MacRumors

In its latest 10-K annual report (PDF) filed last month, Intel confirmed the end of its long-heralded "tick-tock" strategy of delivering new microprocessors to the market. Intel originally introduced the product cadence to the world in 2006 with the launch of the "Core" microarchitecture, alternating "ticks" of shrinking chip fabrication processes with "tocks" of new architectures.

Over the past ten years, Intel has successively delivered new processor families based on this tick-tock cycle on a nearly annual cycle from its 65 nm manufacturing node all the way up until recently. The tick-tock release cycle allowed Intel to reestablish dominance in both the consumer and enterprise CPU markets and had given OEMs such as Apple a regular update cycle to rely on for annual product updates. But with chip updates stretching about beyond a yearly cycle in recent generations, Apple's product launch cycles have started to be affected.

In the face of the difficulties in maintaining the tick-tock cadence, Intel has announced that the launch of Kaby Lake this year as the third member of the 14-nm family following Broadwell and Skylake will mark the official end of the tick-tock strategy. Instead, Intel will move to a new "Process-Architecture-Optimization" model for the current 14 nm node and the 10 nm node.

As part of our R&D efforts, we plan to introduce a new Intel Core microarchitecture for desktops, notebooks (including Ultrabook devices and 2 in 1 systems), and Intel Xeon processors on a regular cadence. We expect to lengthen the amount of time we will utilize our 14nm and our next-generation 10nm process technologies, further optimizing our products and process technologies while meeting the yearly market cadence for product introductions.

This development is not unexpected, as semiconductor foundries have had increasingly tough times creating smaller process nodes as fabrication of smaller transistors has become increasingly expensive and complex. Transistors are rapidly approaching the physical limits of traditional semiconductor geometries, and the famous Moore's Law regarding transistor density has been formally acknowledged to no longer be valid.

Intel has no doubt moved to this new release model in an attempt to get back to a regular product and platform cadence as it struggles with the technological challenges of bringing new fabrication nodes to volume production. As noted in our Mac Buyer's Guide, many of Apple's Macs have gone without update for the longest time since we began tracking them, though Apple has yet to update to the available Skylake microarchitecture for its Mac line. Some product uncertainty is due to continue as the launch of Intel's Kaby Lake microarchitecture has been recently delayed to the second half of 2016 after Skylake suffered similar setbacks last year.

Over the past two weeks, an increasing number of iPhone SE early adopters have reported audio issues with Bluetooth phone calls when the smartphone is paired with a vehicle or wireless headset. The issue extends to GPS voice navigation for some, but streaming music over Bluetooth appears to be unaffected.

Specifically, dozens of users in the Apple Support Communities and MacRumors discussion forums claim to be experiencing distorted, staticky, or inaudible phone calls when using an iPhone SE over Bluetooth. Many of those affected noted that their previous iPhone model had "crystal clear" audio quality.

MacRumors reader HickDead recently posted a forum topic to share his experience:

I actually had to return my SE back to Verizon because my Bluetooth calls reception quality was terrible. Playing music or YouTube videos through the Bluetooth was excellent but when it came to phone calls, the sound was constantly cutting in and out and sounded "scratchy" and distorted.

Never had this issue with my previous 6S or my work-issued Android phone. Tried my SE in a different vehicle and got the same results. I've unpaired and repaired and I even restored my SE and set up up as a new device but nothing has worked.

Based on crowdsourced information, the issue appears to affect all iPhone SE models running iOS 9.3 or 9.3.1, regardless of carrier or model, in the U.S., Australia, Canada, Germany, Sweden, U.K., and possibly elsewhere. The first iOS 9.3.2 beta does not appear to resolve the problem.

The issue does not appear to be isolated to any particular carmaker, as customers have reported identical issues with vehicles sold by Audi, BMW, Chevrolet, Chrysler, Dodge, Ford, GMC, Hyundai, Infiniti, Jeep, Kia, Mercedes-Benz, Nissan, Subaru, Toyota, Volkswagen, and many other makes and models.

It remains unknown if the problem is rooted in software or hardware, but a number of affected customers have attempted basic troubleshooting without success, including restoring the iPhone SE, resetting network settings, un-pairing and re-pairing Bluetooth, toggling cellular data, and changing SIM cards.

Some users that contacted Apple support by phone claim to have been escalated to higher-level iOS advisors that asked for log files. At least a few customers received confirmation that Apple engineers are aware of the Bluetooth issues internally and are working on a fix, but the timeline remains unclear.

Apple Support Communities user Ross_H_D posted this message on April 9:

I have been working with a high level support person who has assured me he is working directly with engineering. Apple has very much become engaged in this issue. They have had me do extensive testing of various conditions in order to document and troubleshoot. Further, there is an internal "Issue" board and tracking system for Apple support and this BT issue is on the top of the list. It was conveyed to me that this has become a very real issue internally and resources are now committed to its resolution.

This type of problem is not unprecedented. In early October 2014, some users experienced trouble pairing their devices to their car audio systems over Bluetooth after upgrading to iOS 8 or purchasing a new iPhone 6 or 6 Plus. The problems appeared to be fixed when Apple released iOS 8.1 later that month.

Update: Apple has released iOS 9.3.2 with a fix for iPhone SE Bluetooth issues.

Apple Watch shipments will decline more than 25 percent year-over-year in comparison to 2015, according to a new research note issued by KGI Securities analyst Ming-Chi Kuo. The wearable device sold an estimated 10.6 million units in eight months last year, but Kuo predicts that even with the launch of the Apple Watch 2, and a full twelve months of sales, the device's shipments will still come in at less than 7.5 million units in 2016.

The analyst describes an "immature wearable device market" and a few key lacking features of the first-generation Apple Watch -- iPhone independency, no killer app, limited battery life, etc. -- that will contribute to its overall sales decline prior to the launch of the second-generation version. Kuo believes that the Apple Watch 2 will enter mass production in the third quarter of 2016, in line with a fall launch alongside the iPhone 7, so its overall contribution to shipping numbers for the year is predicted to be limited.

Kuo's note also predicts some of the features of the next version of the Apple Watch, which is expected to adopt the same upgrade cycle as the iPhone. In essence, 2016's Apple Watch 2 will see some under-the-hood spec improvements and possibly minor form factor changes, while fans will have to wait until 2017 for a massively redesigned wearable from Apple. The similar design is one of Kuo's biggest reasons for declining Apple Watch shipments in 2016, despite even the uptick in sales the device could have during the holiday season.

The recent KGI Securities research note directly conflicts with a report from less-reliable Apple analyst Brian White, released last Friday, that predicted the Apple Watch 2 will not only launch in two to three months, but adopt a 40 percent slimmer case design. That launch window would put a reveal by Apple at WWDC in June with a launch following a few weeks later.

In either launch scenario, the Apple Watch 2 is rumored to have a bevy of feature improvements over its predecessor, including a FaceTime video camera, an expansion of its Wi-Fi capabilities, and new model tiers. Rumored casings of the next iteration of the device could possibly even incorporate new materials such as titanium, tungsten, palladium or platinum.

Apple has released a new television ad for the fourth-generation Apple TV called "Father Time," starring NBA superstar Kobe Bryant and actor Michael B. Jordan. It is the tenth ad for the new Apple TV since it launched in late October.

The underlying "Father Time" theme of the ad lightly pokes fun at how Bryant's all-star career with the Los Angeles Lakers, whom he will play the last game of his 20-year career for on Wednesday, is coming to an end due to his age.

The ad closes with the tagline "future of television" and colorful bars as seen throughout the rest of Apple's advertising campaign for the new Apple TV, including billboards in major cities like Los Angeles, New York, San Francisco, and Hollywood.

A draft of an encryption bill created by Senate Intelligence Committee leaders Richard Burr and Dianne Feinstein was released last night, revealing the scope of the legislation that would require technology companies to decrypt data and share it in an "intelligible format" when served with a legal order.

The Compliance with Court Orders Act of 2016, a copy of which was shared by Re/code, starts out by declaring "no person or entity is above the law." It says that all providers of communication services and products, from hardware to software, must both protect the privacy of residents of the United States through "implementation of appropriate data security," while still respecting the "rule of law" and complying with legal requirements and court orders to provide information stored either on devices or remotely.

To uphold both the rule of law and protect the interests and security of the United States, all persons receiving an authorized judicial order for information or data must provide, in a timely manner, responsive, intelligible information or data, or appropriate technical assistance to obtain such information.

In acknowledgement of the disagreement between the FBI and Apple, the legislation does include a clause that prevents it from authorizing "any government officer to require or prohibit any specific design or operating system to be adopted by any covered entity," and it shies away from specific technical demands, but the wording of the act itself, with no contingencies for inaccessible data, makes end-to-end encryption impossible. Any data encrypted by companies must also be able to be decrypted.

Security experts have heavily criticized the bill. Daniel Castro of the Information Technology and Innovation Foundation told Re/code the bill "sets up a legal paradox" while the ACT/App Association said it amounts to a government-mandated back door. Security researcher Jonathan Zdziarski says the entire bill is dangerous, calling it "a hodgepodge of technical ineptitude combined with pockets of contradiction."

The absurdity of this bill is beyond words. Due to the technical ineptitude of its authors, combined with a hunger for unconstitutional governmental powers, the end result is a very dangerous document that will weaken the security of America's technology infrastructure. This will affect everything from the iPhone you hold in your pocket to how data is transmitted over the Internet, allowing the government to effectively break all electronic commerce and Internet security. This is bad legislation in every way, and it very subtly allows for unconstitutional government control of private industry.

In a report yesterday, Reuters said the White House has decided not to offer public support for the legislation, as "the administration remains deeply divided on the issue." The bill is still in draft form, with the language subject to changes based on input from stakeholders. In a joint statement, Burr and Feinstein said they hope to have a final version completed soon.

Update 4/13: An official draft of the Compliance with Court Orders Act of 2016 was released on April 13, with few changes from the version released earlier in the month.

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Apple analyst Brian White of Wall Street firm Drexel Hamilton, who is currently on a Chinese tech tour, today issued a pair of research notes highlighting his upcoming Apple Watch and iPhone expectations through the end of 2016.

Foremost, White cites a source who believes only the 5.5-inch iPhone 7 Plus will feature a dual camera system, echoing the same prediction made by often-accurate KGI Securities analyst Ming-Chi Kuo earlier this week.

The analyst claims that iPhone 7 production is expected to begin in July, and the next-generation smartphone is expected to help Apple and its suppliers return to smartphone growth in the second half of 2016, just months after the iPhone likely experienced its first year-over-year quarterly sales decline ever. Apple announces its Q2 2016 earnings results on Monday, April 25 at 2:00 p.m. Pacific.

Our meeting with a tech supply chain company highlighted a rough end to 2015 with significant forecast reductions from Apple; however, forecasts have been stable since then with 2Q:16 expected to be the trough. After a YoY sales decline in 1Q:16, our contact expects to return to growth in H2:2016. Production of parts of the iPhone 7 are expected to begin in July.

Meanwhile, White predicts that the Apple Watch could be refreshed within the next two to three months. He believes that a 20% to 40% thinner Apple Watch 2 could be unveiled by June, possibly at Apple's annual WWDC, which could take place between June 13-17 based on scheduled availability at Moscone West, the San Francisco convention center where the developer event is typically held.

Finally, we walked away with the sense that the Apple Watch refresh will not occur in September with the iPhone 7, but is more likely to occur within the next 2-3 months, and thus we believe an unveiling at WWDC in June makes sense. We believe Apple Watch 2 could be 20-40% thinner than the current Apple Watch.

Early rumors suggested that the Apple Watch 2 could debut at Apple's "Let Us Loop You In" event in March, which saw the introduction of the iPhone SE and 9.7-inch iPad Pro, but multiple sources have now reported that the next-generation wearable could debut around September. The original Apple Watch was announced in early September 2014 and released in late April 2015.

A few reports do line up with the June timeframe. In November 2015, a Chinese report surfaced indicating that Taiwan-based supplier Quanta Computer was developing the Apple Watch 2 in time for a late-second-quarter launch, with volume shipments beginning in the third quarter. In January 2016, another Chinese report said Quanta would begin trial production of the Apple Watch 2 by the end of that month.

Moreover, in September 2015, Cowen and Company analyst Timothy Arcuri claimed that the second-generation Apple Watch will launch in mid- to late-2016 and be thinner than current models. Few other details are known about the upcoming device beyond a June 2015 report that said it will feature a FaceTime video camera and expanded Wi-Fi capabilities, while new bands and finishes are always a possibility.

Whether the Apple Watch 2 is introduced in June or September, it appears clear that Apple may be elongating the wearable's release cycle beyond one year to avoid consumer exhaustion. Many customers only received the Apple Watch in December during the holiday shopping season, so a new model launching this spring may be considered too soon. A closer to year-and-a-half refresh would seem more appropriate.

Brian White is a longtime Apple analyst that currently serves as Global Head of Technology Hardware & Software at institutional brokerage firm Drexel Hamilton. He previously worked at investment bank Cantor Fitzgerald, where he held the same title, and Topeka Capital Markets. Like many analysts, he has both hits and misses in regards to Apple's upcoming product plans.

Starting last year, AT&T began charging a $15 activation fee for customers who wanted to upgrade to a new smartphone purchased outright or through an AT&T Next plan, and as of yesterday, that fee has been increased from $15 to $20.

As Droid Life noticed yesterday, AT&T updated its wireless activation and upgrade fees document to reflect the new $20 pricing on April 6, matching Verizon's recently implemented fee.

On Monday, Verizon started charging $20 for activating smartphones purchased through an installment plan or at full retail price, $5 less than AT&T was charging at the time. Less than two days later, AT&T raised its prices to $20.

AT&T customers who bring a phone to the AT&T network, purchase a phone using AT&T Next, or purchase a device through Apple's Device Upgrade program will need to pay the one-time activation fee as outlined below. Customers with a two-year contract will need to pay the standard $45 fee, which has not changed.

Wireless activation and upgrade fees,1 are one time fees that may be added to your first or next AT&T bill.
- Activation and upgrade fees for smartphones with AT&T Next - Activation and upgrade fees are $20 per smartphone added or upgraded with AT&T Next.
- Activation fees for installment agreements and bring your own devices - The fee is $20.
- Activation and upgrade fees for two year agreement - Fees are $45. Note: Two year agreements are available only on select devices.

As Ars Technica points out, AT&T doesn't provide any explanation or justification for the fee that it charges on its website, nor does it give an explanation for the price increase. In a leaked document we shared last week, Verizon said its own fee was to cover "increasing support costs associated with customers switching their devices."

Of the four major carriers in the United States, T-Mobile is the only carrier that does not charge an upgrade or activation fee. AT&T and Verizon both charge $20, while Sprint charges a fee of up to $36 per device.

Last month, Apple shared a charming iPhone 6s ad starring well-known Sesame Street character Cookie Monster, who used the iPhone 6s and the always-on "Hey Siri" feature as a cookie-baking aid.

The spot, which garnered more than 8 million views on YouTube, is one of the most popular ads in Apple's recent history, which is likely why the company today released a followup "Behind the Scenes" video depicting a humorous second look at Cookie Monster as he shoots the ad.

In the ad, we see some before and after shots, showing more footage of Cookie Monster waiting for his cookies. Cookie Monster asks over and over again when his cookies will be ready, and has a cute conversation with Siri where he offers her a cookie when they're done. The video continues on with the ding of the oven and Cookie Monster's excitement over the finished cookies, ending with Siri wishing Cookie Monster good night.