Apple to offer $100 store credit to iPhone customers

Apple to offer $100 store credit to iPhone customers
The company on Thursday posted an open letter from CEO Steve Jobs on its Web site defending the decision to cut the price of the 8GB iPhone from $599 to $399, but acknowledging that Apple shouldn't have treated its early adopters in such a fashion. Jobs had announced the price cut just a day earlier at a San Francisco event at which the company unveiled a refresh of its iPod line, including the new iPod Touch."Even though we are making the right decision to lower the price of iPhone, and even though the technology road is bumpy, we need to do a better job taking care of our early iPhone customers as we aggressively go after new ones with a lower price. Our early customers trusted us, and we must live up to that trust with our actions in moments like these," Jobs wrote. Details on how to obtain the $100 store credit will be posted on Apple's Web site next week, he said.An Apple representative said the $100 store credit will not apply to the iTunes Store. The store credit also does not apply to customers who are eligible for a rebate because they bought a $599 iPhone either 10 or 14 calendar days before Wednesday (10 days for online sales, 14 days for retail sales).In the letter, Jobs echoed comments he made to reporters Wednesday that Apple wants to attract new customers this holiday season with more aggressive pricing. "It benefits both Apple and every iPhone user to get as many new customers as possible in the iPhone 'tent'. We strongly believe the $399 price will help us do just that this holiday season,"he wrote.He also pointed out that this can be the way of life in the technology business. "If you always wait for the next price cut or to buy the new improved model, you'll never buy any technology product because there is always something better and less expensive on the horizon," Jobs wrote. News.com daily podcast Early iPhone adopter letdown Hear Erica Ogg and Tom Krazittalk about the iPhone price drop.Apple doesn't often admit mistakes, and the letter was a forthright admission that the company didn't handle the price move correctly. "We apologize for disappointing some of you, and we are doing our best to live up to your high expectations of Apple," Jobs wrote.How Apple could not have forseen the backlash, I'm not sure. But the move should go a long way to mollify some iPhone customers peeved by the steep drop, although a store credit isn't as good as money in hand. Still, those who were iPhone early adopters likely own a few other Apple products, and will want to update those in the future. Leopard's coming soon, after all.Some Mac bloggers and users seemed satisfied with Apple's response to the iPhone flap. "I think it's clear that Apple was taken by surprise by the magnitude of the backlash regarding the price cut. They've responded quickly, humbly, and well, to avoid letting this issue spoil the good news from their impressive product releases yesterday," wrote John Gruber on his blog, Daring Fireball. Scott McNulty, on The Unofficial Apple Weblog, wrote "While I still think the reaction to the price reduction was way overblown, this is a great example of Apple listening to their customers and trying to make the situation right."Others noted that Apple, so dependent on a core group of loyalists to help create buzz for its products, had little choice. "You just don't screw over your most ardent fans...always a bad plan. You may not pay for it intitially, but you will long-term," wrote poster TBaggins on AppleInsider's forums. Samir Bhavnani, an analyst with CurrentAnalysisWest, saw a savvy business move in offering a store credit instead of a refund. "They'll get new traffic to the site and stores, and almost everything costs more than $100 in any case, so customers will be spending even more of their dollars with Apple," he wrote in an e-mail.But on our own TalkBack section, Jake Kushner, president of JK Media, said that Apple's response doesn't go far enough to satisfy those who bought a 4GB iPhone for $499, only to see the 8GB model become $100 cheaper. "I feel wronged and misled by Apple. Such a quick price reduction indicates that Apple pre-meditated this reduction before the initial release. I read your public response on apple.com to this issue, but I still feel that the solution you are offering is not adequate," Kushner wrote, calling for Apple to offer a free upgrade to a 8GB model to owners of the 4GB iPhone or a $200 rebate.Some iPhone customers are reporting that they have received at least partial refunds from their local Apple stores. And some AT&T customers have said the same thing, as my colleague Maggie Reardon noted earlier today. It's difficult right now to tell what exactly is going on at individual stores around the country--we're trying to get more details about people who received at least some cash back.Jobs pointedly did not address in the letter whether iPhone sales were living up to expectations, although he said Wednesday during Apple's iPod event that the company remains on track to hit its stated goal of shipping 1 million iPhones by the end of September.


Microsoft shoots for the stars with Bing update

Microsoft shoots for the stars with Bing update
WEST HOLLYWOOD, Calif.--Microsoft is hosting a celebrity-laden event here on Tuesday, announcing a variety of new entertainment features it hopes will give Bing a little more star power.In truly LA fashion, the event started late as reporters battled the southland traffic to get to the Soho House on Sunset Boulevard. However, Microsoft's blog post with the news posted promptly at the 6 p.m. starting time.According to that, Microsoft is adding casual games, more TV content as well as Zune music and lyrics to the service. Each of several million songs can now be played once for free, with 30-second samples available thereafter. Songs can also be purchased from Amazon, iTunes or Zune. The event, meanwhile, just kicked off at 6:30 p.m. PT, with Senior Vice President Yusuf Mehdi talking about Bing's history and showing a clip from the promotion Bing recently did with Stephen Colbert.Bing's Hollywood fling (photos)See full gallery1 - 4 / 12NextPrevIn the clip, Colbert notes that Bing is for real, adding that he knows that because he "Googled it." Mehdi said that despite a 47 percent gain in market share, Microsoft knows it still faces an uphill challenge."It isn't like people wake up and say dang, if only I had another search engine," he said. "We're definitely humbled about a lot of work we have to do."Turning to entertainment, Mehdi said that there is a huge opportunity around entertainment and search, noting that there are some 1.5 billion entertainment-related queries per month.Microsoft is hoping to get more of that traffic by including a lot of content within the search engine itself.Bing results will feature more TV content as well as Zune music and lyrics to the service.MicrosoftFor music, Microsoft is adding 5 million tracks in partnership with the labels. Although the songs can be played or bought form Bing, Mehdi stressed that Bing is not trying to compete with Microsoft's Zune music service."This is not a music service," he said. "This is about music discovery."In gaming, Microsoft is adding both 100 casual games that can be played without registering or logging in, along with thousands of cheat codes for hardcore gamers. For TV, Microsoft says it now has 20,000 episodes, including content from Hulu, CBS, and Viacom.Mehdi's talk has wrapped up, but a panel on entertainment and technology is set to begin at 8 p.m., followed by a red carpet after-party with music from hip-hop artist Drake.In an interview after his talk, Mehdi acknowledged that the Hollywood thing is a bit of a stretch for the company, even if it does have a long history and games and music, through MSN, Zune, and Xbox."We're No. 2," Mehdi said. "We have to try harder. We have to think outside the box."The event, he said, is part of that. "We'll see how this works out."Disclosure: CNET is published by CBS Interactive, a unit of CBS.


Apple's tough iTunes note meant for indie labels

Apple's tough iTunes note meant for indie labels
Apple wrote in e-mails to an undisclosed number of music industry executives--made public on Tuesday--that it would soon offer longer samples for songs that are at least two-and-a-half minutes in length. For shorter songs, iTunes would continue to offer 30-second previews, the company wrote.CNET broke the news in August that Apple planned to offer longer samples. What raised eyebrows about Apple's note was that it appeared the company was offering an ultimatum to the entire record industry. But the largest stakeholders, the four top labels--Universal Music Group, Sony Music Entertainment, Warner Music Group, and EMI Music--signed off on Apple's plan to boost the length of iTunes' song previews from 30 seconds to 90 seconds in August, according to multiple music industry sources. Apple has also penned individual deals with some of the top publishing companies. Instead of the big guys, Apple's letter appears to be directed at the scores of independent record labels, industry insiders said. Apple stated in the letter that it would roll out longer samples soon at iTunes and that anybody who left their music up at the Web store was automatically agreeing to give Apple the right to offer the longer song samples "gratis," or for free. The message is pretty clear: accept the longer previews for longer songs, or pull them off iTunes. An Apple representative confirmed that the note was sent but declined to comment for this story. Managers at some of the bigger indie labels were reluctant to comment today, saying they hadn't seen Apple's letter or hadn't had time to analyze it.Two did acknowledge that it seemed that Apple was playing hardball. There's a reason for the tough approach. Apple is in a hurry to get the deals done so it can offer the longer samples for holiday shopping. Time is running out. Apple CEO Steve Jobs was expected to announce the longer samples at a press event on September 1, music industry sources told CNET. Before that could happen, the National Music Publishers Association notified the company that it would need to negotiate a deal with the publishers before going ahead with its plans. Sources said the NMPA is still in negotiations with Apple, as is Broadcast Music Inc.. (BMI), a group that collects royalties on behalf of songwriters and publishers. Hanna Pantle, a BMI spokeswoman, told CNET today, "We are in active and positive negotiations with Apple for the performance right of our repertoire." At a time when many iTunes users favor YouTube to sample and discover music, a longer sample seems like a no-brainer. In its note, Apple said, "We believe that giving potential customers more time to listen to your music will lead to more purchases."But some in the music industry have grumbled in the past that Apple should compensate rights owners for the previews. "It's like giving away ice cream samples--someone has to pay the cost," said Rick Carnes, president of the Songwriters Guild of America. "I think it would be a good thing for consumers to go to 90 seconds. But they're tripling the amount of time, and they want it for free. I think there ought to be compensation. I believe anytime you use music, you ought to reward the people making the music."


The 404 1,038- Where you're going to want to sit down for this (podcast)

The 404 1,038: Where you're going to want to sit down for this (podcast)
Crusty Craigslist may finally be getting an update based on this job listing for a senior user-interface engineer, so Jeff and I are brainstorming the features we think Craig should incorporate in CL2.0.Jeff likes to indulge in the art of self-reflection, and a friendly chat about Blu-ray discs this weekend inspires him to question the value of physical discs and their jewel cases. On that note, what is the best way to display a collection? Is it on...what are they called again? Oh yeah, towers? A discussion on subtle self-promotion follows. Next we'll talk about the dangers of sitting and a study out of Australia that shows people who sit more than 11 hours a day are 45 percent more likely to die in the next three years than their active counterparts that sit less than four hours a day. Confused? Get off your butt a few times a day and you'll be fine.Finally, it's no surprise that Google maintains a dossier on each of its users, but what information can wireless providers extract from your phone calls and text messages? The answer is "the same, if not more," according to a story in the Los Angeles Times that claims women's focus shifts from their spouse to their adult daughter as they age, demoting husbands' familial popularity down to second place or lower.And finally, just to even the playing field, we'll also relay yet another study that says women are twice as likely to accidentally hit the gas pedal by mistake while driving on freeways in North Caroline and beyond. As we tell this story, please remember that The 404 merely reports the news, and these statements don't necessarily reflect a modicum of seriousness on our behalf...you know, as usual.Video Voicemail: Australia in PhillipThis content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.PlayEpisode 1,038Listen nowYour browser does not support the audio element. Subscribe in iTunes (audio) | Subscribe in iTunes (video) | Subscribe in RSS Audio | Subscribe in RSS Video  Follow us on Twitter!The 404Jeff BakalarJustin YuAdd us on Facebook!The 404 Fan PageThe 404 GroupJustin YuJeff Bakalar


iTunes streamed to your phone- Possibly

iTunes streamed to your phone? Possibly
"It is definitely something we will support," said Brian Jaquet, a Sling Media spokesman. While he would not reveal any time frame for availability, he confirmed that the company is currently testing the interface and ensuring that the infrared codes and software can correctly control the Apple TV box.CNET NetworksIf it works as planned, content could be streamed from the PC to the Apple TV to the SlingBox and finally to a phone running any of the three mobile platforms supported by the SlingPlayer software--Windows Mobile, Palm or Symbian. This set-up might be a bit complex and pricey ($300 for the Apple TV and at least $150 for the SlingBox) but it would make a person's entire music collection available practically anywhere without a fistful of pricey memory cards. While that scenario could be compelling to serious geeks, the concept could enjoy much wider appeal should Apple step in create a direct and simple link between iTunes on a PC and its upcoming iPhone.My colleague, Scott Ard, promoted a similar concept back in November, in a piece called, "What the iPhone Should Do." In it he said, "Namely, I would like to see an iPhone that connects to the owner's computer, allowing full streaming access to movies and music stored on the Mac (or PC). Call it 'iTunes to Go.'" He argued that the SlingBox was already capable of streaming music and video from a DVR, so adding the capability to iTunes on a computer and to the iPhone would be fairly easy for a company of Apple's technical prowess.The iPhone , the same month that Apple's new OS, dubbed Leopard, . It will be interesting to see if Apple's got a surprise in store that could really separate the iPhone from the pack.


Apple's display tech prompts iPhone 5 supply shortfall-

Apple's display tech prompts iPhone 5 supply shortfall?
Apple might be suffering from an iPhone 5 supply shortfall, all because of its new display technology.Apple relies primarily on LG Display and more recently on Sharp to produce the iPhone 5's screen, notes a Bloomberg report. However, Sharp has faced some trouble with defects and didn't start shipping screens until the smartphone's debut, a Barclays analyst stated, according to Bloomberg.An IHS iSuppli analyst also told Bloomberg that "supply constraints" may have hampered the supply of iPhones its first weekend on store shelves.Apple's iPhone 5 comes with in-cell touch sensing. Unlike the iPhone 4S, which came with a display and a separate touch screen, Apple's iPhone 5 combines the two layers. That has resulted in better color representation, but also presents new challenges for suppliers.The display technology is also more expensive. According to an iSuppli teardown of the iPhone 5, the new display costs Apple $44. The iPhone 4S display set Apple back $37."This is due to the iPhone 5's larger display -- at 4.0 inches diagonally, compared to 3.5 inches for the iPhone 4S -- and the inclusion of the new in-cell touch screen technology," according to iSuppli.Despite concerns over supply, iPhone 5 sales reached 5 million units sold in its first weekend of availability. That's 1 million more sold than in the first weekend of the iPhone 4S last year.Still, Wall Street had hoped for a better initial performance for the iPhone 5, with estimates reaching as high as 10 million units sold. One analyst said that 6 million units sold would be a "worst-case scenario."CNET has contacted Apple for comment on the reported supply shortfall. We will update this story when we have more information.Correction at 8:10 a.m. PT: The number of iPhone 4s units sold in its first weekend has been fixed.This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.Play


Apple's developer site stirs back to life after downtime

Apple's developer site stirs back to life after downtime
Major parts of Apple's developer site flipped back online Friday afternoon after more than a week of downtime.The developer sites for iOS, Mac, and Safari development once again became available, alongside downloads for upcoming versions of Apple's desktop and mobile software. Apple also brought back tools that let developers set up new devices to test their software, a crucial development tool.Apple took down its developer site and more than a dozen connected services last week following the discovery of a security intrusion that may have resulted in unauthorized access to some developer information.While offline, some developers were left in a lurch because they were unable to enable new devices to run pre-release versions of Apple's software or test out new apps. The downtime also came as Apple has been pushing developers to test out and create software for upcoming versions of iOS and Mac OS X, both of which are expected in the fall. Related storiesApple lays out plans to resurrect developer site, servicesExtended Apple downtime leaves some developers in limboResearcher: Apple developer site hack? I meant no harmApple has still not detailed the full scope of that intrusion, which it says took place last Thursday, nor has it said who is responsible. However the company said the developer site was "not associated with any customer information," and that customer information is "securely encrypted."Still offline is technical support, Apple's developer forums, pre-release documentation, videos, and several other services, all according to Apple's status page. The company has said it's bringing the full scope of its development services back online in stages, though it has not laid out a timeline.Update at 3:40 p.m. PT: Here's the e-mail Apple's sending developers about it:CNET


Apple's Cook right about PC-tablet fusion fantasy

Apple's Cook right about PC-tablet fusion fantasy
He's right. A shotgun marriage between a PC and a tablet isn't going to produce an eminently elegant device along the lines of an iPad--or even a Motorola Xyboard or Samsung Galaxy Tab. And consumers -- judging by Apple's success -- don't only want Apple tablets to be "incredibly thin" and light: they want the same from the Windows 8 competition.Windows 8 tablets may get there but it's a tough nut to crack for hybrids. Related storiesApple earnings jump 50 percentApple event countdown brings new rumorsApple tablet iRoundup: The good, the bad, the uglyFCC: iPad use could further strain AT&T 3GApple will sell iPad at Best Buy Dell, for one, apparently isn't going to achieve that kind of elegance for its Windows 8 consumer hybrid.If the Neowin photo is accurate, it's a laptop that can function as a Windows 8 tablet but not a device that will win over hundreds of millions of consumers like the iPad. In fact, the Dell Windows 8 hybrid looks a lot like the existing Inspiron Duo, which is OK but hardly a game changer. Some will point to the Asus Transformer Prime as an example of a well-executed hybrid-like design. But that's really a great discrete tablet that (if you decide to pay the extra bucks) can connect with a good, but not great, keyboard dock.That's not to say that there aren't consumers and corporations out there who are waiting for a hybrid Windows 8 tablet.But from Apple's trendsetting worldview, hybrids simply don't pass the elegance smell test.


Apple's Cook faces first flap over lost iPhone

Apple's Cook faces first flap over lost iPhone
Apple CEO Tim Cook may have to deal with his first real crisis if reports about company security officers impersonating cops turn out to be true.According to SF Weekly, the man at the center of the lost iPhone story said that six officials he thought were San Francisco police officers searched his home in July. SF Weekly reports:If accurate, his account raises the possibility that Apple security personnel attempting to recover the prototype falsely represented themselves as police officers--a criminal act punishable by up to a year in jail in the state of California--or that SFPD employees colluding with Apple failed to properly report an extensive search of a person's home, car, and computer.CNET News this week reported that an unreleased version of the iPhone was lost at Cava22, a bar in the Mission District. As ZDNet's Jason O'Grady noted lightning strikes twice given that Apple's iPhone 4 was also lost. This iPhone tale turned into a national story.Now, a lost test device isn't exactly a crisis for Cook, but the events that follow could become a major headache. According to Sergio Calderón, the man at the center of this week's story, six people wearing badges showed up to look for a lost iPhone that was traced to him via GPS. SF Weekly also reports that these folks said they were from the San Francisco Police Department.Losing a prototype is one thing. Impersonating the cops is another matter entirely. Now that SF Weekly has connected this lost iPhone saga to Anthony Colon, an Apple investigator, this flap could turn out to be a real problem.After Steve Jobs stepped down as CEO, Cook probably thought his next big item was to launch the iPhone 5. Now it looks like his first big chore will be putting out fires related to this lost device.This story originally appeared on ZDNet's Between the Lines.


Apple's colorful iPhone 5C cases arriving early-

Apple's colorful iPhone 5C cases arriving early?
While there was talk that Apple's official iPhone 5C cases were going to be a bit delayed, it appears these colorful rubber cases are now arriving in some people's hands.News site iLounge said it received the black version of the silicon with a microfiber lining 5C case on Monday. Last week, it was reported that there were one- to two-week shipping delays on the iPhone 5C cases.While iLounge has already received one of the cases, Apple's online store says that ship time is still one to two weeks. It's unclear if customers will get their cases any earlier. Besides black, the $29 iPhone 5C cases will also come in five other colors, including pink, green, and yellow. The cases have cutouts in the lower half so that much of the phone's body still shines through. iPhone 5S owners also will get a choice of six solid color cases, but they will be made of leather and cost $39 each. Apple recently debuted two new models of the iPhone, a less-expensive 5C and the higher-end 5S, both of which are a replacement to last year's iPhone 5, which has been discontinued. The 5C is the only device up for preorder, with Apple planning to begin sales of the 5S model at 12:01 a.m. PT on Friday, Sept. 20, as well as through its carrier partners. The 5C phones appear to be shipping on time. As of this writing, according to Apple's online store, the devices will be delivered on September 20.This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.Play


Your Top Three: Ben Affleck Performances

Your Top Three is a series where we choose a topic and you give us your top three picks.Fans are still upset about Ben Affleck being cast as Batman in the Man of Steel sequel (maybe titled Batman vs. Superman). Could this go on for the next year and a half, until the movie actually hits theaters? It just might, but that;s a long time and in that time a lot of the naysayers could catch up with some Affleck performances that change their mind. I don;t just mean the films on his production slate that we haven;t yet seen (such as Runner Runner and the Gone Girl adaptation). I mean his past gigs that maybe aren;t being considered because reputations of stuff like his 2003 trio ofDaredevil, Gigli and Paycheck are clouding everyone;s judgment.No, Affleck is not an amazing actor. He;s often perfect for his part, though. I don;t think he necessarily shows award-worthy talent in Dazed and Confused, Pearl Harbor, The Sum of All Fears or even his recent Best Picture winner Argo. But he does the job sufficiently in every one. There;s never a case where Affleck;s performance is worse than the movie he;s in, which indicates that the times he comes off downright awful it;s probably the director;s fault. And outside of quality of his acting craft, if you simply don;t like his face or his style or his tone, well that;s probably just on you. Maybe sometimes on Kevin Smith, but mostly probably on you.Let;s just not say that Affleck is a bad actor. He;s not. He;s been doing it for a long time, since he was a kid on the wonderful Voyage of the Mimi show, and even if he doesn;t always go the super-serious performance route, he knows what he;s doing in front of a camera -- even as much as he does behind it, as the one has informed the other, and perhaps he just takes directing more sincerely because it;s a rarer thing.I can;t agree that he deserved acting awards from Blockbuster for Forces of Nature, Bounce and Armageddon, and I haven;t seen his Golden Globe-nominated stint in Hollywoodland or his Emmy-nominated role as a steroid-using football player on an episode of Lifestories. Maybe I believe he earned that Razzie Worst Actor dishonor for his 2003 triple threat if not his nomination for Worst Actor of the 2010s. But I think he;s pretty good in a bunch of films, my favorites of which are below.Here are my top three Ben Affleck performances:1.Good Will Hunting (as Chuckie Sullivan) - He;s a bit of a caricature, but a pretty good one. And he never holds the movie down given that he;s working with stronger talents like his buddy Matt Damon, his brother Casey and Robin Williams. His best part of my day speech and job interview scenes in particular are as well acted as they need to be.2.Boiler Room (as Jim Young) - Obviously influenced by Al Pacino;s part in Glengarry Glen Ross, his monologue scene in Ben Younger;s chop shop drama was his true first standout movie-stealing performance, and it;s still pretty terrific even if it;s a pretty small part. He had some Best Supporting Actor buzz for a bit with this, but not all performances are about awards or realism or drama. They;re to be remembered, and he;s always been the most memorable thing about Boiler Room.3.The Town (as Doug MacRay) - Maybe it;s because I think of his role here as being an older version of his Good Will Hunting character (his relationship with Jeremy Renner;s character is somewhat reminiscent of his relationship with Matt Damon;s). Maybe it;s that he not only knows how to direct other greater actors but he knows how to show his own strengths. Both are good enough for me.Your Picks (the top three in order being Hollywoodland, The Town and Chasing Amy):The Town, Chasing Amy, Dogma “@thefilmcynic: POLL: What are your top 3 Ben Affleck performances?— allflicker (@allflicker) August 28, 2013@thefilmcynic DOGMA, BOILER ROOM and JERSEY GIRL.— Adrian Charlie (@Adrian_Charlie) August 28, 2013@thefilmcynic Dogma, Boiler Room, Armageddon— Larry Wright (@refocusedmedia) August 28, 2013@thefilmcynic Hollywoodland, Good Will Hunting, The Town— Josh Gripman (@gripmonster) August 28, 2013@thefilmcynic The Town, Shakespeare in Love, Hollywoodland— Bryce Lane (@brycelane530) August 28, 2013@thefilmcynic Changing Lanes, Hollywoodland, The Company Men.— Craig Bloomfield (@DarkEyeSocket) August 28, 2013@thefilmcynic I actually have two: CHASING AMY and DOGMA.— Karen Backstein (@KarenatashaB) August 28, 2013@thefilmcynic Hollywoodland, The Town and.... Voyage of the Mimi— Samuel W. (@TheatrOfTheMind) August 28, 2013@thefilmcynic HOLLYWOODLAND, CHANGING LANES, BOILER ROOM— Terry McCarty (@TVMCCA) August 28, 2013@thefilmcynic Chasing Amy, The Town, Hollywoodland— Jason Seas (@jasonseas) August 28, 2013@thefilmcynic Chasing Amy (THE monologue gives me Feels everytime), The Town and Hollywoodland— mr. popcorn (@mr_popcorn) August 28, 2013@thefilmcynic the town, chasing amy, boiler room— justin robinson (@jrsuicide) August 28, 2013Join in the next discussion:and