Apple Raises $10 Billion in Debt Ahead of Trump’s Plans for Tax Holiday

Apple has raised $10 billion in debt through a nine-part bond sale of both fixed and floating rate notes, according to the company’s final pricing term sheet filed with the U.S. Securities and Exchange Commission on Friday.

The nine-part sale includes:

• $500 million maturing in 2019 with a floating interest rate based on three month LIBOR plus 8 basis points
• $500 million maturing in 2020 with a floating interest rate based on three month LIBOR plus 20 basis points
• $1 billion maturing in 2022 with a floating interest rate based on three month LIBOR plus 50 basis points
• $500 million maturing in 2019 with a fixed 1.55% interest rate
• $1 billion maturing in 2020 with a fixed 1.9% interest rate
• $1.5 billion maturing in 2022 with a fixed 2.5% interest rate
• $1.75 billion maturing in 2024 with a fixed 3% interest rate
• $2.25 billion maturing in 2027 with a fixed 3.35% interest rate
• $1 billion maturing in 2047 with a fixed 4.25% interest rate

Apple held $246.1 billion in cash and marketable securities last quarter, but around 94% of that money is held overseas and would be subject to high U.S. taxes upon repatriation—something U.S. President Donald Trump plans to change. In the meantime, by raising debt through bonds, Apple can pay for its U.S. operations at a much lower rate, particularly given its low-risk Aa1/AA+ bond credit rating.

Apple typically uses the capital raised to fund dividend payments to shareholders and its share buyback program. Last quarter, Apple returned almost $15 billion to investors through dividends and buybacks. $201 billion of Apple’s $250 billion capital return program has been completed. The company also uses the capital for general corporate purposes, such as the repayment of earlier debt and acquisitions.

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Tags: bonds, SEC
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Hacker Leaks Cellebrite’s iOS Bypassing Tools, Tells FBI ‘Be Careful What You Wish For’

It’s been nearly a year since a U.S. federal judge originally ordered Apple to help the FBI hack into an iPhone owned by Syed Farook, one of the shooters in the December 2015 attacks in San Bernardino. As we learned in the months after the initial court order — which Apple continually opposed — the FBI enlisted the help of Israeli mobile software developer Cellebrite to open up the iPhone 5c in question.

Now a hacker has reportedly stolen and publicly released a cache of Cellebrite’s most sensitive data, including its tools used to hack into older iPhones, as well as Android and BlackBerry smartphones (via Motherboard). Techniques that the firm uses to open “newer iPhones” were not included in the public posting, but it’s also not clear exactly which models of iPhone are considered “older.” Farook’s iPhone 5c, which launched in 2013, is likely in that category.

Apple’s main stance against the court order last year was its fear that creating such an operating system that bypassed the iPhone’s basic security features — essentially creating a “master key” for all iOS devices — would set a “dangerous precedent” for the future of encryption and security. The bypass could also potentially make its way into the public and affect hundreds of millions of Apple customers, with Apple CEO Tim Cook claiming that the software the FBI wanted to use to force open Farook’s iPhone was “the equivalent of cancer.”

As pointed out by Motherboard, the newly leaked tools “demonstrate that those worries were justified.” According to the hacker in question who shared Cellebrite’s tools on Pastebin, the purpose behind the leak was to highlight the importance of the inevitability that any brute force tools aimed at bypassing encryption software “will make it out” into the public.

“The debate around backdoors is not going to go away, rather, its is almost certainly going to get more intense as we lurch toward a more authoritarian society,” the hacker told Motherboard in an online chat.

“It’s important to demonstrate that when you create these tools, they will make it out. History should make that clear,” they continued.

Back in January the same hacker stole 900GB of sensitive Cellebrite data, but according to a Cellebrite spokesperson, only its customers’ “basic contact information” had been put at risk. Delving into the cache of information, it was proven that the breach had uncovered much more detailed “customer information, databases, and a vast amount of technical data regarding Cellebrite’s products.”

In a README file posted alongside the more recent data dump on Pastebin, the hacker in question left a message directly addressing the FBI: “@FBI Be careful in what you wish for.”

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Tags: Apple-FBI, Cellebrite
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Tim Cook to Receive Honorary Degree From University of Glasgow

Apple CEO Tim Cook will receive an honorary degree from the University of Glasgow on February 8 at 6:00 p.m. local time, as spotted by 9to5Mac. Following the ceremony, there will be a “Fireside Chat” and Q&A session.

Tim Cook is the CEO of Apple. As CEO, he has led the introduction of innovative new products and services including iPhone 7 and iPhone 7 Plus, iPad Pro, and Apple Watch. He is leading a companywide effort to use 100 percent renewable energy at all Apple facilities, has encouraged his co-workers to give to charitable organisations in their community and started a generous program at Apple to match employee donations.

In 2015, he ranked #1 on Fortune’s World’s Greatest Leaders list, and received both the Ripple of Hope award from the Robert F. Kennedy Center for Justice & Human Rights and the Visibility Award from the Human Rights Campaign. Apple has ranked #1 on Fortune’s World’s Most Admired Companies for the past nine years, including each year Mr. Cook has been CEO. Before being named CEO in 2011, Mr. Cook was Apple’s chief operating officer, responsible for all the company’s worldwide sales and operations.

The free sold-out event is open to staff and students of the University of Glasgow only. The ceremony will take place at Bute Hall on the university’s campus. More details are available on ticketing website Eventbrite.

Yesterday, Cook was named the recipient of the Newseum 2017 Free Expression Award in the Free Speech category.

Tags: Tim Cook, United Kingdom
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Apple Releases $200 Pro Apps Bundle for Education Customers

Apple today introduced a Pro Apps Bundle for Education that includes Final Cut Pro X, Logic Pro X, Motion 5, Compressor 4, and MainStage 3 for $199.99. The software bundle is available for teachers, faculty, staff, and students at universities, colleges, and K-12 schools in the United States, as reported by The Loop.

The total cost of Final Cut Pro X ($299.99), Logic Pro X ($199.99), Motion 5 ($49.99), Compressor 4 ($49.99), and MainStage 3 ($29.99) is usually $629.95, so the bundle offers educational customers over $400 in savings. The bundle must be purchased through the Apple Store for Education.

After purchasing the bundle, education customers will receive an email with codes to redeem the apps on the Mac App Store. Apple says codes are usually delivered within one business day, but may occasionally take longer.

Final Cut Pro X is Apple’s professional video editing software, while Logic Pro X is its professional audio workstation for advanced music production. Motion 5, Compressor 4, and MainStage 3 are companion tools for creating 3D animations and effects, customizing output settings, building set lists, and more.

Update: Apple has confirmed that its Pro Apps Bundle for Education is coming soon to countries outside the U.S. that offer an Apple Online Store for Education, such as Australia, Canada, and the United Kingdom.
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MacRumors Giveaway: Win a Headphones Prize Pack From Satechi

For this week’s giveaway, we’ve teamed up with Satechi to give MacRumors readers a chance to win a prize pack that includes wireless headphones, a headphones case, and a stand for the headphones.

Satechi’s Aluminum Wireless Headphones are designed to match Apple’s line of iPhones and are available in four complementary colors: Space Gray, Silver, Gold, and Rose Gold. Priced at $69.99, the headphones feature comfortable ear cups and connect to the iPhone using Bluetooth 4.0.

The headphones are made from aluminum, much like Apple’s own devices, and according to Satechi, they deliver high-quality sound at a range of up to 33 feet. A single battery charge powers them for 18 hours, and there’s a built-in microphone for making phone calls.

Alongside the headphones, Satechi is including its $20 Synthetic Leather Headphone Case, which has a hard outer shell to keep the headphones safe when stashed inside a bag or backpack.

When at home, the headphones can be stored on Satechi’s Slim Aluminum Headphone Stand, also included. The stand, priced at $28, is able to work with any brand of headset or headphones you own, and it comes in four colors to match Apple’s line of iPhones.

We have three Satechi prize packs to give away. To enter to win, use the Rafflecopter widget below and enter an email address. Email addresses will be used solely for contact purposes to reach the winner and send the prize. You can earn additional entries by subscribing to our weekly newsletter, subscribing to our YouTube channel, following us on Twitter, or visiting the MacRumors Facebook page.

Due to the complexities of international laws regarding giveaways, only U.S. residents who are 18 years of age or older are eligible to enter. To offer feedback or get more information on the giveaway restrictions, please refer to our Site Feedback section, as that is where discussion of the rules will be redirected.

a Rafflecopter giveaway
The contest will run from today (February 3) at 11:00 a.m. Pacific Time through 11:00 a.m. Pacific Time on February 10. The winners will be chosen randomly on February 10 and will be contacted by email. The winners will have 48 hours to respond and provide a shipping address before new winners are chosen.

Tags: giveaway, Satechi
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Nintendo’s ‘Fire Emblem Heroes’ Game Earned an Estimated $2.9 Million During First Day

Nintendo’s newly released game Fire Emblem Heroes earned an estimated $2.9 million in worldwide gross revenue during its first 24 hours of availability, according to data shared by app analytics firm Sensor Tower.

Since being released yesterday morning for iOS and Android devices, Fire Emblem Heroes has been downloaded more than two million times from the iOS App Store and the Google Play store. Download numbers may have been affected by a late release in the United States – the game didn’t become available on iOS devices until the afternoon.

At $2.9 million in gross revenue, Fire Emblem Heroes is not quite the hit that Pokémon GO and Super Mario Run were. Pokémon Go earned an estimated $10.2 million during its first 24 hours of availability, while Super Mario Run brought in $8.4 million.

It was also not downloaded quite as many times, likely due to the fact that the Fire Emblem series isn’t as well known as the Mario or Pokémon franchises nor was it as heavily promoted. Pokémon GO was downloaded an estimated 4.2 million times on day one, while Super Mario Run, was downloaded an estimated 6 million times.

Unsurprisingly, Fire Emblem Heroes has proven to be most popular in Japan, with the United States coming in second.

Bringing classic titles to iOS devices has thus far proven to be a successful venture for Nintendo. Super Mario Run set an App Store record with 40 million downloads in just four days. Since its December release, Super Mario Run has brought in more than $53 million in revenue with more than 78 million downloads.

Nintendo plans to continue releasing a steady stream of iOS games, with popular series Animal Crossing said to be one of the next games on the horizon. Nintendo originally said Animal Crossing would be released by March, but recently delayed the title until the following financial year, which runs from April 2017 to March 2018.

Fire Emblem Heroes can be downloaded from the App Store for free. It doesn’t cost anything up front, but Nintendo makes money on the game through in-app purchases for speeding up gameplay. [Direct Link]

Tags: Nintendo, Fire Emblem, Sensor Tower
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Jawbone Pulls Out of Consumer Wearables Market to Focus on Clinical Health Products

Jawbone is officially exiting the consumer wearables market to focus on developing medical products for direct sale to clinical practitioners, according to a new report.

Speaking to TechCrunch on Friday, sources familiar with the matter said Jawbone’s latest pivot away from its fitness tracker and Bluetooth speaker business involved working on a health product for the medical sector, including offering services for clinicians who work with patients.

According to the report, Jawbone is seeking to raise foreign investor money as part of the revised strategy, after spending around $951 million in an attempt to prevent a collapse of its consumer wearables business.

One source told TechCrunch the consumer market had proved “too challenging” for small and mid-size technology companies, but that the burgeoning health wearables sector – currently led by companies like Omada and Forward – offered Jawbone a possible escape route out of its financial troubles.

“If you think about what a good consumer electronics company looks like, it’s 30-percent margins, annual release cycles and huge risk. It’s turned into a blockbuster game,” said the source. “But folks in this other area, like Omada and other services, they have a human involved but with a nearly 100-percent contribution margin. It’s wildly different economics. Every wearable company today will be posed with this question: Do I want to play in consumer and narrow margins, or healthcare and service and make incredible margins but with possibly a lot of upfront fixed cost.”

Reports of Jawbone’s troubles go back to May 2015, when the company ended production of its UP line of fitness trackers and sold its remaining inventory to a third-party reseller at a discounted price.

Initially, Jawbone denied claims that it was going out of business and said it was focusing on advanced sensors to sell to other wearable makers, but over recent months a slew of angry customers frustrated by a lack of support have painted a more desperate picture.

Just last month both the head executive of product and the chief financial officer left the company, while MacRumors was contacted by former staff who said that Jawbone had let go of all employees at its four contact centers in Northern Ireland and across the U.S., leaving no-one to deal with customer complaints.

Jawbone still believes there is value in its business, but with a one-star customer rating on review aggregator website Trustpilot.com and an “F” rating on Better Business Bureau’s site, the company faces a challenge if it is to win the confidence of additional investors, wherever its future lies.

Tag: Jawbone
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Tim Cook Drops in Unexpectedly at Apple Store in Marseille, France

Apple CEO Tim Cook paid an unexpected visit to an Apple Store in the port of Marseille, France, earlier today, according to French tech blogs Mac4ever.com and iPhone.fr.

Both staff and shoppers got an unexpected surprise when Cook arrived unannounced at the commercial shopping mall of Terrasses du Port, where an Apple Store – the country’s 20th – opened last May.

Photo: Philippe Gouy
Cook strolled around the store talking with Apple employees, chatting to customers, and having his picture taken, before receiving a farewell applause. It’s not clear if Cook’s trip to France is just a casual visit or something more business-focused, but we’ll let you know if we learn more.

Énorme surprise aux @LesTDP le PDG d@Apple @tim_cook en visite au store! Les salariés étaient meme pas au courant… pic.twitter.com/uAqbhS2YfB

— michael levy (@mlevylaprovence) February 5, 2017

In July of last year, it was reported that Apple was planning to open a research laboratory in Grenoble, France that will focus on developing improved imaging sensors and techniques for its iOS devices. Apple was said to be hiring 30 engineers to work at the research lab, which will span 800 square meters.

Update: Tim Cook has tweeted (in French): “Delighted to be back in France to meet our talented team in Marseille.”

Ravi d’être de nouveau en France et de rencontrer notre talentueuse équipe à Marseille. 🇫🇷 pic.twitter.com/ihJusWQP2o

— Tim Cook (@tim_cook) February 5, 2017

Update 2: Later on Sunday, Cook was also seen checking out the Apple Store at the Louvre in Paris.

Tag: France
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Former Apple Creative Director Reveals the Story Behind the 1999 ‘HAL’ Super Bowl Commercial

Super Bowl LI is almost here, not forgetting of course the high-profile TV commercials that accompany the event. While recollections of notable Super Bowl ads from years gone by typically reference Apple’s groundbreaking “1984” commercial, fewer mention the company’s 1999 ad starring HAL, the malicious computer from Stanley Kubrick’s 2001: A Space Odyssey.

“HAL” was Apple’s first Super Bowl appearance since its 1985 “Lemmings” commercial and arrived amid a flurry of largely media-driven panic surrounding the Y2K bug, which was supposed to make computers go haywire when the millennium ticked over and bring about a precipitous collapse of global infrastructure.

Macs on the other hand would be immune to the bug, thanks to their ability to recognize dates at least up to 29,940 – a fact not lost on Steve Jobs, who in 1999 had not long begun his second stint as Apple CEO. Over 12 months before the collective PC rollover from x99 to x00, Jobs decided he wanted to do a commercial that would promote the advantages of Mac ownership before worldwide calamity struck. So, Jobs tasked Ken Segall, then-Apple creative director at TBWA/Chiat/Day, to get the ball rolling and come up with an idea for an ad that would highlight the Mac’s resistance to the Y2K bug.

This week, Segall relayed detailed memories of making the “HAL” ad. In a blog post on his site, Segall relates his experiences of dealing with Jobs directly as the idea for the commercial took shape, and reveals how his team overcame legal, technical, and Steve-related challenges to make the commercial a reality – and a surprise Super Bowl hit. For an interesting read, check out Segall’s full story here, and “HAL” below.

Tag: Ads
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Apple Joins Nearly 100 U.S. Firms to File Legal Brief Opposing Trump’s Immigration Ban

Apple has joined 96 other companies in filing a legal brief opposing President Donald Trump’s executive order on immigration, Bloomberg reported on Monday.

Other technology companies named in the amicus brief include Facebook, Google, Microsoft, Netflix, Snap, Uber, Twitter, and Intel, with consumer goods companies like Levi Strauss and Chobani also named in the brief. Amazon wasn’t listed, with the company’s CEO Jeff Bezos already backing the original lawsuit brought by Washington state’s attorney general that brought a temporary halt to the immigration ban on Friday.

The brief was filed late Sunday in the Ninth Circuit Court of Appeals, highlighting the importance of immigrants to the economy and for society as a whole, and arguing the unlawfulness of the ban. According to the report, the filing of the brief was originally planned later this week, but the companies involved accelerated efforts over the weekend following other legal challenges to the order.

“The Order represents a significant departure from the principles of fairness and predictability that have governed the immigration system of the United States for more than fifty years,” the brief stated. “Immigrants or their children founded more than 200 of the companies on the Fortune 500 list.”

“Immigrants make many of the Nation’s greatest discoveries, and create some of the country’s most innovative and iconic companies. America has long recognized the importance of protecting ourselves against those who would do us harm. But it has done so while maintaining our fundamental commitment to welcoming immigrants — through increased background checks and other controls on people seeking to enter our country.”

The brief comes in support of a lawsuit from Minnesota and Washington states, brought against Trump’s controversial executive order temporarily barring citizens of the predominantly Muslim-countries Iran, Iraq, Libya, Somalia, Sudan, Syria, and Yemen, from entering the U.S.

“Of course, the federal government can and should implement targeted, appropriate adjustments to the nation’s immigration system to enhance the Nation’s security,” the filing continued. “But a broad, open-ended ban – together with an indication that the ban could be expanded to other countries without notice – does not fit the goal of making the country more secure. Instead, it will undermine American interests.”

The filing went on to criticize the Trump administration’s handling of the travel ban, claiming that it sows confusion and threatens companies’ ability to attract skilled workers in the long run.

Last week, Tim Cook said that Apple was considering its legal options as a way to pressure the Trump administration into rescinding the executive order. Reports later emerged that Apple was involved in collaborative efforts with other tech companies to draft a letter opposing Trump’s order, but those discussions rapidly developed into the amicus filing, after Washington state’s lawsuit on Friday. The amicus is currently being heard in the ninth circuit court of appeals, a federal court in San Francisco.

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Tag: Donald Trump
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