MacRumors

In a new article centered on the first-year sales of the Apple Watch, The Wall Street Journal reports that Apple is working on including cellular network connectivity and a faster processor in the so-called Apple Watch 2.

There are relatively easy fixes for some concerns. Apple is working on adding cell-network connectivity and a faster processor to its next-generation Watch, according to people familiar with the matter.

The addition of standalone cell-network connectivity onto the wrist-worn device could bring some benefits to users, particularly those who are frustrated with the current generation's heavy reliance on a tethered iPhone to provide basic iMessage and phone call functionality. Although such a feature would undoubtedly require an additional data plan, on top of one they might already have for both the iPhone and iPad, benefits like using GPS, making phone calls, and streaming Apple Music without an iPhone nearby could outweigh the cons for some users.

The new hints given for the next-generation Apple Watch come on the heels of a collection of rumors that point to the upcoming version of Apple's wearable gaining much-requested independence from the iPhone. Apple began implementing a third-party push for iPhone independency by announcing that all watchOS apps submitted to the App Store after June 1, 2016 will be required to be native applications.

Such updates to watchOS, which Apple introduced in watchOS 2, allow the wearable device to open apps more quickly and provide a smoother experience to users, instead of having to transmit data back and forth between a Bluetooth-connected iPhone. The mention of "a faster processor" in today's report is something largely expected from a product update cycle by Apple, but it should compound the company's efforts to introduce an all-around faster UI for the Apple Watch 2.

Using speculative analyst analysis, The Wall Street Journal also compared the first year of the Apple Watch to the first year sales run of the iPhone, from 2007 to 2008. The analyst estimate puts Apple Watch sales at 12 million units from its launch on April 24, 2015 to the same day in 2016. That number is double the original iPhone's sales of 6 million units in its first year.

The latest rumors for the Apple Watch 2 conflict somewhat in regards to upgrade stats and release dates. One report has suggested that the new wearable will be 40 percent thinner and launch as soon as June, while a more recent research note from KGI Securities analyst Ming-Chi Kuo points to only minor form factor changes and a heavier focus on internal improvements. Kuo predicted the Apple Watch 2 will launch in the fall, alongside the iPhone 7.

iFixit has completed an in-depth hardware teardown of the new 12-inch Retina MacBook that reveals only minor under-the-hood changes to Apple's ultra-slim notebook compared to the 2015 model.

Specifically, Apple has slightly tweaked the notebook's USB-C hardware by permanently affixing the cable to the USB board. The new arrangement is not compatible with the original 12-inch MacBook.

Apple has also switched from using a tri-wing screw to a repair-friendly Phillips screw, but the notebook's Torx hinge screws are filled with a tamper-evident substance that disintegrates when you insert a screwdriver.

iFixit confirmed that the slightly-longer-lasting 41.4-watt-hour battery in the 12-inch MacBook is not visually distinguishable compared to the 39.7-watt-hour battery in the 2015 model, suggesting improved battery chemistry.

The logic board and other internal components yielded no significant surprises, while the notebook's exterior looks virtually the same beyond a new Rose Gold color finish and an updated EMC number of 2991.

iFixit lists the new 12-inch MacBook's logic board chips as follows:

The new 12-inch MacBook retained a repairability score of 1 out of 10, which is the lowest score possible, as the processor, RAM, and flash storage are still soldered to the logic board, and the battery remains entirely glued into the lower case.

iFixit has a dozen replacement guides for 12-inch MacBook do-it-yourself repairs.

Less than five months before Apple is expected to launch the iPhone 7 and iPhone 7 Plus, supply chain rumors continue to suggest that the next-generation smartphones will be both fully waterproof and dustproof.

Apple is also reportedly testing a touch-sensitive home button for its upcoming flagship handset, possibly meaning the iPhone 7 could have a flush home button, according to Taiwanese website DigiTimes (via I4U News).

In September, a source on Chinese microblogging service Weibo said the iPhone 7 will have a strengthened, waterproof frame, backed up by a Fast Company report that also claimed the device will be thinner than the iPhone 6s. Rumors suggest the iPhone 7 could be as thin as 6.1mm like the iPod touch.

Rumors surrounding the home button on future iPhones are less consistent. Back in June 2015, a report claimed that Apple was looking to develop new display technology with "integrated fingerprint sensors," potentially allowing for the company to eventually do away with the iconic home button on iPhones.

Last month, Apple was granted a patent for a pressure-sensitive Liquidmetal home button that deforms slightly when pressed, but returns to its normal shape when the user removes their finger or thumb. Apple has annually renewed its exclusive rights to use the malleable alloy since 2010, but has yet to do so in a major way.

Last week, Barclays analyst Mark Moskowitz speculated that Apple will skip its traditional "S" upgrade cycle next year and introduce the iPhone 8 without a physical home button. Apple's single-chip solution for touchscreen and display drivers could allow for a Touch ID-enabled screen, eliminating the need for a separate home button.

iPhone 7 and/or iPhone 7 Plus models are also rumored to feature a Smart Connector, dual-lens cameras, no 3.5mm headphone jack, repositioned antenna bands, stereo speakers, wireless charging, and a larger battery, but Apple may hold off on some features until its next iPhone with OLED in 2017.

The CEO of Chinese conglomerate LeEco has called Apple's product design "outdated" and "obsolete" in an international TV interview, following the company's unveiling of its first self-driving supercar in Beijing last week (via CNBC).

Jia Yueting is both CEO and chairman of LeEco (formerly LeTV), often referred to as the "Netflix of China", but which has a product range that spans smartphones, TVs, mountain bikes, and now electric vehicles. The 43-year-old entrepreneur began his career as a tech support worker before building his own IT and mobile company, estimated to be worth around $4.8 billion. The Chinese media company is also a strategic partner with US-based electric vehicle company Faraday Future (FF).

Jia spoke at a meeting of the China Entrepreneur Club, an exclusive summit of business leaders, where he explained why competition in the Chinese market from the likes of Apple did not worry him.

"We think the difference between us and Apple is very large. Apple is a mobile phone company focused on hardware and software," Jia said. "LeShi [another name for LeEco] is focused on the internet first, and only then on software, and finally on hardware."

Apple only has individual apps. This was the right choice during the first generation of mobile net, when CPUs and the mobile network speeds were not fast enough. However now we're moving into the next era of mobile internet, these problems no longer exist. Moreover, having separate apps just means great obstacles in the user experience. We hope to break down these obstacles.

One of the most important reasons [for slowing sales] is that Apple's innovation has become extremely slow. For example, a month ago Apple launched the iPhone SE. From an industry insider's perspective, this is a product with a very low level of technology. We think this is something they just shouldn't have done.

As an industry leader, Apple should be developing more cutting-edge products. The iPhone was still a leader five years ago after being launched in 2008 but now the concept has fallen behind.

We believe the next generation of mobile internet will be more open, more ecosystem oriented instead of being a closed loop. Ironically, Apple's over-dominance, lack of internet-thinking and the closed off nature of its systems, all hindered innovation in the internet mobile industry.

Apple Car rumors have gained momentum since early last year, when The Wall Street Journal reported that Apple has hundreds of employees working to develop an electric vehicle under the codename "Project Titan." The bulk of research and development may be taking place in secretive buildings in Sunnyvale, California, where late night "motor noises" have been heard in recent months, while one report claimed that Apple may have a facility in Berlin, too.

Apple's global iPhone shipments will fall short of analysts' consensus estimates of 210 to 230 million units in the 2016 fiscal year, according to a new research note issued by respected KGI Securities analyst Ming-Chi Kuo. In a worst case scenario, iPhone shipments in 2016 are expected to reach just 190 million units, which is an 18% reduction in shipment growth and 3 million fewer iPhones than Apple sold in 2014.

Even in a best case scenario, said Kuo, Apple is expected to sell 205 million units, 5 million short of the lower end of analysts' estimate range and amounting to a 11.6% reduction in growth. Regardless of the best or worst case scenario, Kuo predicts Apple will underperform the industry and become the only global top-five smartphone brand to see shipments decline in 2016.

Given the fact that shipments fell YoY for the first time in 1Q16, we don't think large-screen replacement demand will contribute much to growth. To sustain growth, the iPhone needs to come up with more innovative features to revitalize the user experience, for example in form factor design, software and hardware specs. We don't see many attractive selling points for iPhone 7 in 2H16 and are conservative on 2H16F shipments. While we revise up 2016F iPhone SE shipments from 12mn to 18mn units, this won't offset overall iPhone shipments decline.

Kuo's note predicts that out of Samsung, Apple, Huawei, Oppo, and Vivo, only Apple will see shipments fall year-on-year, which suggests to KGI Securities that the decline in iPhone sales can't be solely blamed on industry structure.

"While we believe the high-end smartphone market still has room for growth, the development of a newer, more innovative user experience is a prerequisite for growth," said Kuo. "We believe only iPhone will see shipments fall YoY in 2016, for three reasons: (1) intensification of market competition; (2) time needed for commercialization of new user experience technologies; and (3) iPhone needs a makeover (e.g. form factor design) to keep attracting consumers."

As far as a handset makeover is concerned, rumors indicate the iPhone 7 will share a design similar to the iPhone 6s, but may be slightly thinner, perhaps through the removal of the 3.5mm headphone jack and the implementation of a thinner Lightning port. Antenna bands across the back of the device may be removed, but are expected to remain at the top, bottom, and sides of the iPhone, while the rear camera may be flush with the case.

Other rumors suggest Apple may be planning to introduce two versions of the iPhone 7 Plus – one with a single lens and a second with a dual-lens camera system that offers DSLR-like image quality with 2-3x optical zoom and improved performance in low light conditions. Whatever form the iPhone 7 takes, Apple will be hopeful of exciting consumers in ways that perhaps the iPhone SE could not, as the company strives to overcome what some commentators have called "peak iPhone".

Apple's earnings announcement for the second fiscal quarter (first calendar quarter) of 2016 takes place on Tuesday, April 26, and will provide a look at sales of the iPhone 6s, 6s Plus, and SE following Apple's record first quarter, which saw the company announce 74.8 million iPhone sales and $18.4 billion profit on $75.9 billion in revenue.

Apple has warned that iPhone sales will decline in the March quarter and has provided Q2 2016 guidance of $50 to $53 billion in revenue and gross margin between 39 and 39.5 percent. Should Apple only take in $50 to $53 billion, the company will see its first year-over-year revenue drop in 13 years.

The U.S. Justice Department dropped its fight to get Apple to help it unlock an iPhone in a New York drug case after someone provided the device's passcode to authorities. In a letter to the judge, obtained by BuzzFeed News, prosecutors explained they no longer needed Apple's assistance.

The government respectfully submits this letter to update the Court and the parties. Yesterday evening, an individual provided the passcode to the iPhone at issue in this case. Late last night, the government used that passcode by hand and gained access to the iPhone. Accordingly, the government no longer needs Apple's assistance to unlock the iPhone, and withdraws its application.

In a statement, also procured by BuzzFeed News, Justice Department spokeswoman Emily Pierce said the case was never about setting a precedent, but instead about law enforcement's "ability and need to access evidence on devices pursuant to lawful court orders and search warrants." Pierce said that now that they have access to the data they wanted they no longer need any help.

Last week, Apple filed a refusal to help the Department of Justice unlock the phone at the center of the New York case, claiming that the government had not yet exhausted all other means of getting the data. Apple argued that the government should have provided evidence it exhausted all other options before asking Apple for help. Additionally, Apple said the FBI did not adequately demonstrate that the method it used to unlock San Bernardino shooter Syed Farook's iPhone would not work on the iPhone in the New York case.

In late February, U.S. Magistrate Judge James Ornstein ruled that the FBI lacked the legal authority to order Apple to hack the New York iPhone. The U.S. Justice Department filed an appeal in March, and Apple responded with a denial last week.

The New York case dates back to October 2015, with the FBI seeking to access data from an iPhone 5s belonging to Brooklyn drug dealer Jun Feng. Although the FBI used "hackers" to access Syed Farook's iPhone 5c, FBI Director James Comey says the method does not work on the iPhone 5s or later. Feng's iPhone 5s is running iOS 7, which Apple does have the means to access, but the company is refusing to do after taking a harder stance on customer privacy and encryption.

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.

The ticket lottery for Apple's 2016 Worldwide Developers Conference ended this morning at 10:00 a.m. Pacific Time, and it appears that some developers who have won tickets are seeing charges on their credit cards. Several MacRumors readers have had their cards charged, and there are reports of charges on Twitter.

Apple has said developers who win the ticket lottery will be notified by Monday, April 25 at 5:00 p.m. PDT, so some confirmation emails may not be sent until that time.

Apple's ticket lottery started on Monday, April 18, giving all developers a chance to enter to win an opportunity to purchase a ticket for $1,599. For the last several years, Apple has distributed tickets via a lottery system as interest in the Worldwide Developers Conference far exceeds capacity.

350 WWDC scholarships are being provided to students and members of participating STEM organizations, and in 2016, Apple is also offering 125 scholarships to aspiring developers with financial limitations.

The 2016 Worldwide Developers Conference will take place on June 13 to 17 at Moscone West, but the keynote event will be held at the Bill Graham Civic Auditorium, a venue able to accommodate more guests. Apple is expected to announce new versions of iOS, OS X, watchOS, and tvOS at the keynote.

Throughout the rest of the week, developers will be able to interface with more than 1,500 Apple engineers and attend more than 100 technical sessions and hands-on labs. Developers who do not win a ticket will be able to watch live streams of WWDC sessions that will cover a range of topics from the iPhone and iPad to the Apple Watch and Apple TV.

(Thanks, Filipe and Leigh!)

As work on its car project progresses, Apple has been snapping up a huge number of employees with expertise in the automotive industry from companies like Tesla, Ford, GM, Volkswagen, Bosch, and more, along with researchers who have expertise in autonomous vehicles and electric car platforms.

Each of these hires gives us a glimpse into the ideas Apple is potentially exploring for its Apple Car, and a set of recent hires suggests Apple is hard at work prototyping car parts designed for the project as research continues.

Former Tesla employee David Masiukiewicz recently left Tesla to join Apple, reports 9to5Mac. At Tesla, Masiukiewicz was a Senior CNC programmer who worked on hardware prototyping, and at Apple, he's listed as a "Senior Model Maker" in the "Product Realization Lab" where Apple prototypes new parts and designs for the Mac, iPhone, and iPad. His job description gives hints as to what he produced for Tesla:

Precision 5 axis CNC machining of powertrain, suspension and chasis components using CATIA v5 and Openmind hyperMILL software. Programming of Mill/Turn equipment using Esprit.

In response to a question about why he left Tesla for Apple on one of his social media sites, Masiukiewicz declined to give details but said "Apple provided me with many compelling reasons to come work for them."

Kevin Harvey, who joined Apple last year after working in the CNC machine shop at Andretti Autosport, is also working in the Product Realization Lab. Neither Harvey nor Masiukiewicz are confirmed to be working on Apple's car project, but given their previous expertise, it's highly likely their roles at Apple are car related rather than focused on prototyping future iPhones and iPads.

Today's hiring news comes following a report earlier this week suggesting former Tesla vice president Chris Porritt has left the company to join Apple, perhaps for a key role developing the Apple Car.

Apple has shared a new television ad called "Siri and Liam" to celebrate Earth Day, which is today, April 22. In the 15-second spot, Siri asks Apple's recycling robot Liam what he is doing for Earth Day, before it humorously takes apart the iPhone. It is Apple's second Earth Day ad, the other being "Renewable Energy," shared in the past 24 hours, and continues the company's environmental push this month.

Apple's Earth Day initiatives this year include turning Apple Store logos green, providing retail employees with green t-shirts, offering a selection of Earth-inspired Apple Music playlists, and launching an "Apps for Earth" promotion in support of the World Wildlife Fund. The company also released its annual environmental responsibility progress report [PDF] covering the 2015 fiscal year last week.

Apple has released a brand new ad called "Renewable Energy," which takes place entirely within the Messages app. The ad is focused on explaining how 100% renewable energy at Apple's data centers enables users to send and enjoy iMessages to and from friends.

Apple is celebrating Earth Day by updating its retail stores' logos with green accents and providing retail employees with green shirts. The company is also promoting stores that run on 100% renewable energy with new signage.