MacRumors

The New York Times reports that the health issues that have resulted in Steve Jobs taking a medical leave of absence from his role as Apple's CEO stem from a problem with food absorption and not from a recurrence of cancer.

Two people who are familiar with Mr. Jobs's current medical treatment said he was not suffering from a recurrence of cancer, but a condition that was preventing his body from absorbing food. Doctors have also advised him to cut down on stress, which may be making the problem worse, these people said.

Jobs underwent surgery for a rare form of pancreatic cancer in 2004, and he claimed as recently as July 2008 that he remained cancer-free. Concerns about Jobs' health were revived in mid-December when Apple announced that he would not present at Macworld Expo in San Francisco in early January, but he officially announced on the eve of Macworld that his health concerns were due to a "hormone imbalance".

After hours trading in Apple's stock was temporarily halted as the news was being released, and the share price temporarily dropped 10-12% upon resumption of trading before settling at an approximately 7% decline from the close of regular trading earlier in the day.

Gartner has released a preliminary report on U.S. and worldwide PC shipments for the fourth quarter of 2008. The report places Apple in fourth place in U.S market share at 8.0%, up from 6.7% in the fourth quarter of 2007, but down from 9.5% in the third quarter of 2008. The sequential decline in Apple's market share was not entirely unexpected, as Apple's traditionally strong performance in the back-to-school third quarter typically results in a drop in market share for the fourth quarter of each calendar year.

Apple's computer shipments, which had been growing 30-40% year-over-year according to Gartner's data, grew only 8.3% over fourth quarter of 2007 shipment numbers. Despite the slower growth rate, Apple continued to outperform the industry as a whole, which saw a significant decline in US shipments of 10.1% over the fourth quarter of 2007. Apple's growth, however, was outpaced by that of Acer, which saw a year-over-year increase of 55.4%, enough to take over the third place position formerly held by Apple. Gartner attributes Acer's recent market share success to their focus on the booming low-cost mini-notebook segment.

IDC also released a similar report today yielding comparable results. According to IDC, Apple's fourth quarter market share ranked fourth at 7.2%, while computer shipments grew 7.5% over 4Q 2007. IDC also released US market share data for calendar year 2008, where Apple placed fourth with a 7.7% market share, up from 6.2% in calendar year 2007. Apple's yearly growth rate of 25.7% far exceeded the industry-wide US growth rate of 2.4%.

Apple remained unable to break into the top five vendors for worldwide market share in either set of data, as Toshiba held down the fifth spot for both the fourth quarter of 2008 and calendar year 2008 at approximately 4.5%.

Multiple news sources have reported that Steve Jobs is taking a medical leave of absence until the end of June. Tim Cook will be taking over day to day operations of Apple.

Apple has published a letter Jobs sent to Apple employees.

Team,

I am sure all of you saw my letter last week sharing something very personal with the Apple community. Unfortunately, the curiosity over my personal health continues to be a distraction not only for me and my family, but everyone else at Apple as well. In addition, during the past week I have learned that my health-related issues are more complex than I originally thought.

In order to take myself out of the limelight and focus on my health, and to allow everyone at Apple to focus on delivering extraordinary products, I have decided to take a medical leave of absence until the end of June.

I have asked Tim Cook to be responsible for Apple's day to day operations, and I know he and the rest of the executive management team will do a great job. As CEO, I plan to remain involved in major strategic decisions while I am out. Our board of directors fully supports this plan.

I look forward to seeing all of you this summer.

Steve

Tim Cook was previously profiled as a possible replacement for Steve Jobs.

Over the past 24 hours, Apple has begun to approve 3rd party web browsing applications for the iPhone. A number of new web browsing apps have suddenly appeared with original submission dates ranging as far back as October.

While Apple has made no official acknowledgements, it appears these applications were likely in a special queue awaiting for approval. We had seen a similar "group" delays with other categories of apps. The most notable example involved flatulence applications such as Pull My Finger and iFart Mobile. Once Apple decided to allow the category within the App Store, a backlog of apps quickly appeared.

Web browsing applications were previously charged with "duplicating functionality" of other iPhone apps and was felt to be the reason why Opera would never be approved by Apple.

A partial list of these new applications include:

- Edge Browser (Free) - No loss of screen real estate to the address or navigation bars.
- Incognito ($1.99) - Now you can browse without leaving a history of any kind.
- WebMate:Tabbed Browser ($0.99) - Web Mate simplifies browsing by queuing up all the links you click on, then allowing you to view them one by one when you're ready.
- Shaking Web ($1.99) - adds a sophisticated algorithm to compensate for small hand shaking to allow for easier reading.

This could open the door for mobile versions of prominent web browsers such as Opera and Firefox, though there remain other SDK restrictions that could prevent full-featured versions of those browsers from appearing. Still, Apple appears to be loosening some early restrictions they had applied to the App Store approval process.

Last year, Apple announced that they will be releasing the next major revision of Mac OS X (10.6 Snow Leopard) in 2009. The focus of Snow Leopard has been on performance and quality of the underlying codebase rather than introducing new end-user features.

Based on our sources, however, Apple will apparently use Snow Leopard's release to tweak the overall user interface for Mac OS X and unify it across applications. Exact details of the theme changes have not been made public, as the current developer seeds for Snow Leopard still retain Apple's existing Aqua theme. The new theme will likely involve tweaks to the existing design and perhaps a "flattening" of Aqua in-line with Apple's iTunes and iPhoto interface elements.

The codename for the new interface is said to be "Marble" -- though that seems likely to be an internal codename only. John Gruber had also hinted at such changes in a pre-Macworld prediction piece and had independently heard the codename "Marble".

Apple's Snow Leopard is rumored to be released as early as the first quarter of 2009.

According to the Video Electronics Standards Association (VESA), Apple's Mini DisplayPort will be included in the upcoming DisplayPort 1.2 specification and will allow other manufacturers to incorporate the ports into their products.

The tiny port is to be included in the upcoming DisplayPort 1.2 specification, the standard's overseer, Vesa, said last week. The digital monitor link tech is to get stereoscopic display support too.

Apple introduced the miniaturized port as part of their new MacBooks and MacBook Pros and expects to adopt it in all future products. Apple offered the mini DisplayPort as a no-fee license to third parties while the specification was undergoing approval by VESA.

The incorporation of the design into the official DisplayPort spec should alleviate any concerns that Apple had too much ownership over the technology.

Open source programmer Brian Mastenbrook has discovered a security flaw in the way that Safari handles RSS feeds. The vulnerability, which affects both Mac and Windows versions of Safari, could allow a malicious website to gain access to sensitive user data.

I have discovered that Apple's Safari browser is vulnerable to an attack that allows a malicious web site to read files on a user's hard drive without user intervention. This can be used to gain access to sensitive information stored on the user's computer, such as emails, passwords, or cookies that could be used to gain access to the user's accounts on some web sites. The vulnerability has been acknowledged by Apple.

Mastenbrook reports that all OS X 10.5 Leopard users, regardless of whether they use Safari or RSS feeds, should protect themselves by choosing an application other than Safari for reading RSS feeds, an option available in the "RSS" tab of Safari's Preferences. Safari for Windows users should utilize a different browser until Apple issues a patch. Mastenbrook, who has received credit from Apple for reporting a number of security issues over the past year, says that Apple has not given a timeframe for a fix.

DigiTimes highlights a report from Taiwan's Economic Daily News stating that two chip manufacturers, Taiwan Semiconductor Manufacturing Company and United Microelectronics Corporation, are expected to receive chip orders for Apple's rumored iPhone nano. The report states that orders would likely come in March, leading to a June release of the iPhone nano at the earliest.

Meanwhile, American Technology Research analyst Brian Marshall believes that the iPhone nano will not initially be launched in the United States. According to Marshall, wireless industry insiders have confirmed that the device is not yet being tested by AT&T, suggesting that US customers will face an indefinite wait for the new device. Marshall also speculates that China may be an ideal market for the iPhone nano's initial release.

"Obviously, the best-case scenario here would be a China launch (~600mil+ wireless subscribers total in the country), but we have no definitive knowledge of this and are working on identifying the local of launch and other pertinent details," he said.

The rumored iPhone nano has been the subject of considerable discussion since mid-December, when iDealsChina published details of the device based on a silicone skin produced by case manufacturer XSKN. Vaja quickly followed suit by adding an entry for "iPhone nano" to their list of case offerings. While these developments led to speculation that the iPhone nano would be released at last week's Macworld Expo, some analysts tempered expectations with information that, while the device is on the way, it would not be ready for a Macworld introduction.

CNet reports that Google is hoping to release a version of their Chrome browser for both Mac and Linux in the first half of 2009. At the moment, the Mac version is just starting to become functional:

"That team now is able to render most Web pages pretty well. But in terms of the user experience, it's very basic," Rakowski said of the Mac version. "We have not spent any time building out features. We're still iterating on making it stable and getting the architecture right."

Chrome is a Webkit-based browser developed by Google that is currently available for Windows only. Google believes it "can add value for users and, at the same time, help drive innovation on the web."

Google's co-founder even acknowledged that the lack of a Mac version was "embarrassing" and that he was running Chrome under VMWare Fusion on his own Mac.

After verbally acknowledging that the new 17" MacBook Pro's non-removable battery would cost $179 to replace, Apple has posted an official page describing how one would seek a battery replacement and the exact cost depending on your region.

The battery in your MacBook Pro (17-inch, Early 2009) is a consumable item, which means it will require replacement at the end of its useful life. A replacement battery can be purchased directly from Apple. The price of the replacement battery includes installation of your new battery and environmentally responsible disposal of your depleted battery.

If you are fortunate enough to live near an Apple Retail location, Apple says the procedure should be a same-day replacement with appointment. Mail-in replacements, however, will require 3-4 business days after shipment of the unit.

Apple claims that their improved battery technology will allow up to 5 years without needing a replacement.

According to a regulatory filing made today by LG, the display manufacturer has signed a five-year deal to provide LCD panels to Apple, a deal that includes an upfront payment by Apple of $500 million. Reuters cites analyst comments that LG currently supplies displays for 70% of Apple's computer products, so the new deal suggests a strengthening of the existing relationship that should bring long-term price and supply stability.

"Although LG Display already had a relationship with Apple, the deal's duration and the size of the advance show that the two companies are involved in a long-term, strategic alliance," said Son Young-jun, a spokesman for LG Display.

The deal appears similar to ones announced in November 2005 in which Apple agreed to pay $1.25 billion upfront to a number of flash memory manufacturers as part of long-term supply agreements.

After Apple announced that Steve Jobs would be not be giving the 2009 Macworld Expo keynote, analyst expectations about the event dropped dramatically.

While Apple did not deliver the expected updates to the iMac and Mac mini, they did provide substantial updates to their iLife and iWork suites and finally introduced the unibody 17" MacBook Pro.

No iMac and Mac mini Updates

The most disappointing aspect of Macworld was the lack of updates for the Mac mini and iMac. The Mac mini, in particular, has been long overdue for a refresh, and the recent rumors seemed to indicate that it would finally get some worthy upgrades (dual monitor, FireWire).

While no one could say for sure that the new iMac was coming, two sites (Wired and TUAW) specifically said that Apple would be releasing a new Mac mini at Macworld. The timing was believable, of course, since evidence of the new iMacs and Mac minis had been found buried within Mac OS X, itself. Unfortunately, either timetables changed, or these sites were simply wrong.

It's still clear to us, however, that Mac mini and iMac updates are imminent. Based on whispers we've heard, we do feel that many of the rumored upgrades surrounding the Mac mini are true. It's just a matter of when.

Macbook Pro 17" - Fixed Battery

The first report that Apple was going to deliver a 17" MacBook Pro with a fixed internal battery came from 9to5Mac. Though the site hedged a bit towards the end, the original information was confirmed by multiple sources.

The use of an extended-life, non-removable battery was unique and accurate and 9to5Mac deserves credit for the scoop.

iLife, iWork, Cloud Computing

Perhaps to the relief of many, Apple's push into "cloud" computing was far more limited than originally reported. The information came again from 9to5Mac but was described as far more ambitious a plan than what was seen at this year's Macworld.

Original reports claimed Apple would migrate iWork and iLife functionality into web-based services. While Apple did release an iWork.com public beta, its functionality is limited to collaboration and document sharing.

Other information from 9to5Mac also detailed celebrity lessons for GarageBand, which did turn out to be true.

DRM-Free

It seems clear that CNet has sources at major music labels and was able to predict that Apple would be launching a full DRM-free store at Macworld.

No iPhone Nano... Yet?

Case manufacturers XSKN and Vaja have both advertised cases for an unreleased iPhone Nano in the weeks leading up to Macworld. And while we still don't see the reasoning behind such a product, it seems clear that the case manufacturers did believe that this product was coming and have actually produced cases based on the leaked specs. In fact, the same spec leaks may also be responsible for the iPhone Nano clones that have already hit the market.

It remains possible that we will see such a product in the future, or it may have simply been an expensive mistake on the part of the case manufacturers.

What's Next?

Cinema Displays, the Mac mini and iMac seem the most likely updates coming next. Previous supply chain sources had claimed the iMac would start shipping in January. If true, that means the update could come within weeks.

Apple has occasionally been known to launch products shortly after their Macworld events in either January or February. The earliest example we could find was an iPod Shuffle revision launched on January 30th, 2007.

Macworld Expo 2009 officially ended on Friday, and media and attendees have since scattered back to their respective locations. Beyond the product announcements themselves, we certainly enjoyed meeting up with readers and other Mac personalities from around the world. Delicious Monster sponsored a meetup for our readers and the following companies provided giveaway prizes: Dr Bott, Speck, Beejive, Iconfactory, Just Mobile, and Ten One Design. Thanks to them.

Blake Patterson's Macworld San Francisco Flickr Photo Set captures the Macworld experience from the keynote line, pre-keynote waiting, opening of floor and even down to late night bar gatherings and a 3 a.m. Denny's run. Gatherings involved both familiar faces (Gruber) and newcomers (Fieldrunners developers)

The fight for 2010 seems to be on as CNet has confirmed that CES is organizing a Mac-themed area next year and is actively recruiting Mac exhibitors. Meanwhile, IDG/Macworld has already opened expo-pass registration for Macworld SF 2010 and appears to be offering free floor passes at this early date (normally $25-$45).

Cult of Mac first reported yesterday that Apple had decided to exhibit at next year's Consumer Electronics Show (CES) 2010.

We had originally filed the report on Page 2 as it seems to contradict Apple's reasoning for pulling out of future Macworld events. Specifically, Apple has claimed that trade shows are becoming less important venues and not worth the time or cost to participate. In fact, Schiller even acknowledged that the January time-frame for the Macworld event simply didn't coincide with Apple's product release life cycles.

AppleInsider, however, is now also reporting from their sources that Apple is planning on exhibiting at CES 2010. The rumor site describes the move as a "done deal" and that Apple is up to the challenge of sitting amongst its competition.

That indicates that an Apple appearance at CES 2010 might likely serve primarily a symbolic move by Apple as it cements its increasing importance in the consumer electronics world at the expense of Microsoft, generic PC makers, smartphone vendors, and its other competitors in the consumer electronics industry.