iPhone 6 Specs Seen by Analyst as ‘Locked In’ with 4.8-Inch Display and 802.11ac Wi-Fi

Adding to a litany of analyst predictions pointing to a larger iPhone, Timothy Arcuri of Cowen and Company (via AppleInsider) today claimed that the iPhone 6 will ship with a 4.8-inch display, a significant increase over the 4-inch display of the iPhone 5c and iPhone 5s.

Citing sources within Apple’s supply chain, Arcuri also indicated that the next-generation iPhone will come with the 802.11ac Wi-Fi standard that first began appearing in Apple products in 2013. 802.11ac, or “Gigabit” Wi-Fi offers speeds up to three times as fast as existing 802.11n wireless networks, reaching speeds over 1 Gigabit per second.

Because 802.11ac was included in Apple’s updated Mac line throughout 2013, many expected the iPhone 5s and the iPhone 5c to ship with the standard. While the chips were presumably not quite ready at the time, 802.11ac support in the Galaxy S4 and the HTC One suggests that the technology is now ready for mobile devices.

Echoing several other predictions about Apple’s future in mobile payments, Arcuri went on to suggest that Apple will offer “key software innovations” in 2014 with iBeacon, Touch ID, and Passbook used as a mobile payment solution.

Aside from hardware tweaks and design changes, Arcuri also said that Apple is planning “key software innovations” with the next major release of its iOS platform. He expects the company will leverage iBeacon, Touch ID and Passbook as part of a push into new services with mobile payments.

According to the analyst, Apple will launch its updated iPhone in September, which is in line with previous Apple iPhone releases. Although Arcuri does not mention dual iPhone sizes, some iPhone 6 rumors have indicated Apple could release the phone in multiple sizes ranging from 4.7 to 5.7 inches.

Apple Debuts Shortened ‘Sound Verse’ and ‘Light Verse’ iPad TV Ads [iOS Blog]

Apple today added two new 30-second video advertisements, “Sound Verse” and “Light Verse,” to its YouTube channel. The pair are part of Apple’s new ad campaign that focuses on how people are using the iPad for music, mountaineering and more. The uploaded clips, which have been airing on television for several days, are shortened versions of the original 90-second “Your Verse” ad that debuted during the NFL playoffs earlier this month.

As their names imply, almost every scene in the “Light Verse” ad includes sunlight or the use of light in the scenes, while the “Sound Verse” clip features the power of sound.

Apple also launched a companion website called “Your Verse” that takes a closer look at how the people in the advertisements are using the iPad in innovative ways, a familiar theme that Apple has promoted in the past. Late last year, the company debuted its “Life on iPad” video and companion website that showcase the many ways the iPad is transforming the home and the office.

New Mac Mini Coming by End of February According to Belgian Retailer

While nearly all of Apple’s Mac lines have transitioned to Intel’s latest Haswell chip platform, one notable exception is the Mac mini, which has not been updated since October 2012 and is ripe for an update.

As noted in our forums, major Belgian retailer Computerstore.be has now posted placeholder listings for new Haswell Mac minis in Core i5 and Core i7 variations.

Retailer placeholders are typically unreliable indicators of new product launches, although they have on occasion been accurate. One forum poster did, however, contact the store and was told that the information “comes from apple or reliable sources”. The store representative also noted that a release date is not yet available but that they expect a launch by the end of February based on availability of the placeholder listings.

While the listings include images of the current Mac mini, they are likely placeholders for the time being and it is unknown whether there will be a change to the machine’s appearance or if it will be an entirely internal upgrade. The listings do, however, come with product descriptions that differ from the current models (translated via Google).

The Apple Mac mini features a sturdy and above all very compact aluminum housing. Despite its small size, the Apple Mac mini comes with powerful hardware. The Mac mini is equipped with the latest Intel Core i7 processor from Haswell series. This processor is obviously faster than its predecessor, but also uses the powerful Intel Iris graphics. The latest Apple operating system, OS X Mavericks, works very user friendly and communicates seamlessly with other Apple products. So for example you can just get iMessages on your Mac mini. In addition, OS X Mavericks a very secure operating system, you have (almost) not suffer from nasty viruses. The Apple Mac mini with the latest WiFi standard 802.11ac. This will make use of a high speed Gigabit LAN. You are here obviously compatible 802.11ac equipment needed. If you ever want to expand the memory of the Mac Mini, this is easily done by turning the black plate on the bottom and then add additional memory. The Mac Mini has many connections. He is equipped with HDMI, USB 3.0, FireWire and high-speed Thunderbolt connection.

Beyond Haswell, the description includes several other expected updates such as Iris integrated graphics and 802.11ac Wi-Fi, although it does not specify whether the new Mac mini would adopt the new Thunderbolt 2 standard seen on the Mac Pro and Retina MacBook Pro.

Carl Icahn’s Stake in Apple Passes $3 Billion Amid Continued Stock Buyback Pressure [Mac Blog]

Activist investor Carl Icahn has just tweeted that his investment firm has acquired an additional $500 million in Apple stock over the past two weeks, pushing his stake to over $3 billion. Calling continued investment in Apple a “no brainer” at current prices, Icahn also continues to believe that Apple needs to significantly increase its stock buyback program. A more in-depth letter from Icahn on the topic will be forthcoming.

Having purchased $500 million more $AAPL shares in the last two weeks, our investment has crossed the $3 billion mark yesterday.

— Carl Icahn (@Carl_C_Icahn) January 22, 2014

Icahn began buying significant amounts of Apple stock last August, and has been vocal about encouraging Apple to increase its buyback program to help investors. Icahn met with Apple CEO Tim Cook at the end of September, where he pushed for a $150 billion buyback. As Icahn has taken his case to investors, he has scaled back his proposal and is asking shareholders to vote on a $50 billion proposal at next month’s shareholders meeting. That proposal would, however, only be advisory, and should it be approved Apple would continue to be free to do as it pleases.

For its part, Apple management has stated that it is continually evaluating its buyback program and that it plans to announce any changes to the program during the first half of this year.

Apple’s Holiday Quarter iPad Sales Estimated to Hit Record 25 Million

Apple will announce its next quarterly earnings on Monday, January 27, and ahead of the announcement analysts are releasing their iPhone and iPad sales estimates for this holiday quarter. As we noted earlier this week, analysts predict record quarterly sales of 55 million iPhones, a 16% increase over the same quarter last year. A follow-up report today from Philip Elmer-Dewitt of Fortune suggests sales of the iPad will grow 10% year-over-year to also set a new record for Apple.

Elmer-Dewitt surveyed iPad sales estimates from 45 analysts, including 28 professionals and 17 amateurs. Estimates range from 21 million to 28 million units, with an average of 25 million units.

The average estimate among all the analysts is 25 million iPads, up 10% from the same quarter last year.

The indies, as usual, are a bit more bullish than the pros. As a group, they’re looking for 16% growth, compared with the Street’s 8%. Unless they’ve updated their numbers, four sell-side analysts — Cowan’s Timothy Arcuri, Credit Suisse’s Kulbinder Garcha, Citi’s Glen Yeung and CLSA’s Avi Silver — still expect Apple to report a drop in iPad sales.

Early metrics from the holiday season mirror these analyst expectations. By one count, the iPad lineup collectively accounted for 18% of Target’s Black Friday sales, while the iPad mini was a top seller at Walmart. The App Store also experienced a spike in interest on Christmas day, with revenue increasing by 56 percent and the total number of downloads growing by 53 percent.

Apple will be reporting its quarterly earnings on January 27, 2014 after the close of trading, at approximately 4:30 PM Eastern / 1:30 PM Pacific. MacRumors will have full coverage of Apple’s earnings release and the associated conference call taking place at 5:00 PM Eastern / 2:00 PM Pacific.

Judge Invalidates Two Samsung Patent Claims Ahead of Second Patent Lawsuit with Apple

Last May, Apple filed a motion detailing five patents violated by the Samsung Galaxy S4 and Google’s voice activated search assistant Google Now ahead of a second patent infringement lawsuit to take place on March 31, 2014. However, both Apple and Samsung agreed in September 2013 to drop one patent each from the trial, as Judge Lucy Koh ordered both companies to narrow the scope of their ongoing legal battle.

Now, FOSS Patents reports that Judge Koh yesterday invalidated a Samsung patent and ruled that that Samsung infringed on an Apple patent, leaving the Korean company with only four patents to bring to the upcoming trial. In detail, Judge Koh nullified a Samsung multimedia synchronization patent and stated that Samsung’s Android devices infringed on an Apple patent for a “method, system, and graphical user interface for providing word recommendations”, also known as autocomplete.

As Florian Mueller of FOSS Patents suggests, the infringed autocomplete patent could also be problematic for Google and Android device manufacturers:

If Samsung infringes this autocomplete patent (which is what Judge Koh concluded), then other Android device makers also have a problem. Google, which may be (possibly in close cooperation with Samsung) involved with an anonymous reexamination request against the word recommendations patent, will clearly be unhappy about this finding by its own home court.

The ruling by Judge Koh is also likely to affect the mediation meeting between Apple CEO Tim Cook and Samsung Electronics CEO Oh-Hyun Kwon scheduled to take place on or before February 19. In addition to the second infringement lawsuit in March, both companies will also partake in a trial centered around Apple’s new call for a U.S. ban on Samsung products set for January 30.

Apple Partner GT Advanced Recruiting Local Residents for Jobs at Arizona Sapphire Plant

GT Advanced, Apple’s manufacturing partner for its new sapphire glass plant in Mesa, Arizona, has sent a postcard to local residents advertising for open positions at its new facility. A MacRumors reader who lives in Mesa sent us the postcard he received. The new facility is reported to have some 700 employees between both Apple and GT.

The positions are separate from the job openings that Apple posted last week and they are likely for lower-level jobs than the more supervisory Apple roles. Jobs mentioned include Manufacturing Operators and Technicians, Process Engineering Manager, Metrology Manager and more.

Right now we’re looking for people to join the team behind our new state-of-the-art sapphire material manufacturing facility in Mesa, Arizona. If you can bring excellent technical skills and a collaborative approach, we’ll welcome you into a high-performing professional environment where talent and commitment are always well rewarded.

GT Advanced has a full listing of job openings at its Mesa facility on its website, though there is no indication when the factory will begin operation. It is unknown what Apple’s plans for the sapphire glass will be, but it’s possible the company could be examining the material for displays on the iPhone, iPad or perhaps its rumored smart watch product.

Apple uses small pieces of sapphire glass — which provides superior durability and scratch resistance to other forms of glass — to protect the cameras on the iPhone and on the home button for the new Touch ID-equipped iPhone 5s, however this would seem to be an expansion of Apple’s sapphire glass efforts. A report from last year suggested that future smartphones may use sapphire, a crystalline form of aluminum oxide, instead of more traditional forms of glass.

Amazon Examining Online Subscription-Based Live Television Service [iOS Blog]

Amazon is considering the launch of a live subscription-based online television service, according to a report in The Wall Street Journal. The service would include live television channels from major providers, with Amazon approaching at least three media companies to distribute their channels online.

Apple was said to be in high-level negotiations with television content providers in August of last year for a similar Internet-based subscription TV service.

Still, Amazon’s initiative is in the early stages, and it isn’t clear whether it will move forward. Several other tech companies including Sony Corp. and Google Inc. are pursuing similar initiatives. An Amazon spokesman declined to comment.

[…]

Acquiring TV channel rights has proved challenging for the other companies trying to launch Web-TV services. Media giants that control TV networks and studios don’t want to do anything to harm incumbent pay-TV providers, whose payments for carriage of channels are propelling the industry’s growth. Those companies seeking to launch new services have struggled to negotiate licensing terms that would allow them to price their services competitively.

While Apple — and Google — have looked into an online subscription service, Intel recently sold its nascent cable television service to Verizon and all companies are reportedly having difficulties convincing content providers to partner with an online alternative to existing cable and satellite companies — a very significant revenue stream for them.

Amazon currently offers streaming television and movies through its Amazon Prime Instant Video service, its Netflix competitor that works on a number of different platforms including recent PlayStation and Xbox consoles, the Roku box, and a number of smart televisions. Amazon has reportedly been working on a set-top box competitor to the Apple TV and Roku boxes as well, something that could accompany a potential subscription television service.

Apple, Google Shuttles to Pay to Use Public Bus Stops in San Francisco [Mac Blog]

Major tech companies like Apple, Google, and Facebook often use private buses to ferry employees from living areas in San Francisco and the bay area to company campuses in places like Cupertino, Mountain View, and Menlo Park.

Previously, the city was not receiving any income from the campus buses, even though they often used city bus stops. Today that changed as the San Francisco Municipal Transportation Agency (SFMTA) approved a pilot proposal (via The Verge) that will require commuter shuttle buses from companies like Apple to pay $1 for each stop they make every day.

Commuter shuttle buses have been subject to several protests over the course of the last few months, with activists in the area attacking employee buses in protest of rising housing costs in the San Francisco Bay Area.

While the Silicon Valley companies will now be giving back to the city more than they have in the past, a formalized shuttle system won’t answer the concerns that the tech industry is causing class warfare in San Francisco. Housing prices in the city are skyrocketing out of the reach of ordinary citizens, and many are blaming the high-income individuals employed by companies like Facebook, Apple, and Google.

Set to begin in July of 2014, the program is expected to earn the city approximately $1.5 million over the course of 18 months, which will be used to cover enforcement of the program and evaluations on its efficiency. The $1 per stop fee is unlikely to have any significant impact on Apple or its employees, but it could help to ease tensions within the city.

(Image courtesy of The Castro Biscuit)