Tim Cook discusses Google selling Motorola, says iPhone hasn’t hit a ceiling, and more from full WSJ interview

After posting excerpts last night, in which Tim Cook announced Apple’s share buyback of $14 billion in the last two weeks, The Wall Street Journal has now published the full interview with Apple’s CEO.

The interview repeats many of the comments Cook has made to investors in the past, reaffirming that new product categories under development, but does contain some new, interesting tidbits. For instance, Wakabayashi asked Cook about Google’s disposal of Motorola. Cook says he “wasn’t surprised” that Google sold it off, saying that software and hardware integration is what makes Apple unique as a company.

WSJ: What did you think of Google selling Motorola to Lenovo?

Cook: I wasn’t surprised. It seems like a logical transaction. Google gets rid of something that’s losing money, something that they’re not committed to. I think it’s really hard to do hardware, software and services and to link all those things together. That’s what makes Apple so special. It’s really hard, so I’m not surprised that they are not going to do that.

The Journal also pressed Cook on the share buyback program. Although snippets of Cook’s reply were in the article from last night, the full response puts Cook’s answers in better context.

We recognize that we have more money than we need to run our business and invest for the future and invest in new products and acquire new companies and invest in capex, etc. We fully recognized that. We even said after we more than doubled it that we’re going to look at this thing every year. And each time we do this, we go back out to shareholders and listen to them. They’re owners of the company. We’re looking at tax policy. It’s a fairly complex set of things to consider. It’s not a simple thing.

But we also wanted a program that’s flexible. We wanted to take advantage of opportunities that came our way. Those opportunities may be acquisitions. In the last 15 months, we’ve acquired 21 companies. We’re doing it low-key. We’re not making big announcements about these. It shows that we’re looking a lot. I think we’ve made smart purchases.

On bigger iPhones, Cook did not dismiss the idea. As before, Cook says that all aspects of smartphone screens need to be considered, not just the physical size. Regarding Apple’s product pipeline in 2014, Cook said that new products are under development, but stressed that they have not hit the ‘ceiling’ on their current products yet either. Clearly, Cook wants to set expectations that he does not see Apple at the end of the road for the current products. He said Apple can grow with “great improvements and new products on its existing category of products”.

He also reiterated his comments on ‘making the best, not making the most’, but qualified this by saying that market share is still a significant factor for Apple’s business.

I don’t view that as being satisfied with being small or however you want to define it. It’s not saying that market share is irrelevant or not important. I’ve never said that. I just always tried to say that the macro thing for us is to make a great product and we must do that.

Tim Cook again confirms $AAPL will launch new products in new categories (plural) this year. Wall Street apparently still not listening.

—
Carl Icahn (@Carl_C_Icahn) February 07, 2014

- 9to5mac.com

Amazon’s long-rumored Apple TV competitor to launch next month?

Amazon’s TV box, which the company is believed to have been working on for around a year, is to be launched next month, according to unnamed content distribution sources cited by re/code - ahead of the new version of the Apple TV box expected to be unveiled in April.

People I’ve talked to who are partnering with Amazon believe the company is aiming for a March rollout [...]

Sources tell me Amazon’s box will be powered by Google’s Android operating system, which is also not a surprise — Amazon’s Kindle Fire tablets use a “forked” version of Android … 

The box is expected to provide access to Amazon Instant Video and Amazon’s own music catalog, but there are also strong rumors that the device will double as a games console.

While it’s unlikely that the more tech-aware Apple owners would be tempted away from Apple TV, Amazon’s broad customer base does mean that the device is likely to generate significant sales. A strong marketing push by Amazon could see it make some headway among more mass-market Apple customers unaware of the full benefits of Apple TV.

Apple for a long time described Apple TV as a hobby, but recently promoted it to full product category status in the online store ahead of the new version we’re expecting (and which has since been corroborated by both Bloomberg and the WSJ).

It’s not known what Amazon plans to charge for its box, but it has been suggested that the company may even make the hardware free to Amazon Prime members as a vehicle for selling content. A free offer might also be used as a way to lessen the blow of increases in the annual subscription cost of Prime membership, hinted at in the company’s recent quarterly earnings call.

- 9to5mac.com

Google Glass companion app MyGlass launches for iPhone

Google has just increased compatibility between its Google Glass wearable computer and iOS: the company has released its MyGlass companion app for the iPhone. The application allows users to setup their Glass, connect to WiFi networks, install Glassware apps, integrate with contacts, and mirror content from Glass to the iPhone’s display. The app is free, but it (obviously) requires the $1,500 computerized shades. Update: Looks like the app has been pulled. Google offered a mention of the app on a help document discussing the XE12 update to Glass:

Google Glass X12 release notes mentions the update should come later (officially) this week:

MyGlass for iOS is ready. MyGlass has almost all of the features of the Android app, but designed especially for Apple mobile devices. Set up Glass, get turn-by-turn directions, add new contacts, and turn on Glassware. It’s made especially for XE12, so you’ll want to plug in Glass to your charger and upgrade before downloading the app if you haven’t already. We’ll be releasing it on the App Store later this week.

Written by: Mark Gurman @markgurman December 17, 2013/9:59 am - 9to5mac.com

Apple joins tech titans in calling for government spying reform and limitations

The Wall Street Journal reports that Apple has joined Microsoft, Twitter, Google, Yahoo!, Facebook, and other giants in the tech industry in calling for a reform of the NSA’s surveillance tactics. Earlier this year it was revealed that the National Security Agency was using information from these companies and more to monitor citizens across the nation without warrants.

The companies allegedly involved in the “PRISM” program denied turning over any user data to the government, but a leaked NSA slidedeck (seen above) seemed to imply the opposite.

The new collaborative campaign, called Reform Government Surveillance, cites five driving principles in its drive to curb excessive government spying:

1. Limiting Governments’ Authority to Collect Users’ InformationGovernments should codify sensible limitations on their ability to compel service providers to disclose user data that balance their need for the data in limited circumstances, users’ reasonable privacy interests, and the impact on trust in the Internet. In addition, governments should limit surveillance to specific, known users for lawful purposes, and should not undertake bulk data collection of Internet communications.
2. Oversight and Accountability
   
   Intelligence agencies seeking to collect or compel the production of information should do so under a clear legal framework in which executive powers are subject to strong checks and balances. Reviewing courts should be independent and include an adversarial process, and governments should allow important rulings of law to be made public in a timely manner so that the courts are accountable to an informed citizenry.
3. Transparency About Government Demands
   
   Transparency is essential to a debate over governments’ surveillance powers and the scope of programs that are administered under those powers. Governments should allow companies to publish the number and nature of government demands for user information. In addition, governments should also promptly disclose this data publicly.
4. Respecting the Free Flow of Information
   
   The ability of data to flow or be accessed across borders is essential to a robust 21st century global economy. Governments should permit the transfer of data and should not inhibit access by companies or individuals to lawfully available information that is stored outside of the country. Governments should not require service providers to locate infrastructure within a country’s borders or operate locally.
5. Avoiding Conflicts Among GovernmentsIn order to avoid conflicting laws, there should be a robust, principled, and transparent framework to govern lawful requests for data across jurisdictions, such as improved mutual legal assistance treaty — or “MLAT” — processes. Where the laws of one jurisdiction conflict with the laws of another, it is incumbent upon governments to work together to resolve the conflict.

The group’s site also includes an open letter to government officials, which chides the government for overstepping its constitutional limitations and violating the rights of the companies’ users. The letter points out that the group complies with all legal requests for information that are “reasonable in scope,” and has historically “pushed back” against unreasonable requests.

Finally, the letter requests that the United States ensure that future surveillance be confined by law and placed under the oversight of independent parties.

Dear Mr. President and Members of Congress,

We understand that governments have a duty to protect their citizens. But this summer’s revelations highlighted the urgent need to reform government surveillance practices worldwide. The balance in many countries has tipped too far in favor of the state and away from the rights of the individual — rights that are enshrined in our Constitution. This undermines the freedoms we all cherish. It’s time for a change.

For our part, we are focused on keeping user’s data secure — deploying the latest encryption technology to prevent unauthorized surveillance on our networks and by pushing back on government requests to ensure that they are legal and reasonable in scope.

We urge the US to take the lead and make reforms that ensure that government surveillance efforts are clearly restricted by law, proportionate to the risks, transparent and subject to independent oversight. To see the full set of principles we support, visit ReformGovernmentSurveillance.com

Sincerely,

AOL, Apple, Facebook, Google, LinkedIn, Microsoft, Twitter, Yahoo

Whether the U.S. government will take the group’s concerns to heart and take meaningful steps to reform its spying tactics is anyone’s guess, but it seems that for the first time a concerted effort is being made by the tech industry to let the government know exactly where they stand on the issue of surveillance.

Written by: Mike Beasley @MikeBeas December 8, 2013/9:46 pm - 9to5mac.com