MacWorld Day 1--Lord of the Keynotes Recap

by Brian Nakamoto. Here are Brian''s extensive notes:

Right Before The Keynote

- Security was more pronounced than in years past with several SFPD officers posted around Moscone Center and two K-9 units at the entrance to the keynote.
- Same as last year, the Moscone Center Espalande Ballroomwas filled to capacity.
- Same as last year, lots of applause and shouts for Steve when he took the stage
- Same as last year, nearly always, Steve wore a black turtleneck and blue jeans

Update

iPod

- Apple sold 125,000 iPods from November 10 to December 31, 2001.


Apple Retail Stores

- Apple opened 27 retail stores in 2001 with more planned for 2002.
- 40% of Apple Store customers do not own a Mac [unclear if online or retail]
- Macworld Expo and Conference’s estimated attendance in 2002 is 80,000. In December 2001, Apple’s retail stores had 800,000 visitors or [Steve is great at this] the equivalent of 10 Macworlds.


State of Maine

- State of Maine wanted to equip every 7th and 8th grade student and teacher with a wireless laptop
- So they made the largest education order in history: 36,000 iBooks
- Steve commented that makes 1 state down, 49 to go. “Texas is going to be a challenge.” [Texas is where Dell is headquartered.] Both comments received a lot of chuckles from the audience.


Mac OS X

- Emphasis on Mac OS X being “Unix Based”
- Unix programmers are becoming Mac programmers and Mac programmers are becoming Unix programmers
- The clock analogy [again] to describe Mac OS X’s 12 month transition
- Mac OS X was introduced in March 2001
- At 6 o’clock 10.1 was released
- At 9 o’clock the apps came growing from 500 to 2,500 apps after 10.1 was released
- Perhaps the most important Mac OS X app is office:mac v.X. Steve asked for applause for Microsoft who is thrilled with the current sales rate. The audience applauded well.


Adobe

- Shantanu Narayen, Executive Vice President [took stage]
- Highlighted network publishing vision from Seybold Seminars 2001
- Acrobat Reader, Illustrator X and AfterEffects 5.5 now shipping
- Today’s theme is Lord of The Rings [because Adobe used LOTR images for their demos]
- Adobe InDesign 2.0 preview [“release candidate”] manipulating LOTR article
- Adobe GoLive 6.0 preview
- Adobe LiveMotion 2.2 announced
- “We will bring all of our applications to Mac OS X”
- Adobe Photoshop preview
- Showed off AppleScript using Illustrator X and Photoshop
- Photoshop has spell check!


Palm

- Todd Bradley, Chief Operating Officer, Palm [took stage]
- Mention of USB cradles shipping with every Palm received a “golf clap”
- All Palms ship with “bonus software”
- Demoed Palm integration with Dock
- vCard and vCal support
- Demoed HotSync
- Download HotSynce public beta at www.palm.com/macintosh
- Judging from audience reaction, perhaps the least exciting presenter


FinalCut Pro

- Mike Evangelist, Director of Product Marketing, Mac OS X
- Demoed real time effects of ESPN’s “The Life”
- Demoed transitions, titles, and color correction
- Edit on PowerBook G4


Wolfram Research

- Mathematica
- Theodore Gray, Co-founder, Wolfram Research
- “What is Mathematica? What a word processor is to writing.”
- “It’s like everything looks better in OS X.”
- “The homework of the world doesn’t stand a chance.”
- Demoed complex animation that takes days to render. Commented how great it is to be able to render them in the background on his PowerBook without interruption.
- Side by side comparison of animation without [Windows] and with Quartz on OS X
- “World class antialiasing. Only in Quartz.”
- Great geek humor that the audience enjoyed, perhaps the most entertaining presenter
- Steve: “Lets move from integrals to games…”


Aspyr

- Mike Rogers, President, Aspyr Media
- Aspyr released 10 games for the Mac in 2001
- Harry Potter and The Sorcerer’s Stone preview [available in a couple of weeks]
- Sims Hot Date [available first part of this year]
- Star Wars Galactic Battle Grounds from Lucas Arts [coming to the Mac!]


Lucasfilm Ltd (Apple Customer)

- Dan Gregoire, Animatics Supervisor, LucasFilm
- Showed brief video message from George Lucas to Macworld
- Dan works at Skywalker Ranch on Episode II
- They us OS X, Maya and AfterEffects
- Demoed Maya wire frame to flat shade to fully textured and lit
- Over 4,000 shots created with 1,800 to appear in the movie, Episode II


All new Macs will boot-up in OS X

- Mac OS 9 will still be pre-installed

Digital Hub

- Introduced digital hub at Macworld SF 2001
- “Personal computers will be the center (digital hub) of our new digital lifestyle”
- DVD Players in 1 out of 3 American households
- People use MP3 players
- People use digital cameras
- Two categories of digital hub devices:


- Those that don’t need a computer like a camcorder and DVD player
- Those that are useless without a computer like an MP3 player and a digital camera


- In 12 months, Apple released:


- iMovie 2 which brings value to camcorders
- iTunes and iTunes 2 which brings value to MP3 players
- iDVD and iDVD 2 which brings value to DVD players



iMovie 2 Demo

- 13 year old Jonathan Winslow’s middle school school project
- “[Kids are] authoring in the primary medium of their generation.”


iDVD 2 demo

- Apple sold over 1 million DVD-R disks in last year
- New blank DVD-R disk price is $5 each down from $10 each


iTunes 2 demo

- Steve played George Harrison songs
- iPod mounted on desktop but didn’t sync, the only glitch of the keynote if you don’t count Steve’s need for assistance to turn on a digital camera.
- 8,000,000 copies of iTunes distributed so far


iPhoto

- 6,000,000 digital cameras sold in US last year; 30% of camera sales last year
- Import to Edit to Print - “The chain of pain”
- iPhoto lets you import with one button
- Easily edit (e.g. cropping)
- Print with a special print panel for iPhoto that has printer presets
- ColorSync support
- “Save, Organize, Share”
- Made iPhoto work like iTunes
- “Unfortunately, I don’t have Photoshop running on X yet.” Steve’s comments drew large laugh.
- iPhoto lets you do a slideshow complete with transitions and music
- iPhoto is integrated with iTools Homepage
- Use Kodak’s print service with 1-Click shopping
- No more “Let’s get out InDesign or Quark.”
- $29.99 for a book not counting tax, shipping and handling. Steve’s book cost $40.
- A 10 to 50 page book is $29.99 for first 10 pages and $3.00 page thereafter
- Apparently Mac OS X only due to its reliance on Quartz
- Free for Mac OS X owners to download today
- “iPhoto completes our digital hub applications” although Steve later noted that they plan to create more
- [While uploading photos, iPhoto told me that I had selected too many photos and to go back and choose only 48.]


Marketing

- Review of past digital hub Apple commercials
- New humorous iPhoto commercial called “Baby Jack” that should be posted online

iBook

- “Success”
- $1,199 entry 500Mhz
- $1,499 combo, 600Mhz
- $1,799 14” LCD, combo, 600Mhz, 256MB, 20GB, under 6lbs, 6hr battery
- All available starting today
- [Did not see the new 14” iBook at Apple’s booth]

iMac

- Introduced May ’98
- 3-year evolution
- Showed past iMac commercials to show evolution of iMac
- May ’98 to today sold 6,000,000 iMacs


The new iMac

- The ultimate digital hub
- 15” LCD


o 180 degree horizontal swivel
o Same viewing area as a 17” CRT
o “Twice as sharp and twice as bright”
o 1024x768 resolution
o Millions of colors
o “Official death of the CRT today”


- All models are G4 700 or 800Mhz


o “iDVD needs G4”


- SuperDrive in $1,799 model
- nVidia GeForce 2 MX (“3x faster than iMac of yesterday”)
- 2 Firewire ports
- 5 USB ports (2 are counting the keyboard)
- White Pro mouse and keyboard
- Steve Quotes:


o “The best thing I think we’ve ever done.”
o “All-in-one clearly the way to go.”
o “Let each element be true to itself.”
o “Jon Rubinstein and his hardware team has outdone themselves”


- New iMac rose from floor to applause
- Height only slightly higher than CD jewel case (mass applause)
- Base 10.5” in diameter
- Easily accessible from bottom:o Up to 1GB memory


o AirPort card


3 models


- All have:


o Keyboard
o Mouse
o Digital amplifier (i.e. internal speaker)
o 15” LCD
o Air Port ready


- $1,299


o 700Mhz G4
o 128MB RAM
o 40GB hard drive
o CD-RW
o Ships in March 2002
- Steve hopes every iMac customer upgrades


• - $1,499
• o 700Mhz G4
  o 256MB RAM
  o 40GB hard drive
  o Combo Drive (CD-RW/DVD-ROM)
  o Pro Speakers (external)
  o Ships in February 2002
  
• - $1,799
  

  o 800Mhz G4
  o 256MB RAM
  o 60GB had drive
  o SuperDrive (CD-RW/DVD-R)
  o Pro Speakers (external)
  o Ships at the end of this month
  o “Cost $4,500 a year ago”
  

- Taking orders starting today
- First order from Genentech for 1,000 iMacs
- For small businesses, large businesses and universities
- Showed video for new iMac (now on Apple’s website)
- Loud applause after video
- Partial standing ovation from the Media section
- Steve thanks all of their departments

Strategy

Innovate


- Mac OS X
- Ti PowerBook G4
- iBook
- iPod
- SuperDrive
- iDVD
- iTunes
- iPhoto
- The new iMac
- “See the future that is the digital hub which is the future of the PC”

Close

- “If you haven’t already heard…” (referring to TIME Canada’s leak last night)
- Showed TIME magazine cover
- Everyone got a copy of this week’s TIME leaving the keynote