MacRumors

Apple today seeded the third watchOS 2 beta to developers, just over two weeks after seeding the second watchOS 2 beta and a month after announcing the new operating system update at its Worldwide Developers Conference.

watchOS 2 requires iOS 9 and can be downloaded over-the-air through the Apple Watch app on the iPhone by going to General -> Software Update.

watchOS 2 is the first major update to the software that runs on the Apple Watch. The new software brings many new features that Apple Watch developers can take advantage of, including native apps that run on the Apple Watch itself instead of the iPhone. It also allows developers to access the Taptic Engine and a number of other sensors in the Apple Watch, including the heart rate monitor, the microphone, and the accelerometer.

Along with these features for developers, which will lead to much more complex and full-featured third-party Apple Watch apps, the update introduces new watch faces (photo albums and time-lapse), third-party Complications, Time Travel for viewing upcoming events in a watch face Complication, and a Nightstand mode that's activated when the watch is charging, displaying the time.

watchOS 2 is currently only available to registered developers who have also installed iOS 9 on their iPhones. Apple plans to release the software to the public in the fall.

Apple today seeded the third beta of iOS 9 to developers for testing purposes, just over two weeks after releasing the second beta and exactly a month after unveiling the new operating system at the 2015 Worldwide Developers Conference.

The update, build 13A4293f, is available through Apple's over-the-air updating system on iOS devices and is also available for download through the Apple Developer Center.

As promised by Eddy Cue last week, today's beta includes the updated Music app, allowing those running iOS 9 to access the new Apple Music service and the Beats 1 radio station. Today's beta also includes the new News app, a new two-factor authentication system, and more. For a full rundown of changes, make sure to check out our iOS 9 beta 3 tidbits post.

iOS 9 is Apple's newest operating system, focusing on intelligence and proactivity. It allows iOS devices to learn user habits and act on that information, providing recommendations on places we might like, apps we might like to use, and more. Siri is smarter in iOS 9, with the ability to create contextual reminders, and search is improved with new sources.

Many of the built in apps have been improved, including Notes, Maps, and Mail. Passbook has been renamed to Wallet, and iOS 9 introduces split-screen multitasking for the iPad along with a revamped keyboard. In addition to these consumer-facing features, iOS 9 brings significant under-the-hood performance improvements.

With battery optimizations, iOS devices have an additional hour of battery life, and a new Low Power Mode extends the battery even further. iOS updates take up less space in iOS 9, and many app install sizes are smaller due to a feature called app thinning. iOS 9 is capable of running on all devices that support iOS 8.

iOS 9 is currently only available to developers, but Apple plans to introduce a public iOS 9 beta in July before the final release of the software in the fall.

Apple today released the third beta of OS X 10.11 El Capitan to developers for testing purposes, just over two weeks after releasing the second El Capitan beta and a month after unveiling the new operating system at its 2015 Worldwide Developers Conference.

The update is available through the software update mechanism in the Mac App Store and through the Apple Developer Center.

OS X El Capitan largely builds on the features introduced with OS X Yosemite, focusing on improving performance and user experience. Behind-the-scenes improvements in El Capitan have made a number of apps and processes on the Mac much faster, and the introduction of Metal makes system-level graphics rendering 40 percent more efficient.

Along with a new systemwide font, El Capitan includes a revamped Mission Control feature, a new Split View feature for using two full-screen apps at once, deeper functionality for Spotlight, and several new features for Safari, including Pinned Sites for housing frequently-visited websites and a universal mute button that quiets all tabs.

OS X 10.11 El Capitan is currently only available to registered developers, but Apple plans to offer a public beta of the software in July. Following testing, El Capitan will see a final release in the fall of 2015.

What's new in OS X El Capitan beta 3:

Two-Factor Authentication - iOS 9 and OS X 10.11 El Capitan include an entirely revamped two-factor authentication system.

Photos app - As in iOS 9 beta 3, there are new albums for selfies and screenshots in the Photos app in El Capitan beta 3.

Spotify is sending emails to its customers encouraging them to stop paying for the Spotify music service through Apple's App Store, reports The Verge. The email informs customers they can save $3 per month on their Spotify fees by canceling their App Store Spotify subscription and resubscribing through the Spotify website.

Spotify subscriptions that people signed up for using the App Store are priced at $12.99 to account for the 30 percent fee that Apple collects for all app and subscription revenue routed through the App Store. The same service is priced at $9.99 through Spotify's website.

Customers who subscribe to Spotify through the App Store might mistakenly think that Spotify is more expensive than Apple's new streaming service, Apple Music, which is also priced at $9.99 per month. That's true, but only when the service is purchased via the App Store.

Spotify's emails are accompanied by a step-by-step tutorial that walks customers through the process of turning off auto-renew on their App Store subscriptions and then instructs them to wait for the service to run out before resubscribing to the Spotify service on the web.

Spotify continues to be the dominant on-demand streaming service in the music industry with 75 million active users and 20 million paid subscribers, but it is unclear what impact Apple Music will have on the company's business.

Apple is asking suppliers to assemble a record-breaking 85 to 90 million units of its next-generation iPhone models combined by year-end, according to The Wall Street Journal. That order tops the reported 70 to 80 million iPhone 6 and iPhone 6 Plus units that Apple ordered during its initial production run last year.

The report reiterates rumors that the so-called "iPhone 6s" and "iPhone 6s Plus" will feature both Force Touch, which can distinguish between a light tap and deep press, and a new color option, likely rose gold or pink. Foxconn and Pegatron are expected to be the main suppliers of the next-generation iPhones, while Apple may elect to use a third assembler Wistron to help fulfill the record-breaking number of orders.

The next-generation iPhones will reportedly enter mass-production starting next month and are expected to retain the same 4.7-inch and 5.5-inch screen sizes and current display resolutions. The "iPhone 6s" and "iPhone 6s Plus" are widely expected to be announced in September with a focus on non-cosmetic improvements such as an A9 processor with 2GB of RAM, Force Touch, faster Qualcomm LTE chip and improved 12-megapixel rear-facing camera.

In a letter to Microsoft employees sent out this morning, company CEO Satya Nadella confirmed that over the next few months Microsoft will undergo a massive restructuring mainly focused on its phone business and which will see the loss of "up to 7,800 positions globally."

In addition, the company will take a $7.6 billion impairment charge and an estimated restructuring cost of $750 million to $850 million as Microsoft attempts to rebuild its phone hardware division after its 2013 acquisition of Nokia's hardware units that has failed to generate momentum.

In his letter to Microsoft employees, Nadella reaffirmed that he doesn't take such changes lightly, and that the company has plans for its future, with Microsoft moving from a hardware-focused phone strategy and pivoting to the building of a "vibrant Windows ecosystem."

I don’t take changes in plans like these lightly, given that they affect the lives of people who have made an impact at Microsoft. We are deeply committed to helping our team members through these transitions.

I am committed to our first-party devices including phones. However, we need to focus our phone efforts in the near term while driving reinvention. We are moving from a strategy to grow a standalone phone business to a strategy to grow and create a vibrant Windows ecosystem that includes our first-party device family.

As the iPhone and Android devices have taken increasingly large shares of the smartphone market, Microsoft's Windows Phone division and BlackBerry have struggled to compete, seeing their market shares fall to the low single digits in many countries. Nadella's suggestion of Microsoft's phone business shifting to a more software-focused angle could point towards services like Cortana -- already announced to be coming to iOS later this year -- seeing an increase in attention and focus from Microsoft in the coming months.

The U.S. District Court for the Eastern District of Texas on Tuesday voided $532.9 million in damages awarded to patent licensing firm Smartflash LLC in February in an iTunes-related patent lawsuit, per Reuters.

The report claims federal judge Rodney Gilstrap has set a new damages trial on September 14 after ruling that "his jury instructions might have 'skewed' jurors' understanding of the damages that Apple should pay."

Apple was initially ordered to pay $532.9 million in damages to Smartflash LLC after a federal jury in the Tyler, Texas courtroom found certain iTunes apps to be infringing upon the company's patents related to digital rights management, data storage and managing access through payment systems.

Apple countered that Smartflash LLC was exploiting the patent system to collect royalties.

“Smartflash makes no products, has no employees, creates no jobs, has no U.S. presence, and is exploiting our patent system to seek royalties for technology Apple invented,” said Kristin Huguet, an Apple spokeswoman. “We refused to pay off this company for the ideas our employees spent years innovating and unfortunately we have been left with no choice but to take this fight up through the court system.”

Smartflash LLC was originally seeking $852 million in damages, and claimed it was entitled to a percentage of sales of Apple products used to access iTunes, such as iPhones, iPads and Macs. Apple argued that $4.5 million was fair at most, claiming it does not infringe upon any of Smartflash LLC's inventions and that its patents are invalid.

Apple likely still faces a fine of a different amount pending the results of the new damages trial scheduled for September, but the iPhone maker plans to appeal the decision.

Apple Pay in the United Kingdom has yet to officially launch, but some banks are preparing for the upcoming release of the payments service and have begun allowing customers to register their cards for use with Apple Pay.

Several Santander customers on the MacRumors forums have been able to successfully add their cards to Passbook for use with Apple Pay, making the cards available on both their iPhones and their Apple Watches.

Customers registering their cards are also receiving confirmation emails from Santander, informing them that they're now able to use Apple Pay. As of the time of writing, customers have not yet tested the Apple Pay service at a location that accepts Apple Pay. One customer was told the bank's system is not live and that customers who were able to mistakenly register early would be de-registered, so it is not clear if the registered cards will be able to be used to make purchases.

Activating a Santander card with Apple Pay at this time requires U.K. users to set their region to U.S., add a card, and change their region back to U.K., at which point the card remains available in Passbook. It's clearly a workaround, but a sign that banks are preparing to accept Apple Pay in the near future.

Other banks, like MBNA and Nationwide, are giving error messages like "Contact Card Issuer" and "Your Issuer Does Not Yet Offer Support."

It is not clear exactly when Apple Pay will become officially available in the United Kingdom, but during its Worldwide Developers Conference, Apple said the payments service would launch in July. Recently released employee training documents have suggested the launch could come next week, on Tuesday, July 14. 250,000 merchants are expected to support Apple Pay in the U.K. when it is released.

Update: One of the Santander customers who was able to activate his card for use with Apple Pay was able to use it at a McDonald's to make a purchase.

Update 2: Santander customers who were able to activate their cards are now receiving email notifications letting them know the Apple Pay service is no longer available for use.

As it works on introducing some major changes to the third-party accessory sections of its retail stores, Apple has launched a new section in its online store dedicated to "Apple Tested Cases."

The new page is displayed alongside third-party iPhone and iPad cases and outlines the testing procedures for Apple-approved Made for iPhone/iPad (MFi) third-party cases that Apple sells both online and in its retail stores. Designed to reassure customers about the quality of the third-party accessories available from Apple, the site goes over several testing parameters that cases must meet, including design, camera, acoustics, sensors, and cellular and wireless.

We analyze how a case fits, so you can still access every button, port, and jack. And a series of drop tests tells us the design is strong enough for day-to-day use.

Each case must fit the iPhone or iPad exactly, leaving all ports and features accessible. The camera and flash must be unobstructed, cases can't interfere with FaceTime, phone calls, or audio sound, and sensors for ambient light and Touch ID must work the same with the case on and off. Cellular, Wi-Fi, and NFC connectivity are also tested, with each case needing to meet Apple's standards for signal quality.

Apple has long engaged in these testing procedures to make sure accessories are compliant with its MFi programs, but the launch of the "Apple Tested Cases" page marks the first time that Apple's prominently shared its testing guidelines with the public.

The introduction of the page comes as Apple prepares to revamp the third-party accessory sections in many of its retail locations, cutting down on the number of accessories offered and packaging many of them in boxes that were co-designed by Apple to match the packaging of its own products.

Apple Watch sales in the United States appear to have slowed down significantly in June based on new data that research firm Slice Intelligence shared with MarketWatch. Following a steep decline in the days after Apple Watch pre-orders commenced, which is to be expected of any product, daily U.S. sales remained relatively stable through May before experiencing a large drop-off last month as launch momentum begins to wane.

The report claims that Apple is now selling fewer than 20,000 watches per day in the United States, and fewer than 10,000 on certain days, while the logarithmic chart above indicates that sales dipped to as low as 4,000 to 5,000 units per day in late June. The data does not account for sales in Canada, Australia, United Kingdom or the twelve other countries where the Apple Watch is sold outside of the United States.

Slice Intelligence claims that two-thirds of Apple Watches sold to date have been the entry-level Sport model, far outselling the more expensive stainless steel Watch and 18-karat gold Edition models that start at $549 and $10,000 respectively. The research firm estimates that Apple has sold fewer than 2,000 luxury Apple Watch Edition models in the U.S. through June.

Slice Intelligence previously estimated 1 million Apple Watch pre-orders at launch, an average 30,000 Apple Watch sales per day in late May and an estimated 2.8 million total sales as of mid June. The research firm's sales estimates are based on e-receipt data from online shoppers in the United States that opted-in to have their inboxes tracked for email receipts.

Apple has not publicly disclosed any Apple Watch sales figures since the wrist-worn device launched in April, and will be grouping the device under its "Other Products" category, which combines sales of Apple Watch, iPod, Apple TV, Beats Electronics and accessories, in its quarterly fiscal reports. Apple's Q3 FY 2015 results are scheduled to be released on July 21 at 2:00 PM Pacific.

Apple CEO Tim Cook has been named as one of eight new board of trustee members at his alma mater Duke University, where he earned his MBA from the Fuqua School of Business in 1988, the school announced today. Cook began serving his six-year term on July 1 and will assist the governing body in determining Duke University's educational mission and fiscal policies.

The other new trustees are The Coca-Cola Foundation chairwoman Lisa Borders, PRM Advisors founder Patricia Morton, NBA commissioner Adam Silver and ValueAct Capital CEO Jeff Ubben. Duke University also appointed three observing members on the board, including Elastic Fabrics of America marketing executive and Duke alum Jack Boyd, recent Duke graduate Anna Knight and Duke JD/MBA candidate Ben Shellhorn.

Cook returned to Duke University in 2013 for his 25th reunion and participated in an hour-long dialogue with Fuqua School of Business Dean Bill Boulding and students about why Apple is successful, collaboration, ethical leadership, career planning, inspirational leaders, intuitions and more. The embedded playlist of videos above will play through each of the seven clips that the university shared.

Cook has also long been a supporter of Duke University basketball and took several photos with fans during the school's NCAA Final Four men's basketball championship winning game against Wisconsin on April 6. The chief executive made headlines at the time for wearing an Apple Watch, which became available for pre-order four days later before officially going on sale April 24.

Apple has announced that its first retail store in Queens, New York, located at the Queens Center shopping mall in the Elmhurst neighborhood, will have its grand opening on Saturday, July 11 at 10:00 AM local time. The new Apple Store at 90-15 Queens Boulevard will be open between 10:00 AM and 9:30 PM on Monday-Saturday and between 11:00 AM and 8:00 PM on Sunday.

Apple's first retail store in Queens will mark its eighth location in New York City, with six existing locations in Manhattan and one in Staten Island. Apple is also planning to open its first retail store in Brooklyn, having signed a long-term lease for a 20,000 square-foot building at 247 Bedford Avenue in Williamsburg, although those plans are running behind schedule after the store missed its original April 2015 grand opening target.

Apple recently opened its new Upper East Side store in Manhattan at 940 Madison Avenue, on the corner of 74th Street, on the site of a former banking complex built in 1921 that previously housed luxury retailer VBH. The company also plans to renovate its iconic Fifth Avenue store and temporarily relocate to the vacating FAO Schwarz toy store in the same General Motors Building plaza.

Cybersecurity firm Hacking Team experienced a data breach earlier today, resulting in 400 GB of its documents being leaked onto the Internet, reports The Guardian. The documents confirm Hacking Team's ability to infiltrate and monitor jailbroken iPhones on behalf of government law enforcement agencies like the NSA, as noted by Macworld.

Much has been speculated before and after Edward Snowden’s release of a trove of National Security Agency (NSA) documents in 2013 about the capabilities of the United States’ agencies as well as those of allies and enemies. The Hacking Team dump reveals quite a bit more about the routine functions of third-party suppliers into that ecosystem, including specifically enumerated capabilities.

iOS users should therefore take note that the long-running concern that jailbroken iPhones and iPads were susceptible to vulnerabilities that could include access by so-called state actors appears to be confirmed by the data breach.

Hacking Team's software would need to be installed on a jailbroken iPhone, but the firm has the ability to jailbreak and infect a phone with its software via a malware-infected trusted computer the phone is connected to. In the firm's pricing list [PDF, requires Chrome], it's revealed hacking an iOS device costs €50,000 ($55,242) and includes "features" like Skype, WhatsApp and Viber chats, location, contacts and lists of calls. However, this service also includes a prerequisite of a jailbroken iPhone.

Hacking Team uses a legitimate Apple enterprise signing certificate, which is used by corporations to create software that can easily be installed on employee devices, combined with jailbroken iOS devices to bypass iOS app installation protections. Additionally, Hacking Team developed the ability to create a malicious Newsstand app that could capture keystrokes and install monitoring software.

Last year, researchers working independently of each other at Kaspersky Lab and Citizen Lab discovered components of Hacking Team's tools and how they were used by government agencies to steal data from mobile devices, but the full extent of the software hadn't been confirmed until now.

Data breaching software and Apple devices have been in the news before, most famously in last year's celebrity iCloud data breach, where it was discovered that hackers were using ElcomSoft Phone Password Breaker, software intended for government and law agencies, to steal usernames and passwords to access iCloud backups.

While much of the discussion around government agencies and citizen data has revolved around mass collection, Hacking Team's software is designed to attack individual devices rather than a vast network. It's likely that the exploits detailed in Hacking Team's documents will be addressed and patched up in future iOS and Mac software updates.

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