Apple to Announce Q2 2014 Earnings on April 23

Apple updated its investor relations page today to note that it will announce its earnings for the second fiscal quarter (first calendar quarter) of 2014 on Wednesday, April 23. The earnings release typically occurs just after 4:30 PM Eastern Time following the close of regular stock trading, and the conference call is scheduled to follow at 5:00 PM Eastern / 2:00 PM Pacific.

MacRumors will provide running coverage of the earnings release and conference call.

The release will provide a look into look at sales of the iPad Air and Retina iPad mini sales during their second quarter of availability as well as iPhone 5s and 5c sales through the first three months of 2014. Apple reported a record number of iPhone/iPad sales during first quarter of 2014, at 51 million iPhones and 26 million iPads.

In its fiscal first-quarter earnings call, Apple guided expected revenue of $42-44 billion and gross margin between 37 and 38 percent. This reflects an expectation of near zero growth from Q2 of fiscal 2013.

iOS Users Overwhelmingly Prefer Free Games With Advertisements to Paid Titles

The majority of iOS users prefer iOS games that are available for free and supported with advertisements, according to a new study conducted by Wild Tangent in collaboration with analytics firm IHS Technology.

The survey, which queried 500 iOS users, saw 86 percent of respondents state that they prefer free games with ads over paid games without ads. Broken down, 70 percent of respondents preferred free games supported by advertising, while 16 percent were in favor of freemium games with the option to pay for levels. Just 14 percent of those surveyed preferred iOS games that required money upfront to download.

When asked about their preference for the types of games online gamers preferred, advertising supported games were chosen by the vast majority of those surveyed. 70% of respondents said they preferred free games supported by advertising and 16% preferred freemium games with the option to pay for levels in the game. Only 14% preferred online games they had to pay for to play.

Gamers also prefer advertising models that give them control over their viewing. When asked if they prefer games that let them choose when and how to view ads over those that do not, 71% preferred that level of control.

Gamers also overwhelmingly preferred value exchange ads within freemium games, which allow users to play videos or view other advertisements in exchange for in-game currency or items. The recently released Disco Zoo provides a good example of such a system, rewarding players with in-game Bux for viewing short videos. The addition of free in-game items acquired through advertisements boosted time spent within games by approximately 28 percent.

Over the course of the last several years, freemium games have largely replaced paid titles as the standard in the App Store. As of today, 43 of the top 50 apps listed on the App Store’s Top Grossing chart are freemium gaming titles. Several others are non-gaming apps that offer in-app purchases, and only one paid game, Minecraft – Pocket Edition is ranked as a top grossing app in the number 18 spot.

Some of the most popular freemium apps in the App Store, like Clash of Clans and Candy Crush Saga, have generated millions of dollars in revenue. Clash of Clans, for example, is said to earn approximately $1 million per day through add-on content, booster packs, and more, while Candy Crush Saga earns upwards of $834,148. In comparison, Minecraft – Pocket Edition is estimated to be earning $60,000 per day — not exactly small change, but nowhere near the revenue popular freemium games can bring in.

Given the sheer amount of money that freemium and free games supported with advertising make for developers, it is not surprising that the freemium business model has largely taken over the App Store.

According to IHS, by 2017, only 10 percent of mobile and tablet gaming revenue will be generated by paid downloads, with the rest of revenue coming from ad-supported free apps. Today, approximately 15 percent of gaming app revenue comes from paid apps, with 85 percent being generated through in-app purchases.

Samsung Launches 28-inch 4K UD590 Monitor for $700 [Mac Blog]

Samsung today announced the UD590, a new 28-inch 4K monitor that will go on sale this April in the US market for $700 (Via Engadget). The UD590 model includes a 28-inch display with 3840 x 2160 resolution, 1 billion (10-bit) colors and 1 millisecond response time, making it suitable for gaming or watching high-action sports or movies.

The UD590 ships with a picture-in-picture feature that allows users to connect two computers to a single monitor and view both desktops side-by-side. This same option provides a single user with the ability to view different content in two separate windows without a drop in resolution.

Samsung’s UD590 monitor has a minimalist design with a simple T-stand and color options of silver or black. It features two HDMI ports, one DisplayPort connector and no DVI ports. The UD590 can be pre-ordered now for $699 and will start shipping April 18th.

This is the year of affordable 4K monitors with other manufacturers also selling 28-inch displays with sub-$1000 price tags. Lenovo will start selling the ThinkVision Pro2840m in April for $800, while Asus plans to launch its own $800 28-inch offering in Q2 2014. Announced earlier this year, Dell already is selling the 28-inch 4K P2815Q for under $700 on its website.

For those interested in 1080P monitors, Samsung also announced the SD390 and SD590 models. Both monitors will be available in 23.6 and 27-inch sizes and will feature a combination of HDMI and VGA ports. Pricing will start at $250 for the D390 and $310 for the SD590 when the monitors go on sale later in April.

Apple to Raise App Store Prices in Australia, India, Indonesia, Turkey, and South Africa [iOS Blog]

Apple has plans to increase App Store retail prices for several countries over the next 24 hours, citing changes in foreign exchange rates. Prices will go up for the Australian Dollar, Indian Rupee, Indonesian Rupiah, Turkish Lira and South African Rand.

Retail prices for Israeli New Shekels and some pricing tiers for the New Zealand Dollar will be decreased, however.

According to an email sent out to developers, the new pricing will go into effect within 24 hours. Apple has done price adjustments on App Store and iTunes rates several times in the past, in order to compensate for changes in foreign exchange rates.

(Thanks, Patrick!)

Apple to Expand Employee Transportation Program with More Shuttles, Dedicated Transit Center [Mac Blog]

To earn approval for its Apple 2 Campus in Cupertino, Apple agreed to increase the number of employees using transportation like bicycles and shuttles, according to a new report on commuting in Silicon Valley from The Los Angeles Times.

Apple maintains a Transportation Demand Management program that gives 1,600 of its employees free rides to and from work, using environmentally friendly biodiesel that cuts down on the number of employees using cars. The program has a budget of $35 million, which works out to a cost of approximately $21,875 per employee for transportation at the current point in time.

Apple has a Transportation Demand Management program with an annual budget of $35 million and the goal of getting as many employees as possible out of their cars. It runs the company’s fleet of shuttles, all biodiesel, that on average 1,600 employees ride for free each day. The current system provides more than 200 service runs from 55 pickup locations around the Bay Area. Employees can download an app to track the location of the shuttles.

Currently, 28 percent of Apple employees ride bikes, walk, or ride shuttles to work, a number that the company hopes to increase to 34 percent. To boost the number of employees using alternative transportation, Apple plans to add more shuttles and buses.

A dedicated transit center with eight parking pays is also under construction, with an ultimate goal of having as many as 76 buses and shuttles moving through the center with a park time of three minutes or less.

Commuter shuttles from companies like Apple and Google have become a somewhat controversial issue in San Francisco as of late, subject to several protests over the course of the last few months.

Recently, the San Francisco Municipal Transportation Agency approved a proposal that requires commuter shuttle buses from companies like Apple to pay $1 for each stop they make every day, which is expected to earn the city approximately $1.5 million over the course of 18 months. The program is set to begin in July.

LaCie Expands ‘Fuel’ Wireless External Hard Drive for iOS/Mac Devices to 2TB [iOS Blog]

LaCie today announced a new version of its Fuel external hard drive, which now offers a total of 2TB of storage. First introduced in January during CES, the Fuel is a wireless hard drive designed to work with the iPad, the iPhone, and Mac computers.

It is able to wirelessly stream to any Apple device, serving as a portable storage unit for extensive media libraries. Like the original Fuel, the new expanded Fuel does not require an Internet connection, functioning instead as a Wi-Fi hotspot able to connect to five devices simultaneously. Media on the drive can be accessed via the Seagate Media app, and Dropbox integration is also supported.

With double the capacity than before, LaCie Fuel offers more storage than any 2.5″ wireless hard drive on the market. It is the ideal cable–free, portable solution for movie buffs, photographers and others to gain 2TBs of on–the–go access and storage for iPad® or iPhone® and Mac®.

Back in February, MacRumors went hands-on with the original Fuel, giving a complete rundown on functionality of the hard drive and the Seagate Media app.

The 2TB LaCie Fuel can be preordered through the LaCie website for $249.99 and will begin shipping in April of 2014. The original 1TB LaCie Fuel can also be purchased from the website for $199.99.

Apple and Samsung Face Off in Court as Second Patent Infringement Trial Begins

Apple is seeking more than $2 billion in damages from Samsung in a second patent infringement suit that begins Monday in the US District Court of Northern California with Judge Lucy Koh presiding over the case (Via The Financial Times).

This second lawsuit involves new patents and more recent devices than the previous case, which ended with an $890 million judgement in Apple’s favor. This latest suit focuses on five utility patents involving software features such as auto-correct, slide-to-unlock and Siri’s universal search. Apple lists Samsung’s Galaxy S3 and Galaxy Nexus smartphones as infringing devices.

Google is expected to take a bigger role in the litigation with testimony from executives such as current vice-president of Android engineering Hiroshi Lockheimer and former Android Chief Andy Rubin. These executives will discuss how Android was developed outside the influence of Apple and iOS. Apple is expected to again call Phil Schiller to testify on the design, development, and marketing of iOS and associated hardware.

Before the trial even begins, Samsung already has been handed a minor setback as reported by Re/code. Judge Koh rejected a motion by Korean company that objected to an instructional video describing the patent process because it includes references to Apple products. Samsung argued the newer video, shown above, was “highly prejudicial to Samsung” and asked that the jurors be shown an older, more neutral version. Koh disagreed.

Sketchy iPhone 6 Images Said to be Sourced from Foxconn Surface [iOS Blog]

A set of images posted on Chinese microblogging site Weibo (via GforGames) may depict the iPhone 6 under development at Foxconn. Said to be sourced directly from Apple’s manufacturing partner, the images show an iPhone with a slim chassis, rounded corners, and a protruding camera lens, similar to the camera in the iPod touch. The device appears to be taller and potentially wider than the existing iPhone 5s.

The design is potentially in line with some leaked facts about the iPhone 6, including the thin size of the device, but the quality of the images makes it difficult to determine the veracity of the iPhone in the picture.

The text is nearly unreadable, and though it is hard to see the phone’s flash to glean more information, it appears to have rounded design. Apple introduced a much-improved pill-shaped True Tone dual LED flash with the iPhone 5s and it is unlikely to deviate from that design in the next iPhone.

Schematics are also included in one of the pictures, but do not appear to indicate the size of the device. Apple’s next iPhone is said to come in two display sizes, one near 4.7 inches and the other at approximately 5.5 inches.

The front of the device is not depicted, but rumors have indicated the iPhone 6 display could have an edge-to-edge design that does away with bezels. The upcoming phone, which may or may not be depicted in these photos, is also said to include an upgraded processor and an improved camera.

Renderings Based on Leaked Schematics Show Sapphire Glass-Backed iPhone 6 ‘Air’

Last week, Japanese magazine MacFan published alleged schematics for a 4.7-inch and 5.7-inch iPhone 6. French Apple website Nowhereelse.fr, along with graphic designer Martin Hajek, took these schematics one step further and created 3D “iPhone Air” renderings using these blueprints as a guide (Via TechCrunch).

These renderings show an ultrathin iPhone 6 that shaves at least 0.5 mm off the width of the current iPhone 5S, which measures 7.6 mm thick. The concept phone features curved edges and rounded buttons that are similar to early iPhone models. Other notable design elements include an edge-to-edge display, matte metal sides and a sapphire glass backing.

The validity of the source drawings are unknown, so these renderings may or may not be representative of the next generation phone Apple is creating. Other iPhone 6 renderings based on earlier rumors imagine the smartphone with an iPod nano-inspired design or a bezel-less, tapered form factor.

Apple is expected to unveil the next-generation iPhone sometime this Fall and may incorporate a larger display possibly made of sapphire, an improved processor and camera upgrades.