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Apple Unveils IPod Speaker System

2006-03-01 15:11:00

Reaching further into living rooms, Apple Computer Inc. on Tuesday introduced a speaker system for its iPod music players and a revamped Mac Mini computer that will let users access music, video and photos across their home networks.

The new Mac Mini includes Apple's Front Row software, already found on the newest iMacs, so users can connect the computer to their televisions and control their music, videos, or photos with a remote control.

An added feature of the Front Row software will let users locate and share media content from other computers within a local wireless network. This means a user can play songs or stored TV shows that are pulled off a computer in another room in the house.

The new Mac Mini looks much like its previous incarnations but is the first to include Intel Corp. chips. Apple said the $599 model that has a single-core chip operates up to three times faster than its predecessor. A higher-end, $799 model that has two computing engines in one processor runs about five times faster, Apple said.

Hoping to broaden its share of the PC market, Apple is in the process of switching its computers away from Power PC chips made by IBM Corp. and Freescale Semiconductor Inc. The new Intel-powered Mac Mini — the third
Macintosh computer to make the switch in less than 60 days — puts Apple halfway through the historic migration.

The petite, almost book-sized computer with the Front Row media features more closely competes now against Microsoft Corp.'s Windows Media Center PCs, which are similarly designed to act as a digital media hub for homes. But, unlike Media Centers PCs, Apple's Mini lacks a TV tuner and digital video recording capabilities.

Still, analysts say Apple's latest moves show the Cupertino-based company is continuing to dip its toes deeper in the consumer electronics arena.

"Both these products are a way to get more people slowly hooked into the Apple brand in the living room, sort of like what Sony did in its heyday," said Sam Bhavnani, an analyst at Current Analysis.

With the $349 iPod Hi-Fi system, users can dock their portable players into the speakers and use a remote control to operate it from afar. That means there's no longer a need for a cabinet full of CDs, Apple Chief Executive
Steve Jobs said during a presentation at company headquarters.

"It's home stereo reinvented for the iPod age," he said.

All the products are available now.

The iconic iPod player has fueled Apple's growth in recent years and led to a booming industry of accessories ranging from speakers to clothing, as well as an increasing number of cars that come equipped with iPod-ready stereo systems.

Apple's new boombox-like speaker system will compete with its accessory partners, but senior vice president Phil Schiller said Apple will continue to support members of the "iPod economy." He said there's enough room in the market for a range of products.

"It's all about the iPod lifestyle," Schiller said in an interview.

Indeed, Apple has become the pacesetter for digital media products, and the company's shares have more than doubled in the last year amid lofty expectations for ever more innovative products and services.

Apple has sold more than 42 million iPods since the original product debuted in 2001, and the online iTunes Music Store sold its billionth download last week.

As some rivals were unable to gain any traction and pulled out of the portable media player market, Apple saw its share in the U.S. grow to more than 72 percent in 2005, up from 56 percent in 2004, according to the NPD Group.

But a key competitor, Microsoft, isn't backing down.

IBM Opens Research Centers to Partners
In what it bills as an unprecedented move, IBM plans to make its research centers and researchers available to its business partners. IBM's rationale? It takes a community to foster innovation.
Microsoft to Preview Windows SBS 2003 R2
Microsoft is hosting some 400 of its small and midsize customers and partners at its Redmond, Wash., campus on March 14 as part of its inaugural Small Business Summit titled "Take Your Business to the Next Level."
LG to deliver dual-format HD DVD/Blu-ray
Korea's LG Electronics Inc. said on Tuesday it planned to launch a next-generation DVD player that will bridge the yawning gap between two competing formats by playing both HD DVD and Blu-ray.
AOL and Warner Bros. Launch In2TV
AOL and Warner Bros. are saying "Welcome Back" to thousands of classic TV shows with the launch of In2TV, the first broadband television network, on AOL.com. The network offers the largest collection of free on-demand TV shows on the Web, including full episodes of favorite Warner Bros. programs from the past 40 years such as Welcome Back, Kotter, Chico & The Man, Alice, Growing Pains, Sisters, Kung Fu, Lois & Clark and many others, along with interactive features and viral videos that enable audiences to experience and interact with television programming in an entirely new way.
Google Confirms News Prank, Pulls Source Of Bogus Info
A 16-year-old Google fan was able to get a bogus press release announcing his hiring by the search engine on Google News, and the distributor of the release has been removed as a source for the automated news service, Google said Wednesday.
iTunes US gets basketball for iPods
CBS Sports and Apple have confirmed plans to sell the 2006 NCAA Division I Basketball Championship through the iTunes Music Store in the US.
Adobe Warns Of Critical Flash Flaw
Adobe on Tuesday warned that multiple critical vulnerabilities in its Flash media player put users at risk, possibly from drive-by downloads, and urged all to update immediately to the patched 8.0.24.0 edition.
Google to Complete AOL Investment in 2Q
Google Inc. said Thursday it expects to complete its $1 billion investment in America Online during the second quarter, slightly later than the two popular Web sites originally anticipated.
Advertisers place $500M bet on NCAA
No one is cheering harder for this year's NCAA tournament than the advertisers who are spending more on TV and online than ever before to capture affluent and effusive college hoops fans.
Philips to fix 12,000 plasma TVs in US
Dutch company Philips Electronics will make house calls to repair almost 12,000 flat panel plasma TV sets in the United States because they are liable to overheating, it said on Friday.


   
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