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Apple today issued a media alert announcing details for tomorrow's release of its financial results for the third fiscal quarter and second calendar quarter of 2010. The results will be released after the close of tomorrow's trading at approximately 4:30 PM Eastern / 1:30 PM Pacific. Apple's conference call discussing the results will follow at 2:00 PM Pacific and will be available via a live audio webcast. MacRumors will provide running coverage of the conference call highlights.

Apple's third fiscal quarter saw a number of significant product introductions, beginning with the iPad very early in the quarter to begin a multi-stage roll-out across a number of countries. The company followed with revised MacBook Pros just ten days after the initial iPad launch and a MacBook update in mid-May. A redesigned Mac mini made its appearance in mid-June near the end of the quarter, with the iPhone 4 launching in several countries just three days before the end of the quarter. The company did announce, however, that it sold over 1.7 million iPhone 4s in those three days.

For the quarter, analysts are predicting net earnings of $3.10 per share on revenue of $14.74 billion, above Apple's guidance of $2.28-$2.39 profit on $13.0-$13.4 billion of revenue. Apple's year-ago results for the third fiscal quarter of 2009 initially included net earnings of $1.35 per share on revenue of $8.34 billion. Those calculations were based, however, on earlier accounting methods that utilized "subscription accounting" for iPhone and Apple TV revenue. Apple adopted revised accounting standards at the beginning of fiscal 2010, and after retrospective application (PDF) of the new standards, the year-ago quarter yielded net earnings of $2.01 per share on revenue of $9.73 billion.

Apple today announced that the next round of international iPad launches will take place this Friday, July 23rd. All iPad models will be available at launch, with pricing information available through Apple's country-specific sites and stores.

Apple today announced that iPad will be available in Austria, Belgium, Hong Kong, Ireland, Luxembourg, Mexico, Netherlands, New Zealand and Singapore this Friday, July 23.

The company notes that the iPad will be made available in "many more" countries later this year, with launch dates and pricing being announced close to those launches.

Apple first launched Wi-Fi-only iPad models in the United States in early April, with 3G-capable models following later that month. The first round of international iPad launches, encompassing nine countries, occurred in late May and today's announcement marks the second round of such international launches.

On Friday, Apple held a press conference where they defended the iPhone 4's antenna design and presented data suggesting the issue was blown out of proportion. During a portion of their presentation, they demonstrated signal loss in other major phone manufacturers including devices made by RIM And Nokia.

Neither company took too kindly to the demos and both issued responses. RIM issued a statement to Crackberry.com which begins:

Apple's attempt to draw RIM into Apple's self-made debacle is unacceptable. Apple's claims about RIM products appear to be deliberate attempts to distort the public's understanding of an antenna design issue and to deflect attention from Apple's difficult situation.

RIM claims Apple made design decisions they should stand by rather than pointing the finger.

Meanwhile, Nokia responded on a blog with a similar sentiment:

In general, antenna performance of a mobile device/phone may be affected with a tight grip, depending on how the device is held. Thats why Nokia designs our phones to ensure acceptable performance in all real life cases, for example when the phone is held in either hand. Nokia has invested thousands of man hours in studying how people hold their phones and allows for this in designs, for example by having antennas both at the top and bottom of the phone and by careful selection of materials and their use in the mechanical design.

Finally, this crazy Taiwanese video recreation of the entire "antennagate" incident provides a humorous look (via Gizmodo):

Update: The Wall Street Journal reports that HTC and Samsung, two of Apple's other targets at its press conference, have also responded regarding the situation.

"The reception problems are certainly not common among smartphones," HTC chief financial officer Hui-Meng Cheng said. "They (Apple) apparently didn't give operators enough time to test the phone."

Samsung simply noted that it "hasn't received significant customer feedbacks" regarding signal issues with its Omnia II handset featured by Apple CEO Steve Jobs in his presentation of iPhone competitors also exhibiting signal attenuation when held.

Earlier today, Apple posted a video of today's press conference addressing antenna issues with the iPhone 4, also adding to its website a section dedicated to antenna design and testing as highlighted during the press conference.

While the new section of Apple's site provides an interesting glimpse into the company's $100 million investment in antenna design and testing labs, Apple went one step further and invited 11 members of the media on a brief tour of the previously-secret labs following today's event. Macworld reports on the tour, which was led by Apple engineer Ruben Caballero, who was the subject of a Bloomberg report yesterday claiming that he had warned Apple CEO Steve Jobs early in the iPhone 4 design process that the antenna design could cause reception problems, a claim Jobs today called a "crock" and "total bullshit".

The point of the tour was clear: to show that Apple takes the testing of wireless issues very seriously, and that suggestions that the company was simply sleeping on the job when it came time to test the iPhone 4 are misguided.

The report highlights the secrecy of the facility, noting that even Apple's PR representatives on the tour had never visited it before and that the lab's workbenches were covered with black cloths, a security procedure followed even when other Apple employees enter the facility.

We toured several different chambers, and they're pretty eerie places. Caballero would occasionally step into a chamber, leading in a few reporters (they're generally far too small to fit more than a handful of people inside), and the moment he entered the chamber his voice became nearly inaudible, due to most of his sound being absorbed by the foam on the chamber's walls. Even the handles of the heavy doors are made of Fiberglas, and the doors are lined with copper to ensure the entire room is a Faraday cage.

Apple's tests, which can take up to 25 hours to run across all frequencies, are conducted in a variety of settings in the company's testing chambers, including positioning the device on styrofoam blocks, in human hands, and in the vicinity of realistic "phantom" mannequin body parts.

Finally, Apple showed off its CT scanner purchased for scanning products for defects without requiring them to be opened and changing their electromagnetic properties, as well as a field-testing van that allows engineers to test reception in real-world settings.

Update: Engadget has also posted a description of the behind-the-scenes tour, offering a similar perspective.

Consumer Reports, the prominent ratings and reviews magazine, is still declining to recommend the iPhone 4 following Apple's offer of free cases for all iPhone 4 customers through September 30th.

Consumer Reports believes Apple's offer of free cases is a good first step. However, Apple has indicated that this is not a long-term solution, it has guaranteed the offer only through September 30th, and has not extended it unequivocally to customers who bought cases from third-party vendors. We look forward to a long-term fix from Apple. As things currently stand, the iPhone 4 is still not one of our Recommended models.

The magazine touched off a firestorm in the mainstream media earlier this week by not recommending Apple's iPhone 4 due to antenna issues despite the device topping its rankings of smartphones. The uproar led to today's press conference at Apple's headquarters where the company addressed the antenna issues and made its offer of free cases for users.

The Electronic Frontier Foundation (EFF) reports that the San Mateo County District Attorney's office has been granted a withdrawal of its controversial search warrant used to seize items from the home of Gizmodo editor Jason Chen in the wake of the site's purchase of and publication of details on an iPhone 4 prototype lost in a bar earlier this year.

As EFF repeatedly noted at the time, the warrant-backed search of Chen's home was illegal as it violated California Penal Code section 1524(g)'s prohibition against the issuance of warrants for "unpublished information obtained or prepared in gathering, receiving or processing of information for communication to the public."

As a result of the withdrawal, all information and equipment must be returned to Chen. This does not, however, mean that the potential case has been dismissed. In addition to evidence gathered through other means, the District Attorney's office could skirt around the questionably-issued search warrant and request a subpoena for access to the same items, but it is unclear whether it intends to do so.

Apple CEO Steve Jobs noted early last month that he had received advice from acquaintances urging him to "let it slide", but that his belief in the values of Apple compelled him to pursue the issue and report the iPhone's disappearance and subsequent resurfacing to the authorities.

Update: According to The Wall Street Journal, Gizmodo has agreed to cooperate with authorities, paving the way for withdrawal of the search warrant.

The San Mateo County judge overseeing the Gizmodo case on Friday ordered the search warrant to be withdrawn and the materials taken from Mr. Chen to be returned to him. Gawker Media Chief Operating Officer Gaby Darbyshire said Gizmodo has agreed voluntarily to give the district attorney materials that a court appointee "deems relevant to the case."

Chris Feasel, deputy district attorney for San Mateo County, said Friday that the investigation into Gizmodo is ongoing. "Mr. Chen and Gizmodo have agreed to cooperate with our investigation," he said.

Apple has posted video of the iPhone 4 press conference held today at its campus in Cupertino, California. The company has also posted several new pages on its website dedicated to explaining the antenna issue and showing off the company's antenna design and testing facilities.

The press conference offered a presentation from Apple CEO Steve Jobs outlining the company's belief that antenna issues with the iPhone 4 are common to nearly all smartphones and that only a very small fraction of iPhone 4 customers have reported the issue. He noted, however, that Apple is committed to making sure that every customer is happy and to that end announced that the company will be offering free cases to all customers purchasing iPhone 4s through September 30th.

The company also acknowledged issues with the device's proximity sensor and reported that they will be addressed in a future software update.

Following Jobs' presentation, a Q&A session was held with Jobs, Tim Cook, and Bob Mansfield. The Q&A session is not, however, included in the video posted by Apple.

While the big news out of Apple's iPhone 4 press conference was the announcement of free cases for customers and a positioning of antenna issues as affecting nearly all smartphones, there was additional news from Apple CEO Steve Jobs, including acknowledgment of proximity sensor issues with a fix promised for the next iOS software update. Jobs also made several other announcements which may be of interest to readers:

- Over 3 Million iPhone 4s Sold: Jobs announced early in his presentation that the iPhone 4 has sold over three million units since its launch in the U.S. and four other countries on June 24th.

The iPhone 4 is perhaps the best product we've ever made at Apple, and we have sold well over three million since we launched it three weeks ago. Just three weeks ago.

The company had previously announced sales of over 1.7 million units in the first three days of availability.

- White iPhone 4 Coming End of July: Jobs also announced that the white iPhone 4 will begin shipping in limited quantities by the end of this month, meeting earlier promises that they would become available in the second half of July.

A lot of people waiting for the white iPhone. We're going to start shipping it at the end of this month. And our quantities will be limited at first - we're ramping up as fast as we can. The white iPhones will start shipping at the end of July.

- iPhone 4 to 17 New Countries on July 30th: Apple had announced at the iPhone 4's official introduction in early June that the second batch of iPhone 4 launches would take place in 18 countries at the end of July. Jobs today announced that those countries, with the exception of South Korea, will see the iPhone 4 arrive on July 30th.

On July 30th, we are going to bring the iPhone to 17 more countries, and these are the same 17 we talked about before with the omission of just South Korea because it's going to take just a little bit longer to get government approval there.

During today's press conference. Apple's Steve Jobs revealed that they are tracking some issues with the iPhone 4's proximity sensor and expects to fix this in the next software update. We previously reported on this issue two weeks ago:

one of the most prevalent [problems] of late has been problems with the device's proximity sensors designed to sense when the phone is held up to the user's face and deactivate the device's screen, thus preventing unintended activation of buttons on the display.

Affected users found themselves accidentally ending calls or causing other unintended key presses. No word on when the software update will become available.

At its iPhone 4 press conference today, Apple CEO Steve Jobs announced the results of the company's investigation into complaints of signal problems on the new device. According to Jobs, the issue is being experienced by a very small proportion of customers but that the company wants every customer to be satisfied.

To that end, Jobs outlined three steps the company has taken:

- iOS 4.0.1 fixes the signal strength display issue by recalibrating the "bars" displayed, and all customers should apply the software update.

- Apple will provide all iPhone 4 customers who purchase their phones by September 30th a free case. Customers will be able to choose from Apple's own bumpers, as well as third-party cases sourced from other vendors. Customers who have already purchased a bumper can receive a refund. Apple's site will begin taking orders for the free cases beginning late next week, and the company will re-revaluate the case situation as it gets closer to the September deadline.

- Any customer who is still unhappy with their iPhone 4 can return it, provided it is undamaged, within 30 days of purchase with no restocking fee charged.

Jobs maintained throughout that the issue was one common to other mobile phones and according to their data, this affects a very small percentage of iPhone 4 owners.

Apple today is holding its iPhone 4 press conference where it is expected to address issues with the device's cellular signal reception.

The event is scheduled to kick off at Apple's Cupertino headquarters at 10:00 AM Pacific Time / 1:00 PM Eastern Time, or just about one hour from now. Apple will not be providing live video or audio coverage of the event, and thus observers will have to rely primarily on text and photo updates coming out of the event.

Live Web/Twitter Coverage

- Engadget
- All Things Digital
- MobileCrunch
- Ars Technica
- gdgt
- Fortune
- MacRumors Twitter updates

We'll also be providing event updates here in this article.

Recent News and Rumors

- iPhone 4 Signal Issue Can Be Fixed With a Software Update?
- Apple Not Planning an iPhone 4 Recall
- Apple Addresses iPhone Signal Strength Display With iOS 4.0.1 and iPad Wi-Fi Connectivity With iOS 3.2.1
- Analyst Claims Design Fix for iPhone 4 Signal Issue Being Deployed
- Consumer Reports 'Can't Recommend' iPhone 4 Due to Signal Issues

Event Updates

- Media are being let into Apple Town Hall for the press conference. The Wall Street Journal has noted the presence of a representative from Consumer Reports, the magazine that made the iPhone 4's antenna issue mainstream news earlier this week.

- Most of Apple's top executives are seated in the front row: Tim Cook, Bertrand Serlet, Bob Mansfield and Phil Schiller.

- Press conference opens with video of iPhone 4 antenna song.

- Jobs takes the stage. Scheduled for a 15 minute presentation followed by a Q&A

- Jobs says, "We're not perfect. Phones are not perfect. We all know that. But we want to make our users happy."

- iPhone 4 is best product we've ever made. We've sold over 3 million of them. Highest customer satisfaction rating, but we've been getting reports of antenna problems. It's been dubbed "Antennagate". We're an engineering-driven company, so we wanted to find the real problem. So here's our data.

- Shows BlackBerry Bold 9700 (Research in Motion), HTC Droid Eris (Android), and Samsung Omnia II (Windows Mobile) all behaving in exactly the same way. Bars drop to one or zero when held in areas of weak signal. A challenge for the entire industry.

- "X" marks the spot. We made it very visible, and with the help of our friends on some websites, everybody knows where to touch to make it happen. We haven't found a way around the laws of physics yet.

- Shows off state-of-the-art antenna testing facility. Invested over $100 million in antenna testing facilities over the past 5 years and have 18 PhD scientists working on antenna design.

- We knew if you gripped the iPhone in a certain way, the bars would go down, just like every smartphone. It's a challenge to the industry and we're hoping to contribute to some solutions over the coming years.

- Only 0.55% of iPhone 4 customers have called AppleCare about the antenna issue. Historically not a large number for us. Return rates through AT&T for iPhone 4 are at 1.7%, far below the gold standard iPhone 3GS return rate of 6%.

- AT&T data on dropped call rates. Exact data not available due to competitive reasons, but we can say that despite our belief that the iPhone 4 has a better antenna design than the 3GS, dropped call rates have increased. But how much? Less than one call per 100 more than iPhone 3GS.

- It's not much difference, but it's too much for us, and we want to know why. Jobs' theory is that when the iPhone 3GS came out, there was already a healthy market for cases that fit it. With the iPhone 4, 80% of consumers are buying the phone without a case, and we can't make bumpers fast enough.

- Our engineers see there's a problem, but it's affecting only a small number of people. I've received over 5000 emails from customers who are having no problems and don't understand the fuss. But we care about every user, and we're not going to stop until everyone is happy.

- Here's what we're going to do. Yesterday, we released iOS 4.0.1...everyone should update.

- Free cases for everyone who bought or buys an iPhone 4 through September 30th. If you've bought a bumper already, we'll refund you. We can't make enough bumpers, so we'll source some third-party cases and you can pick. Apply on Apple's site starting late next week.

- If you're still not happy, you can return your undamaged iPhone 4 within 30 days for a full refund, no restocking fee.

- Other updates: We're also tracking proximity sensor problems, and we'll address those in our next software update.

- White iPhone 4 will begin shipping in limited quantities at the end of this month.

- Next batch of international iPhone 4 rollouts will take place on July 30th.

- We love our users, and we've built over 300 retail stores with Genius Bars to serve them and get free advice. But when we fall short, we pick ourselves up, figure out what's wrong, and try harder. And when we succeed, users reward us with their loyalty. When we have problems, we take it personally. Maybe we should have a wall of PR people to insulate us, but we don't.

- We've been working very hard over the past 22 days to figure out the problem, and we've confirmed that the heart of the problem is that all smartphones have weak spots. And if our customers are having problems, we'll give them free cases or a full refund. But the data supports that this is the best smartphone in the world and there is no "Antennagate" for us, but a challenge to the entire industry.

Q&A with Steve Jobs, Tim Cook, and Bob Mansfield

Q: How's your health, Steve?
A: Fine! I was on vacation in Hawaii, but this was worth coming back for.

Q: Any changes to future antenna design?
A: Steve: We're still working on this. We're happy with the design. Maybe our wizards will come up with something better, but we don't think there's a problem here.

Q: I can't get my BlackBerry Bold's signal to drop like the iPhone 4's.
A: Steve: You may not see it in certain areas.

Q: Why does this happen with just a single finger? It doesn't require a full grip.
A: Bob: Your body is a pretty effective signal absorber. So when you touch it, you attenuate the signal. But when you grip it, you can attenuate it even more.

Q: Were you warned about this issue?
A: Steve: I assume you're talking about the Bloomberg article. It's a crock. I've challenged them to prove it. I've talked to Ruben (the antenna engineer who supposedly warned Jobs during the design process) and he agrees it's bullshit.

Q: Will you apologize for investors?
A: Steve: We are apologizing to our customers. We want investors for the long haul. To those investors who bought the stock and are down $5, I have no apology.

Q: Do Apple customers have to choose between form and function?
A: Steve: No. We try to have our cake and eat it too.

Q: Refunds for AT&T contracts too?
A: Steve: I believe so.

Q: Is there anything you could have said during the iPhone 4 launch keynote to lower expectations?
A: Steve: I've thought about that a lot. We didn't fully understand if there were problems. We might have set the expectations that all smartphones have weak spots. One of the things we've learned by being a leader in the smartphone world is that we have to educate. So we needed data, and we've got that now. You could make a really big smartphone that doesn't have this problem, so big you can't get your hand around it, but no one's going to buy that. We're not perfect, and we're working our asses off.

Q: Why the September 30th deadline for free cases?
A: Steve: It's so we can re-evaluate. We don't know what solutions may come up by then. Maybe Eminem will come out with a band-aid that goes over the corner and everyone will want that.

Q: If you bought a third-party case, can you get a refund?
A: Steve: We're not going to refund third-party cases. It's a very small number because we didn't share designs with case makers, but now we wish there were more out there! Case makers have a history of disclosing designs we share with them, so we don't share. If people know what's coming, they stop buying the old version.

Q: Do any of you use bumpers on your iPhone 4s?
A: All three executives hold up their phones...no bumpers or cases. Steve: I don't, and I get better reception. I don't see the "death grip" issue.

Q: What have you learned here?
A: Steve: One is how much we love our customers and how much we want to take care of them. We were stunned, upset, and embarrassed by the Consumer Reports stuff, but we didn't know enough to be able to address it. If we'd done this event a week and a half ago, we wouldn't have had half the data we have today. We're engineers, and we want to solve real, hard problems. I don't think we could have done this faster...we've had cots in the labs, cars here all night. We've been living here. But's human nature to tear down successful people. I see it happening to Google, a great company. Haven't we earned the credibility and trust that we'll take care of our customers? The reaction has been overblown, and we could use your help with this.

Q: Did you consider a recall?
A: Steve: When you love your customers, nothing is off the table. But we want to be data-driven. We sent engineers to people's homes to test equipment and take logs. And we didn't bash down any doors!

Q: How about return rates at Apple stores?
A: Tim: Very lower, lower than AT&T's numbers.

Q: The New York Times says there might be a software fix. Is that true?
A: Steve: We just talked about how the iPhone 4 only drops 1 call per hundred more than the 3GS. Go talk to the Times, because they're just making this stuff up. Scott Forstall comes on-stage: It's patently false. We can continue to tune the way the baseband interacts with the network, and we do that all the time, but the Times' statement is untrue.

Q: What kind of financial impact do you expect?
A: Tim: We'll wait for our Q3 financial results conference call next week to discuss that.

Q: I use my iPhone in heavily-congested San Francisco. Does the handset have any role in congestion management?
A: Steve: I'll let Scott answer that one, but I'll say this...when AT&T wants to add a tower in Texas, it takes three weeks. When they want to do it in San Francisco, it takes three years. No one wants it in their backyard. AT&T is investing, but it takes time.

Q: A couple of years ago you released an iPhone software update that improved reception. How does that relate?
A: Steve: We came to the realization about 8 years ago that we didn't want to get into a business unless we controlled the primary technology. And we did that with the iPod, and moved on to the iPhone, where he can frictionlessly distribute software updates because we control it. And now everybody's copying us. But to answer your question, the formula for calculating the bars has been off since the beginning, so I'm not sure I understand your question.

Q: Well, you supposedly fixed this problem two years ago, and now you say it's been a problem all along.
A: Steve: They're probably unrelated. I honestly don't remember the issue you're talking about.

Q: You've been communicating with customers a lot via email. How has that impacted how you're dealing with the issues?
A: Steve: I've always done that...my address it out there. But I get a lot of email and can't respond to all of them. People have started posting them on the web, which is a bit rude, but now they're even making them up. But I want to communicate with our customers.

Q: Regarding free case offer, will it extend outside U.S., and will it be extended past September 30th?
A: Steve: Yes, and we'll evaluate things as far as any possible extension.

That wraps up the Q&A. Steve thanks everyone for coming and asks "Has this helped?" Says he wishes it could have been done in the first 48 hours, but then you wouldn't have had as much to write about.

In late May, word surfaced that Apple would be providing subsidies to workers at its Taiwanese manufacturing partner Foxconn. The subsidies were reported to be in the range of 1-2% of profits from the Apple products being produced and were part of a larger effort to address low morale and increasing public scrutiny over employee suicides at the company's mammoth manufacturing complex in Longhua, China.

A brief report today from DigiTimes cites comments from a Foxconn executive made in the Chinese-language National Business Daily denying those reports.

The executive said the rumor is purely speculation and Foxconn has never received any subsidies from Apple, the report said.

In order to address the worker issues at its plant, Foxconn has instituted substantial wage increases and transferred management of the sprawling dormitory complexes for workers at its Longhua plant, which has a staff of 300,000 workers, to independent companies.

Foxconn has also announced plans to shift some of its production of Apple products away from the Longhua plant to new facilities in northern and central China.

HardMac provides some long awaited rumors about the overdue Mac Pro and iMac updates. According to the site, Apple won't be releasing a new Mac Pro until "end of summer" with the iMac revision to follow a few weeks later.

They also report that Apple will be introducing two new technologies into their desktop machines: USB 3.0 and faster FireWire:

On this occasion, Apple should inaugurate two great innovations, the arrival of USB 3.0 and a faster Firewire interface, 1600 or 3200. Thus, Firewire will not forgotten.

The also report that Lightpeak isn't expected for another year, and, of course, we won't see Blu-Ray in these desktop Macs either.

Despite the fact that today's release of iOS 4.0.1 addressed only the display of signal strength on the iPhone and not actual signal attenuation issues caused by touching the antenna in the side of the iPhone 4, a software fix may yet still be possible.

According to The New York Times, the signal attenuation issue is the result of an interaction between communication software within the device's operating system and the antenna, an issue that could presumably be addressed with a software update.

One person with direct knowledge of the phone's design said Thursday that the iPhone 4 exposed a longstanding weakness in the basic communications software inside Apple's phones and that the reception problems were not caused by an isolated hardware flaw.

Instead, the problems emerged in the complex interaction between specialized communications software and the antenna, said the person, who agreed to speak on the condition of anonymity because he was not authorized to discuss the matter.

The source also indicates that Apple CEO Steve Jobs did not learn of the signal issue until after the iPhone 4 began shipping, seemingly refuting a report from Bloomberg earlier today claiming that Jobs had been tipped off early in the design process that the antenna design could cause a problem.

The person said the problems were longstanding but had been exposed by the design of the iPhone 4. All cellphones can be affected by the way a hand grips the phone, but well-designed communications software compensates for a variety of external factors and prevents calls from dropping, the person said.

The issue is reportedly unrelated to the signal display issue already addressed by Apple in iOS 4.0.1.

If the source's claims are true, the information could shed some light on recent comments made by Jobs in an email to a customer claiming that the "facts are different" than has been portrayed by blogs and the media, which have positioned the issue as a hardware problem possibly necessitating a recall.

Apple has scheduled a press conference for tomorrow at 10:00 AM Pacific Time to address the iPhone 4, and the company is widely expected to discuss the signal issues. Sources indicated earlier today, however, that Apple is not planning a recall of the device.