Buying an iPhone 3g is going to be a little harder and more costly for some

We’re just a little over a week away from being able to buy the new iPhone 3g. However, it’s going to be a little (in some cases, a lot!) harder to buy one this time around. Last year when Apple released the iPhone I thought it was brilliant that they let you buy the phone and then take it home to activate it on your own time. This was a very innovative way to buying a wireless device. However, it won’t be so easy with the iPhone 3g. You’ll have to activate the device before leaving the store. This also means, no buying one for your buddy (unless your buddy is with you!).

 

You might be asking, why would Apple make it harder?

That’s a pretty easy one to answer. By not requiring you to activate the device before leaving the store gave people a chance to circumvent “the plan” and therefore cause Apple/AT&T a loss in reveune. Many many thousands of iPhones purchased last year were never activated on AT&T. The process to jailbreak (unlock/hack) and iPhone became so easy that even I could do it in a matter of 10 minutes or less.

This time around it will probably still be fairly easy to jailbreak the new iPhone, but it won’t really matter if you can’t get one without first activating it on a carrier. This way AT&T (and other carriers around the globe) get’s their cut/contract up front. So even if you activate it and then cancel the contract, you’re still on the hook for an early termination fee.

I certainly see the reasons behind this, but this is definitely going to make for some long lines on day one. I estimate the process to be on average at least 30 minutes a person to complete the process. If you think about it, the average buyer is not going to know which plan they want up front and will have to have things explained to them before completing the activation process. Prepare for frustration and tempers to flare.

 

What’s the iPhone 3g really going to cost me?

AT&T has released some rate information (finally) and it seems that the iPhone 3g plans ARE going to cost you more than the previous plans. For one, text messaging is no longer included. You’ll have to pay extra for a text messaging plan if you want it. Also the low cost of entry of $199/$299 for the 8GB and 16GB models only applies to NEW AT&T customers or those who are eligible for an upgrade! The rest of us must spend $399 or $499 respectively. AT&T has also annonced a “No commitment” option for $599 or $699 for the 8 or 16GB models, but no timeframe as to when that/those options will be available.

What about the iPhone 2.0 software for those of us with iPhones/iPod touch already?

Apple has not released a date as to when the FREE iPhone 2.0 software will be available for existing iPhones. Speculation ranges anywhere from any day now til some time on the 11th. Although the software is probably done (after all the software has to be done in order to be included with the new phones), Apple is probably going to wait to release it to continue the buzz around the 3g model. Technically, existing iPhone users will get all the same features that the iPhone 3g has except the faster 3g data and the built-in GPS. Those are hardware specific features and you’ll need the new handset to get them.

 

Sales begin at 8am on July 11th

Due to the longer process to buy an iPhone, AT&T has announced that the iPhone will go on sale at 8AM on the 11th. Last year’s iPhone went on sale at 6PM (and I was in and out in 15 minutes with 2 iPhones!). Be sure to check out the AT&T iReady Check List (PDF).

 

Apple has put out this Guided Tour video showing the new features of the iPhone 3g/iPhone 2.0 software update. Check it out! (If I didn’t know better I would swear this guy is part robot 🙂 )

More on the iPhone 3g

Now that the dust has settled a bit on yesterday’s announcement of the iPhone 3g, a few little tidbits are coming to the surface:

  • The iPhone 3g will REQUIRE in-store activation! So no more picking one up, never activating it on AT&T (or whomever) and jailbreaking it just to resell it.
  • The AT&T data plan is going up by $10/month to $30/month instead of the original $20/month. Rod Harlan has an interesting take on that and the price comparison between the iPhone 1.0 and iPhone 3g.
  • As it stands right now, no online orders for the iPhone. You’ll have to go into a retail outlet to get one!
  • See the Steve Jobs WWDC ’08 Keynote introducing the iPhone 3g and iPhone 2.0 software update here.

So it looks like even though the entry price for the iPhone is only $199, Apple has tightened up on making sure you activate your iPhone with the appropriate carrier (and sign up for the 2 year contract). Also for those that ask the question: “why is it that I can get a 16GB iPhone 3g for $299 while an iPod touch 16GB goes for $399?”, the answer is with the iPhone you can’t use it without signing up for phone service. Apple appears to be taking a more traditional method of using the service contract to bring down the entry price of the phone. It will be interesting to see as time goes on, whether they will officially offer an unlocked version here in the states at a higher price?

iPhone 3g coming July 11, 2008

As expected Apple announced the iPhone 3g today! This is the iPhone that takes advantage of faster 3g data networks for near wi-fi data speeds.

 

It’s the software stupid

Apple lead their keynote today with lots of talk about software. As with any successful platform, it will live or die by the apps that are available for it. Apple realizes that they can’t do everything that everyone wants. So many 3rd party developers announced and showcased their apps today. Apple also showcased their support for Microsoft’s Exchange syncing which is HUGE in the corporate world. Not to leave consumers out, Apple announced “mobileme“. Mobileme is the successor to Apple’s .Mac service. This service will provide push email, calendar, contacts and photos to consumer users of the iPhone.

3rd party iPhone apps will range in price from FREE on up. You’ll get your apps directly through the iPhone App store on your iPhone running the 2.0 software.

 

What we know…

  • Shipping: July 11, 2008
  • Software: iPhone 2.0 as a free download to existing iPhone users and $9.95 for iPod touch users
  • Capacity: 8GB (only in black) and 16GB (available in black or white)
  • Speed: 3g data network
  • GPS: YES!
  • Push Data: via Microsoft Exchange and Apple’s NEW mobileme (no announcement of when mobileme goes live)
  • iPhone 2.0 Software and the iPhone App store: a free download to existing iPhone users ($9.95 for iPod touch users) in early July.
  • Terry’s Pet Peeves Addressed: Not sure what else from my list of “50 ways to make the iPhone better” will get solved in the 2.0 version, but one thing that has been added is a Search feature for Contacts. Also we now get Bulk Delete and Move of things like email messages.
  • Other NEW Features: View PowerPoint, and iWork (Pages, Numbers & Keynote) document attachments. New Scientific Calculator. Adding photos from emails to your iPhone Pictures library. Also many more languages are included.
  • Price: 8GB model $199!, 16GB model $299

Learn more here.

 

iPhone 3G: Twice as fast. Half the price!

Probably one of the biggest shocks of this announcement was the price! You’ll be able to get a iPhone 3g 8GB model for a mere $199. The 16GB model will go for $299. Both models are slated to be available Friday, July 11th (I’ve got to imagine that there is some idiot out there who is already standing in line. Please tell me it isn’t so!) Don’t get me wrong, I plan to upgrade on day one, but camping has never been my thing 🙂

When you think about it, $199 is a STEAL for a touch screen iPhone, with a GPS, that is also an iPod that plays video, does web, email, mapping and allows for 3rd party apps. Wow! The first 5GB iPod was $399 if that gives you some perspective.

 

Start the countdown…. July 11th can’t get here fast enough!

The best way to enjoy an iTunes movie rental

Although I usually find Apple’s hardware and services to be quite satisfying, I must say that I have been quite frustrated by the restrictions around the iTunes Movie Rental Service. It’s bad enough that you only have 24 hours to watch a movie once you start it. However, it’s even worse that you can’t start it unless you’re connected to the internet at the time. I’ve been burned just about every time I’ve tried iTunes rentals on my MacBook Pro. I either want to start watching a flick when I’m not able to get online to start it or I end up running into the 24 hour limit because I’m not able to finish it within the 24 hour limit.

 

So I’ve finally figured out that the best way to enjoy an iTunes Movie Rental is on an Apple device other than your computer

That’s right! Forget about your Apple computer for a minute. If you have a compatible iPod or an iPhone or an Apple TV, you’ll have a slight advantage. Here’s why: When you rent a movie on your computer and "move" it to your iPhone or iPod you only need to be connected to the internet at the start of the transfer. Once it’s on your iPhone or iPod you still have 30 days to start watching it. However, you don’t have to be connected to the internet anymore to START watching it. This is perfect for me! Sometimes I don’t know the exact moment when I’ll have the time and feel like watching a movie until that moment arrives. Unfortunately, that moment may arrive at 30,000 feet during a flight. If the movie is on my MacBook Pro and I didn’t start it before I left the ground (because once you start it, you HAVE TO watch it within 24 hours or it deletes itself), I’m hosed. However, if it is on my iPhone (or iPod) I can start it at any time. No internet connection required. So now I can rent and download a couple of movies ahead of time (days or even weeks), load them on my iPhone and then start them whenever the mood strikes me.

 

Apple TV?

With Apple TV the rules are a little different. You can use the same method above of renting/downloading on your computer and moving the movie to your iPod, iPhone OR Apple TV. However, if you rent/download the movie directly from your Apple TV then you have no choice but to watch it on the Apple TV because you can’t move it anywhere else. Also if you want to enjoy the HD version of the movie, you HAVE TO rent it from your Apple TV. Apple doesn’t allow HD movie rental downloads from a computer. These limits are OK because I just don’t download a rental on my Apple TV until I’m ready to sit down and watch it right then and there. Even HD rentals are ready to watch (streamed enough) within about 5 minutes after hitting the Rent button.

 

Apple this is cool, but Netflix is still king! When you loosen up your restrictions and offer a subscription model (I know it doesn’t make sense for music, but it absolutely makes sense for movie rentals), I’ll think about letting Netflix go, but not before then.

 

Apple, here’s a suggestion to make the computer rental watching experience better

Instead of simply deleting the movie from my drive once the rental period has expired, why not offer a "do you want to extend your rental period?" option that let’s me pay again for another 24 hours? The way it stands now if I did want to finish watching something I rented once the 24 hours is up, I not only have to pay again, but I also have to download the whole freakin’ thing again! That bites, especially when you’re traveling and have limited or slow internet access. Steve, think about it!

A really cool idea for the 3g iPhone

While I can’t take credit for the idea (wish I had thought of it), I have never heard anyone mention it before as it relates to the iPhone. I was reading a post on engadget.com about a new phone (I don’t even remember which one it was), but it had a feature that would be KILLER on the 3g version of the iPhone.

Here goes: Most of us that travel with iPhones also travel with laptops. One feature that we hope for on the 3g iPhone is to be able to use it as a wireless modem (tethering/DUN) via Bluetooth. However, what would even be sweeter is having the iPhone itself become a Wi-Fi access point. Having a 3g iPhone means that we’ll have the potential for significantly faster data access than what we now see over EDGE. Since the iPhone already has Wi-Fi built-in, why not just tap a button, set a password and have it broadcast a Wi-Fi access signal that you could tap into with your laptop and surf?

Of course there’s the whole battery life thing and I have no idea if the Wi-Fi radio uses more power than the Bluetooth radio, but it would be pretty sweet nonetheless. It would also allow multiple devices to share the 3g internet connection simultaneously whereas Bluetooth would not.

Either way, the next version of the iPhone should definitely have either Bluetooth or Wi-Fi internet sharing for your laptop! Steve would probably argue that the iPhone is so good that you shouldn’t need to connect to the internet from your laptop and maybe with all the new corporate support (MS Exchange support, VPN access, etc.) that’s coming in iPhone 2.0 he’s right. I can’t wait til June to find out!

You may remember that I have a running list of features that I would like to see come to the iPhone (some of which have either been addressed in recent updates or have been announced for the 2.0 software update due in June) and all of which could be implemented via software updates or 3rd parties. So while were on the subject of the 3g iPhone, here are my:

 

Top 10 iPhone 2.0.1 Feature Requests

  • Flash Player! – We can’t keep pretending that we don’t need this! With a faster iPhone, there’s no excuse
  • Video Recording – No reason not to have this either
  • MMS Messaging – Can we send some picts and video directly to our buddies without using email?
  • Cut/Copy/Paste – Duh!
  • Contact Search – I’m sure I’m not the only one with hundreds of contacts
  • Note Syncing – No reason not to have this
  • Audio Recording – Taking notes/Voice recorder would be a very popular feature
  • Email Anything – The ability to email anything that’s on the device, ie: contacts, voicemail messages, maps, etc.
  • Voice Dialing – Lesser phones have this basic feature
  • Consolidated Email Box (option) – I have 5 email accounts on my iPhone – my screen is starting to wear out in the spot that I have to keep hitting the Back button on.

Let the iPhone app development begin

As expected Apple delivered upon their promise of an iPhone SDK (software developer kit) which will allow developers to write native apps for the iPhone or iPod touch. The Beta of the SDK is FREE for download today. You can then write your own apps and test them directly on supplied simulator. However, if you want to distribute your app, you would then have to sign up for their developer program ($99/year) even if you plan to make FREE apps. Once you write your app and sign up. Apple will then have to approve your app and then it will be available through a new App Store app directly on the device or via iTunes. If your App is FREE, then you’re all done. If you want to charge for your app, then you set the price. After that Apple sells your app, collects the money, deals with credit card fees, etc. and keeps 30% off the top. You get a check for the remaining 70% on a monthly basis. I’m not a developer, but this doesn’t sound too bad to me. Also this will be the only legitimate way to do it.

 

Apple is really getting ready for business now!

Not only did Apple release the SDK, but they also announced support for Enterprise connectivity! This is big because it answers all (or almost all) of the issues that most companies had with deploying iPhones company wide. Apple has licensed Exchange ActiveSync from Microsoft and is building it right into the iPhone, so that iPhone will connect out-of-the-box to Microsoft Exchange Servers 2003 and 2007 for secure over-the-air push email, contacts, calendars and global address lists. Built-in Exchange ActiveSync support also enables security features such as remote wipe, password policies and auto-discovery. The iPhone 2.0 software supports Cisco IPsec VPN to ensure the highest level of IP-based encryption available for transmission of sensitive corporate data, as well as the ability to authenticate using digital certificates or password-based, multi-factor authentication. The addition of WPA2 Enterprise with 802.1x authentication enables enterprise customers to deploy iPhone and iPod touch with the latest standards for protection of Wi-Fi networks. My IT guys are probably salivating at the moment 🙂

 

Games and AIM

Apple also showcased some really cool games. A couple of these games took advantage of the iPhone’s accelerometer that is built-in the iPhone. Think of it as a hand held Wii. Apple also gave AOL some stage time to show a native AIM chat client on the iPhone. This was one of my “10 iPhone Apps I Want“. This will be really cool! Surprisingly Apple also said that they wouldn’t stand in the way of VoIP apps that work via Wi-Fi! I was shocked to read that.

 

Sounds great, but we’ll have to wait a few more months

This all sounds very exciting! However, Apple won’t deliver the 2.0 software update to the iPhone until June. The up side of this is that it gives developers 3 months to get some apps ready. So I imagine by June we should see LOTS of available apps. It would be nice to have the ActiveSync stuff sooner than later, but I’ve waited this long, another 3 months won’t kill me. This also makes me feel even better about my iPhone investment because this update for the iPhone will be FREE. However, around the June timeframe I’m expecting their to be a 3G version of the iPhone too. So Apple will have come a long way in 1 year and they should be a lot closer to their goal of selling 10 million iPhones.

You can watch the event here.

10 iPhone Apps I Want

Well tomorrow’s the big day. It’s the day that Apple is rumored to be delivering the iPhone SDK(possibly just a beta of it) so that developers can begin to write native 3rd party iPhone apps. The rumors have been all of the map as to whether Apple will control/have to approve the distribution of these apps or not. Also will they only be available through iTunes or directly from the developers? I’m sure we’ll find out soon enough. Apple is supposed to release the SDK (software developer kit) at a special even on Thursday, March 6, 2008.

What I wanted to list here are the apps that I would like to see and even willing to pay for. Now keep in mind I’m talking 3rd party apps, not necessarily updates to the iPhone itself. I still have a long laundry list (50 ways to make the iPhone better) of "features" that I would like to see come to the iPhone via firmware updates (some of which have recently been addressed – ie. custom ringtones via GarageBand, iPhones on corporate plans, pseudo GPS, SMS to multiple people, etc.). However, there are certain things that Apple may never do. That’s where the 3rd party apps come in. Macworld published their list of 25 apps that they would like to see and we agree on a few, but there are some that I would like to see that they didn’t list. So here goes. These are apps that I would be willing to pay for:

 

10 – AIM based Instant Messenger

SMS messaging is great, but I would also like to do iChat (AIM based instant messaging). There are a couple of web based solutions, but having a native iPhone client would be great. It may not happen because it would take revenue away from AT&T. However, if a 3rd party developer could do it, It would be great.

 

9 – Skype/Vonage VoIP

This is another controversial one. If people could make calls while they were connected to Wi-Fi via VoIP, that would certainly save on those wireless minutes. However, this would definitely be one that AT&T wouldn’t be to happy about. However, if this one were available it would sell like hot cakes.

 

8 – Expense Tracker

While some are asking for a Pocket Quicken kind of app, my needs are simpler. I would like an expense tracker that I could input expenses in as they occur and then email myself an expense report at the end of the week that I could print. I could then do my real expense report quicker.

 

7 – Blogging App

How cool would be it be if I could take a picture(s) with the iPhone’s camera and then create a blog entry incorporating that shot? People would definitely do more blogging if they could do the whole process (EASILY) from their iPhones. So a native iPhone app that tied into the standard blogging engines (Blogger, WordPress, etc.) would be hot!

 

6 – Dictionary/Thesaurus

Having some more apps that I would use regularly would be nice. Not only would I like a dictionary/thesaurus, but also a unit converter and currency converter. These are no brainers and should be pretty easy for a 3rd party developer to make.

 

5 – FileMaker Pro Light

FileMaker Pro is one of the best database apps in existence. I’ve used it for years. It would be really cool if I could take my databases with me. The iPhone has enough storage and horsepower. It would be great to be able to sync a FMP database and update it while on the go. Come back and sync the changes I made while I was out to the main database on my desktop. Take it step further and let me update it or send the changes over the internet.

 

4 – Shopping List

This is so basic! Since the iPhone doesn’t have a To-Do function (go figure), it would be nice to generate shopping lists, errand lists, etc. that you could then check off as you complete or buy each item. Take it step further and allow someone to log into a website (say your spouse), generate a list and send it directly to your iPhone. This would be the answer to "honey, I’m stopping by ______, do you want anything?" Now you’re probably sorry you made that call because they start rattling off this list of things you’ll never remember. Now they could just logon on, create the list and send it directly to your iPhone.

 

3 – Movies App

There is a VERY GOOD web based Movies App for the iPhone now. However, since it’s web based it doesn’t really save my prefs. I would like to see this app really beefed up and made native. I would like to see not only theaters in the area and movie times, but also movies that were just released on DVD and in theaters. I would like to save my favorite theaters as preferences and be able to tap each one to see what’s playing and when.

 

2 – Slingbox Player

Sling Media has already expressed an interest in making a Slingbox Player for iPhone. However, the problem is going to be bandwidth over EDGE. You would either have to use it only while connected to Wi-Fi or wait for the 3G version of the iPhone. This would be a killer app though.

 

1 – Screen Capture

My number one need at the moment is to be able to make screen captures of what’s on the iPhone’s screen. As the co-author of The iPhone Book and a guy who writes about tech, it would be so much easier and nicer if I could pull screen captures directly from the iPhone without having to hack/jailbreak it. Hopefully the good folks at Ambrosia Software will make a version of SnapzPro for iPhone.

New iPhone/iPod touch with more storage

It may not be the 3g iPhone that many of us are waiting for, but it is the highly anticipated 16GB model! That’s right Apple just quietly updated the Apple online store with new iPhone and iPod touch models. The NEW 16GB iPhone goes for $499 (ships 1-3 days) and the 8GB model is unchanged at $399. There doesn’t seem to be any other apparent changes in the iPhone itself.

The iPod touch gets a more significant boost now with a 32GB model at the same $499 price as the 16GB iPhone. So you can get an iPod touch 8GB for $299, 16GB for $399 or 32GB for $499 (ships 1-2 days).

While I’m always up for more storage on my iPhone, I still remain puzzled as to why Apple wouldn’t release an iPhone that has the same capacity as the higher end iPod touch? Yes I want a 32GB iPhone! I don’t want to (read-refuse to!) have to carry two devices. I’ve been getting by with 8GB and 16GB is certainly welcomed (means I can travel with more video content now), but 32GB would have even been better. Seeing how I spent $599 for an 8GB model back in June 07, would it be unreasonable to think that some would be willing to pay $599 now for a 32GB model? $499 would be even better!

Now the question that many of you are going to be asking is, "do I upgrade to the 16GB iPhone now or wait for the 3g model that’s coming out later this year?" Good question and it’s one of those questions that only you can answer. If you can live with a mere 8GB of space for another 3-8 months (my speculation on timing), then I would wait. If you are feeling severely cramped right now and constantly having to take stuff off your iPhone to make room for new stuff, then you might want to fire up eBay.com and sell your existing iPhone. My personal feeling is that I’ll probably wait. More space is nice, but I want a 3g model even more.

I can hear the screaming in the streets now! "I just bought _______ and now I want a refund!" Here’s the thing. The model of iPhone/iPod you just bought is still the current model at the same price. So I don’t think you have much of a case. However, I’ll be standing outside your local Apple store selling pitch forks and torches. Mention this blog for a deal.

iPhone now open for business

One of the biggest stumbling blocks for many would be iPhone customers was the fact that you could only activate an iPhone on a PERSONAL account. Well that changed today! AT&T/Apple are finally allowing iPhones to be activated on corporate accounts with discounts on the services (not the iPhone). This is the first major step at getting iPhones into the hands of business users. No changes in the iPhone itself and there are still issues with lack of enterprise level email support, etc., but this is a good step in the right direction. Looks like I’ll soon be able to go back to my old phone number that is paid by my company.

2008. There’s something in the air.

teaser banner posted at the entrance to the exhibit hall

 

Well today is the big day! I’m here live getting ready for the Apple/Steve Jobs Keynote at Macworld Expo. I’m going to attempt live updates from the keynote using my iPhone. If all goes well you’ll get a blow-by-blow on what’s being announced.

So refresh this page often from 9AM-11AM PST…

8:26am I’m standing in line to get in.

9:05am Steve took the stage, thanked the software vendors for being native intel. MS Office 2008 for Mac is the last major app to be ported to intel Macs. He’s introducing 4 things today!

9:20 am Steve introduced Time Capsule – 500MB $299, 1TB $499 – This is an AirPort Extreme base station with a hard drive built-in. Its a companion to Time Machine backup appliance for Leopard.

9:21 am Steve announced 4 million iPhones sold today – 200th day today since the launch.

9:23 am Great new features being rolled out Today for the iPhone. The iPhone can now find your location. Webclips, Up to 9 total home screens, SMS multiple people, if your song has lyrics, they’ll display.

9:26am Steve is demoing the new maps feature with the “find my location” feature.

9:27am Now he’s demoing the new Web Clip feature for the iPhone. This allows you to ad websites directly to your home screen on the iPhone.

9:30am Now he’s demoing customizing the home screen on the iPhone.

9:30am Working with Google and Skyhook wireless to make the “find me” feature on the iPhone. This is using both cell tower technology and wi-fi hot spot beacon locators to triangulate your position on the map on the iPhone.

9:33am Just demoed bookmarking spots in movies on the iPhone. All of these iPhones updates are available today as free updates. “What can we do for the iPod touch today?” We’re adding 5 apps!

Adding Mail, Stocks, Notes & Weather, Maps with Wi-Fi location. Starting today it’s built-in to new ones. Available as a $20 update for existing users. That was the 2nd thing he wanted to talk about today!

#3 “it’s about iTunes!” Sold the 4 billionth song last week!

Sold 20 million songs on one day on Christmas day. A new record. Sold more TV shows and more Movies than anyone else!

iTunes movie rentals with 12 major movie studios -every major studio.

9:38am Flipping through all the great new titles.

9:39am Launching with over 1,000 films by the end of Feb. Films 30 days AFTER their DVD release (what?). You have 30 days to start to watch it. You have 24 hours to watch it after you start watching it as many times as you want within 24 hours. $2.99 for an older movie, $3.99 for a new release.

iTunes Movie Rentals Launches TODAY! Free update to iTunes – US Today, International later this year.

What about your TV? All of us have tried (MS, Apple, TiVo, Netflix, Blockbuster). We’ve all missed! We tried with Apple TV. It’s not what people wanted.

We’re back with Apple TV 2. No computer is required! It’s about Movies, Movies, Movies. You can rent movies directly on the TV. DVD quality AND HD Quality (Yeah!) with 5.1 surround sound.

Supports photos from your computer AND directly over the internet – Flickr and .Mac. Podcasts directly from Apple TV. as well as Buy TV shows and Music. All of the original features as well.

HD movies are $1 more ($3.99 & $4.99). You can choose either format. Now he’s showing the new interface.

The interface is pretty slick! It’s all about the movies. Now showing Blades of Glory description. You can preview the movie first.

Now he’s renting it. The movies is already ready to play. It’s playing now. So it downloads a little of it first and then you start watching it while it downloads the rest in the background. It looks very impressive! That was DVD quality. Now he’s showing Live Free or Die Hard in HD. Continuing to show the interface of the new Apple TV, including search.

9:50am Still talking about Apple TV and iTunes.

9:54am Now showing HD podcasts streaming on the Apple TV in HD.

9:55am Yep, he’s still talking about Apple TV. Now showing streaming photos and home movies over the web off .Mac & Flickr.

9:57am Oops, there’s a glitch. The Apple TV looks like it locked up only playing sound from a Flickr site, but no photos. Now he’s recapping the stuff you just read above!

9:59am Made a joke about Flickr – “when they’re serving up photos” – chuckle

FREE Software Update for existing Apple TV users! Way to go Steve – you rock!

Lowered the price to $229 from $299 of Apple TV. Software update available for free in two weeks.

Movie rentals can be watched on your computer, Apple TV, iPods and iPhones. “I think we’ve got it all together!” The first studio to sign up was 20th Century Fox. Jim Gianopulos (Chairman & CEO) is now taking the stage.

10:03am Jim is talking about the business model and what everyone wants.

10:06am People will still want DVDs (“Blu-ray looks like the winner”). Showing the Family Guy Blue Harvest DVD. This DVD contains a digital copy that can be moved to your iPod, etc.

Now for the 4th Thing! Here it comes.

“Apple makes the best notebooks on the planet” The MacBook Air

The world’s thinest notebook!

10:09am Going over the competition now. 3lbs is a good target!

MacBook air .76″ down to .16″ The thickest part of the MacBook Air is thinner than the thickest part of the Sony viao. He has it in a interoffice mail envelope! It just took it out. It’s insanely thin!

Full size keyboard – full size display.

13.3″ widescreen LED backlit display – instant on the minute you open. Built-in iSight. Magnetic, no physical latch. Has the ambient light sensor on the keyboard. Multi-touch gesture support on the trackpad.

You can set your preferences for the trackpad. You can rotate a photo by turning it on the trackpad, double tap to then move a window. 3 fingers to switch photos – pinch to zoom in and out all from the trackpad.

1.8″ hard drive. Ships with an 80GB HDD standard with an optional 64GB solid state drive (“it’s pricey”)

1.6GHz core 2 duo standard, with an option to go to 1.8GHz. 60% smaller package for the chip thanks to intel!

10:18am Paul Otellini intel CEO taking the stage and talking about the product.

USB 2 port and Micro DVI and Headphone jack, 802.11n, Bluetooh 2.1 + EDR, No Optical Drive. You can buy a USB powered optical drive fro $99.

Steve is going over the reasons why you don’t need an optical drive anymore. We’re going to install software wirelessly too. A new feature called Remote Disc. So you’ll be able to put the disc in another Mac and use it on your MacBook Air wirelessly! Even on a PC!

Battery life – 5 hours with everything on.

2GB of RAM standard!

Priced at $1,799!

Shipping in 2 weeks, taking orders today.

Now showing the new TV ad for the MacBook Air

Now going over the new Environmental efforts. Mercury-free display with arsenic-free glass, case is recyclable. Retail packing is 50% less volume.

MacBook Air – The thinest notebook in the world! “That is the 4th thing that I wanted to talk about today!”

Now reviewing the 1st 2 weeks of 2008 and their innovation. Recapping the new Mac Pros and everything announced today.

We’re done! Now bringing up – Randy Newman to perform a few songs.

10:31 Randy has just started playing.

So I’m wrapping this post up now and I’ll post more later on my opinions and take on all of the above! Have a great day!