 was itunes radio. itunes radio is a fun and easy way to discover and explorenew music. and it runs on ios devices but

also in your mac or pc through itunes andeven on your apple tv. artists loves itunes radio. justin timberlake called it an amazingway to discover new music and debuted his album on itunes radio. now, even more importantly,customers love it. we now have had over 20 million users listen in on itunes radio andthis number continues to grow. and they've been really active. they've listened to overa billion songs. and this is just in the u.s. in the last month. it's absolutely fantastic.next stop, the app store. the app store continues to grow in size and scope. we now have overa million apps on the app store and our users have downloaded an astonishing 60 billiontimes. now, this is staggering, and the app store continues to be the best place for developersto be rewarded for their creativity. developers

have now earned over 13 billion dollars. it'shard to imagine your life without these phenomenal apps. it's been an enormous sea change. nextstop, the mac. we have an amazing lineup of desktops and notebooks. and we've had onefocus since the beginning to build the best personal computers in the world, computersthat people just love to use. and we've done that through a combination of incredible hardwareand beautiful design coupled with os x, the world's most advanced desktop operating systemand apps like iwork and ilife, phenomenal apps for your productivity and creativity.and it all--mac just works seamlessly with all of your ios devices with icloud. and allof this comes together in this really delightful experience that our users just love. now,our competition is different, they're confused.

they chased after netbooks. now they're tryingto make pcs into tablets and tablets into pcs. who knows what they will do next? well,i can't answer that question. but what i can tell you is we have a very clear directionand a very ambitious goal. we still believe deeply in this category. and we're not slowingdown on our innovation. we've been really hard at work on the mac, and we've got someexciting new products to share with you this morning. to start things off, we'd like tostart with os x and to do so, i'd like to invite craig federighi to the stage. craig? >> thank you, tim. well good morning. welllet's talk about os x. so the team has been hard at work on the latest release of os x,our tenth release in the history of os x.

and this one is a doozy. we really focusedon three major areas in os x. some core technologies to fundamentally accelerate the performanceof your mac, some features that smooth the mac experience, and some great new apps. now,one of our biggest missions with mavericks was to fundamentally upgrade your hardwareto get more charge out of your battery, to get more out of your memory, and higher performanceout of your gpu. now, while we considered going door to door with a bag of parts andwe would love to meet you, we're software guys and actually kind of shy. so, we decidedto do it with some code. and we started with power efficiency and made changes deep andbroad across the systems and the result is outstanding. now of course, battery life variesby the model that you choose. but even if

you take our 13-inch macbook air, the latestwhich is just has fantastic battery life, and all you do is install mavericks, you getup to an hour longer web browsing on a single charge and up to an hour and a half longerwatching itunes video. it's really fantastic. we've also made big improvements with memory.now, mac users love to push their systems to the limit, and that's great as long asyou have enough memory. but when you start to exhaust the system's free memory, thingscan slow down. and that's where our new mavericks feature called compressed memory comes in.with compressed memory, mavericks can actually compress almost instantaneously inactive partsof your--contents of memory making space for new allocations. this allows us to fit 6 gigsof data in just 4 gigs of system ram. and

what this means is you can run more applicationsand never slow down. next, graphics. we've made enhancements to the graphic system system-wideand we focused particularly on integrated graphics. now, some of our latest macs includehigh performance integrated graphics where the cpu is combined on the same die with thegpu and sharing the same system memory. now in the past, os x allocated a static amountof memory set aside for graphics. but mavericks is much smarter. if you're running a taskthat needs lots of memory but doesn't need much graphics, mavericks can allocate justa little bit to graphics. but if you're doing something graphics-intensive like playingmany streams of high resolution video, mavericks can give the graphics subsystem everythingit needs. and what this means is high performance

no matter what you're doing. finally, we broughtopencl to integrated graphics. now opencl takes compute-oriented tasks that would normallyrun on the cpu and instead, takes advantage of the massive, parallel compute power ofthe gpu to make them run much faster. and we see in benchmarks results of up to 1.8xacceleration for these tasks, and sometimes 2x and higher for image-processing tasks.it's really fantastic. now of course, mavericks has many great enhancements for your mac userexperience as well. things like shared links. so in safari, you can discover new links onthe web from people you follow on twitter and linkedin. we've enhanced notificationsso now you can respond in a notification right there while staying in the app that you'realready in. in the finder, we now have tags.

it's a great way to organize files no matterwhere they are, whether on your mac or in icloud. and we made big improvements to ourhandling for multiple displays so you can take an app full screen on any display andget at your dock and menu bar just like it's your primary display no matter which displayyou're using. we've also brought some great new apps to the mac as well. we have a fantasticnew maps app. it's a native app, high performance, multi-touch gestures, turn by--or drivingdirections, and flyover looks great on your big mac display. we've also brought ibooksto the mac. you have your whole book library there and your ibooks textbooks as well. butof course, the best way to appreciate and experience mavericks is with a demo, excuseme, and i'd like to give one to you right

now. all right, let's take a look here atmavericks. and of course, the mac has no equal when it comes to a tool for getting projectsdone. i'm going to work on a project right here and open up pages, and open up a documentfor "mission to mars." and what's really great now in mavericks is i also have access righthere on my mac to ibooks. so i have my book library here, i can open one of my books,this is a textbook on mars. of course, you see these beautiful interactive textbooks.i can just use multi-touch gestures to move between the pages of a chapter just like this.of course, they're these great interactives. there's a video here i can play. >> 3, 2, 1 start, 0 and lift off. the atlasv .

it's really, really nice. it's a greatway to learn but it's also a great way to work. so if i have a quote for instance thati want to move into a report that i'm writing, it's a citation, you can just click, dragthat quote right into my document just like that, and now, it's much easier to organizemy content as well with tags. so you see here, i have the contents in my documents folder.it's a lot in here. but i've been able to categorize my topic with tags. so if i wantto see on my content related to mars, i could just access it right here. so i'll drag animage out that i want to add to my document just like this. that looks pretty good. andtagging your own document is really easy as well. i can just click here on the title barand add a tag. as you can see, i can select

from any tags i've already created like mars.and i can also tag a single document with multiple tags. so, this one also has to dowith school. i'll tag it just like that. and you'll notice, it appears here under marsas well as under school. now, mavericks is also really great for keeping track of what'sgoing on even when i'm working. so for instance, if a notification comes in, like this, let'ssee. oh, yup, i can actually respond right here to my wife. let's see. ok, well, let'ssee, phil is my fashion guru. so you can just respond right there. it's really convenient. now, we support a new kind of notificationsin mavericks as well which is website notifications. if i've signed up for a particular site, ican see a notification like this. here, we'd

see major league baseball sent me a notification.zoom back out here, you can see, i get a story right here. i can read it like this. i haveanother notification from a website, this one for an item i'm following on gilt. geta notification. it's available. that looks really like just what i need. so, i can buyit right now. and what's great is with icloud keychain in mavericks, my passwords are syncedacross all my devices so i can log right in without having to remember or type my password.and that also works for entering my payment information. just click here into the cardnumber field, my credit cards are listed, you want to write down that number right now,and along with my expiration date. but you don't have my security code. i have to enterthat in manually for extra security. now,

while we're here in safari, let's take a lookat our great new top sites view. and on the left here, you see shared links. so i canclick to view an article. here's a nice one about apple's new campus. i for one look forwardto working in outer space. so i can gesture back right to my list and do searches. sofor instance, i can search for stories shared that have mars in it, i can click in likethis. and we have a great new reader view as well. it looks really nice. and as i scrollthrough the articles with safari's accelerated scrolling, i can go right from the end ofone article right into the next just continuously. it's really just a fantastic way to read.as you can imagine, this is about a good time for another notification. here's one righthere for my friend mina who's just in town

and she wants to apparently meet at coit tower.now with data detectors, i can actually just click on this and get a view right of thetime and appointment. but what's great is when i go into our great new calendar app,you notice it's also extracted the location. it's even shown me a map of that locationand the weather expected for that time. and because calendar is completely location aware,it also knows where my previous appointment is and it can actually let me know how longit will take to travel from one spot to the other. i can drive or walk. it looks likeit's going to be a nice day, so i'll go ahead and walk. you notice it marks out the traveltime right here on my calendar. i can ask to be alerted on my phone and computer wheni need to leave. now i'm just going to click

right into this map, be taken into a greatmaps app. so of course we have multi-touch gestures. we see coit tower here. i can zoom.i can pan the map around like this. and we have a satellite view with of course flyover,and it just looks gorgeous. looking into the city here, you can see the route that i cantravel up the coit tower. and when i'm ready to go, i can just go right up here to theshare menu and send it to my iphone where it appears on my lock screen. i can swiperight in to turn by turn directions from my route. so that's a quick demo of mavericks. so that's mavericks. it's a fantastic releasethat extends your battery life, gets more out of your memory, accelerates your graphics,has great features across the system and some

really fun new apps. but, you know, for thoseof us that work on mavericks, what's most important to us is seeing the software inthe hands of as many mac users as possible. we want to get them all the latest technologies,the most innovative features and the kind of robust security that's only possible throughdeep and infrastructural enhancements. and so in the last--for the last several years,we've been on a mission. we've reengineered our development process so we can put outregular major releases that renew your mac all the time and we've reinvent--reinventedthe way we distribute os x. so now, upgrading your os is as easy as downloading an app fromthe mac app store. today, we're going to revolutionize pricing because the days of spending hundredsof dollars to get the most out of your computer

are gone. today, we announce a new era forthe mac because today we're announcing that mavericks is free. free is good. so we're doing free in not asmall way, whether you have our latest release mountain lion or even if you never upgradedand you're still running lion or if you're a complete laggard and you're still back onsnow leopard. in a single step update, you can get to mavericks. and we wanted this torun on as many macs as possible. so whether you have a mac mini introduced in 2009 oreven an imac introduced way back in 2007, you're entitled to mavericks. and again, it'savailable for free. and the best part, it's available today. go out and get it.

thank you very much. i'd like to hand it overnow to phil to tell you a little bit about the macbook. thanks. >> thank you, craig. well good morning everyone. i have the greatpleasure to talk to you about macbook. the macbook lineup is the best lineup of notebookswe have ever had. as you know this summer at our developer conference we introducedan entire new generation of macbook air and it's the best we have ever made, faster withincredible all-day battery life. customers have really fallen love with them. and thereviewers have been, well, just remarkable. wired wrote, the 13-inch macbook air is asclose to perfection as a consumer notebook

gets. it doesn't get better than that. well,unless you wrote this, the greatest laptop ever made. or this, mind. blown. poof. imagineit. it is safe to say that the macbook air may be the best reviewed mac we have evermade. and today we're happy to now turn our attention to macbook pro. as you know, themacbook pro is the first personal computer with a retina display, a display with thepixel so small that in normal working distance, your eye can't discern them and the imagesare gorgeous. and now we've brought out both a 13-inch and a 15-inch retina display macbookpro, and both are having major updates today. first let's start with the 13-inch macbookpro. it is an incredible machine, and now it is even lighter under three and a halfpounds just 3.46 pounds. and the new 13-inch

macbook pro is thinner as well, just 0.71inches thin. it's beautiful and thin and light and it's incredibly fast, too. new 13-inchmacbook pro is powered by an intel haswell chip. this is a fourth generation dual corechip and that chip includes intel iris graphics, integrated graphics that are even faster.in fact, they're up to 90 percent faster than the previous generation for faster performance,faster graphics, and it gets better battery life too, now up to 9 hours of battery lifefor all the things you love to do, reading your mails, surfing the web, doing productivityand even watching movies that you've downloaded from itunes. so if you're a fan of the "blackknight" as i am, you can watch the entire trilogy on one charge. yes.

if you're a closet batman fan, you don't haveto hide it. it's faster too in terms of the flash storage, pcie-based flash that's 60percent faster than the previous generation. wi-fi is faster too. it has 802.11ac thatdelivers up to three times the performance over 802.11n at similar distances. and expansionis faster too with the new thunderbolt 2. it's up to twice as fast as the previous generationthunderbolt. and all this performance and battery life comes in a brand new macbookpro that's running mavericks. craig just told you all about the incredible features andperformance of mavericks and the work of hardware and software together to deliver an incrediblenotebook experience. the previous generation 13-inch macbook pro started at $1499. we'rereally happy to tell you today that this new

13-inch macbook pro starts at just $1299. that's for a configuration with a 13-inchretina display, 2.4 gigahertz dual core i5. four gigs of memory, iris graphics and 128gigabyte storage. and best of all it starts shipping today. next. yup. thank you. next, let's talk about the 15-inch macbookpro. this all new generation macbook pro is powered by an intel crystalwell chip. thisis the fourth generation quad core processor. it includes iris pro graphics. now this isintegrated graphics that for many tasks over the same performance has discrete graphicsbut it does it at a quarter less power. and for those who do want discrete graphics, thereare models with the new geforce gt 7850m,

and this is a graphics power with two gigsof video memory twice as much as before. so again, faster processing, faster graphicsand longer battery life as well, up to eight hours of battery life. the new 15-inch macbookpro also includes the faster pcie-based flash. it also includes the faster 802.11ac wi-fi.it also includes new thunderbolt 2 storage. so it's just better across the entire system.and of course it comes with the os x mavericks. and the previous generation 15-inch macbookpro started at $2199. you can guess what's coming. the new macbook pro now starts atjust $1999. that's where configuration with a 15-inchretina display, 2 gigahertz quad core i7, 8 gigs of memory, iris pro graphics and aquarter terabyte of flash storage. and best

of all, it's also shipping today. as you know, we work really hard to make allof our products environmentally friendly and these are both as well. energy star 6, epeatgold, arsenic-free display, mercury-free display, bfr free, pvc free and highly recyclable,with all that beautiful aluminum and glass. so this is our notebook lineup, macbook air,macbook pro with a retina display, two displays sizes on each, 11 inch and 13 on air, 13 and15 on macbook pro starting at just $999. so by far, the best lineup we've ever had inincredible upgrades across the whole line. and that's our news for macbook today. next, we'd like to tell you about mac pro.somebody was hoping we would.

[ laughter ] mac pro, as you know, we gave a sneak peekat our developer conference this june. and it's not a stretch to say people have beenblown away by this incredible new design. it's anodized aluminum enclosure with diamondcut chamfered edges, so many innovations like the cooling system that is a single fan. theprevious generation had eight fans in it, where the innovation of the unified thermalcore at its center. it is a computer that packs an incredible amount of power into somethingthat's 1/8 the volume of the previous generation. that's simply remarkable. it is our vision,the future of the pro desktop. and today we'd like to tell you even more about it. so insidethis new generation mac pro is the fastest

processor we've ever put in a mac, a new generationintel xeon e5, comes in 4, 6, 8, or 12 core designs, 30 megabyte l3 caches, super-fastbuses at pci express generation 3 bus. inside it is the fastest memory we have ever put in a mac, 1866 megahertz, ddr3 ecc memory on a broad 4-channel controller, massive bandwidthand up to 64 gigabytes inside. probably one of the most remarkable things about this machine,the team set a goal to have a breakthrough in graphics. it's the first mac that comestandard with dual workstation graphics, amd firepro d300, d500 or d700 graphics, fastbuses, huge amount of vram up to 12 gigabytes, over half a terabyte of bandwidth to it andup to 7 teraflops of compute power. that's power that can be used both for graphics aswell as for compute-intensive tasks using

the open cl technology that craig mentionedearlier. storage inside is all flash based. simply put, you cannot put a hard drive inanymore that's as fast as this flash. this pci-based generation of flash is 10 timesfaster than a hard drive if we put one in. 1.2 gigabyte per second reads, a gigabyteper second writes, up to a terabyte of flash storage. it's an incredible storage system.if you want to expand it, while external expansion begins with thunderbolt 2, you can add expansionchassis, storage arrays and so much more. that's massive throughput, you can bond themtogether with channel bonding and up to six devices per port. and this is the heart ofbeing able to create a true next generation video work through model with a desktop computer,4k video, 16 times the pixels of 1080 hd video.

you can have up to two displays plus a thirdhdmi display for broadcast monitoring. there's never been a system that can do what the macpro will be able to do for 4k video. expansion, it has a really cool feature. when you moveit, there's a motion controller. and the i/o illuminates to show your way. and there'sa lot of great i/o, dual audio out, four usb3, six thunderbolt 2, dual gigabit ethernet,hdmi, the new generation hdmi up to 4k, bluetooth 4.0, 802.11 ac. this is packed and built forexpansion. now we have amazing customers and we've built this so that they can do thingsthat we can't imagine. and we've been dying to get a few of them an early look at itand their hands on it and so they could tell us all what they think of this new mac pro.i just want to tell you about three examples.

first, video editing, we have a new generationversion of final cut pro x designed to take advantage of this new mac pro. we put onein the hands of dean devlin, filmmaker, you may know of him from "independence day", "thepatriot", and "leverage". he got the chance to use the new mac pro and what did he haveto say about it? "the mac pro makes real time 4k video editing a reality. it's more powerfulthan i ever imagined and will change the way i make movies." photography, a new versionof aperture designed to take advantage of the throughput of this incredible mac pro.put one in the hands of lucas gilman, you may know him, he's an amazing photographer,works for sports illustrated and national geographic. here's what lucas have to say,"the new mac pro cuts my editing time exponentially

giving me more time in the field shootingwhich is where i need to be." last, music, love this shot, it's so cool. who doesn'twant to be sitting next to that, mac pro. we gave one to stuart price, music producerfor no one less than lady gaga, madonna, and the killers, here's what stuart had to sayabout it, "the new mac pro is blazing fast and shockingly quiet. you have to not hearit to believe it. this is the perfect computer for the recording studio." they seemed prettyexcited. and we can't wait to get this in the hands of more customers so they can showus what they can do with it. so the new mac pro will cost $2,999 and that's with configurationwith the 3.7 gigahertz quad-core xeon, 12 gigabytes of ultra-fast dram, dual fireprod300s with 2 gigs of video memory each and

a quarter terabyte of high speed ssd. now,if you know what d300s costs and that high speed flash, you're actually super impressedwith this pricing. it would be available before the end of theyear. like all of our products, we're making it environmentally friendly. for a pro desktop,it's energy star 6, epeat gold, bfr free, pvc free and highly recyclable, so recyclablethat i'm sure if you don't want one, someone else will die to get their hands on it. it's also energy efficient. it's up to 70percent less energy consumption than the previous mac pro. and this chart proves it. if youlook at even sitting at idle consumes just 43 watts compared to that the previous generationmac pro. it's incredibly quiet too. this is

really amazing. the new mac pro just putsout 12 decibels at idle. the team hit their goal. they set a goal to make it no louderthan a mac mini sitting on your desk. that's astonishing for this kind of performance.the mac pro is an amazing new generation desktop for pros and all of us and we're really proudthat it's designed by an incredible team at apple in california. it is going to be assembledhere in the u.s. in fact, there have been over 2,000 people spread across 20 stateshelping us to prepare to build this incredible new machine. and it's built with technologiesand processes unlike anything we've ever done. we've created a brief video to give you apeek inside what's it's like to create the new mac pro.

>> at apple, manufacturing and design areinextricably linked. to make a product this advanced as the mac pro. we had to pioneerentirely new processes. the end result is a computer unlike any we've ever built. it'spretty amazing to see it all come together. so that's the new mac pro and that's our newstoday for mac hardware, the all new generation macbook pro and the upcoming mac pro. next,i'd like to turn it over to eddy cue. >> thanks phil. it's great to be here this morning to talkabout apps. our apps teams have been busy updating both our creativity and productivityapps and these are the biggest updates ever. so let's get started with ilife. this is theamazing apps that let you do great things

with your movies, your music, and your photos.and we've got brand new versions of iphoto, imovie and garageband, all redesigned to takeadvantage of ios7. and we've got brand new versions for the mac. designed to harnessthe power of mavericks. they're all 64 bit you get fast performance and of course, they'reintegrative with icloud. and we don't have time to go through all of the new features,but i want to highlight just a few. let's take a look at iphoto. browsing your photoshas never been faster or smoother than now, thanks to 64 bits. and if you've got ios,iphoto has got a brand new look, it's clean, it's beautiful, it's a great way to enjoyyour favorite photos and albums. now, photo books have been hugely popular, but they'veonly been available on the mac. well now,

we're bringing it to ipad. and with iphoto,it lays out your book and with multi-touch, you can easily move your photos around orchange the pages to make them look exactly like you want. it then uploads it to apple,we print it and we send you a beautiful coffee table book right to your home and all of thisright on your ipad. so a great update to iphoto for both mac and ios. and we've got an amazing new version of imoviewith a ton of cool new features. we've completely redesigned it, making it cleaner, simplerfor ios7 making it easy to browse and share your videos with your family and friends.you don't need to create a project, you don't need to edit, you can just select and tapshare. but of course, imovie lets you take

your videos and create incredible movies andwe are bringing desktop class effects that let you speed up or change the speed of thevideo to picture and picture all on an iphone or an ipad. on the mac, we have a new design,makes it even better to browse your library and share your favorite moments and of course,it's really easy to speed up or slow the video which is great for the high frame rate videothat you capture on your iphone 5s. we've got new cool feature called imovie theater.and this is like having a private screening room right in imovie. it takes all of yourmovies, your trailers and your shared clips and puts them in a single place for you tosee. and because it's integrated with icloud, when you create a movie on your iphone, it'sautomatically available across all of your

devices. and of course, even on apple tv.next, garageband. this is the most popular music creation app in the world and like iphotoand imovie, it's getting an all-new look for ios7. we're going from eight tracks to 16tracks. and if you have a 64 bit device, you can now do up to 32 tracks of music. so 32tracks on an iphone or ipad, it's incredible. your favorite album was probably created in24 tracks. on the mac, we've got a new look, new design and a new sound library that givessomething for everyone whether you play the keyboard or need a killer guitar amp. there'sone cool feature that i'd like to show you right now and i'd like to bring up zanderzon up to show you. >> [background applause] thanks eddy. goodmorning everyone. i'm just thrilled to be

able to show you the brand new garageband.now, thanks to icloud support, you can start a song on your mac or even your iphone oripad and you'll always have access to the latest version. so, here we have a littlesong idea and it's built around a guitar riff. why don't we open it up from icloud and let'sgive it a listen. ok, i think that has some promise. what wouldmake it a lot more exciting is some killer drums. now, there's a great feature in garagebandcalled drummer and it gives you a virtual session player that will play along with yoursongs but takes your direction. and it's really fun and really easy to use. to use drummer,you just go and create a new track and in addition to all the apps as you've had beforein garageband like your software instruments,

audio recordings, guitar amps, now you cancreate a drummer track. and when i do that, it starts me off with kyle along with a setof these performance controls that's going to let me tell and shape kyle what--you know,what i wanted him to play. so the next time i hit the spacebar, kyle is going to startjamming along with the song until i tell him to do something different. so, let's checkthis out. [background music] so that's a little tame.why don't we grab this puck here and you increase the energy and complexity. ok, that's morei like it. and we can change the drum that he plays on. you can have him go to the tomsor have them hit the crash cymbals. we can even crank up the fills for a really big finish.ok, that's more rock and roll, sounds way

better. all right. so you probably noticed it sounds incrediblyrealistic because drummer is powered by performances of some of the best session players in theworld. so, these are the same musicians that play with artists like eric clapton, paulmccartney, and adele. and if you ever want a different sound or a different style, youcan just try out a different drummer. now, every new mac comes with garageband and agreat set of starter content including kyle and you can add 14 more drummers and a wholebunch of loops and instruments with a single in-app purchase. so, what i'll do here ischange to alternative and you can see that we've got nicki and aiden, let's check outgavin and see what he brings to the song.

brings a whole different approach to the track. so you just play along until you find a drumgroove that inspires you. so, that's just a quick look at drummer, it's one of the manynew features in garageband and musicians are going to love having these great drum groovesto play along with. thank you. that's good, eddy. >> thanks zander. that was awesome. i lovegarageband. so drummer, just one of the hundreds of new features available in the new ilife.so, amazing new versions for ios, new versions for the mac and best of all, we're makingthem all free with the purchase of any new mac or ios device.

and these updates are all available today. and that's ilife. we can't wait to see theamazing things that you're going to do with it. now, our iwork's team has been hard atwork at updating all of our productivity apps. pages, numbers and keynotes have all beenredesigned to take full advantage of ios 7. and on the mac, we've completely rewrittenthem from the ground up, all brand new, the biggest updates of iwork ever, it's goingto be great. the first thing is, we've got full file compatibility. so now, you can opena document on any of your devices or any of your platforms. full file compatibility iniwork and because it's 64 bit, it's never been faster. now, you're also going to noticea brand new ui and the best part of this is

it's easier to do things while at the sametime being more powerful. so let's take a look at pages for example. so, i'm editinga document in pages, the keyboard comes up. now, i get a new tool across the top thatmakes it easy for me to tap and just change the format of the text. on the mac, we'vegot a new format panel on the right hand side that's content sensitive. so, it shows youthe right tool based on what you're doing. so, let's say for example, i select some text;the panel on the side now lets me change the style, the font. if i change and now selectan image, the panel switches and now i can change the arrangement, change the border.what's great about this is we're not cluttering the screens with a lot of controls like yousee in other apps. we let you focus on the

content you're creating. numbers, we reinventedspreadsheets with numbers and they're getting even better. you can create gorgeous spreadsheetswith our three object-based design. and of course, they can have beautiful charts. butwhat's great is these charts can now be interactive. so you can see how you're expenses are changingon a quarter by quarter basis. so a great update to numbers. next, keynote, the goldstandard of presentation house. and we've got some incredible new effects and animations.some of you may have noticed some this morning because we've actually been running the newkeynote in this presentation. we've added object-based animation so thatyou can do things like this, write on an iphone or ipad. and all of the transitions have beenupdated with more realistic physics and we've

got new ones. they're great. and best of all,they're even fun. no one lets you do what you can do with keynote in any other app.and there's one more feature that i'd like to show you. and i'd like to invite rogerrosner up. >> thank you eddy. good morning. i'm superexcited to show you folks the new iwork. so imagine i've been working on a poster foreddy's new album. you can fire up pages here. open up this gorgeous poster. we're just getting started. it gets better.what i love about these apps. they are the most powerful iwork apps we've ever made,but they're also the easiest to use. so i can click on an object and you see my formatpanel, it updates and it gives me just the

controls i need for that particular object.we have also styles now for every kind of objects. so i can just click there, selectsome text, to choose a style. really easy to make my document [laughter] look just theway i want. and of course it wouldn't be pages if it didn't have awesome image handling.so i'm just going to drag in an even better photo. >> you know roger, i was going to wear thatshirt today. almost. >> another really great feature we have iswe've made it super easy to share documents with people. so i can click the share buttonhere in the toolbar and we see a new menu, "share link via icloud." and i'm going tochoose to email. and what it's done is created

an email message for me and it just put alink to that document, right in the body. i'm going to send it here to eddy. what'sreally cool is when eddy gets that link, he can just click on it and the document opensright up in iwork for icloud beta. it can do it on any computer, a mac or a pc. he doesn'tneed pages installed. he doesn't even need an icloud account. it just opens right up.super easy to share documents. but let me show something super, super cool, move overto safari here. you know, we introduced these iwork for icloud beta apps just a few monthsago and millions of people have tried them and we've just got an over the charts, offthe charts feedback about how great they are. the number one piece of feedback we got interms of feature requests was collaboration.

so, i am really proud to tell you today weare adding collaboration to iwork for icloud. so, i just opened to an exact the same documentin pages for icloud. and here i have a share button in the toolbar. when i click on it,it shows me who's editing this document. right now, it's just me. but as soon as eddy clicksthat link i sent him, and there he is. now, we're both editing the same document at exactlythe same time. >> i think we can definitely improve this,roger. let's go ahead and change the text. i want to change the--go a little bit moremodern here on my name. and let's switch it down here also. >> that's looking good eddy but i actuallythink we ought to use your stage name.

>> no roger, you know, i have actually goneback to my third grade stage name. and let's go ahead. i've got this killer album.and i'm going to go ahead and name it. >> all right. well, i have an even betterphoto on my computer here. i'm just going to drag it in from the finder. and i move this text object up out of theway. what do you think? >> that's awesome. >> thank you. that's the new iwork, the newiwork for icloud. thank you very much. >> wow is all i can say. collaboration justone of the hundreds of new features available in the new ilife. so now, you can create yourdocument on your ipad. edit it on your mac

and even collaborate with a friend who stuckon a pc. now others would have you spend a small fortune every year just to get theirapps. but we want to do something bold. something that changes the rules of the game and youknow what's coming. we're taking all of these productivity apps and making them availablefor free with the purchase of mac and ios. and of course you can download them today. so brand new versions of ilife, brand newversions of iwork, the biggest updates ever and all free. and they're joining the morethan 20 apple apps being updated today for both mac and ios. so i hope you can see whytoday is the biggest day ever for apps. thank you.

>> thanks, eddy. i can't wait to hear the new album. these are really incredibly rich apps. andwe've only scratched the surface and what you can do with them. so i encourage to checkthem out. and now they're all free with mac, ipad or iphone. now, when you combine thisannouncement, with the announcement that craig made earlier, that os x upgrades are free,we are turning the industry on its ear. but this is not why we're doing it. we're doingit because we want our customers to have our latest software and access to the greatestnew features. and we think all of our customers from consumers to educators, to enterpriseand small business are going to love this

new experience of owning a mac or an ios device.next stop, ipad. we'd launched the ipad three and a half years ago with a very clear goaland a very ambitious objective. we called ipad our most advanced technology in a magical and revolutionary device. but not everyone saw it this way. some didn't see the need for it. still others didn't think it could compete with the netbook. who remembers netbooks? still others doubted it would have any impactin the industry at all. but--[laughter] but we've really believed in our vision. and ipadhas gone on to become one of the most successful products in apple's history and one of themost successful in the industry. and i'm pleased to tell you that earlier thismonth we sold our 170 millionth ipad.

this is an incredible number and i can't thinkof another product that's come so far, so fast. now, everybody seems to be making atablet, even some of the doubters are now making them. but regardless of what you mighthear or read about how many are bought or sold or activated, ipad is used more thanany of the rest. and not just a little more, a lot more. ipad is used over four times morethan all of those other tablets put together. and this is what is important to us. becausewhen you make a great product with the great experience, this is how you know it, peopleuse it. and what's even more rewarding to us is that people love it. ipad is rated numberone in customer satisfaction and has been since the inception of the ratings. and thereason is because ipad combines into an incredible

experience. hardware and amazing softwareand intuitive services, into an experience that no one else can match. and ipad has becomea great platform for third party developers. we now have over 475,000 apps on the appsstore. and these have been custom designed for ipad, not the stretched out smartphoneapp that our competitors are doing. no one else is close to this. but it's not aboutquantity, it's about quality. ipad offers amazing ways for you to be creative or productiveor educated or entertained wherever you might go. so when you think about the combinationof hardware, software services in this incredible selection of apps. it's no wonder that ipadhas had such a profound experience in such a short period of time. tech.pinions calledipad the biggest shift of our generation.

but what's most rewarding and inspiring tous is all of the amazing ways our customers are using their ipads. we designed ipad tobe the best tool for the things that you do most often. but honestly, we could have neverimagined all of the ways that our customers would be using them. to celebrate our customer'screativity and genius of using their ipads, we prepared a short video that i'd like torun for you this morning. [ mechanical sounds ] [ music & noises ] >> hi five. >> you need a chicken for table 3?

it's really an amazing video. and each ofthose scenes has an amazing story behind it. we want to help our customers create evenmore amazing stories. because we know that this is just the beginning for ipad. and sowe've been busy working on the next generation of ipad. and to tell you all about it, i'dlike to invite phil back up on stage. phil? >> thank you, tim. ipad is delivering a new vision for mobilecomputing unlike anything that has come before. it all began with this amazing 9.7 inch, multi-touchdisplay, and the incredible power that enabled for software. the ability to hold the internetin your hands as you surf the web and do you email, and make facetime calls. and over justthree and a half years, the team has been

on a relentless path every year updating itwith newer and better versions each delivering further on this incredible vision of mobilecomputing. it's quite remarkable what they've done. and today we think we have the biggeststep yet in delivering the vision that is ipad. we'd really love to show it to you rightnow. >> vision ipad thinner, lighter more powerfulthan ever before and incredibly excitingly new in so many ways that it deserves a newname. we call it-- yes, we call it ipad air. that begins withthat 9.7 inch retina display. as you look close you see that the bezel around it issmaller than ever, dramatically so. let's

bring the previous generation in next to it.so you can see the bezel is 43 percent thinner than the previous version making it more comfortableto hold in your hand. when you look at it from the side, see how amazingly thin it is.again, let's bring in the previous generation next to it. it's dramatically thinner. just7.5 millimeters thin. that's 20 percent thinner across the entire device. and to make an ipadthis thin took a huge amount of work over years. the team has just been remarkable infinding every tenth and hundredth of a millimeter, from every level of the system, from the bezelto the multi-touch surface, to the display and battery, and enclosure, shaving everyhundredth of millimeter. and the benefits are not only making it thin but lighter, too.the previous ipad weighed 1.4 pounds. the

new ipad air weighs just 1 pound. that makes it the lightest full-sized tabletin the world. the smaller bezel, lighter feel, when you hold it, it will be a dramaticallydifferent experience than the previous ipad. in fact, this happens every now and then.we have an apple product that we introduce where all the words and pictures don't quitedo justice to how amazing it is. until the moment you pick it up the first time and feelit for yourself. and when you get to do that, you'll understand why we are so excited aboutthis ipad air. now what's inside is just as amazing as what's outside, 'cause inside isthe brand new apple a7 chip that we just launched with the iphone 5s. and it's blown everythingaway in performance. in fact, gizmodo wrote,

"forget the specs, it blows everything away."and it does. it's a 64-bit desktop class architecture in the palm of your hands. it's an amazingchip with over a billion transistors. we also included the new m7 motion coprocessor aswell. and the cpu performance is twice the previous generation. and the graphics performanceis double as well. we've charted that performance over time. you can see from the original ipadwhich started with the very fast chip to begin with as you may recall. and now we're up toeight times faster, half of that performance coming now with ipad air. in graphics performance,look at this increase, 72 times faster than the original ipad. again, half of that coming with the new ipadair. and you're going to feel that across

so many of the things you use, playing games,a two-fold increase, the ability to do great 3d rendering. professional applications, we'reopening large files and doing complex operations can be up to twice as fast. this is a screamingfast ipad. it's faster at wi-fi, too. for the first time, we use mimo technology inan ipad. that gives multiple antennas. so it can get up to twice as fast 80211n performanceas before. we've also expanded the ability to have broadband wireless access in moreplaces around the world with expanded lte coverage with more and more carriers. andthroughout the entire product, just all of the things that make a great ipad experience.a 5 megapixel isight camera that also captures hd video. the new front facing facetime camerawith better low light illumination. and for

the first time, dual microphones for betteraudio capture, as well as siri voice recognition. all these performance, this thinner and lighterdesign and it still delivers amazing all-day 10-hour battery life that our customers love.the new ipad air comes in silver and white, and space grey and black. and like all ofour products, it's made incredibly environmentally-friendly. the new ipad air will replace our top of theline full-size ipad start at the same just $499 for 16 gig wi-fi config; and with cellulartechnology, $629. and we have an ipad 2, it's available at $399. we're going to keep thatthere because there are a lot of customers that like getting access to a full-size ipadat just $399. so this is our full-size lineup, ipad 2 at $399, ipad air at $499. ipad airwill start shipping very shortly, november

1st in a huge list of countries around theworld. you'll notice one country for the first time on our wave one is china, will get thenew ipad air with wi-fi right at the start with the rest of these countries. this isour--probably the biggest leap forward ever in a full-size ipad. we have a video to tellyou a little bit more about it. >> we're often faced with a paradox to meetdesign, to make products smaller and lighter while at the same time more powerful. themore we reduce a product's physical volume, the more difficult it becomes to increaseits power and maintain its battery life. but if we can overcome these challenges, we canmake something without compromising. ipad air is just 7.5 millimeters thin and weighsonly 1 pound. we actually started work on

this product years ago. designing and engineeringthe primary technologies that would be necessary to make it. the new a7 chip is incrediblypowerful. and also very power efficient. because of this efficiency, the battery could getsmaller yet critically without any loss in battery life. and of course, by reducing thebattery size, the product became significantly lighter. we reduced the dimensions of thebezel with less mass. the ipad s still retains its structural rigidity. there's a simplicityto it, but there's nothing precious about it. this integrity, this durability inspiresconfidence in a product that's meant to be taken places, handled, and really used. >> with the ipad, we set out to redefine mobilecomputing. up until now, 64-bit architecture

is something you'd normally only find in desktopcomputers. the new apple-designed a7 chip brings 64-bit technology. all of its advancedcomputing graphics to this ultra-portable, 1 pound device. but even with all of thisadded processing power, ipad air still has an impressive 10-hour battery life. ipad airis the first ios device to support mimo, or multiple-in, multiple-out. it actually deliverstwice the data transfer rate as the previous generation. and the support for more lte bandsthan on any other tablet because with a device this thin and powerful, you will want to takeit anywhere and always stay connected. we've also improved the facetime and isight camerasadding new processors and sensors, so you get much clearer, sharper images and video.ios 7 is essential to the ipad experience.

it's at the core of everything you do withipad air. and we're now making imovie, iphoto, garageband, keynote, pages, and numbers availablefor free because we believe that with these amazing apps on this amazing device, possibilitiesof what you can create are limitless. >> the ipad has always been a tool definedby the ways people actually use it. the ipad air is so capable and powerful. and yet, withits breakthrough size and weight, it's the thinnest, lightest, and also the most advancedipad we've ever built. >> so this is the all new generation of ipadair. next, let's talk about ipad mini. ipad mini has been a big hit with customers becauseit delivers the complete ipad experience in an even smaller design, 7.9 inch. it lets youdo all the things that you would love to do

with ipad, to surf the web, do your email,make facetime calls, read books, watch movies, and use all of hundreds of thousands of applications.customers love the complete ipad experience the ipad mini delivers. the one most requestedfeature to add to ipad mini is a beautiful retina display and that's what we're goingto do today. 3 the 7.9 inch retina display, that's 2048by 1536 pixels, the same number of pixels as in ipad air so it runs all the same software.when you use it for everything you do from looking at photos, the pixels are so smallthat you can't see the individual ones at a normal distance. or text as sharp as thefinest printed newspaper or magazine, the experience is just amazing. and the newipad mini with retina display is also powered

by this brand new a7 chip with its 64-bit architecture.this delivers a huge jump in performance for ipad mini up to four times faster at cpu tasksand up to eight times faster a graphics tasks. you're going to feel performance across everythingyou do that's so fast. and still that great all day 10-hour battery life. the ipad miniwith retina display also gets the new two times faster wi-fi with mimo antennas. itgets the expanded lte support for more carriers around the world. it has everything you loveabout ipad, a 5 mega pixel isight camera, the new facetime hd camera. it comes in silverand white, and space gray and black. and the new ipad mini with retina display would bepriced at just $399, that's for 16 gigs with wi-fi, and $529 with cellular technology.it'd be available later in november, and we're

going to keep the original ipad mini on theline as well because as you know it starts at just $329. but what we're going to do isat the same time lower the price of that ipad mini to just $299. so that's the lowest price yet for an ipadgiving you a full ipad experience for under $300. and so here's what our lineup look likegoing into the holidays. you have ipad mini starting at $299, ipad mini with retina displayat $399, the full size ipad 2 at $399, and the brand new ipad air at $499. just incrediblelineup unlike anyone else has in the industry, something amazing in every price point. now,in addition to that customers love protecting their ipad with covers and cases, so we havenew ones of those, too. the brand new ipad

cover made of polyurethane it works for boththe ipad mini and the new ipad air comes in these beautiful colors for just $39 each.and there's the ipad case that protects the front and the back with a beautiful leathercase and these amazing colors at $79 on ipad air and just $69 for ipad mini. and both thecover and the case come in gorgeous product (red) versions as well. so that is the new ipad mini with its retinadisplay and the all new generation ipad air. now let me turn it back to tim. it's been an incredible period for innovationin new products. just in the last few weeks, we've had our largest iphone launch ever withthe colorful iphone 5c and the forward thinking

iphone 5s. these are the best smartphonesin the market. and we launched ios 7, the biggest change to ios since the original iphonewith its bold new design and great new features. and just today, the new macbook pros withstunning retina displays, and incredible battery performance. and the mac pro jaw-dropping,radical, it's the most powerful mac we've ever shipped and the future of our pro desktop.and of course all of our macs have run with os x mavericks, the most advanced desktopoperating system. we also announced new versions of iwork and ilife for both os x and ios.and we couldn't be prouder of both new ipads, the ipad mini with retina display and theincredible thin and light ipad air. we're so excited about the new ipads that we'vemade a cool new ad that i'd like to run for

you now on the ipad air. >> it's an extremely simple tool, but alsoextremely powerful. it could be used to start a poem or finish a symphony. it has transformedthe way we work, learn, create, share. it's used to illustrate things, solve things andthink of new things. it's used by scientists and artists, scholars, and students. it'sbeen to classrooms, board rooms, expeditions, even to space.and we can't wait to see where you'll take it next. introducing the thinner, lighter, more powerful ipad air. >> these amazing products are great examplesof the type of innovation that only apple could deliver. this is what we mean by designedby apple in california.

other companies would be incredibly proud to just have one of theseproducts, but we couldn't be more pleased to be able to present all of them to you in time for the holidays. i'd like to thank all of the people at apple that work so hard inbringing all of these products to life. it's a privilege of a lifetime of work alongsideof all of these folks. we have a hands-on area for the press and i would encourage youto get your hands on these products. they're fabulous. thank you for joining us.

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