MacRumors

As noted by AllThingsD and This is my next, Amazon has just sent out invitations for a media event scheduled for next Wednesday, September 28th. The invitation is silent on what the topic of the event will be, but the company is widely expected to introduce its own low-cost Android tablet.

Reports from earlier this year indicated that Amazon was planning to launch a 9-inch Android tablet before October, but it appears that Amazon's first offering may in fact be a 7-inch tablet. TechCrunch's MG Siegler spent some hands-on time with the device, noting that Amazon has basically forked Android to create its own look tightly integrated with Kindle and other Amazon offerings.

Simply put: it looks nothing like the Android you’re used to seeing.

The interface is all Amazon and Kindle. It’s black, dark blue, and a bunch of orange. The main screen is a carousel that looks like Cover Flow in iTunes which displays all the content you have on the device. This includes books, apps, movies, etc.

[...]

But the key for Amazon is just how deeply integrated all of their services are. Amazon’s content store is always just one click away. The book reader is a Kindle app (which looks similar to how it does on Android and iOS now). The music player is Amazon’s Cloud Player. The movie player is Amazon’s Instant Video player. The app store is Amazon’s Android Appstore.

Perhaps most notably, Amazon is said to be targeting a $250 price point for the device, half that of Apple's entry-level iPad.

Numerous iPad competitors have been introduced over the past 12-15 months, with a number of them being hailed as the biggest challenge to Apple's dominance before failing to gain customer acceptance. But Amazon's ability to integrate its extensive content offerings with a low-cost tablet device has sparked renewed speculation that Apple may finally face a strong challenge in the tablet market.

Apple today hosted a grand opening event for its new Nanjing East retail store in Shanghai, the company's largest store in China so far. M.I.C gadget posts a series of photos of the opening and reports that over 500 people were on hand for the event. The store reportedly employs 300 people.

The main portion of the store covers two floors, and as with many such locations the first floor is focused on product displays while the second floor is dedicated to customer support and training. Additional floors include space for meeting with business customers and offices for Apple's Chinese operations.

Apple will be opening another massive new store in the region tomorrow as its IFC Mall store in Hong Kong debuts. Checking in at over 16,000 square feet and with over 300 employees of its own, the new Hong Kong store offers a prominent presence for Apple in one of the world's major financial and shopping centers.

In addition to the two new flagship stores in Shanghai and Hong Kong, Apple will be opening five other stores tomorrow as the company closes out fiscal 2011 and sets the stage for its upcoming iPhone launch.

Associated Press reports that Samsung is becoming more vocal about its efforts to go on the offensive against Apple in the patent dispute between the two companies, accusing Apple of "free riding" on Samsung's intellectual property with its products.

"We'll be pursuing our rights for this in a more aggressive way from now on," Lee Younghee, head of global marketing for mobile communications, said Friday in an interview.

Lee, a senior vice president at Samsung, did not say what form the South Korean company's stronger stance would take or if there would be more lawsuits. But her remarks suggest a definite change in tone. She described its previous approach as "passive."

Lee suggests that Samsung has been relatively "passive" in the dispute thus far out of respect for the fact that Apple and Samsung have a close relationship for component supplies, although Apple is reportedly looking to minimize its reliance on Samsung in that regard.

Lee said that Samsung has kept that relationship in mind amid the dispute with the Cupertino, California-based company, and has largely been pulling its punches.

"We've been quite respectful and also passive in a way" in consideration of those links, Lee said during the interview in her office at Samsung's headquarters building in southern Seoul. "However, we shouldn't be ... anymore."

It hasn't taken Samsung long to follow through on its promise to become more aggressive, as Dutch site Webwereld.nl reports [Google translation] that Samsung has filed suit against Apple in The Hague, requesting a ban on sales of Apple's 3G-enabled iOS devices in the Netherlands. The suit explicitly names the iPhone 4, iPhone 3GS, iPad 2, and original iPad, but does not limit its claims to the listed devices.

Apple argues that the patents in question are so basic to wireless telecommunications technology that they should be subject to FRAND (fair, reasonable, and non-discriminatory) conditions that would require Samsung to license them to all competitors under fair and reasonable terms, which Apple does not believe Samsung has been offering in its discussions over the patents. FRAND conditions are applied by standards-setting organizations in certain situations to prevent companies from engaging in anti-competitive behavior by refusing to license patents that are crucial to a given industry.

Earlier this week, sources within Samsung also indicated that the company is planning to target the iPhone 5 with patent lawsuits as soon as it is introduced.

The EFF has announced that both Apple and Dropbox have joined the Digital Due Process (DDP) coalition which is focused on pressing Congress to update the Electronic Communications Privacy Act.

ECPA was passed by Congress in 1986, before the World Wide Web was even invented and when cell phones were still a rarity. Yet to this day, ECPA is the primary law governing how and when law enforcement can access personal information and private communications stored by communications providers like Google, Facebook, your cell phone company or your ISP.

Specifically, the DDP is supporting amendments to ensure the government can't track your cell phone or obtain online content such as emails, photos, documents and backup files without first going to court to get a search warrant.

According to the EFF, the current version of the ECPA is vague on whether these documents and information -- including the tracking of your cell phone -- are presently protected from government intrusion without any form of warrant.

Other coalition members include Amazon, Intel, AT&T, Google and many more.

Thanks Aaron

Apple is continuing to press toward an iCloud launch with a new beta seed of OS X 10.7.2 pushed out to developers today. The new seed, known as Build 11C62, comes six days after the previous seed.

Apple continues to list no known issues with the latest build, and has made no changes to its list of focus areas for testing, which include AddressBook, GraphicsDrivers, iCal, iChat, iCloud, Mac App Store, Mail, MobileMe, Safari, Spotlight, and Time Machine. As with the last several developer builds, iCloud functionality is integrated directly into OS X 10.7.2 instead of being offered as a separate download.

Apple is reportedly holding a media event to introduce the next-generation iPhone hardware and officially launch iOS 5 and iCloud. OS X 10.7.2 should arrive as a free update for OS X Lion users right as iCloud and the other hardware and software debut.

Apple has included what appears to be final release notes with this build:

The 10.7.2 update is recommended for all OS X Lion users and includes general operating system fixes that improve the stability, compatibility, and security of your Mac. It also includes support for iCloud, a breakthrough set of free cloud services that automatically and wirelessly store your content on iCloud and push it to all of your devices. iCloud on OS X Lion includes the following features:

• iCloud stores your email, calendars, contacts, Safari bookmarks, and Safari Reading List and automatically pushes them to all your devices.
• Back to My Mac provides remote access to your Mac from another Mac anywhere on the Internet.
• Find My Mac helps find a missing Mac by locating it on a map and allows you to remotely lock the Mac or wipe all its data.

Getting started with iCloud is easy. After installing the update, OS X will automatically present an iCloud setup panel. Simply enter an existing Apple ID or create a new one and then follow the on screen instructions. To learn more about iCloud visit http://www.apple.com/icloud.

The 10.7.2 update also includes Safari 5.1.1 as well as fixes that:

• Allow reordering of desktop spaces and full screen apps in Mission Control.
• Enable dragging files between desktop spaces and full screen apps.
• Address an issue that causes the menu bar to not appear in full screen apps.
• Improve the compatibility of Google contact syncing in Address Book.
• Address an issue that causes Keynote to become temporarily unresponsive.
• Improve VoiceOver compatibility with Launchpad.
• Address an issue that causes a delay in accessing the network after waking from sleep.
• Enable booting in to Lion Recovery from a locally attached Time Machine backup drive.
• Resolve an issue that causes screen zoom to stop working.
• Improve Active Directory integration.

For detailed information about Safari 5.1.1, please visit this website: http://support.apple.com/kb/HT4922.

For detailed information on this update, please visit this website: http://support.apple.com/kb/HT4767.
For information on the security content of this update, please visit: http://support.apple.com/kb/HT1222.

The knowledge base articles listed in the notes are not yet active, but it looks like Apple is putting the finishing touches on 10.7.2 for iCloud support that will be launched alongside iOS 5.

Sprint CEO Dan Hesse has been a constant critic of the proposed AT&T/T-Mobile merger, hammering the deal as bad for competition and bad for consumers. However, Hesse said yesterday that he isn't an opponent of all telecom mergers, but believes that the Department of Justice would view an alternate merger pair -- such as T-Mobile and Sprint, perhaps -- very differently.

However, if such a hypothetical deal were reached, “You could make a very, very strong argument” that the antitrust regulators would approve it, Hesse said. He said the hypothetical combination of of two value players could allow a strong competitor to Verizon Wireless and AT&T.

AT&T's head lobbyist, Jim Cicconi, AT&T Senior Executive Vice President, External and Legislative Affairs had harsh words for Hesse in response:

Yesterday, the CEO of Sprint said the Department of Justice should block AT&T from merging with T-Mobile, but would have good reasons to instead allow Sprint to purchase them. For months Sprint has spoken disingenuously about their motives for opposing AT&T's merger with T-Mobile. Now, Mr. Hesse's public musings have made their motives much more clear. That they would act in their own economic interest is not surprising. That they would expect the United States Government to be a willing partner certainly is.

A federal judge set a mid-February 2012 trial date to hear the Department of Justice's arguments for blocking the merger, but denied Sprint's request to join the DoJ's suit.

Dan Hesse and Sprint have a poor track record regarding large mergers. When Sprint and Nextel merged in 2005, the companies said the value of the merged company would be $70 billion. Today, Sprint's market cap is just over $9 billion.

Sprint's stock price is down more than 80% since Dan Hesse took over as CEO in December 2007.

While all the focus has been on potential iPhone 5 cases, @Chronicwire posts new images of Otterbox case boxes specifically labeled for the "iPhone 4S". He goes on to claim that Otterbox has produced 3,000,000 cases for the "iPhone 4S".

While chronic does not have photos of the actual case, the rear of the box curiously appears to show the volume buttons on the right side of the device above the SIM-card slot rather than on the left as in the iPhone 4. But part leaks for the iPhone 4S have not revealed such a change, so it is unclear which is the correct depiction of the forthcoming device.

Meanwhile, BGR had claimed that AT&T stores have already refreshed iPhone 4 cases with a change in the back opening for the camera. BGR initially speculated that the cases could be for a camera sensor that may have been changed for the rumored 8-megapixel camera in the iPhone 4S. But in an update to the post, BGR notes that multiple people have indicated that the new cases are simply a revision of the existing iPhone 4 cases to address issues with LED flash performance.

Earlier this month, we received an unconfirmed tip that at least one Apple store received a batch of iPhone 4 bumper cases that didn't fit quite right. Customer returns had suggested the bumpers were a tighter fit with some slight button alignment issues. The tipster had suggested that this may have been an early batch of modified cases, but we had heard no similar reports.

Apple is planning to release a new iPhone in October, but there have been conflicting rumors about what models they are planning to introduce. A recent report suggested that Apple would only be releasing a slightly modified iPhone 4-like device (dubbed "iPhone 4S") rather than a more dramatically redesigned iPhone 5.

Update: As several posters have pointed out the boxes for Otterbox's existing iPhone 4 case similarly show the buttons on the right side of the device, suggesting that the placement in the illustration was simply a means to show both the volume buttons and SIM-card slot in a single cutaway photo of the case.

Investment research firm UBS today issued a report highlighting retention rates for smartphone users, judging consumer loyalty based on whether they plan to make their next purchase from the same manufacturer as their current handset. According to the worldwide survey, 89% of iPhone users report that they will purchase another iPhone.

No other manufacturer topped a 40% retention rate in the survey, with HTC taking second place at 40%. Android as a whole has a planned retention rate of about 55% according to the survey, indicating that while many current users of Android handsets are planning to switch manufacturers, a fair number of them do intend to stay with Android. But 31% of surveyed Android users report intending to switch to the iPhone for their next device, with over 50% of the total "switchers" planning to move to Apple from another manufacturer as only about 10% of switchers are moving away from Apple.

Research in Motion has experienced a steep drop in retention rate, with only 33% of current BlackBerry users planning to purchase another BlackBerry, down from 62% a year and a half ago. In contrast, Apple's retention has fallen only 6 percentage points over that time in the face of strong competition from Android.

Bloomberg reports that Taiwanese company VIA Technologies has filed a patent lawsuit against Apple, alleging infringement by the processors used in Apple's mobile devices.

Via, a semiconductor maker based in Taipei, seeks a jury trial and an order to prohibit Cupertino, California-based Apple from selling products containing the inventions in the U.S., according to a complaint filed yesterday in federal court in Wilmington, Delaware.

“The products at issue generally concern microprocessors included in a variety of electronic products such as certain smartphones, tablet computers, portable media players and other computing devices,” Via said in the complaint.

The patent lawsuit is clearly targeting Apple's custom ARM-based A4 and A5 processors used in its recent iOS devices, as the filings name the following devices as being addressed by the complaint: iPad, iPad 2, iPhone 4, iPhone 4 CDMA, iPod touch 4th generation, and Apple TV 2nd generation.

VIA had previously been part of a joint venture behind S3 Graphics, which won a U.S. International Trade Commission judgment against Apple several months ago in a separate complaint, but sold the company to HTC just days after that victory.

Research firm Gartner today released updated sales estimates for the tablet market, noting that a lack of momentum from competing products will give Apple's iPad "free run" through the lucrative holiday shopping period. Looking out over the longer term, Gartner sees Apple maintaining a majority share of the tablet market through 2014 even as Microsoft's Windows 8 and Research in Motion's QNX platforms are expected to gain some traction.

“We expect Apple to maintain a market share lead throughout our forecast period by commanding more than 50 percent of the market until 2014,” Carolina Milanesi, research vice president at Gartner. “This is because Apple delivers a superior and unified user experience across its hardware, software and services. Unless competitors can respond with a similar approach, challenges to Apple’s position will be minimal. Apple had the foresight to create this market and in doing that planned for it as far as component supplies such as memory and screen. This allowed Apple to bring the iPad out at a very competitive price and no compromise in experience among the different models that offer storage and connectivity options.”

Gartner has pared back its estimates for Android tablet sales in 2011 by 28% over last quarter's projections, identifying extremely weak adoption due to high prices, user interface issues, and limited app offerings. Only some success in low-cost Asian markets and strong expectations for Amazon's forthcoming tablet kept Gartner from slashing projected Android device sales even further.

Android is expected to see stronger growth heading into next year as Google pushes out its next-generation "Ice Cream Sandwich" release of Android and works to address fragmentation throughout the Android ecosystem. Gartner's sales projections do not, however, see Android tablets catching up to the iPad by the end of the forecast period of 2015.