Apple on Tuesday unveiled an updated iPhone complete with a built-in “personal assistant” in a move that failed to dazzle investors but promised to keep it ahead of the pack.
Apple shares slipped on Wall Street after the gadget maker showed off a slick, improved version of the iPhone, but not the revamped next-generation iPhone 5 smartphone many had hoped for.
Apple’s new chief executive Tim Cook, who replaced ailing founder Steve Jobs in August, presided over the launch of the iPhone 4S at Apple headquarters in Cupertino, California.
The iPhone 4S features a speedier processor, a “personal assistant” that responds to voice commands and a more powerful camera.
ANTI-CLIMACTIC
Apple’s stock price slid more than 4 percent at one point as it became clear the company was not going to wow the world with its latest product, but recovered ground to end the trading day down 0.56 percent at US$372.50.
“While there were few surprises, we believe the initial sell-off in shares is overdone and in the long term Apple has laid the groundwork to gain significant share,” Barclays Capital analyst Ben Reitzes said in a note to investors.
The iPhone 4S will be available in the US, Australia, Canada, France, Germany, Japan and Britain on Friday next week with pre-orders commencing tomorrow.
The iPhone 4S will be introduced by the end of this month in 22 additional countries, including Austria, Italy, Singapore, Spain and Switzerland.
In the US, iPhone 4S prices will start at US$199 for a 16 gigabyte (GB) model and top out at US$399 for a model with 64GB of memory.
The iPhone 4S predecessor will be available for US$99, while earlier-generation iPhone 3GS models will be free with telecom carrier contracts, an Apple first.
A slick new version of the iOS mobile operating system was also shown off at the press event in a theater at Apple’s Silicon Valley campus.
Apple also announced the launch, for Wednesday, of the long-promised iCloud, which lets people store music, pictures, videos and other digital files online and access the content across Apple computers and mobile devices.
“IPhone 4S plus iOS 5 plus iCloud is a breakthrough combination that makes the iPhone 4S the best iPhone ever,” Apple senior vice president of worldwide marketing Philip Schiller said.
“While our competitors try to imitate iPhone with a checklist of features, only iPhone can deliver these breakthrough innovations that work seamlessly together,” he said.
The 4S will introduce a “Siri intelligent assistant” designed to understand context so people can speak naturally when asking it questions.
For example, spoken queries of “Will I need an umbrella this weekend?” and “What is the traffic like around here?” will prompt online searches for local weather forecasts or road conditions, according to Apple.
Siri helps make calls, send text messages or e-mail, schedule meetings and reminders, make notes, find local businesses and get directions. Siri will even perform mathematical calculations if asked.
“Apple’s new Siri assistant, unique to the new 4GS, is a powerful harbinger of the future use of mobile devices,” Forrester Research analyst Charles Golvin said. “Not just the power of voice but, more importantly, the ability to contextualize a statement or request.”
OTHER GIMMICKS
Apple also added new features and pricing to its iPod Touch and iPod Nano devices in the latest improvements to a line that began with the introduction of the first iPod in the same Apple “Town Hall” in 2001.
The iPod Touch will be available for US$199 and iPod Nano prices will start at US$129.
“IPod has revolutionized the way we listen to music and with over 320 million sold is the world’s most popular music player,” Schiller said.
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