Three years after introducing its breakthrough iPhone, Apple Inc. on Jan. 27 unveiled its much-anticipated iPad tablet computer. The iPad is half-inch thick mobile device that CEO Steve Jobs characterized as filling the gap between the laptop and the smartphone.
The product will be available in late March at a starting price of $499 for a 16-gigabyte model. A 32GB model will be available for $599 and the 64GB iPad will cost an additional $100. Users can perform various functions on the application including e-mail, listening to music and reading e-books.
The iPad will come in two versions -- one with Wi-Fi and the other with both Wi-Fi and 3G. The Wi-Fi and 3G combo will cost an additional $30.
The device also features 12 new apps designed specifically for the iPad and will run almost all of the 140,000-plus apps in the App Store. Jobs referred to the iPad as the company's "most advanced technology in a magical and revolutionary device."
"iPad creates and defines an entirely new category of devices that will connect users with their apps and content in a much more intimate, intuitive and fun way than ever before," said Jobs in a statement.
| At A Glance Apple Inc. Cupertino, Calif. Primary Industry: Computers & Other Electronic Products Number of Employees: 36,800 2008 In Review Revenue: $36.54 billion Profit Margin: 14.88% Sales Turnover: 0.82 Inventory Turnover: 49.90 Revenue Growth: 35.30% Return On Assets: 19.07% Return On Equity: 33.27% |
The announcement came just two days after the company said profit rose 50% over the year-earlier period on increased sales of its iPhones. Profit reached $3.38 billion, or $3.67 a share, compared with $2.26 billion, or $2.50 a share, in the year-earlier period. Revenue increased to $15.68 billion, up from $11.88 billion in first-quarter 2009.
The company sold 8.7 million iPhones, a 100% increase over the year-ago quarter. The company also sold 3.36 million Macintosh computers, a 33% increase. iPod sales declined 8% to 21 million units sold during the quarter.
"If you annualize our quarterly revenue, it's surprising that Apple is now a $50 billion-plus company," said Jobs when earnings were released. "The new products we are planning to release this year are very strong, starting this week with a major new product that we're really excited about."
In the second quarter the company expects revenue to be between $11 billion and $11.4 billion, with earnings per share in the $2.06 to $2.18 range, said Peter Oppenheimer, Apple's chief financial officer.
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About the Author
Jonathan Katz
Former Managing Editor
Former Managing Editor Jon Katz covered leadership and strategy, tackling subjects such as lean manufacturing leadership, strategy development and deployment, corporate culture, corporate social responsibility, and growth strategies. As well, he provided news and analysis of successful companies in the chemical and energy industries, including oil and gas, renewable and alternative.
Jon worked as an intern for IndustryWeek before serving as a reporter for The Morning Journal and then as an associate editor for Penton Media’s Supply Chain Technology News.
Jon received his bachelor’s degree in Journalism from Kent State University and is a die-hard Cleveland sports fan.