Apple failed to revive a long-running copyright lawsuit against cybersecurity firm Corellium over its software that simulates the iPhone's iOS operating systems, letting security researchers to identify flaws in the software. From a report: The US Court of Appeals for the Eleventh Circuit on Monday ruled that Corellium's CORSEC simulator is protected by copyright law's fair use doctrine, which allows the duplication of copyrighted work under certain circumstances. Apple argued that Corellium's software was "wholesale copying and reproduction" of iOS and served as a market substitute for its own security research products. Corellium countered that its copying of Apple's computer code and app icons was only for the purposes of security research and was sufficiently "transformative" under the fair use standard. The three-judge panel largely agreed with Corellium, finding that CORSEC "furthers scientific progress by allowing security research into important operating systems" and that iOS "is functional operating software that falls outside copyright's core."

Supported by conversations with nearly a dozen former employees, 9to5Mac details the downfall of Brydge -- "a once thriving startup making popular keyboard accessories for iPad, Mac, and Microsoft Surface products." An anonymous reader shares an excerpt from the report: According to nearly a dozen former Brydge employees who spoke to 9to5Mac, Brydge has gone through multiple rounds of layoffs within the past year after at least two failed acquisitions. As it stands today, Brydge employees have not been paid salaries since January. Customers who pre-ordered the company's most recent product have been left in the dark since then as well. Its website went completely offline earlier this year, and its social media accounts have been silent since then as well. Those former Brydge employees largely attribute the company's failure to mismanagement during growth, misleading statements from its two co-CEOs, and an overall hostile working environment that led to a high turnover rate.

An anonymous reader quotes a report from Insider: Employees at Apple's first unionized store in Towson, Maryland are pushing for a contract that includes the introduction of tipping. The proposed system would allow customers to tip store workers in increments of 3%, 5%, or a customized amount for in-store credit card transactions. It's part of a broader list of economic proposals as the union heads into negotiation with Apple. Bloomberg first reported the details of the proposals Wednesday. The employees at the Towson store organized as the Coalition of Organized Retail Employees in June when they voted to be represented by The International Association of Machinists & Aerospace Workers.

CORE's Twitter account outlined some of the proposals in a thread on Thursday, where it acknowledged the tipping system might be a "little controversial." "A big ask from our team when preparing for negotiations was to include some sort of profit-sharing or bonus structure," the union said in the thread. "We thought a lot about the easiest way to accomplish this and we thought adopting a model already used by other workers who provide services to their community might be the simplest to implement." The union also noted that "all monies collected through this manner would be dispersed to members of the bargaining unit biweekly based on any hours worked." Other proposals for negotiation with Apple include expanding Apple's list of paid holidays, increasing vacation time for full-time and part-time employees, and offering wellness leave.

They're also asking Apple to double pay for staffers who work over 8 hours a day or 40 hours a week, double overtime weekend pay, increased pay for first-aid certified workers, and offering a maximum of 34 weeks of severance pay after layoffs. "We realize that this is a negotiation, and these are initial proposals," said a union representative. "Our goal is and always has been to bring back an acceptable contract for the membership to ratify."

An anonymous reader shares a report: Last year, the EU passed legislation that will require the iPhone and many other devices with wired charging to be equipped with a USB-C port in order to be sold in the region. Apple has until December 28, 2024 to adhere to the law, but the switch from Lightning to USB-C is expected to happen with iPhone 15 models later this year. It was rumored in February that Apple may be planning to limit charging speeds and other functionality of USB-C cables that are not certified under its "Made for iPhone" program. Like the Lightning port on existing iPhones, a small chip inside the USB-C port on iPhone 15 models would confirm the authenticity of the USB-C cable connected. "I believe Apple will optimize the fast charging performance of MFi-certified chargers for the iPhone 15," Apple analyst Ming-Chi Kuo said in March.

In response to this rumor, European Commissioner Thierry Breton has sent Apple a letter warning the company that limiting the functionality of USB-C cables would not be permitted and would prevent iPhones from being sold in the EU when the law goes into effect, according to German newspaper Die Zeit. The letter was obtained by German press agency DPA, and the report says the EU also warned Apple during a meeting in mid-March.

Tim Cook said Thursday that AI is "huge" but cautioned that there are "a number of issues that need to be sorted" and declined to say how Apple will incorporate the latest technologies into its products. From a report: While Microsoft, Google and others are racing to add generative AI tools across their products, Apple has had little to say on the trend. Speaking to analysts after a better-than-expected earnings report, Cook noted that Apple has used machine learning and other AI approaches to power features such as crash detection and heart rate monitoring. "We view AI as huge and will continue weaving it into our products on a very thoughtful basis," Cook said, while noting the company doesn't talk about its future roadmap. "The potential is certainly very interesting."

Apple reported stronger-than-anticipated iPhones sales in its second-fiscal quarter earnings report today.

"The highlight of Apple's report was iPhone sales, which grew from the year-ago quarter even as the broader smartphone industry contracted nearly 15% during the same time," reports CNBC, citing an IDC estimate. "IPhone revenue grew 2% during the quarter, suggesting that parts shortages and supply chain issues that had hampered the product for the last few years, including an iPhone factory shutdown late last year, had finally abated." From the report: Here's how the company did versus Wall Street expectations per Refinitiv consensus expectations:

EPS: $1.52 vs. $1.43 expected
Revenue: $94.84 billion vs. $92.96 billion expected
Gross margin: 44.3% vs. 44.1% expected

Apple reported $24.16 billion in net income during the quarter versus $25.01 billion last year. Overall revenue was down 3% from last year's $97.28 billion in sales.

Here's how Apple's individual product lines did versus StreetAccount consensus expectations:

iPhone revenue: $51.33 billion vs. $48.84 billion expected
Mac revenue: $7.17 billion vs. $7.80 billion expected
iPad revenue: $6.67 billion vs. $6.69 billion expected
Other Products revenue: $8.76 billion vs. $8.43 billion expected
Services revenue: $20.91 billion vs. $20.97 billion expected

Apple and Google said on Tuesday that they were working together to prevent lost item trackers like Apple's AirTag from being used to track people without their permission. From a report: The companies came together to draft a new industry standard that will add the ability to alert victims to unwanted trackers in Android and iOS, the companies said. Apple's AirTag is intended to help people find lost items such as keys by displaying an item's nearly real-time location inside an iPhone app. But there have been many reports about the $30 coin-sized device being used to stalk people since it went on sale in 2021. In response, Apple previously built detection features into iPhones that allow users to detect unfamiliar AirTags in the user's area. Tuesday's announcement suggests that Android phones will also soon gain the ability to warn their users if they are being tracked by an AirTag.

Apple promised faster turnaround times for security patches with iOS 16 and macOS Ventura, and it's now delivering on that claim. From a report: The company has released its first Rapid Security Response updates for devices running iOS 16.4.1, iPadOS 16.4.1 and macOS 13.3.1. They're available through Software Update as usual, but are small downloads that don't require much time to install. MacRumors says the fix is deploying over the course of 48 hours, so don't be surprised if you have to wait a short while.

Apple has learned from enough games of Monopoly that it's good to be the banker as well as a player. From a report: A Monday report from Forbes based on anonymous internal sources claims users deposited close to $1 billion in just four days after Apple introduced its new Goldman Sachs-backed Apple Card savings account. While the company had previously seen success with its mobile payments platform, the new savings account is already doing gangbusters. After the Cupertino tech giant launched its new high yield savings account last month, the company saw $990 million in deposits in less than a week, per Forbes' sources. In that time, 240,000 accounts signed up for the service. New savings accounts cannot exceed $250,000 per the Federal Deposit Insurance Corporation's insurance limits. If the Forbes reporting is true, then users are depositing several thousand dollars into their new accounts, on average.

The Information reports: Late last year, a trio of engineers who had just helped Apple modernize its search technology began working on the type of technology underlying ChatGPT... For Apple, there was only one problem: The engineers no longer worked there.
They'd left Apple last fall because "they believed Google was a better place to work on LLMs...according to two people familiar with their thinking... They're now working on Google's efforts to reduce the cost of training and improving the accuracy of LLMs and the products based on these models, according to one of those people."

MacRumors summarizes the article this way. "Siri and Apple's use of AI has been severely held back by caution and organizational dysfunction, according to over three dozen former Apple employees who spoke to The Information's Wayne Ma." The extensive paywalled report explains why former Apple employees who worked in the company's AI and machine learning groups believe that a lack of ambition and organizational dysfunction have hindered âOESiriâOE and the company's AI technologies. Apple's virtual assistant is apparently "widely derided" inside the company for its lack of functionality and minimal improvement over time. By 2018, the team working on âOESiriâOE had apparently "devolved into a mess, driven by petty turf battles between senior leaders and heated arguments over the direction of the assistant."

SiriâOE's leadership did not want to invest in building tools to analyse âOESiriâOE's usage and engineers lacked the ability to obtain basic details such as how many people were using the virtual assistant and how often they were doing so. The data that was obtained about âOESiriâOE coming from the data science and engineering team was simply not being used, with some former employees calling it "a waste of time and money..." Apple executives are said to have dismissed proposals to give âOESiriâOE the ability to conduct extended back-and-forth conversations, claiming that the feature would be difficult to control and gimmicky. Apple's uncompromising stance on privacy has also created challenges for enhancing âOESiriâOE, with the company pushing for more of the virtual assistant's functions to be performed on-device.

Cook and other senior executives requested changes to âOESiriâOE to prevent embarassing responses and the company prefers âOESiriâOE's responses to be pre-written by a team of around 20 writers, rather than AI-generated. There were also specific decisions to exclude information such as iPhone prices from âOESiriâOE to push users directly to Apple's website instead. âOESiriâOE engineers working on the feature that uses material from the web to answer questions clashed with the design team over how accurate the responses had to be in 2019. The design team demanded a near-perfect accuracy rate before the feature could be released. Engineers claim to have spent months persuading âOESiriâOE designers that not every one of its answers needed human verification, a limitation that made it impossible to scale up âOESiriâOE to answer the huge number of questions asked by users.

Similarly, Apple's design team repeatedly rejected the feature that enabled users to report a concern or issue with the content of a âOESiriâOE answer, preventing machine-learning engineers from understanding mistakes, because it wanted âOESiriâOE to appear "all-knowing."

A former Apple employee has been sentenced to three years in prison and must pay back over $19 million in restitution for stealing around $17 million from the tech giant through mail and wire fraud schemes. From a report: Dhirendra Prasad, 55, was originally charged in March 2022 and later pleaded guilty to conspiring to defraud Apple and related tax crimes back in November last year. Prasad was employed at the company between 2008 and 2018, mostly working as a buyer in Apple's global service supply chain, purchasing parts and services from vendors. In his written plea agreement, Prasad admitted he started siphoning money from his employer around 2011 by accepting kickbacks, stealing parts, inflating invoices, and fraudulently charging Apple for goods that were never delivered. He also admitted to evading tax on the proceeds of his schemes and conspiring on these activities with the owners of two vendor companies, who have been charged in separate cases.

Apple has revealed App Store metrics in Europe in response to the European Digital Services Act. From the legal compliance post: iOS App Store: 101 million
iPadOS App Store: 23 million
macOS App Store: 6 million
tvOS App Store: 1 million
watchOS App Store: under 1 million
Apple Books: under 1 million
Podcasts paid subscriptions: under 1 million

An anonymous reader shares a report: Bloomberg reporter Mark Gurman is at it again, sharing insider details about Apple's upcoming mixed-reality headset. This time, Gurman shared new details in his weekly newsletter about the headset's controversial tethered battery pack design. Previous reports from Gurman, supply chain analyst Ming Chi-Kuo, and The Information revealed that after much internal debate, Apple decided to move forward with a headset design that works with an external battery pack connected by a wire.

This is because including the battery inside the headset would make it too bulky and heavy for some users. Apple employees against this approach argued that it made the headset clunky to use, especially in public. Now, for the first time, we have some details on exactly what this will look like. Gurman writes that the headset will have two ports: USB-C and a new proprietary power port. The USB-C port will be used just for data, whereas the proprietary port will be used for "a charging cable that goes into the headset and has a round tip that inserts magnetically."

Apple won an appeals court ruling upholding its App Store's policies in an antitrust challenge brought by Epic Games. From a report: Monday's ruling by the US Ninth Circuit Court of Appeals affirmed a lower-court judge's 2021 decision largely rejecting claims by Epic, the maker of Fortnite, that Apple's online marketplace policies violated federal law because they ban third-party app marketplaces on its operating system. The appeals panel upheld the judge's ruling in Epic's favor on California state law claims. The ruling comes as Apple has been making changes to the way the App Store operates to address developer concerns since Epic sued the company in 2020. The dispute began after Apple expelled the Fortnite game from the App Store because Epic created a workaround to paying a 30% fee on customers' in-app purchases. "There is a lively and important debate about the role played in our economy and democracy by online transaction platforms with market power," the three-judge panel said. "Our job as a federal court of appeals, however, is not to resolve that debate -- nor could we even attempt to do so. Instead, in this decision, we faithfully applied existing precedent to the facts."

The Washington Post reports on "a relatively young app called Beeper that pulls all your chats into one place." This is significant, the Post argues, because "we're better off if we have the freedom to pick up our digital lives and move on. Tech companies should feel terrified that you'll walk if they disappoint you..." If different people send you messages in Apple's Messages (a.k.a., iMessage), WhatsApp, LinkedIn and Slack, you don't have to check multiple apps to read and reply. Maybe the best promise of Beeper is that you can ditch your iPhone or Samsung phone for another company's device and keep your text messages...

Eric Migicovsky, Beeper's co-founder, told me that if you're pulling Apple Messages into Beeper, you need a Mac computer to upload a digital file. All chat apps have different limits on how much history you can access in the app.

There's also a wait list of about 170,000 people for Beeper. (Add yourself to the list here.) The app is free, but Beeper says it will start charging for a version with extra features.
To put this all in context, the Post's reporter remembers the hassle of using a cable to transfer a long history of iPhone messages to a new Google Pixel phone, complaining that Apple makes it more difficult than other companies to switch to a different kind of system. "Many of you are happy to live in Apple's world. Great! But if you want the option to leave at some point, try to limit your use of Apple apps when possible..."

They look ahead to next year, when the EU "will require large tech companies to make their products compatible with those of competitors" — though it's not clear how much change that will bring. In the meantime, the existence of a small company like Beeper "gives me hope that we don't have to rely on the kindness of technology giants to make it easier to move to a different phone or computer system... You deserve the option of a no-hassle tech divorce at a moment's notice."

Aspiring partners accuse Apple of copying their ideas. From a report: It sounded like a dream partnership when Apple reached out to Joe Kiani, the founder of a company that makes blood-oxygen measurement devices. He figured his technology was a perfect fit for the Apple Watch. Soon after meeting him, Apple began hiring employees from his company, Masimo, including engineers and its chief medical officer. Apple offered to double their salaries, Mr. Kiani said. In 2019, Apple published patents under the name of a former Masimo engineer for sensors similar to Masimo's, documents show. The following year, Apple launched a watch that could measure blood oxygen levels. "When Apple takes an interest in a company, it's the kiss of death," said Mr. Kiani. "First, you get all excited. Then you realize that the long-term plan is to do it themselves and take it all." Mr. Kiani is one of more than two dozen executives, inventors, investors and lawyers who described similar encounters with Apple. First, they said, came discussions about potential partnerships or integration of their technology into Apple products. Then, they said, talks stopped and Apple launched its own similar features.

Apple said that it doesn't steal technology and that it respects the intellectual property of other companies. It said Masimo and other companies cited in this article are copying Apple, and that it would fight the claims in court. Apple has tried to invalidate hundreds of patents owned by companies that have accused Apple of violating their patents. According to lawyers and executives at some smaller companies, Apple sometimes files multiple petitions on a single patent claim and attempts to invalidate patents unrelated to the initial dispute. Many large companies, particularly in tech, have been known to scoop up employees and technology from smaller potential rivals. Software developers have given a name to what they describe as Apple's behavior in such cases: sherlocking. The term refers to an episode about two decades ago, when Apple released a software product called "Sherlock" that helped users find files on its Mac computers and perform internet searches.

Apple's long-rumored VR / AR headset might run adapted versions of iPad apps, according to a new report from Bloomberg. The mixed reality device's new interface will also apparently let users access "millions" of already-available apps on the App Store. And the headset's apps might not be the only thing that might remind you of the iPad; the Home Screen and Control Center will apparently look like the iPad's as well, Bloomberg says. The Verge reports: Here are some of the apps you can expect, according to Bloomberg:

- Apple is working on "optimized" versions of apps like Safari and many of the core apps you might already be familiar with from an iPhone, including "Apple's services for calendars, contacts, files, home control, mail, maps, messaging, notes, photos and reminders, as well as its music, news, stocks and weather apps."
- There will be headset versions of FaceTime and Apple TV with features that "will look similar to their iPad counterparts."
- Apple is apparently testing a camera app, which could let you take pictures using its many rumored cameras.
- You'll be able to read books in VR with Apple Books and meditate with an app.
- A headset-compatible version of its new Freeform app could let you collaborate with others in mixed reality.
- Freeform won't be the only productivity app: the headset will also apparently support Pages, Numbers, Keynote, iMovie, and GarageBand.
- Apple wants to make watching sports a "richer experience," which could utilize technology it acquired when it bought NextVR.
- Gaming will "be a central piece of the device's appeal." (That feels like a smart decision.)

The global excitement around ChatGPT, and the haste to copy it, resembles the introduction of an Apple product. Everyone is stoked to try it, and other tech companies are working late nights to reverse engineer it. This time, Apple is nowhere to be found. Has the speed of it all caught the world's most influential tech company by surprise? From a report: Microsoft has poured $10 billion into OpenAI, the maker of ChatGPT, and reconfigured how it builds server farms to accommodate more of Nvidia's class-leading processors for training artificial intelligence. Alphabet's Google has made responding to ChatGPT a top priority. Amazon has also jumped into the fray with its cloud division. That's four of the world's top seven most valuable companies, and yet, the most valuable of them all seems to have no ready answer for what's coming. Bloomberg reported on an internal AI summit Apple held in February, when machine learning and other deployments of the tech across Apple products were discussed, but there was no hint of anything in the genre of generative AI.

AI in Apple products today is like irrigation for its walled garden, essential and helpful for an increasing number of functions, but ultimately it's the hardware fruit that Apple sells. Generative AI could come in like a tidal wave. Apple, by all appearances, squandered the lead it established since becoming the first big tech company to make an AI-powered voice assistant. Siri was clearly flawed from the start, but it looks ancient by the standards of ChatGPT. To compete in this new AI race, companies need massive, bespoke computational clusters that cost hundreds of millions of dollars. Cloud services are not Apple's strongest suit right now, as its chief for that division is leaving, and iCloud has been the subject of lament in this very newsletter. The company is investing significant resources in the augmented-reality headset we expect to debut in June and the long-mooted, capital-intensive automotive initiative.

Israeli spyware maker NSO Group deployed at least three new "zero-click" hacks against iPhones last year, finding ways to penetrate some of Apple's latest software, researchers at Citizen Lab have discovered. From a report: The attacks struck phones with iOS 15 and early versions of iOS 16 operating software, Citizen Lab said in a report Tuesday. The lab, based at the University of Toronto, shared its results with Apple, which has now fixed the flaws that NSO had been exploiting. It's the latest sign of NSO's ongoing efforts to create spyware that penetrates iPhones without users taking any actions that allow it in. Citizen Lab has detected multiple NSO hacking methods in past years while examining the phones of likely targets, including human rights workers and journalists.

While it is unsettling to civil rights groups that NSO was able to come up with multiple new means of attack, it did not surprise them. "It is their core business," said Bill Marczak, a senior researcher at Citizen Lab. "Despite Apple notifying targets, and the Commerce Department putting NSO on a blacklist, and the Israeli ministry cracking down on export licenses -- which are all good steps and raising costs -- NSO for the moment is absorbing those costs," Marczak said. Given the financial and legal fights NSO is involved in, Marczak said it was an open question how long NSO could keep finding or buying new exploits that are effective.

In addition to the company's long-rumored mixed reality headset, Apple is expected to launch new MacBooks, as well as a "major" update to the Apple Watch's watchOS software at its Worldwide Developers Conference (WWDC) in June. All told, WWDC 2023 could end up being one of Apple's "biggest product launch events ever," according to Bloomberg's Mark Gurman. The Verge reports: Let's start with the Macs. Gurman doesn't explicitly say which macOS-powered computers Apple could announce in June, but lists around half a dozen devices it currently plans to release this year or early 2024. There's an all new 15-inch MacBook Air, an updated 13-inch MacBook Air, and new 13-inch and "high-end" MacBook Pros. Meanwhile on the Mac side Apple still needs to replace its last Intel-powered device, the Mac Pro, with an Apple Silicon model, and it also reportedly has plans to refresh its all-in-one 24-inch iMac.

Bloomberg's report notes that "at least some of the new laptops" will make an appearance. The bad news is that none are likely to run Apple's next-generation M3 chips, and will instead ship with M2-era processors. Apple apparently also has a couple of new Mac Studio computers in development, but Bloomberg is less clear on when they could launch.

Over on the software side, which is WWDC's traditional focus, watchOS will reportedly receive a "major" update that includes a revamped interface. Otherwise, we could be in for a relatively quiet show on the operating system front as iOS, iPadOS, macOS, and tvOS are not expected to receive major updates this year. Gurman does say that work to allow sideloading on iOS to comply with upcoming EU legislation is ongoing.