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549: (I Don't) Grade for the World

 

00:00:00   Hello, Michael Hurley. Hello, older and wiser. One year older and wiser.

00:00:29   Happy birthday. Slightly belated to you.

00:00:31   Had a birthday. Thank you. Thank you very much. And now we're on the countdown now.

00:00:36   We are. We are paternity countdown.

00:00:39   We're on the paternity countdown. By my current estimation, this is my first of last three.

00:00:47   I expect that currently, if all goes to plan, February 17th will be my final upgrade before

00:00:56   my paternity leave. But who knows? I might not be here next week.

00:01:00   We don't know. I've actually got a planned fill-in for you on the 17th, just in case.

00:01:06   And we'll spring into action. The paternity squad will spring into action if need be.

00:01:12   However, on your birthday, we did record an episode of Upgrade to be released at a later

00:01:16   time. So you will return triumphantly, retroactively, sort of, later.

00:01:23   That is like a back to the future kind of scenario, right? Like in that idea where I've come back

00:01:30   and it's in the future. Anyway, this is nonsense. I have a snow talk question for you that comes

00:01:36   from Tom, who wants to know, are you listening to any severance podcasts or podcasts explaining

00:01:42   what is going on in severance? Are you consuming severance media?

00:01:47   I'm not. Funnily enough, as a person who makes podcasts about media, I've listened to very few

00:01:57   podcasts about media. In part because I don't have time to listen to podcasts. I have soap because I

00:02:04   don't have a commute. I become a really great podcast listener when I have a long car trip or I need to

00:02:10   like go down to Apple or something like that or on a plane. I can do some of that. But in my regular

00:02:16   life, no. And also, honestly, severance, I really enjoy it. I just don't see the need. I don't feel

00:02:25   sorry to Tom, but like, I feel like I know what's going on in severance. Do you? So yeah, I feel like

00:02:34   I do. I feel like I get what's going on. I'm enjoying the ride. I think it's really interesting.

00:02:40   Um, but no, I'm not, I love severance so much. I love, I love lots of things that I don't listen

00:02:46   to podcasts about. Yeah. So I don't, I don't listen to podcasts about it either. I think actually really

00:02:50   because I, this is just one of those shows where I enjoy the lack of information. Like I enjoy just

00:03:00   trying to work out what I think is happening based on what I'm seeing. But I have seen some talk about

00:03:07   this and I thought I'd include a link in the show notes. There is an official severance podcast,

00:03:10   which is hosted by Ben Stiller and Adam Scott, which I think is cool. Yes. But it's, it's unclear if

00:03:16   this is an Apple show that they're not, Apple's not on the branding anywhere. Um, it's Odyssey is the,

00:03:23   the creator, but I believe this is pure memory that Apple has worked with this company to produce

00:03:29   these kinds of shows, but Apple's not listed anywhere, uh, on this one. So, but it's there

00:03:35   if you want it. Uh, yeah, it's, I've listened to some official ones are different, right? Official

00:03:41   ones are sort of like, here's what we're thinking of. And I find those sometimes interesting because

00:03:45   they have stuff you can't get anywhere else. And sometimes the least interesting because they're,

00:03:49   they're the official corporate line about, so it's always going to be happy talk.

00:03:54   They're not going to get into theories on the, on the official show because they know how the show

00:03:58   goes. They know the answers. And also they're not going to have like, um, we just did an episode of

00:04:04   Vulcan. Hello. The podcast I do with Scott McNulty, where we talk about the latest Star Trek episode. And we

00:04:09   just did an episode about the Star Trek TV movie section 31. And that's a good example where whatever

00:04:15   official, whatever they have for that is going to be all happy talk about here's this actor and here's

00:04:20   this person that isn't it great. And our episode is like, wow, that was terrible. Let's list all the

00:04:26   ways that that was a terrible, terrible piece of filmed entertainment. And then we ranked, uh, all the

00:04:32   Star Trek movies by our preferences as a way to kind of get the stink out afterward. And you know, an

00:04:37   official podcast is going to be all smiles. Um, and so, and, and so there can be value in that. I have

00:04:43   definitely done that, but it's just a different vibe. Yep. Uh, if you'd like to send in a question to help

00:04:49   us open a future episode of the show, uh, just go to upgradefeedback.com and send in your Snell

00:04:55   talk questions. Let's do a rumor roundup to start this week's episode. Oh, exciting. We've got some

00:05:01   big topics today, so, uh, we're going to get into those. Yeah. So we're riding out a little early

00:05:05   with the herd. Okay. All right. Uh, according to Mark Gooman,

00:05:09   He's a man made entirely of goo. Mark Gooman at Bloomberg. Uh, Apple has brought, brought in Kim

00:05:18   Vorath to advance. Bloomberg is where Mark Gooman works. Yeah. Mark Gooman at Bloomberg. That's,

00:05:24   you know, Bloomberg. Yep. Uh, they, Apple, see, I have a new name to say, and I think I was focused

00:05:30   on that as I've not said this name out in like out loud yet. Uh, Apple has brought in Kim Vorath to

00:05:37   advance Apple intelligence. So I've seen a few reports about Vorath. Uh, one came from John

00:05:43   Gruber, which I'll also put in the show notes. Uh, Vorath has been at Apple for 36 years and has a

00:05:48   history of kind of being dropped in to manage tough projects. They are a person who gets things done.

00:05:54   Uh, she most recently worked on getting Vision Pro out of the door, but has been in charge of project

00:06:01   management for many OS releases going back all the way to the original iPhone software group. John

00:06:07   Gruber describes Vorath as effectively at this time being seen as Scott Forstall's chief of staff.

00:06:13   Gruber also notes. I thought this is interesting. Mark Gooman's reporting notes that the source for

00:06:19   this information was a long time Apple executive and wonders if this may have been a planned

00:06:24   sharing of information. Yep. Yeah. It seems to me that that's probably the most likely scenario,

00:06:31   given how it's identified that people were okay in this kind of like leaking out this way,

00:06:37   they weren't going to make an announcement, but, and why would they do that? I think the answer is

00:06:42   they're, they're, they feel the criticism that the Apple intelligence rollout has been rough and it's

00:06:47   slow and that they're trying to send a little bit of a message that they're on it essentially. And

00:06:52   that they're moving people who are very respected, uh, at getting things shipped that fixes into,

00:06:59   into the Apple intelligence process. So I think that's probably what's going on here.

00:07:05   I have no idea what to really, uh, take from this, like realistically, like I can, I can take from it

00:07:13   that sure Apple is serious, but like, what does that mean?

00:07:17   People think she's great and they've prioritized her from, from working on vision pro stuff to working

00:07:22   on Apple intelligence stuff. I think that even the most enormous fan of the vision pro would probably

00:07:28   agree that Apple intelligence is where the fire is right now. Um, well, well, I mean, like,

00:07:35   like the fire is burning the house down and they need to fix that. That's my, my fire metaphor is more

00:07:40   that the fire is, uh, is where's the fire at Apple? It's AI. It's a problem. It's behind, it's broken.

00:07:48   Um, and culturally they need more attention applied to it. So I think that's the idea here, but I don't

00:07:54   know anything about this person or her inner, you know, inner workings at Apple, other than that she

00:07:59   seems to come very highly regarded, which is great. That was the, I think Gruber, Gruber's big

00:08:03   contribution was he talked to a bunch of people he knows at Apple who are like, she's amazing. It's

00:08:07   like, great. That's, that's great. Cause that's the message here, right? Is Apple put one of their

00:08:11   stars who is, who seems to be very capable at making things run and work and ship on Apple

00:08:20   intelligence, which, uh, you know, is a, has been a scramble, right? And so maybe they're also the

00:08:27   message here is that they're getting more serious about structuring how they put all of this stuff

00:08:33   together. Cause one of the criticisms that you and I have had about Apple intelligence is not

00:08:38   necessarily the fundamental criticisms about AI in general. It's about Apple rushing their

00:08:44   implementations out and making some poor decisions and things are lagging and other things ship, but

00:08:49   they don't really work very well. And, you know, more supervision, uh, not to get in the way, but to

00:08:54   enable things to be clear and to ship is probably required. Yep. Display analyst Ross Young has said that

00:09:02   the upcoming iPhone SE4 will have a notch on the display, not a dynamic Island. There have been prior

00:09:10   leaks that would suggest it would have an Island. So it'd be interesting to see where this lands. I feel

00:09:15   like if it has a notch that doesn't lend into the conversation that I know that you are a proponent

00:09:22   of, of like an iPhone 16 E, it's not going to look like that, that, you know, it's going to look more

00:09:27   like an iPhone 14 than an iPhone 16 because it wouldn't have all the features even in, in the

00:09:34   operating system. I'll just say it, they can call it whatever they want. Sure. They want to call it

00:09:39   part of the 16 line. They'll just do it and, and it won't matter. Uh, I agree. This makes it less of an

00:09:45   iPhone 16 for sure. I wonder if they've thought about like, well, they probably did when they introduced

00:09:50   the dynamic Island of like, if you have a notch, is there a way to do something that's kind of like

00:09:55   the dynamic Island, but I think there isn't. And, uh, this is a way to save money on an SE is you've

00:09:59   got a phone that's got face ID, but it's using the iPhone 10 level notch technology, not the, uh,

00:10:05   newer dynamic Island technology. And that, that makes sense.

00:10:08   And that's probably a, I don't know, like face ID gen one or something like that. Right.

00:10:13   Whatever, whatever is cheapest. Yeah. Yeah. And also according to Mark Gurman, Apple has canceled

00:10:20   development of AR glasses that were intended to be paired to a Mac. I will read from his

00:10:26   report on Bloomberg. The now canceled product would have looked like normal glasses, but include

00:10:32   built-in displays and require a connection to a Mac. The company had initially wanted the glasses to

00:10:37   pair with an iPhone, but it ran into problems over how much processing power the handset could provide.

00:10:42   It also affected the iPhone's battery life. Yeah. I mean, that doesn't, that tell the story

00:10:48   right there. It's not quite how Mark Gurman tells it, but that's the story is we're working on AR

00:10:52   glasses. We want an iPhone to drive them. Oh no, it can't do that. Well, what if we have a Mac drive it?

00:10:59   Um, and, and, and then they cancel it and it's like, well, maybe it worked. Maybe it didn't,

00:11:04   but again, glasses that you, you can use when you're next to a Mac is not a product, right?

00:11:12   That's more like, can we, that, that feels very much like we're investigating. Can we even do this?

00:11:17   And, and what Gurman says doesn't indicate whether they can or can't do it because to me,

00:11:24   the fact that it requires a connection to a Mac and that they can't use an iPhone is a good sign of like,

00:11:32   well, this is not whatever we're doing here. We're not doing it right because nobody is going to buy

00:11:36   that product. It's not a real product. If, if it's, if it requires a Mac, like what? No. So, um,

00:11:44   I, what I don't know is what this means. Cause what does it mean to cancel development of a product?

00:11:50   Does that mean they aren't going to make those AR glasses or does it mean that it's gotten kicked back

00:11:57   out of productization into a more high level research product? Because they went through the

00:12:05   sort of like productization of it and went, Oh no, because again, a lot of this stuff is going to be

00:12:11   pretty far off. Um, or they need to set recalibrate and set their sites differently. I also wonder,

00:12:17   Mike, I know this is kind of a weird one, but I also wonder if partly the reason that this is going on

00:12:23   is because of the success of the Meta Ray-Bans and the realization that maybe what they need to do

00:12:27   is focus on building a, uh, no, you know, no glasses, no vision related, but, but a different set of

00:12:36   glasses that are, are like the Meta Ray-Bans and that they can't have this thing in development while

00:12:43   they have that in development. And they want to retask that team and say, we're going to put off

00:12:48   this AR stuff at a high level until the technology is more advanced. Um, but we, that's just speculation.

00:12:54   We don't know. But one of the things that I've noticed is a lot of times people take Mark Gurman's

00:13:00   reports and they, obviously they interpret them to mean whatever they want them to mean. So there's

00:13:04   this, there's definitely a, Oh, Apple's decided they're not going to ever make AR glasses. That's

00:13:09   not what's going on here. What's going on here is that Apple had an AR glasses project that couldn't

00:13:15   function on a portable, uh, compute platform like the iPhone. So they stuck it on a Mac to see if

00:13:20   they could get it to work there. And then it got canceled. And we actually don't know even if it

00:13:24   could or couldn't work on the Mac, or if they just looked at it and said, what are we even doing here?

00:13:28   We have a higher priority somewhere else. We don't know. But if I had to guess, I'd say it's possible

00:13:34   that that's what happened is that this thing is not practical as currently conceived. So they put it on

00:13:40   the shelf and that maybe they have a, you know, while they're developing vision OS and they're,

00:13:45   they're kind of working in the background on what this future stuff is, maybe there are some other

00:13:50   approaches to AR glasses that are much cut down from this, that they could work on just a speculation

00:13:57   on my part. Yeah. This is not the product. This is, isn't it? Like what is that? You know what I mean?

00:14:05   Like, no, congrats. You, while you're sitting in front of a Mac, you can also have a screen in front

00:14:09   of your eyes. Like it's not, I think you can kind of see, I mean, here's what I imagine. It's like,

00:14:14   they tried to get to work with the iPhone and it was causing problems. So they're like, well,

00:14:17   let's just get it to work with a Mac. And like that, I see a story there of like, if we could just get it

00:14:22   to work with a Mac, maybe by the time that we get this actually ready to be a product, it will be good

00:14:26   enough to work with an iPhone because the iPhones would be more powerful and more efficient. You know,

00:14:29   like these things go up and down. It's like to get to the iPhone, they made a tablet first and then

00:14:34   they went back to the tablet, right? Like this is, this is product design, right? Especially in

00:14:38   technology because you know that maybe by, well, you believe by the time you get to product, the

00:14:44   technology is advanced already. But for whatever reason, they've decided this isn't the thing because

00:14:49   it's clearly not the thing. And as you said, like AR glasses, like AR glasses, they're not the thing

00:14:55   because it's too early. Like everyone wants to make this technology, but no one can make it.

00:15:00   And so we need to wait.

00:15:01   And people are like, but, but, but, but meta is like, I'm pretty sure Apple could have done a,

00:15:05   done a demo of something and it, but it would be, it's not realistic. Like it's not happening for

00:15:11   years. And when they do ship, they're going to be incredibly limited. And you're going to be able

00:15:16   to do that thing where you compare what they ship to what they demoed five years before. And a lot of

00:15:22   that stuff's not going to be there because turns out they couldn't do it. Cause that's what happens

00:15:26   when you do a tech demo like that. Cause this is hard. It's hard. Think about it. Think about like

00:15:31   Apple's making a $3,500 headset in order to get screens that look good enough for, for, and I'll

00:15:38   grant you, it's not just the UI, it's also the pass through, but it's also the UI. And like you start

00:15:44   to tick off all of the things that are going down, make it so that you can see through it, but there's

00:15:48   also an overlay and make it light enough to be look unobtrusively like glasses on your face.

00:15:54   And now where does the compute go? Does it go to a phone? Like you can tick through the list. Like

00:16:00   our technology in 2025, it's pretty impressive, but that is very, very hard and is going to take time

00:16:09   and probably needs more efficient and more powerful mobile processing and better display technology

00:16:16   and miniaturization of everything, including battery. Like you could tick off the list. And

00:16:22   I'm sure that the engineers working on this and all these companies know exactly all of these

00:16:25   limitations. So here we are is this is, this is a 2030 category, not a 2020 category.

00:16:30   One of the things in Mark's report is saying that these glasses basically could have worked just like

00:16:36   the Mac virtual display, you know, kind of like you plug those, you know, you plug a Mac into like

00:16:41   X real glasses or whatever. That is not a product category. It is worth Apple getting in like just

00:16:47   that. Like here's a product. All it is, is a monitor for your Mac. That's not it. Cause they sell Mac

00:16:53   monitors or Biovision Pro. Like it's not compelling enough as a product for them to make at all.

00:16:58   Or buy X real glasses at that point. But like, I don't, I don't think that there's a real. Yeah,

00:17:01   I agree. I think that that's the, the wrong product. I think the, I think the right thing to do is to make

00:17:07   something like meta Ray-Bans that are augmented reality in the sense that they've got your voice

00:17:11   assistant and they tie into your ecosystem and they tie into your camera roll and they do, you know,

00:17:16   and they may be eventually have like a little widget area that you can see something in a dynamic island,

00:17:22   that kind of thing, notification center, that's low resolution. And in the corner of your screen,

00:17:26   which is what a lot of these things are going to be in quarter of your vision, maybe over time.

00:17:30   And then separately, you want to come at it from the other angle,

00:17:33   which is you take the vision pro and you try to make it cheaper and cheaper and cheaper and

00:17:37   lighter. And, uh, and then they converge in five, seven, eight years.

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00:20:12   So it is time for the Apple in 2024 six colors report card. We talk about this every year. This

00:20:21   is a project you've been running, I think for the entire length of six colors, but for those that

00:20:26   are new to the show, what is the report card? How does it work and who participates?

00:20:32   The Apple report card. So I invite a bunch of people who I see on social media or who have websites or

00:20:39   whatever blogs, videos to give me their opinions about what Apple has done in the last year, in the

00:20:49   previous year. And so I have a survey. I've been sending it out. This is the 10th time I've sent it

00:20:53   out annually, uh, right at the end of the year and, uh, or in early January. And I let them, uh, rate

00:21:03   Apple from one to five, one being worst five being best in a bunch of different categories. And then I

00:21:07   also give boxes for them to type small amounts of text and they type long, long, long amounts of text

00:21:14   instead. And, uh, then, uh, then I put it together and compile it and we, and make some graphs, uh,

00:21:22   you know, and, uh, that's, that's what we, that's what we do. And so people can, uh, the goal of the

00:21:31   report card is to really sort of say, what's the general feeling, the general drift of sentiment. You could

00:21:40   say the vibe in the room among people who pay attention to Apple about how Apple is doing. And while

00:21:48   there's nothing definitive about it, right there, you can't point it and go, aha, see, Apple is doing badly

00:21:56   on the Mac, right? Like you can't do that. It doesn't prove anything. It's just people's opinions. I think it

00:22:05   does show people are feeling down about this topic, uh, or people have been or up. And then you can see

00:22:15   now I've got, uh, trends, uh, for 10 years as well in a lot of these categories. So you can actually get a sense

00:22:22   of sort of like, how are people feeling relative to, uh, previous eras? And like, how is the, how is the vibe in the

00:22:30   room changed over time? And then the individual quotes are also very interesting about calling out

00:22:35   various things. So I feel like it's a useful thing to kind of review what has been going on in, for the

00:22:42   whole year at Apple, big picture, uh, what are they doing? Right. What are they doing wrong in the eyes

00:22:47   of people who focus on Apple? And then you can take what you want from it. Again, you can take validation

00:22:53   for your own feelings. Um, you can, uh, shake your head and show why it's evidence that the, the people

00:23:02   in the media and in the development community and all, I just don't get it. I mean, you can, you can

00:23:06   really put whatever you want onto it. Um, it is just a survey of, you know, 50 odd people who filled out

00:23:13   the form and, um, and, and that's it. I mean, I guess if you're at Apple, you can pay attention to

00:23:20   it and decide whether it gives you leverage to make your arguments or whether you can roll your eyes as

00:23:26   well. Like everybody can see into it, whatever they want to see into it. But I think it's interesting to

00:23:30   take an average of sentiment across a large group and see what the general trends are.

00:23:35   what we'd like to do on the show is, uh, I, I am, uh, very happy to be included, uh, in the report

00:23:42   card every year. So I've already submitted my scores to you and my comments. So I'll share those, my,

00:23:48   my scores and maybe touch on some of my comments, but I always will push you to also give your score

00:23:53   because you do not participate, uh, in the report card. I do not vote. Um, I do not vote or participate

00:23:58   in the survey. And also I will, uh, for each category, I will read out the summary that you have

00:24:03   for each of them to, to kind of give an idea for how people are feeling. And then we can talk about

00:24:07   how we're feeling. Uh, but I will encourage every listener to go and look at the report card and to

00:24:12   look at the charts. There are loads of great charts. I think having so many, uh, years now, it's really

00:24:17   interesting to look at them. Like we'll start with the Mac and there's something that's so interesting.

00:24:20   You can see like these peaks and valleys in the Mac over time, which I find one of the more

00:24:26   interesting charts. So I recommend people go look at it and we'll start with the Mac, which got a 4.2

00:24:31   out of 5 this year. This was the summary. The panel was very positive about the Mac with many

00:24:37   praising Apple's continued hardware advancements in the Apple Silicon era, especially the M4 chip and

00:24:42   the redesigned Mac mini. The move to 16 gigabytes of RAM as the new baseline for entry-level models was

00:24:48   widely welcomed. However, there are lingering concerns about the lack of updates for higher

00:24:52   machines like the Mac studio and Mac pro. Uh, I gave the Mac a 4 out of 5. Um, I think for me right now,

00:25:01   just the continued march of Apple Silicon, like I kind of feel like I can't complain. Like honestly, like I just

00:25:07   looking back to the years prior to Apple Silicon where things felt really lost. And now every year that they're

00:25:15   giving us a new chip and it's like, I, it can, you know, they're continuing to make everything more powerful. I

00:25:22   feel like I can't really complain and I wouldn't want to complain. Um, I think the laptop updates

00:25:27   were nice. Uh, I welcome the simplification of the MacBook airline, which I think has been long

00:25:32   overdue, but of course, you know, I would say for, for Mac studio users, I think some, I think it would be

00:25:40   nice, uh, to get a bit more clarity about what's going on with that product. Like realistically, is there ever

00:25:46   going to be a new one? Now I feel like I know the answer to that, but we have no evidence. Um, and so

00:25:52   that's kind of like, you know, I think that would have made it, uh, higher than a four for me, but I

00:25:56   feel like a four kind of, I think at the moment, something like four is like my baseline score for

00:26:01   the Mac line. So what do you think? Um, I would give this one, this is an easy one. I think I would

00:26:07   give this one four. Um, I would consider five, but I would give it four. I think one of the problems

00:26:12   that I have with a lot of, um, people who participate in the survey is, and they can do

00:26:17   what they want. I mean, that's the whole point is there's a lot of like, um, what have you done for

00:26:22   me lately that it's like, well, if Apple didn't release a new thing in this year, it gets a bad

00:26:27   score. And it's like, are the things that are there okay or not? If it's okay, who cares? Right. It's

00:26:35   like, if it's okay, who cares? So I, uh, yeah, people talk about the Mac pro and the Mac studio. I think

00:26:41   we all know what happened there. I think the M three was a placeholder and the M four versions

00:26:46   of those are reportedly according to Mark Gurman, especially the Mac studio forthcoming. So I'm not

00:26:50   worried about it. Also, some people comment that they were disappointed that it was only an M three

00:26:56   MacBook air in 2024. I was like, well, that's the cycle it's on. There'll be an M four in a couple of

00:27:01   months. Like the M three came out before the M four was announced. That's just how life works. And

00:27:07   Apple doesn't go on the calendar year cycle. So I think it's silly to get so focused on like,

00:27:15   if they didn't do a thing in a particular calendar year, they are therefore bad. Cause I think you

00:27:18   could, uh, I think you could, uh, the M four to M three, uh, like MacBook air or whatever. Like

00:27:24   what's the difference? Like really probably just Ram? Like what? Like, you know, like it's not

00:27:28   that great. Uh, I did, did not mention the Mac mini, obviously the Mac mini super good, incredible

00:27:34   computer. I love mine. Uh, but I just don't think that that was perfect because it gets so expensive

00:27:39   so fast in a way that I think that that ramp is too steep for, for, you know, you, you make one of

00:27:46   those machines like powerful and it's the cut. It's basically the price of a Mac studio. And I feel like

00:27:52   I would like to see them. I don't know how, but I am confident that there is a way to, to make that

00:27:58   better. Like what, you know, I think one of the things we're talking about that our friend, uh,

00:28:01   Quinn Nelson from Stancy labs, who just became a father himself. Congratulations, Quinn.

00:28:05   Congratulations, Quinn. Uh, was saying that like, you could buy like two Mac minis for the price of

00:28:09   put in 32 gigabytes of Ram and, and increasing the storage. Like if you just doubled the base storage

00:28:14   and Ram, it's more expensive than if you bought two of them, which I know is like,

00:28:18   not a thing that you can realistically do, but the components of building the computer

00:28:24   should be more expensive, like should, should have an inherent cost to them. Right. Rather

00:28:29   than just the storage and the Ram, like how much of the cost of the product really is the

00:28:34   storage in the Ram. So yeah, well, they're, they're obviously taking a revenue hit on base

00:28:40   models because they want to have their base models perceived as being affordable. And then

00:28:45   they ramp up the costs. And several people mentioned that that's one of the issues that

00:28:48   everybody noticed this year is that upgrading everything costs so much more. I think realistically,

00:28:54   I agree. It's true. I think realistically, this is the game Apple's playing because they've decided

00:29:00   that they want to hold the line on entry, uh, prices, uh, but everywhere else, they're just going

00:29:05   to raise the prices or have them be very expensive. And that's where they get, that's where they make

00:29:08   their money by the people who care about specs pay more. Um, I think it's a really interesting to

00:29:14   look at this one more than any other chart in terms of the annual, because we now have 10 data points.

00:29:20   So you can look at it and say, wow, the late 2010, 2010s were rough. And they were like, this is the

00:29:25   depth of the butterfly keyboard era. Uh, and it, they have been digging their way out of that. And then

00:29:32   you see the, um, 2020 leap for Apple Silicon. And although the scores are down a little bit from the

00:29:39   introduction of Apple Silicon in 2020, they still have stayed at a very high level. I agree with

00:29:44   that. The only reason that I wouldn't give this a five, honestly, is I feel like on the software side,

00:29:49   there are issues, right? Like Apple's, the Mac kind of like is sometimes still a laggard when it comes to

00:29:57   features. Um, there are things that are, are just kind of weird on the Mac that are fine on iOS.

00:30:03   And as a grumpy Mac user, I am concerned about the, you know, state of affairs of Mac software in

00:30:09   general and Apple's commitment to Mac software in particular, but it's a minor, I mean, I could give

00:30:15   it five. I just, nothing's perfect. Nothing is so perfect. So, uh, but this is close. This is really

00:30:20   close. The Mac is probably in, uh, among the best positions that it has ever been in. Yep.

00:30:26   Uh, so let's move on to the iPhone, uh, which scored a 3.7 out of five. Uh, the summary is

00:30:34   feelings about the iPhone lineup were mixed. Many panelists praising the incremental hardware

00:30:39   improvements, but expressed disappointment in Apple intelligence and a new camera control

00:30:43   feature. The rolling down of previously higher end features, the action button to the lower end

00:30:50   iPhones five times zoom to the smaller iPhone pro were well received. However, frustrations persisted

00:30:55   regarding the lack of a smaller phone option, lackluster color choices for pro models and

00:31:00   software features that feel rushed or unfinished. So it's 3.7 down from 4.1 last year. Uh, I went with

00:31:08   a four. This for me is my approach to the report card is I grade for me. I don't grade for the

00:31:15   world, right? It's how I feel. Sure. And for me, this is a great year because I switched from the

00:31:20   pro max to the pro phone. Part of that reason I didn't share at the time was because I wanted a

00:31:25   smaller phone for when the baby came so I could use my phone in one hand easier. Like that was

00:31:30   a big part of my reason for making that change. And I adore this phone size. I mean, they've made it

00:31:37   bigger and they made it a little bit bigger this year and that ended up being the perfect sweet spot

00:31:40   for me. I I'm a big fan of it. Um, I like the camera control button as a camera launching button.

00:31:46   I don't like taking pictures with the button because there is too much force. Um, but I do do it

00:31:53   sometimes if I have two, if I have two hands on my phone, I will use the button. If I have one hand

00:31:58   phone, I would just use the software button, but I really like the get to the camera from anywhere

00:32:03   control that I have from, uh, the camera control button. And one thing that I did think was

00:32:08   interesting this year, it's just like an observation. It didn't affect my score, but I wanted to share it,

00:32:14   uh, was just, it was really interesting to me this year. I think more than any year that I can remember

00:32:19   that the kind of broader community conversation was a lot of people considering moving down from the pro

00:32:26   phone line to the regular phone line that that would indicate to me that Apple missed the mark

00:32:32   on the product mix this year, whether they, okay. So if we look at this from pure business perspective,

00:32:37   whether they maybe put too many features from the pro phone to the regular phone, or they didn't give

00:32:43   enough differentiation in the pro phone or whatever it was, or maybe it is just purely colors, but I'm not,

00:32:49   I don't think that is the full thing. Cause this has been a problem forever. Um, there was so much

00:32:54   conversation about people considering moving or actually moving, or maybe in some cases moving

00:32:58   back, but hi Federico. Um, but you know, people were thinking more about leaving the pro phone

00:33:05   this year. And I think that is exactly the opposite of what Apple wants. So I just found that to be

00:33:10   an interesting thing that happened in 2024. Yeah. Yeah. It's, it's look, you know, we are in a,

00:33:18   a state where the smartphone, the generic general sort of smartphone is so amazing and yet also pretty

00:33:25   boring because the pace of innovation is, is less. There's still some out there, but it's, it's less.

00:33:32   And some of the things that are, are trying to be innovative are also still kind of impractical.

00:33:38   We're seeing more folding phones, but, um, they're not really a breakthrough yet. They're kind of esoteric and

00:33:44   expensive. Um, you know, Tim Cook gets on his analyst call and says, uh, you know, I couldn't be more excited

00:33:50   about the future of the smartphone. There's so much in our pipeline. It's amazing. Take that for what you will

00:33:55   as Mr. iPhone saying that, but, um, you know, I, I, I'd probably give this a three. Um, I think the camera

00:34:08   control was an interesting idea that was badly implemented. It kind of whiffed on that, which is

00:34:13   so fascinating to whiff on an iPhone feature. Like surely these are the things that get the most

00:34:20   attention. And it's really, to me, it just feels like the button is too hard to press, which means

00:34:27   you, you use the, in my opinion, use the wrong part and you put way too many features in the slippy

00:34:33   slidey thing. Like it's very peculiar. Over engineered. Yeah. Yeah. And, and, and I would say

00:34:39   they, I mean, last year they, they did the, the action button this year, they do the camera control

00:34:47   button, which, you know, remember the rumors were that the action button was going to be

00:34:51   touch sensitive and all that, which means the action button, I think was going to be the camera

00:34:54   control button. And then they still added the camera control button, but kept the action button,

00:34:58   which is also really interesting. That's fine. I do. I think that things are so quiet now

00:35:03   when it comes to iPhone evolution, that one of the things they do is try to figure out what their

00:35:09   marketing features are, what's their big thing that they're going to sell. And I think these buttons

00:35:18   are intended to be things they can promote as being new on iPhones. And you're, you're saying to

00:35:25   yourself, well, well, yeah, but they're spending all their time on Apple intelligence. And I guess what

00:35:29   I would say is that wasn't the original plan. The original plan was probably not Apple intelligence.

00:35:35   It was probably something like camera control and then they did Apple intelligence. So maybe,

00:35:41   maybe this feature got forced in here. And also remember that this is like their second try because

00:35:45   action button was sort of going to be camera control. I don't know. Anyway, it is, you know,

00:35:50   the most important Apple product and iPhones are good. They're very, very good. And there is that danger

00:35:55   of being like, we're just bored with something that's so good, but the pace has really, really slowed.

00:36:00   Um, and you know, when we commented about the pace slowing five years ago, it has slowed since then,

00:36:05   like it continues to slow. And perhaps in 2025, we will see some really new takes on the iPhone and it

00:36:12   will lead us to some interesting places in the back half of this decade. But right now the iPhone is

00:36:17   solid and it's good. And, you know, I would say it's better than it's ever been. And most people don't

00:36:24   buy a new iPhone every year. But if we are looking at how Apple has kind of squired the iPhone along

00:36:30   here above the, the waterline where we can see what they're doing, it was kind of a, uh, an okay year

00:36:37   where it continues to be good. But what really is there? The, the, the non-pro phones have the pretty

00:36:43   colors. They don't have a, they're still running at 60 Hertz display, which is, um, it should be more

00:36:49   right. Um, and the camera control was just a miss. So I, I don't know, you know, I can't give them a

00:36:54   really great score because the stuff that they did try to do, they didn't really execute that well

00:36:57   on. Yep. I agree. So the iPad has a 3.5, which is up from a 2.4 last year and is kind of returning

00:37:06   the iPad back to the level, uh, that it's been on for quite a while. Uh, the summary says after a

00:37:13   completely quiet year in 2023, the iPad came roaring back with major updates in 2024 and our panel responded

00:37:21   favorably. The M4 iPad Pro is highly regarded thanks to its thin design, OLED display and performance.

00:37:27   The iPad Air also received a solid update while the iPad mini saw a minor refresh. However, the biggest

00:37:32   complaint remains iPad OS, which many feel continues to limit the potential of the hardware. The iPad lineup

00:37:38   is also considered confusing with overlapping models and accessories that make purchasing decisions

00:37:42   difficult. Overall, while the hardware continues to impress, Apple's lack of commitment to advancing iPad OS

00:37:48   has left many feeling that the iPad is not reaching its full potential. Uh, I gave the iPad a five out

00:37:55   of five this year because I have decided it is pointless for me to continue to grade iPad on iPad OS.

00:38:03   It's not what it's not. There's just no point. Like I have decided to accept what it is and then just do

00:38:10   that. Like I don't grade the Mac or the iPhone on the operating system's potential, what, what I believe

00:38:20   it should potentially be. I don't do this with any other product where I'm like every year saying to

00:38:25   myself, Oh, but it could be so much more if they just did this. Like I don't do that for the other

00:38:30   things when I could, right? I could say like, Oh, the Mac could be so much more if it also had a

00:38:36   touchscreen mode. Like I don't do this for other products. So for me personally, I'm just going to

00:38:41   grade it on what it is. And then in what I would consider realistic like desires from iPad OS, because

00:38:49   I feel like a lot of people, and I understand it because I used to be one of these people, they're

00:38:53   grading iPad OS against Mac OS. And I just think at this point, it is clearly pointless to do this

00:39:01   because we see what it is anyway. So I think the M4 iPad Pro is literally everything I could have

00:39:09   wanted in an iPad. I absolutely love this iPad. It's incredibly thin, incredibly light, makes it a joy

00:39:17   to use. The OLED screen is unbelievable. It's the best quality screen I own anywhere. Sometimes I am

00:39:24   annoyed at my television because the iPad screen is so much better. Like it's, I love this thing.

00:39:31   I think it is as good as I could want from an iPad. And so for me, it's a five out of five. Because

00:39:37   like, I mean, again, I had not, I, you know, it's been a while for me with the iPad Pro. I've been away

00:39:42   from the iPad Pro for a while. And this year I was like treated to all of the great things that iPad

00:39:47   Pros can give you, including the better screen technology. You know, like I've been using a mini

00:39:53   and before that I hadn't had a mini LED iPad Pro or anything like that. I'd gotten off that train.

00:39:58   This one is just, it's perfect for me.

00:40:01   That's great. Um, yeah, I agree. I think, I mean, look, the iPad was a 2.4 last year and a 3.5 this

00:40:10   year. Why? The answer is it's that one hat. What have you done for me lately? Argument. No new iPads.

00:40:17   Well, as a bad year for the iPad, new iPads, it was a great year for the iPad. And again, I would argue,

00:40:24   I mean, that's not how I would view it. I think that you have to limit your like, give me something

00:40:29   new or otherwise your product line is a disaster is not, I just don't agree. I think that, that they

00:40:35   should have released some iPads in 2023, but they, if they introduced like an iPad error in 2023, does

00:40:41   that suddenly make it, Oh, what a relief. This was a great year for the iPad or does it not? I don't

00:40:46   know. It is, it is, you take it, take it what you will. The truth is 23, there were no new iPads. 24,

00:40:52   there were all new iPads. So great. Uh, the number went back way, way up as it should. Um, I, I think I'm

00:41:00   going to say, I think I'm going to say four here. And my reasoning is not only did Apple make an iPad

00:41:08   Pro that is spectacular, right? Thin and powerful debuted the M four on it. And that amazing OLED

00:41:17   display. It's amazing, right? Great model. But they also basically revised the iPad air and it's every,

00:41:26   it's essentially with the exception of face ID, everything that the iPad pro used to be. So

00:41:32   they're basically keeping the iPad pro around as the iPad air at a much more affordable price,

00:41:39   which is important because the iPad pros are very expensive now, like extremely expensive,

00:41:44   almost like at the point where they're a lifestyle product. They're like a luxury car.

00:41:48   And for most people, I don't recommend an iPad pro anymore because it's just, it's too much for what

00:41:54   most people are going to use it for. I just, I just can't recommend it, but that's good news is they did.

00:41:59   They did the thing that Apple arguably should always do, which is push the limits and make this

00:42:04   amazing product. That's great. And make something that's really, really good. That's much more

00:42:09   affordable that regular people who don't care about the super cutting edge, high-end amazingness

00:42:14   can get and use and love. And they did that with the iPad air. So, uh, I, I think it is a good year

00:42:20   for the iPad in those ways. Um, I, you know, also in the background, I'm, I'm going to just say it. I,

00:42:28   I wish they had more of a vision for iPadOS than they do. I actually kind of don't care what the

00:42:34   vision is at this point is what I would say, but I wish, I wish that there was a vision for it. That

00:42:39   wasn't just, it's, it's kind of like iPadOS or iOS, but bigger. Um, it's not really like the Mac.

00:42:47   Um, but it's also just kind of kicking off, like why, again, sorry to say this, but like,

00:42:52   again, why is it iPadOS? Cause it's basically just iOS and almost everything other than like

00:42:57   stage manager or something like almost everything you can do on iOS, you can do an iPadOS and vice

00:43:01   versa. So I don't know. It just, I wish, I wish it could be more than it is. And that makes me sad.

00:43:09   So I, I, again, nothing is so perfect. I'll give it four. Yeah. I mean, I get what you're

00:43:14   saying. I also wish, but I'm just not like criticized. I just don't want to criticize it

00:43:22   anymore for, for, for, I agree. I understand. I totally, it's totally understandable to think

00:43:27   that. All right. So we move on to wearables and Apple watch. So I think you made some changes

00:43:33   this year, kind of like clarified and broke out some stuff. So there's a, there's a couple of

00:43:37   things here. So the overall score is a 3.6 out of five up from a 3.5 out of five year over year.

00:43:44   The Apple watch specifically is 3.7 up from 3.4. And we introduced the vision pro as a category,

00:43:52   which scored a 2.4 out of five.

00:43:55   2.4. Yeah.

00:43:56   That's a D. Yeah.

00:43:58   The summary could be worse.

00:43:59   Yeah. Apple's wearable lineup in 2024 saw strong advancements in AirPods and steady if uninspired

00:44:05   improvements to the Apple watch. The new hearing aid features for AirPods pro two was widely

00:44:11   celebrated as one of Apple's most impactful innovations. The Apple watch series 10 and

00:44:16   ultra two updates are seen as incremental with some frustration over the lack of significant

00:44:20   redesigns or an ultra three. However, the Apple vision pro dominated the conversation with reactions

00:44:25   split between or at its technical advancements and disappointment over its price usability and

00:44:31   lack of compelling software. Many view it as an impressive, but unfinished first generation

00:44:36   product. While the hardware across Apple's wearables continues to improve,

00:44:41   concerns about stagnation in the watch line and the vision pros uncertain future persists.

00:44:45   I went with an overall score of four and a vision pro score of three. So I think the Apple watch

00:44:54   one was one of my most interesting ones to score because I just continue to be disappointed with the

00:44:59   Apple watch from a hardware perspective. Making it thinner is lovely, but I want to see a significant

00:45:04   design change for the Apple watch. Like significant is what I want, but I'm, I don't know if I'm ever

00:45:09   going to be able to get it. But watch OS 11 was my favorite operating system update this year.

00:45:13   Um, the enhancements to the widgets. I really liked the smart stack. I really liked to live activities is great,

00:45:19   but the new photo face is one of my favorite things. Apple has put in an operating system in as far as I can

00:45:25   remember. I adore that every time I look down at my watch, I get a little moment of joy. So I have like pictures of places we've been to, pictures of my wife and oh man, I am so excited to get photos of my baby onto this thing.

00:45:41   My word, my heart's going to explode. I just, if you've not used the photos face, maybe you think you're not a photos face person, just try it because I didn't think I was a photos face person, but this it's so good.

00:45:52   They've done such a good job. They lay them out really well. Whatever machine learning model they've made to, to lay these things out is, is really great. And you can have two complications on it now too. So, uh, I, I, I really do recommend it. I think it's great.

00:46:05   And then the vision pro, I mean, that's just a mixed bag, right? Like the summary said, the launch was exciting, which is a year now. It's like a year yesterday. Um, the hardware itself is so futuristic.

00:46:17   And so I think well, really well done. Vision OS is a very promising operating system with, which has gotten great advancements throughout the year. They've made it significantly better throughout the year, but

00:46:30   the lack of the lack of developer support has just meant that the buzz has just disappeared. I think even if you remove Apple intelligence out of the conversation, I don't think this would have gone any differently. And you can't ignore that.

00:46:44   Yeah. Um, I would say, um, overall, I would say four. Um, although I, I would actually even consider five and here's why.

00:47:00   The new AirPods are great. They took the old AirPods pro and made them hearing aids.

00:47:05   The vision pro, while not a product, most people should buy is an amazing product. It costs too much, which is why nobody should buy it. It is amazing. The OS is really kind of incredible. It's got huge potential. If they work on it there, you know, it has a frustrating lack of content and a frustrating lack of apps.

00:47:25   And that is on Apple bottom line. But that all said, I, I choose not to invent a world where the, everybody rushed out and bought a vision pro because we don't live in that world. Like that, that doesn't, that was never going to happen. That was never going to happen.

00:47:43   And I was looking at my review today of, uh, of the vision pro and I used, I described it in the first sentence as speculative and impractical, right?

00:47:56   Yeah.

00:47:57   Show me the lie, right? Like that is, it is impractical and it is a speculative product about the future.

00:48:04   And I likened it to early days of personal computers where you'd spend $5,000 on a computer because computers are the future and it doesn't do anything.

00:48:11   Um, and that boy, that was true. That was, that was personal computers in the early days. And, and vision pro is like that.

00:48:17   The problem is Apple needs to be doing more to get people to try it and experiment with it and think about the future. And they're not.

00:48:23   And I, I wrote that column in Macworld a few weeks ago that I feel like it's because they don't know how to be an upstart and they don't know how to jumpstart a weird product category and get people excited about something that's not going to pay off for a few years.

00:48:34   I feel like they've like completely lost that because they've been on top for so long, but that said, and there are one other item is missed opportunities, which is they should have had AirPods and glasses, right?

00:48:48   They should have had that. They should, they should not have let meta. They have all the pieces for that. And they, a lack of vision in their product map. They blew it. So I can't give it a five, but I'm going to say overall four. I, I'm going to say Apple watch is a five. Um, and my reason there is that I know it's not for you, but I bought a series 10. I love it. It is such an enormous update. It is. I love how thin it is. I think it's, I know it doesn't look

00:49:18   any different, but it is very different. I don't doubt that. And it's very pleasant. Well, this is, I'm just, I know it doesn't interest you. So I'm going to give you the enthusiastic perspective of it, which is, is it's not for you, but it is for me. And I think it's really great. I'm sorry to the ultra users who didn't get an ultra three this year. In hindsight, the ultra two should not have come out last year. That was kind of weird, right? Like that was kind of weird. Um, but, but whatever, there'll be an ultra three this year probably, and it'll be fine. But yes. And watch OS really, really, really,

00:49:47   great update. I was, uh, we were driving a curling yesterday, Lawrence driving. I'm sitting in the passenger seat and my watch taps me and I'm like, what is it? It was a live activity from my phone, pushing to my watch and tapping. And I looked at my watch and it said, Arsenal just scored a goal. And I'm like, Oh, that's the stuff. Like, that's exactly what I want is. It's a thing I care about. It's on my phone, but my watch is right there. And it takes the live activity widget. And it gives me the tap because I'm, I'm wearing my watch and I'm not looking at my

00:50:17   phone and it says, here it is. You know, score update is now two one to the arsenal. And like, I really love that. I scrolling down to see my timers going, you know, here's this thing, this live activity, this running. Like, I think they are, they are still picking their way out of the wreckage of the initial conception of the Apple watch and watch OS 10 years later, which, you know, things change. That's, that's how evolution works, but they are doing it. I would say in the last few years, it feels like they have gotten

00:50:47   a much more confident approach to what people want on the Apple watch and are building it and are kind of taking the garbage away or at least putting it on the side and putting some new stuff forward that makes it more usable. Um, and yeah, vision pro, I'm going to give the vision pro a four, um, just off of, cause I'm just making this up as I go along here because of everything I just said, which is it's actually kind of a brilliant product. It's just not ready for widespread use. And honestly, that's okay. Um, because it's so good. It's

00:51:17   way too expensive. Nobody should buy one. Right. Like, but, but I, my take on the vision pro is not that it's bad. I get, I get a sense from some people's like, Oh, it's a flop. It's so bad. It's like, it's actually great. It just is overpriced and a 1.0 and you know, it, Apple needs to put more effort behind it. I, I will not give it a five because that's what bothers me is that Apple hasn't tried to drive developer interest in it by, you know,

00:51:47   essentially making an effort and giving more and offering incentives. And they just, and I think it goes to what we'll talk about in a little bit, which is Apple's relationship with developers that continues to degrade and also the content. I wish they had had a much stronger content plan because I do think that if anybody would buy it for $3,500, it's people who really, really, really want niche content. Like, uh, let's say live theater in a, in immersive space or live sports in an immersive space. And what we've gotten,

00:52:17   is a small amount of prerecorded stuff. So there's more to do there, but I think the vision pro as a product, well, as a technology product, I think is a great success. And then as a product in the market, it's a failure, but what could it have been at $3,500? It was always going to be a failure and, and that's okay. As long as they keep working on it.

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00:54:39   So we move on to HomeKit and Home Automation now.

00:54:44   Smart Home category.

00:54:46   Yeah, Smart Home.

00:54:47   2.7 down from a 2.8 year over year.

00:54:50   Yeah, flat, really.

00:54:52   2.7, 2.7, 2.8, 2.7.

00:54:54   It's been in the solid D plus student here.

00:54:58   You love it.

00:54:59   You love to see it.

00:55:01   Apple's smart home strategies, as the summary in 2024, continue to frustrate users of many feeling that HomeKit remains unreliable.

00:55:08   The Home app is unintuitive, and Apple has largely neglected the space.

00:55:13   While there were minor improvements, such as better control center integration and some Matter enhancements,

00:55:18   the overall sentiment is that Apple has yet to make significant strides.

00:55:22   Many users have resorted to third-party solutions like Home Assistant to achieve better automation and compatibility.

00:55:28   The lack of Apple Intelligence integration into the HomePod and the continued unreliability of Siri further disappoints users.

00:55:34   Some are hopeful that Apple may reinvest in smart home efforts in 2025, possibly with new hardware, but for now, the platform feels stagnant.

00:55:42   I find it funny that, like, the Apple Intelligence thing being a negative, when, like, I don't know.

00:55:47   I don't know.

00:55:48   I know.

00:55:49   I don't know about that.

00:55:49   Apple Intelligence is terrible.

00:55:51   Why don't we have more of it?

00:55:53   Yeah, I'm not.

00:55:54   Okay.

00:55:54   Not really sure about that.

00:55:56   So, I gave this a 3 out of 5.

00:55:58   For me, the control center actions and the way that I can customize those, it's, like, exactly what I was looking for from my home, from the Home app.

00:56:08   So, I'm very happy about that.

00:56:09   Outside of that, there's nothing else.

00:56:13   There isn't anything.

00:56:14   But, as I mentioned, and I do, I have high hopes for a 5 out of 5 next year.

00:56:18   They just need to give me the device that I want.

00:56:21   Yeah, right.

00:56:22   Yeah.

00:56:22   I think so.

00:56:23   I mean, I don't know what to say here.

00:56:27   I totally understand the 2s and 3s.

00:56:31   I mean, honestly, I use it.

00:56:33   It works fine for me.

00:56:34   I wish it did more.

00:56:36   And that's the problem, is, like, it doesn't, it's so dumb.

00:56:41   Like, the Home app isn't good.

00:56:43   I think people have, they all mentioned it in their comments, like, all of them.

00:56:47   Home app isn't good.

00:56:48   Matter isn't there.

00:56:49   I think Matter actually is going to be a thing, and it's coming.

00:56:52   I think it's just been a lot harder to get it to roll out than anybody expected, but

00:56:55   I do think Matter is going to.

00:56:57   None of the parties involved want to bear the burden of this alone, right?

00:57:01   Google and Apple and Amazon have decided they don't want an arms race anymore.

00:57:05   It's just killing the entire category.

00:57:07   I think Matter is going to eventually come through and be something that it just means you don't

00:57:13   have to worry about it.

00:57:14   That said, like, Apple's side of it.

00:57:16   Like, the fact that if you talk to nerds, they start talking to you.

00:57:22   HomeBridge and Home Assistant says something, and it says that the home stuff in Apple's

00:57:27   operating system is just dumb, right?

00:57:28   Like, that's the problem, is that it doesn't seem to be as smart as it should be, if that

00:57:35   makes sense, right?

00:57:36   Like, here is a light you can turn on.

00:57:38   Okay.

00:57:38   But, like, if you try to automate anything beyond about turn it on at sunrise and sunset or turn

00:57:45   it on when I come home, it falls apart really fast.

00:57:49   Like, intelligent automation based on the sensors and devices in your home.

00:57:54   It's kind of just not there.

00:57:55   So, you know, I'll give it a three because I think actually a lot of my home stuff works

00:58:00   great and I'm pretty happy with it.

00:58:02   And I've settled into a pretty decent routine.

00:58:04   That said, Apple needs to do more here.

00:58:07   My hope is if we hear all these stories, like you said, about new stuff for the home and

00:58:12   a new home kind of renaissance from Apple in the coming year and years, that they will also

00:58:18   prioritize some software help to make the home app better.

00:58:24   So, we'll see.

00:58:25   But I'll give it a three because, like I said, it's not destroying my life.

00:58:31   It works and I can rely on it.

00:58:33   And, yeah, the control center items are great.

00:58:35   I use those all the time.

00:58:37   The Apple TV got a 3.2 up from a 3.

00:58:42   Summary is, Apple TV remains a solid, reliable streaming device, but 2024 was another year

00:58:48   of minimal change, both in hardware and software.

00:58:51   While Apple TV Plus continues to receive significant attention from Apple, TVOS and the Apple TV

00:58:57   hardware feel stagnant with no major updates or innovations.

00:59:00   Users appreciate its ad-free, privacy-focused experience compared to competitors, but remain

00:59:06   frustrated by the aging UI, lack of major software improvements, and the high price relative to

00:59:11   cheaper alternatives like Roku and Fire TV.

00:59:13   The few newer features, such as automatic subtitles and any enhanced dialogue feature, were welcomed,

00:59:19   but did little to change the overall perception of Apple TV's in maintenance mode rather than

00:59:23   active development.

00:59:24   And for me, I gave this a 3.

00:59:26   I don't look at content in this part.

00:59:28   This is just the box and the operating system?

00:59:32   People were very specifically told not to talk about Apple TV Plus in this category.

00:59:38   It is not a services question.

00:59:40   It is a hardware platform question.

00:59:42   Software OS question.

00:59:44   Not services.

00:59:47   So, I mean, I'm torn by this like I am by home.

00:59:53   I'd say three, I guess.

00:59:54   And this is, both of these things can be true.

00:59:57   TVOS.

00:59:58   Okay, first of all, let's talk about the hardware.

01:00:00   Minimal change in hardware and software.

01:00:04   Okay, let's talk about the hardware.

01:00:05   Apple doesn't need to add any hardware to the Apple TV.

01:00:08   It's fine.

01:00:09   It's fine.

01:00:09   What would they even do?

01:00:10   I mean, they will probably put a different processor in it and maybe they'll add a different

01:00:14   radio or whatever, but like literally it doesn't need to change.

01:00:17   It's fine.

01:00:18   It's fine.

01:00:18   It is so much more powerful than the competitors in this space, especially the stuff that's embedded

01:00:25   in TVs.

01:00:26   And you have to go to the high-end competitors that are actually more aligned with the price

01:00:31   of the Apple TV 4K in order to get them to be sort of comparable in that sense.

01:00:37   So, the hardware is fine.

01:00:38   I don't care.

01:00:39   The TVOS is perfectly functional, but as especially our friend of the show, Joe Rosenstiel, has

01:00:46   pointed out on numerous blog posts and many other people have too, like what are they doing

01:00:52   on the TVOS side?

01:00:53   It is like it's been abandoned.

01:00:55   It really is.

01:00:56   Maintenance mode is a good way to phrase it.

01:00:58   There are, I'm in the midst of trying other, these other devices.

01:01:03   I've got a Fire TV high-end.

01:01:06   I've got a high-end Google TV.

01:01:07   I got a high-end Roku.

01:01:08   And I'll just tell you, first off, everybody's right.

01:01:12   Apple is the only box maker that's playing a game where they're not trying to sell you,

01:01:17   you know, random commercial products and stuff.

01:01:20   Like they market their own stuff, but like it is not the same.

01:01:23   Everything else is a zero privacy, full of ads, kind of garbage, garbage can of stuff,

01:01:31   right?

01:01:31   And Apple's hardware is better.

01:01:33   But like there's software stuff that is such a no-brainer and has been a no-brainer for years.

01:01:40   I can't believe Eddie Q isn't angrier about the sports and live in general on Apple TV, on TVOS.

01:01:48   One of the fastest growing segments of streaming is fast, is free ad-supported TV.

01:01:56   It's streams.

01:01:57   It's live channels of stuff with ads.

01:01:59   And some services have live channels of stuff without ads too.

01:02:04   And Apple should build a live guide, right?

01:02:08   That says, these are the sports that are on now.

01:02:10   These are the apps you've got that have live channels.

01:02:13   And these are the channels that are on.

01:02:14   Several of Apple's competitors do this.

01:02:17   Apple has done nothing for years.

01:02:19   And it's stuff like that that really bothers me.

01:02:21   That it feels like this is a product that is better than the competition,

01:02:27   even though it's more expensive, because it provides a premium experience in terms of not

01:02:33   feeling like there's an ad around every corner and that all of your data is being shipped back

01:02:38   and diced up into little bits and sold to the highest bidder.

01:02:42   That's all true.

01:02:43   But it does feel like there's nobody driving it.

01:02:47   There's no captain of the ship.

01:02:49   There's no vision for where this thing is supposed to go.

01:02:52   And, like, how many years is TVSOS going to go by without a live guide?

01:02:57   Because, like, we're there now.

01:02:59   Streaming is television now.

01:03:01   And people want to watch things streaming live.

01:03:04   Plus, they need to bury the hatchet with Netflix and whatever it takes.

01:03:08   That really hurts their platform.

01:03:09   But, like, the live guide is such an obvious thing.

01:03:12   And it's just not there.

01:03:13   They've added some things around the edges that tend to be things that are on other Apple platforms.

01:03:18   But they've also added them to this Apple platform, because why not?

01:03:21   But, like, something that's very Apple TV plus, or, sorry, very Apple TV specific has just not been given any attention.

01:03:31   I don't understand it, because it's, here's the thing.

01:03:34   For a product that nobody seems to care about at Apple, it's actually surprisingly good.

01:03:39   Imagine how much better it could be if anybody showed it any attention, but it really doesn't feel like a product Apple cares about.

01:03:49   And it's too bad, because I use it every day.

01:03:51   It is my entire window into television, is the Apple TV.

01:03:55   And it's actually pretty good, but it could be so much better.

01:04:00   So, I'll give it a three.

01:04:01   It's really like giving, it's giving a student a good grade, but writing, see me on the paper.

01:04:07   So that you can tell them that you're disappointed that they're not applying themselves better.

01:04:13   Services is 3.5 out of 5, up from a 3.3 over a year over a year.

01:04:20   The summary is, Apple services continues to be a mixed bag in 2024.

01:04:25   Apple TV plus remains a standout, consistently producing high quality content, though its film lineup still lags behind its strong TV series.

01:04:34   Apple Music saw improvements, but frustrations of its macOS client and Siri integration persist.

01:04:39   The biggest recurring complaint remains iCloud storage.

01:04:43   Apple's 5 gigabyte free tier is widely seen as inadequate and outdated.

01:04:47   Apple services ecosystem benefits from deep integration with its hardware, but few of its offerings are considered best in class.

01:04:54   And many users feel they pay more for convenience rather than for excellence.

01:04:59   While reliability is improved in areas like iCloud syncing, some Apple services feel stagnant or focused more on revenue generation than user experience.

01:05:08   I gave this a four.

01:05:10   I will actually echo, I didn't put this in, but in reading this, I echo the five gigabyte free tier is terrible.

01:05:17   I think I submitted this before I ended up having an issue with my mom's phone and needing to upgrade her storage and stuff.

01:05:22   It's just like, this is ridiculous.

01:05:23   But for me, I just guess a four out of five, just because the content that Apple TV plus produces far exceeds my frustrations with other areas of Apple services where I have them.

01:05:37   And I do have far less.

01:05:38   I will say, I don't want to bag on the participants.

01:05:42   There are things in here that people are mentioning that I literally never think about.

01:05:46   Like reliability of iCloud syncing.

01:05:49   Is this a thing we're still concerned about in 2024?

01:05:52   I think you can see where some people just get attached to certain vibes and will not let them go.

01:06:00   And that's just, you got to just kind of shrug.

01:06:02   It's hard.

01:06:03   Weird to me.

01:06:04   Like to see stuff like this.

01:06:05   Yeah.

01:06:06   But I just think it's like, it's just like, I remember feeling these things, but like, I don't feel them anymore.

01:06:14   Any of those.

01:06:15   Now, of course, do I have the occasional thing where like a folder sits there just spinning?

01:06:19   Sure.

01:06:20   But it's not like, anyway, everybody has their own experience.

01:06:24   This is odd to me.

01:06:25   But yeah, Apple continues to make my favorite TV shows of the year, basically every year.

01:06:30   And I just think that that is such a feat that they've managed to produce and like they're able to find, produce, and program this content.

01:06:39   And so, for me, they get a high grade for that.

01:06:41   Yeah.

01:06:47   I mean, I'll throw in a four.

01:06:50   That's fine.

01:06:51   Like, I think TV Plus is great.

01:06:53   That's why they talk about it.

01:06:54   That's why they talk about TV Plus all the time.

01:06:56   Like, there's so many other things going on in services, but they talk about TV Plus all the time because it is their most visible thing.

01:07:02   And it has been very successful, I think, creatively on the TV side.

01:07:06   Not so much on the movie side, but on the TV side, it's been really successful.

01:07:09   And yeah, in other areas, like, Lauren uses Fitness Plus and likes it.

01:07:16   I've heard – I haven't spent as much time with it, but I've heard from a lot of people who say News Plus is actually good now.

01:07:23   Who knew?

01:07:25   Puzzles, man.

01:07:26   It's not for me.

01:07:28   I have my newsreader instead, but, like, maybe I should look at that.

01:07:33   So, I've heard more positive things about it.

01:07:35   I – when I had two computers, I was using iCloud syncing for desktop and documents.

01:07:40   And you know what?

01:07:40   Worked fine.

01:07:41   Occasionally, there'd be something where I'd be like, why is this file not here?

01:07:45   But you know what?

01:07:45   That happens on Dropbox, too.

01:07:47   Just sometimes.

01:07:48   Mostly not.

01:07:49   But sometimes it happens.

01:07:50   But it happens on other cloud syncing services, too.

01:07:53   It's fine.

01:07:54   And they've done some improvements there.

01:07:58   So, yeah, I think it's a pretty solid thing.

01:08:00   And that's good because it's a huge part of their business now.

01:08:02   It's like a quarter of their business.

01:08:04   Hardware reliability.

01:08:07   4.6 and has remained a 4.6 and has been in that realm for, like, five years at this point.

01:08:15   4.5, 4.6.

01:08:17   Summary is Apple's hardware reliability in 2024 remained exceptionally strong, with very few complaints or major issues reported.

01:08:24   Many panelists noted that they had no significant hardware problems, and some praised Apple's consistency in delivering high-quality devices year after year.

01:08:32   The transition to Apple's silicon has continued to pay off, with users appreciating the improved performance and durability compared to older Intel-based models.

01:08:40   While a few minor concerns were raised, such as Touch ID inconsistencies and the non-replaceability of certain components, the general consensus is that Apple is in a golden era of hardware reliability.

01:08:50   I gave it a 5 out of 5 with zero comment because it just feels like there is no comment to be made, in my opinion, anymore.

01:08:56   There has to be some kind of controversy for me for this to change each year.

01:09:02   Yeah, it is, I'd give it a 5.

01:09:06   Apple's hardware prowess is not in doubt.

01:09:10   No.

01:09:10   Right?

01:09:11   Like, they've overcome the worst of it with the butterfly keyboard and things like that.

01:09:16   There have been no gates.

01:09:17   They're good at this.

01:09:19   Yeah.

01:09:21   I expect the thin phone, the unfolding phones, to be their next potential issue, right?

01:09:29   Like, form factors that are new to them could be problematic, but we'll see.

01:09:35   But folding phones, I mean, they come with so many new issues that potentially existing iPhone users have not had to consider.

01:09:44   And I'll be keen to see how that changes or not, as if Apple moves into new areas where these things scratch and bend and break.

01:09:53   Yeah.

01:09:55   And Apple's operating system and apps.

01:09:57   Okay.

01:09:58   So, this is a new category that's replacing an old category.

01:10:01   So, it previously was software reliability.

01:10:04   Yeah.

01:10:05   And I got some feedback that suggested the problem with that is, what does that mean?

01:10:10   How does it relate to the operating systems?

01:10:14   How does it relate to all the apps Apple builds?

01:10:17   And I thought, you know what?

01:10:18   Let's separate them.

01:10:19   So, instead of it being software usability or reliability, I forget even what it was.

01:10:24   That's out.

01:10:25   I think it was software reliability.

01:10:27   It was hardware reliability and software reliability.

01:10:29   Yeah.

01:10:29   Or software quality is what it was.

01:10:30   Software quality.

01:10:31   Hardware reliability and software quality.

01:10:32   Anyway, what if we just said, tell us your feelings about Apple's OS this year and about Apple's apps this year?

01:10:40   And just left it at that.

01:10:41   OS and apps.

01:10:42   Perfect year to do it, in my opinion, to break this out.

01:10:45   The summary was, so yeah, a 3.4 for the OS and a 3.5 for the apps.

01:10:51   It's very in line with the previous 3.6, which was for the combined category.

01:10:56   The software category.

01:10:57   Yeah.

01:10:58   Summary.

01:10:58   Apple's software quality in 2024 was a mixed bag.

01:11:01   While macOS Sequoia and iOS 18 were mostly stable, longstanding bugs and usability frustrations persist.

01:11:08   The biggest controversy was Apple intelligence.

01:11:11   Many felt it was overhyped, underdelivered, and introduced new problems while failing to justify the tradeoffs.

01:11:16   Some praised minor improvements like notification summaries and the new sports app, but others saw Apple's software design trending toward unnecessary complexity.

01:11:24   Many users wish Apple would focus more on stability and polish rather than pushing new features annually.

01:11:30   I am honestly super surprised that the OS scored 3.4.

01:11:37   Like, this to me feels like...

01:11:40   Here's your Apple intelligence category.

01:11:42   I feel like I'm doing a report card on the report card people.

01:11:45   Yeah, that's fine.

01:11:46   This is where the Apple intelligence stuff goes.

01:11:48   Not in the iPhone category.

01:11:50   Yeah.

01:11:51   This is where I get...

01:11:55   And this is going to happen when I post this story.

01:11:57   We're recording this just before I post it live.

01:11:59   Yeah.

01:11:59   I'm going to get so many people who are angry with things that are in the report card who are yelling at me about it.

01:12:04   And it's like, that's why I don't vote.

01:12:06   I am just reporting the news.

01:12:08   I am not making it.

01:12:09   Like, I...

01:12:11   You can be as mad at the panel as you want.

01:12:14   I am not in there.

01:12:17   And I agree with you.

01:12:18   I think this is the category where you've got to hammer them on the bad rollout of Apple intelligence.

01:12:25   Yep.

01:12:26   Even understanding that they felt the pressure and they needed to do it.

01:12:28   And they did.

01:12:29   If they had...

01:12:29   I think it would have been a real problem if they had come up at WWDC last year and not mentioned AI.

01:12:34   Right?

01:12:35   Like, whoa.

01:12:35   That would have been bad.

01:12:36   But the way it's rolled out has been a mess.

01:12:39   I would have scored them badly for that.

01:12:40   Not as badly as I did score them, which was a two out of five on the operating system.

01:12:44   I agree.

01:12:45   I gave the apps a four.

01:12:48   I don't really have anything to say about the apps.

01:12:49   Like, the apps continue to be apps.

01:12:51   They did that fun stuff with Final Cut Camera and all of that.

01:12:54   That's all good.

01:12:55   The Sports app, although it's got some bugs.

01:12:57   That is what I expect.

01:12:57   I love they're trying it.

01:12:58   Yeah.

01:12:59   Every year.

01:12:59   They're doing some good stuff with the apps.

01:13:00   New apps or new features.

01:13:02   Like, you are the app platform.

01:13:05   Like, you need to be doing things.

01:13:07   And so that's great.

01:13:07   They get a four out of five.

01:13:08   Great.

01:13:09   And you get a four out of five because none of the apps, these things you're mentioning, they're not my things.

01:13:14   But, like, I respect them for what they are.

01:13:16   But, like, you're not going to get a five out of me because I can't think of something that they came out with where I was like, this is mine, you know?

01:13:23   This is it.

01:13:24   Yeah.

01:13:25   My comments on Apple Intelligence, it's a thorn in the side of Apple for the entire year, especially operating systems.

01:13:31   There are features that I like, but overall, it's not good enough.

01:13:35   And the sentiment is that it's not good enough.

01:13:38   I like notification summaries because I accept them for what they are.

01:13:42   but they are okay at best.

01:13:44   And the fact that we haven't even gotten a full, like, six months on these features and they've had to roll them back again.

01:13:52   I mean, honestly, on notification summaries, we've got, like, a couple of months and they had to, like, they had to kind of, like, kneecap them to make them acceptable.

01:14:02   And here he goes again.

01:14:12   It was a bad version of something that wasn't great to begin with, and they did it anyway, and it was a big mistake.

01:14:20   Yeah, I agree.

01:14:21   I think we're in alignment on this one.

01:14:22   You would say, like, two for the operating system?

01:14:26   Two and four.

01:14:26   Yeah.

01:14:26   Yeah, this one, I genuinely can't believe the scores in this category.

01:14:31   Like, I don't, I do not understand.

01:14:33   I don't understand.

01:14:34   And my, my, my objections to Apple intelligence are more about how they were implemented.

01:14:39   Like, they slapped some stuff together that's really bad UI.

01:14:43   Like, some, but one of the commenters pointed out, like, have you used writing tools?

01:14:47   And I have.

01:14:47   And they're like, what is this interface?

01:14:50   Like, is this, is this weird floating thing that you can't control?

01:14:54   And, and there are several things like that where it's just like, it's not even.

01:14:58   And it's like inelegant, right?

01:14:59   Where, like, the text flashes away and flashes back again.

01:15:02   It's like, just not, you didn't even animate this.

01:15:04   Like, it's weird.

01:15:06   Rushing in AI features is one thing that I understand.

01:15:09   But where you see it, the offense, the offense to me is not, oh, it's LLMs, they're bad.

01:15:15   The offense to me is the areas where the UI is atrocious.

01:15:23   Like, they, they, and that was my, always my thought about news summaries is LLMs aren't

01:15:27   the right way to do news summaries.

01:15:28   There are, that is a problem in need of a solution.

01:15:31   Tossing an LLM at it was not the solution, but that's what they did.

01:15:34   And then in other areas like writing tools, the UI isn't very good.

01:15:38   Ironically, Mike, ironically, the best UI work they did in the entirety of Apple intelligence

01:15:44   is Image Playground, which Image Playground, they are trying to figure out how do we build

01:15:52   an image builder that is not a chatbot?

01:15:55   How do we build a UI on top of it?

01:15:57   It's like, yes, chatbots are dumb.

01:15:59   We don't want chatbots.

01:16:00   We want like interfaces for, we write like command line.

01:16:05   We don't want it.

01:16:06   We want like user interfaces where we can tap on stuff and pick stuff and all that.

01:16:09   And they did that with Image Playground.

01:16:11   It's not perfect, but like, I love that they tried that.

01:16:14   That is like one of the most Apple-y things they did on a feature that I don't like.

01:16:17   I do enjoy it for building in Genmoji too.

01:16:19   So it's fine.

01:16:20   But like some of these other things, yeah, it is, it's my favorite feature.

01:16:23   But, you know, for some things, they're not that good.

01:16:28   And that's what I want them to do is the whole purpose of Apple intelligence should be to bring

01:16:34   powerful Apple intelligence features to users with the extra added care of Apple's commitment

01:16:41   to a good user experience.

01:16:42   And I didn't feel a lot of that with their initial implementations of Apple intelligence.

01:16:47   I mean, I can see what has happened.

01:16:50   I make stuff too.

01:16:51   I don't make what Apple makes, but I make stuff, right?

01:16:53   Like they make stuff.

01:16:54   I make stuff.

01:16:55   There are times when I put things out, whether it's, you know, a podcast episode or whatever,

01:17:00   you know, like we've done like a special episode.

01:17:02   Oh, baby.

01:17:02   And I'm like, I didn't have the time to get this the way that I wanted.

01:17:07   Like, you know, there is a, it doesn't sound the way that I want it, or I wish I would

01:17:11   have done a better job with this piece of music or like, you know, we're doing our special

01:17:14   stuff.

01:17:14   I was like, oh, I wish I could have got a sound effect in there that I didn't want, but I didn't

01:17:17   have the time.

01:17:18   Like on a deadline, I got to get it.

01:17:19   Yeah.

01:17:19   I didn't, I was, I had a thing come up and I missed an hour of research that I was going

01:17:24   to do.

01:17:24   And as a result, I don't sound as, as well.

01:17:27   I didn't read that article, which I wanted to read, but life got in the way and I couldn't

01:17:31   get it done.

01:17:32   And now the episode's office for it, but what am I going to do?

01:17:34   It's going to be done.

01:17:35   I get it.

01:17:35   But it's, but you still, but, but the same as for me that I will often get, you know,

01:17:42   often, but like people will say like, oh, you missed this or this didn't sound so good

01:17:46   or like great example.

01:17:48   The episode we did in Steven's pod cabin in last September, right?

01:17:52   Yeah.

01:17:53   When you were off mic for basically the entire episode, it wasn't good enough.

01:17:56   Right.

01:17:57   And the thing is, then I'm going to, we hear about it, right?

01:17:59   Like for two weeks or a week, I'm going to hear about like this episode didn't sound good.

01:18:04   And I'm like, ah, but I tried.

01:18:05   Like we were on a timeline.

01:18:07   We tried to get together.

01:18:08   We were having a good time.

01:18:09   And it meant that we weren't focused in the way that we normally are.

01:18:11   The episode didn't come together.

01:18:13   And I'm disappointed.

01:18:14   So like, I know the feeling.

01:18:15   And it's like, I expect there are lots of people inside of Apple.

01:18:18   They know this, like they must know this because what they know is they didn't get the usual

01:18:23   12 to 18 to 24 months to work on their particular feature.

01:18:28   Right.

01:18:28   Cause different features are on different timelines.

01:18:30   They add like three, six months.

01:18:32   Right.

01:18:33   And so they ended up creating this set of features and they don't work the way that they should.

01:18:38   But what are you going to do?

01:18:40   But the problem is it doesn't work like that.

01:18:43   Right.

01:18:44   Like it doesn't work like that.

01:18:45   They are what they are.

01:18:45   This is what it is.

01:18:46   You're going to get criticized.

01:18:47   You can, you can, you can understand.

01:18:49   This is the, this is the thing that I, I, I definitely see that like, oh, you, you know,

01:18:53   you don't, you don't make anything, which is not true.

01:18:55   But like, you don't do computers.

01:18:56   So why can you complain about it?

01:18:58   It's like, well, first off, that's not how it works.

01:18:59   People who, if, if a movie is, is targeted at people, as human beings, human beings get

01:19:05   to say whether they like the movie or not.

01:19:06   It doesn't matter that they don't know how to make a movie.

01:19:08   That's just how it works.

01:19:09   This is how it works.

01:19:10   So we can simultaneously understand how,

01:19:13   under the gun, everybody at Apple was in terms of putting in Apple intelligence features

01:19:18   and saying that a lot of them just aren't good enough.

01:19:22   Both of those things are true.

01:19:24   And I can be very understanding about it.

01:19:26   I'm sorry.

01:19:26   I'm sorry.

01:19:28   Please make them better and do better because they're not, a lot of them kind of let down

01:19:33   Apple's users and Apple's, you know, reputation.

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01:22:04   So we have developer relations, 2.4 down from 3.

01:22:12   This is the lowest score since 2015.

01:22:15   Yeah, yeah.

01:22:17   It's not a new low in scoring, but it is maybe a new low in just the, it's been going down

01:22:26   really since that.

01:22:27   That was the moment, 16, 17.

01:22:29   That's like when Phil Schiller took over the App Store from EDIQ and kind of like made

01:22:32   some policy changes that were intended to be a little more developer friendly.

01:22:34   And, uh, you know, then it plateaued for a little bit, but it is, it is way down, way

01:22:41   down.

01:22:41   The, the, the vibe among the people who have feelings about Apple's relationship with its

01:22:46   third-party developers is bad.

01:22:48   Summary.

01:22:50   Perceptions about Apple's relationship with developers may have reached a new low in 2024.

01:22:54   The company's aggressive responses to regulatory pressure, particularly in the EU, with the

01:22:59   Digital Markets Act, were widely criticized as hostile, manipulative, and profit-driven rather

01:23:03   than user or developer focus.

01:23:05   The rollout of third-party app stores and alternative payment options was seen as an exercise in malicious

01:23:10   compliance designed to discourage participation rather than foster openness.

01:23:15   Additionally, Vision Pro's weak app ecosystem highlighted the declining trust developers have in Apple's new

01:23:20   platforms.

01:23:20   While developers continue to build great apps, the ability to make a sustainable living on

01:23:24   Apple's platforms is increasingly uncertain.

01:23:27   I gave them a one out of five.

01:23:30   And basically, my top line of this is this is one of the worst years that I've seen from

01:23:34   Apple in a long time, if not the worst of any time that I've covered them professionally.

01:23:41   And it stems to the DMA because they are showing their nastiness at its core.

01:23:48   These are things that we believe about Apple and have said for many years are going back to

01:23:53   these 2015 times and even throughout the entire time.

01:23:57   But their response to legislation that is supposed to make the lives of third-party developers better

01:24:05   is, in my case, I think it's ridiculous.

01:24:08   Using notarization as a way to stop apps from existing, which we've seen them do, terrible.

01:24:12   The core technology fee, egregious.

01:24:14   Countless more dark spots that we have seen from them this year.

01:24:17   And it's not even so much where we are now.

01:24:20   It's what their initial plan was.

01:24:22   And they've had to bring it back.

01:24:25   So you see that in an ideal world, what they want to do for you is nothing.

01:24:30   That's what they want to do.

01:24:31   We should never have gotten this far.

01:24:33   Now we are here.

01:24:35   I think it's worse.

01:24:36   And I want them to give more.

01:24:38   But I do not think they will now unless they're forced.

01:24:42   The whole time you hope, like over time, right?

01:24:45   Maybe they'll back down.

01:24:47   Maybe this is the year where we get a press release a week before WWDC saying that they're

01:24:51   cutting the fee down to 20%.

01:24:53   You know, maybe this is the one.

01:24:54   You want to add a little bit of hope.

01:24:55   But I think with the DMA this year, we have seen that the people making the decisions high

01:25:01   up and up for Apple, when given the chance to change, would really prefer not to.

01:25:06   And would actually like to change worse.

01:25:09   That's what we've seen this year.

01:25:11   Yeah, it's rough.

01:25:13   I mean, I don't know what I'd give it.

01:25:15   Maybe a two.

01:25:15   But like, it's bad.

01:25:17   And everybody can read the quotes and the entire comments by people.

01:25:23   But like, Craig Hockenberry of the Icon Factory says, Apple is blowing it with developers.

01:25:27   Mark Arment says, relations remain needlessly strained.

01:25:34   Lots of citing of its approach to regulation.

01:25:38   James Thompson said, Apple should compete on merit and not threats.

01:25:41   Paul Kafasa says, they know what's right and refuse to do it because they want to protect

01:25:45   every revenue source they have.

01:25:47   It's absolutely true.

01:25:48   That is the perfect way.

01:25:50   Paul's put it in the perfect way, in my opinion.

01:25:52   Yeah.

01:25:52   I know they know.

01:25:53   You know?

01:25:55   And John Gruber said, stagnation is catching up to Apple.

01:25:57   More of the same is just making matters worse, which is also true.

01:26:00   And I have a section in there about the Vision Pro because here's the thing.

01:26:04   A lot of them point this out.

01:26:05   And I think it's worth pointing out that one of the reasons there was no developer adoption,

01:26:09   really, to speak of the Vision Pro, is because Apple seems to be approaching it as the way

01:26:14   that it happened with the iPad so long ago, which is people just love our platforms and

01:26:19   love developing for us.

01:26:20   And they know that when they develop for our platforms, they're going to make money.

01:26:23   We're going to make money.

01:26:23   Everybody's going to be happy.

01:26:24   And then you get a platform like Vision Pro where they're not going to sell very many of

01:26:28   these.

01:26:28   It's going to be ages before anybody really makes back their investment on writing software

01:26:33   for the Vision Pro.

01:26:35   And Apple makes very little effort to bring people to the Vision Pro feeling like they

01:26:44   don't need to.

01:26:44   And it's very clear that they do and that the Vision Pros lack...

01:26:50   Like, people aren't developing for Vision Pro because they just love developing for Apple's

01:26:53   platforms and they're having such a great time and there's such a great relationship with

01:26:57   Apple that they want to throw in on a new Apple platform, even though it doesn't really

01:27:01   make sense financially right now.

01:27:02   Because, like, all of those good vibes that were there for, like, the Apple Watch and

01:27:07   the Apple TV in earlier days, the good vibes are gone.

01:27:11   And this is where we're left.

01:27:14   And that's why you can point at things like Vision.

01:27:16   It's like, really, why should we treat developers better?

01:27:19   And you look at the Vision Pro and one of the things you have to point to is that's why.

01:27:26   Like, that's why you need to maintain good relationships with your developers is do you want them to embrace

01:27:31   your new platforms?

01:27:32   They go together.

01:27:34   So, yeah, it's bad.

01:27:35   It's bad and it's all Apple's fault.

01:27:38   They've chosen this path.

01:27:39   They know what they're doing.

01:27:41   They know.

01:27:41   And people inside Apple know, too, but it doesn't matter.

01:27:43   The people who have the power don't care.

01:27:47   They have other priorities and they have decided...

01:27:50   And I would argue that, yes, making money is a priority.

01:27:53   It has to be.

01:27:54   I get it.

01:27:54   But you make a lot of money and you are harming other aspects of your business by doing this.

01:28:01   And that's a classic penny-wise-pound-foolish kind of thing going on.

01:28:04   And finally, world impact, which is 3.1 down from a 3.8.

01:28:11   Yes, formerly Apple, environmental, social, like, it was always the Rorschach test category

01:28:19   of, like, I always viewed it as being, so I changed it to Apple's impact in the world.

01:28:24   It really is.

01:28:26   Apple talks a good game about how they want to make the world a better place and leave it

01:28:30   better than they found it and do all of these things.

01:28:33   And this is the fill-in-the-blank, everybody has a different interpretation of it, but it's

01:28:37   the, how do you think Apple's doing in terms of living up to its stated goals and philosophies

01:28:47   and all of that.

01:28:48   The summary is, our survey asked panelists to consider anything they deemed appropriate,

01:28:53   including education and environmental initiatives, commitment to accessibility and diversity,

01:28:57   treatment of Apple's workforce, and other political and policy stances.

01:29:00   The results were complex and mixed.

01:29:03   Apple continues to lead in environmental sustainability, accessibility, and privacy,

01:29:08   earning praise for carbon-neutral products and meaningful accessibility advancements.

01:29:12   However, Tim Cook's $1 million donation to Trump's inauguration campaign,

01:29:17   sorry, to his inauguration, sparked outrage and disappointment.

01:29:21   Apple's growing reliance on AI raises concerns about its environmental impact and ethical stance,

01:29:26   while its business operations in China remain a persistent point of contention.

01:29:30   I went with a 3 here.

01:29:33   Which is just like, I don't know how to score it.

01:29:36   So this is how I feel, though.

01:29:37   I think carbon-neutral products are great.

01:29:39   And I am happy that they're able to do this more and more.

01:29:42   I think that is like, and that gets you kind of like a baseline, because it's like,

01:29:47   they are putting back into the world what they're taking from it.

01:29:50   Like, that's the goal.

01:29:51   And I think that that is great.

01:29:52   So they leave their impact there.

01:29:53   But I dropped in a Rice's history reference that said the storm clouds are swirling.

01:29:58   Oh, yes.

01:29:59   They are.

01:30:00   We love a storm cloud here at the Upgrade Program.

01:30:02   Because from AI to legislation and everything else, for me, this is my case as it has been forever.

01:30:08   Apple is too big and too complicated to be a pure force for good in the world.

01:30:14   And I think if you believed that, you have been fooling yourself for too long.

01:30:20   And so that's kind of where I feel on a lot of these things.

01:30:23   And I submitted this before the Tim Cook donation.

01:30:27   But realistically, I don't think it would have changed my score.

01:30:31   Because it comes back to just, I don't expect different.

01:30:36   I mean, should I?

01:30:37   Maybe.

01:30:37   Would it be great?

01:30:38   Yes.

01:30:39   But I don't expect different.

01:30:41   I want different.

01:30:42   I would love different.

01:30:44   But I don't expect it.

01:30:46   Because, again, they're too big.

01:30:48   And they're too complicated.

01:30:49   And they're not going to be a pure force for good.

01:30:52   And I know this.

01:30:53   Because I've spent years covering this company.

01:30:56   And watching them become more complicated.

01:30:59   See my previous.

01:31:00   Right?

01:31:00   I think it is easier for me to score the developer portion.

01:31:03   Because that just feels easy.

01:31:06   Right?

01:31:06   It's like, yeah, they've been bad to developers.

01:31:08   But here, it's like, okay, I don't like that donation.

01:31:12   But does that undo the carbon neutrality?

01:31:15   I can't say that it does.

01:31:18   It's too complicated.

01:31:19   This is too big.

01:31:19   Yeah.

01:31:20   So it's like, okay, you get a three from me.

01:31:23   Like, I don't know what else to do for you.

01:31:24   The way I'll put it, and I agree, a three seems about right to me, is Apple is an enormous,

01:31:32   publicly held, profit-driven corporation.

01:31:37   They're not a charity.

01:31:38   They're not a religion.

01:31:40   They're not a non-profit.

01:31:41   They're not a, you know, they're not any of those things.

01:31:44   They're essentially a country.

01:31:46   A capitalist, profit-driven, investor-driven corporation, global in scope, larger than countries.

01:31:58   Do they have ideals that they try to live up to?

01:32:02   They do.

01:32:03   Do they do a better job?

01:32:05   Have they set better goals for themselves and have tried harder to meet those goals than other similar corporations?

01:32:16   I believe they do.

01:32:17   Does that mean, as you said, are they able to always live up to all aspects of what people would wish they would behave as?

01:32:31   No, because they are too big and too complicated and are a profit-driven corporation, right?

01:32:38   That's just what they are.

01:32:40   And Tim Cook, given a million dollars to the Trump inauguration, like, we all know why he did that.

01:32:47   You know, he did that.

01:32:48   He did that, one, so Apple didn't.

01:32:50   And two, because he knows that he's going to be navigating Apple through at least four years of an administration that requires gestures of fealty to get what they want.

01:33:05   And in the end, Tim Cook cannot, as the CEO of said enormous profit-seeking corporation, cannot cut off his nose to spite his face.

01:33:16   He can't.

01:33:16   He just can't.

01:33:18   And that's just the truth.

01:33:19   And, you know, people who want to hold him up to higher levels of ideal, like, I get it.

01:33:25   But, and, you know, Tim Cook, look, does anybody think Tim Cook was happy to make that donation?

01:33:34   I don't think so.

01:33:35   But it's how the game is played.

01:33:36   We don't have to like the game.

01:33:38   And we could say, well, he should have just taken his ball and gone home.

01:33:41   Well, I mean, he could have, but that would have either hurt Apple or they would have replaced him with somebody else who would do the same thing.

01:33:48   And I think that's just, like, you got to take the blinders off a little bit about what Apple really is.

01:33:52   And I think that Apple talks a good game and mostly walks a good game, but they're still what they are, which is giant corporation.

01:34:01   Giant, you know, giant faceless generator of money for investors.

01:34:07   That is, and you know, you can love the products, but never forget that.

01:34:12   Yeah, it's like if you find yourself, like, being surprised you have a bad taste in your mouth, use this as an opportunity to recalibrate your thinking about what they should be.

01:34:23   Like, I just feel like I've been down in the trenches for too long.

01:34:26   Like, my thinking has been recalibrated a long time ago.

01:34:29   I mean, that's the thing for me is I've been covering Apple as a subject for so long now that I am legitimately taken aback when I see somebody, and there was a lot of this after the Tim Cook donation.

01:34:41   And I understand it.

01:34:42   Oh, no, but just let me finish this.

01:34:44   Sorry, sorry.

01:34:45   I am taken aback when I see somebody write about that, and it's very clear that they are coming from the perspective of being a fan of the company and thinking about it in these terms like you're a fan of a sports team.

01:35:01   Which, by the way, same deal.

01:35:03   People who own and run the sports teams are also not great.

01:35:06   Because it's been so long since I've been that.

01:35:10   I've been a fan of the products.

01:35:11   I do this because I have used and loved Apple products over the years and continue to do so.

01:35:16   But, boy, you cover a company, a corporation for long enough, and first off, you get to know the people, and they're often great people, sometimes not, but often great people who work at that corporation.

01:35:26   But the corporation does what it does.

01:35:29   And, you know, you have to very quickly realize that the corporation is a vast money-making machine, and that's what it is.

01:35:38   And I think that maybe the last year has helped some people go through that process of saying, oh, right, I need to recalibrate how I view Apple and my relationship to Apple, because I don't think you should be a fan of the corporation.

01:35:55   I don't think you should be.

01:35:57   But you can still love the products.

01:35:59   And how they impact on your life, and want them to be better, and be excited when they're good.

01:36:03   But that's not, you don't have to be a fan of the corporation.

01:36:06   Because, as Mike put it, Apple is too big and too complicated for that at this point.

01:36:12   So, just as a quick wrap-up to the report card, the biggest swings were the iPad gained 1.1 over its previous year, and world impact and developer relations lost 0.7 and 0.6, respectively.

01:36:27   They were the biggest swings of the year.

01:36:30   But people should go see these charts on Six Colors.

01:36:33   They should go to Six Colors and see the charts.

01:36:35   Yeah, we'll put a link in the show notes.

01:36:36   You can see it all.

01:36:39   As the perfect coder to this discussion, Jason, why don't you play me a little piece of music?

01:36:49   They sure do.

01:37:04   They have all the money.

01:37:04   Thank you to Lex Friedman, Lex.Games, for creating the forever jingle now that will be part of the Apple earnings discussion.

01:37:11   The great thing is that these earnings were really boring, which is good, because I want to rush through them, because this has been a long episode.

01:37:18   Revenue, $124.3 billion, which is up 4% year over year.

01:37:24   It is the largest revenue quarter in Apple's history, which is funny.

01:37:28   All-time record.

01:37:29   It's funny to say that and then also say it's boring, but there just aren't as many stories here as there are usually, I feel like.

01:37:36   Yeah, I mean, sort of.

01:37:38   $36.3 billion in profit.

01:37:40   The Mac is at $9 billion, up 16%.

01:37:44   iPad is 8.1, up 15%.

01:37:48   The iPhone is at 69%.

01:37:50   Good to release new iPads.

01:37:51   Yeah, it sure is.

01:37:52   The iPhone is at 69.1, down 1% year over year.

01:37:57   Services is at 26.3, up 14%.

01:38:00   Wearables, home, and accessories is at 11.7, down 2% year over year.

01:38:08   China revenue is down 11% year over year.

01:38:10   And I'll give a quote.

01:38:12   This is from 9to5Mac.

01:38:13   Apple CEO Tim Cook told CNBC's Steve Kovach that the iPhone sales were stronger in countries where Apple intelligence is available.

01:38:21   Currently, the software is only available in a handful of English-speaking countries, and it isn't available in China or in Chinese.

01:38:28   To me, that feels like a convenient excuse.

01:38:32   Yeah.

01:38:34   But, yeah.

01:38:36   Yeah.

01:38:36   Dan, Morin, and I did a live stream afterward, and this came up there, and we were both kind of chuckling.

01:38:42   I was like, well, I mean, there are countries that have Apple intelligence rollouts, and you could say that the iPhone sold better there, and then you could ascribe that to being Apple intelligence related.

01:38:52   But if what you're really covering up is that you had one market that was bad, which was China, one way to cover it out is to say, well, you know, it didn't have Apple intelligence.

01:39:03   That's why it was bad.

01:39:04   And, therefore, all the places where we did have Apple intelligence, we did better.

01:39:06   I think it's a smokescreen, and that, you know, they just are – they had a big miss in China.

01:39:11   China's a really competitive market.

01:39:14   I think that the era of Apple being, you know, really bullish about its huge place in China, I think, is over.

01:39:22   They are still competitive in China, but it's going to be the hardest market for them, and that's just going to be it going forward.

01:39:29   I think that they'll make money in China, but it's not going to be like it was.

01:39:33   But they're just, you know, they're fitting into – we've seen this pattern from them.

01:39:36   They make money in China when they make a significant change to the phone.

01:39:40   That's when you know they're going to make money in China.

01:39:42   And do you know what they did this year?

01:39:44   They did make significant changes to the phone.

01:39:46   And if they bring out this, like, the iPhone 17 Air, then maybe we get a folding phone the year after that, they're going to make money in China.

01:39:54   Like, this is something we have seen time and time again, that, like, they see the biggest swings there when they have something that people can show.

01:40:03   It was a status object, which seems to be – I think it's important everywhere, but has been said, and so I'm repeating it.

01:40:09   I don't know this is true because I do not personally understand Chinese culture.

01:40:13   But it is said that being able to show newness and wealth and change is beneficial there.

01:40:22   And so people like to buy those things to show status.

01:40:25   I think it's beneficial everywhere, but I think there may be something particular about the Chinese market that magnifies it even more.

01:40:31   I've heard that, and so I'll repeat it, but I don't know.

01:40:34   I mean, the thing is, it's up in places.

01:40:38   I think it's great in a way for Apple's business that they were able to record the largest revenue quarter with a down year-over-year iPhone, even though it was only down 1%.

01:40:49   That does mean that the slack was picked up by the other products, which is – I mean, that's the whole reason you have a product mix.

01:40:59   Services, iPad and Mac, were both up double digits.

01:41:02   They're both up about 15%, and that enabled the 56% of their business this quarter, which was iPhone revenue, to be down a little and still set the record.

01:41:12   Which is great.

01:41:14   That's the point.

01:41:15   And I will say, so calling the China Apple intelligence thing a smokescreen, I will back that up by saying I will give them credit.

01:41:23   But a lot of people at Wall Street are, like, freaking out about whenever there's anything that's not, like, up.

01:41:29   Like, iPhone revenue is not up.

01:41:31   Oh, no.

01:41:31   I bet if you take China out of the equation, iPhone revenue is up.

01:41:35   Right?

01:41:35   Like, I bet it is.

01:41:37   Oh, of course.

01:41:38   I bet it actually is.

01:41:39   I mean, but I don't think it's the AI that did it.

01:41:42   I don't think it's AI that did it.

01:41:43   No.

01:41:44   Like, definitely that's the reason.

01:41:45   I think it's larger issues.

01:41:46   I think it's all the competition they've got in China, and there's a lot of it.

01:41:50   And I think there's a general feeling that there's more of a desire for things that are Chinese-made than there was when Apple was selling a lot of iPhones.

01:41:57   China is, what, their first or second largest market?

01:42:00   Probably first largest market for, like, pure revenue?

01:42:02   I don't know the answer to that.

01:42:04   Right?

01:42:04   But, like, it's got to be way up there.

01:42:05   Top three, we'll say.

01:42:07   Any of those markets down 11% year over year, you're going to see it in the top-line number.

01:42:12   You're going to see it.

01:42:13   Like, if Apple was down in America 11% year over year, you'd see it.

01:42:17   It would show.

01:42:19   Right?

01:42:19   For the record, Apple's largest market is the Americas, followed by Europe, Middle East, and Africa.

01:42:25   Then China, and then rest of Asia Pacific and Japan.

01:42:31   Yeah, but...

01:42:31   That's how they break it out.

01:42:32   But it's a major...

01:42:33   It is...

01:42:34   EMEA is, like, basically the rest of the world.

01:42:36   You know, like, it's too big.

01:42:37   Like...

01:42:38   It is.

01:42:38   It is rest of world other than Asia Pacific, Japan.

01:42:41   Yeah.

01:42:41   But just to give you an idea, the China number in revenue is, like, about, I don't know, 13 billion.

01:42:52   And the EMEA number is, like, 23 billion.

01:42:56   Right.

01:42:56   And the Americas number is, like, 44 billion.

01:42:59   But China on its own...

01:43:00   To give it a sense.

01:43:00   It's a big market.

01:43:01   ...is, like, 10% of Apple's overall revenue.

01:43:04   Which is huge.

01:43:06   Yeah, I would...

01:43:06   Yeah.

01:43:06   That is a huge chunk.

01:43:08   And any...

01:43:09   They're very reliant on it.

01:43:10   Any amount that goes down, you lose 11% of 10%, you're going to see it.

01:43:14   Like, it's a lot of money.

01:43:15   Right?

01:43:16   Sure.

01:43:16   Yeah.

01:43:17   All right.

01:43:18   Well, look, this is what it is.

01:43:19   I mean, congratulations to Apple.

01:43:21   Honestly, I didn't think this was going to happen.

01:43:23   I didn't think they would break records this year, personally, because I just didn't think

01:43:27   the iPhone was going to do it.

01:43:28   I was right in that regard.

01:43:30   The iPhone didn't do it this year.

01:43:32   Like, it didn't do the leap, but I did not count for the fact that the Mac and the iPad

01:43:37   were going to be so successful.

01:43:38   I did not count for that.

01:43:40   I am surprised about the Mac getting 16% year over year.

01:43:45   Like, I don't feel like there has been a blockbuster product.

01:43:50   Well, no.

01:43:51   M4, MacBook Pros, Mac Mini.

01:43:53   Yeah.

01:43:54   I mean, those are...

01:43:55   I guess it's the accumulation of all of those things, isn't it, that has done that?

01:44:00   The Mac is still humming along.

01:44:01   Yeah.

01:44:01   The M3 MacBook Air is going to be a great seller.

01:44:05   You put new MacBook Pros out there with the M4.

01:44:08   I think that they sold a lot of those, and that generates a lot of revenue and a lot of

01:44:11   profit because they're more expensive.

01:44:12   And then the Mac Mini, I think, kicked off an upgrade cycle as well.

01:44:16   But, like, wasn't there M3 MacBook Pros last year?

01:44:19   Yeah.

01:44:20   That's what I mean of, like, what is it that jumped them 15% more over last year's figures?

01:44:27   But, like, I guess there was just more stuff?

01:44:31   Two things.

01:44:31   The Mac Mini and the fact that it's been another year since the Apple Silicon transition.

01:44:38   So you're going to get more people to make the transition to a new M4 from, like, an M1 or M2.

01:44:45   And I guess if you're a purchaser, the base models being more attractive would mean that this might be a year to buy.

01:44:52   That also helps.

01:44:53   Yeah.

01:44:54   Sure.

01:44:54   Yeah.

01:44:55   Well, there you go.

01:44:56   We don't have time for Ask Upgrade this week because otherwise we will be here until Tuesday.

01:45:01   Until, yeah, next Monday.

01:45:04   So I hope you've enjoyed this big episode.

01:45:06   I've actually, I will just say, I've really enjoyed this episode of Upgrade.

01:45:09   Jason, thank you for doing the report card for giving us such a great episode to do.

01:45:12   I'm very thankful for it.

01:45:14   So thank you for that.

01:45:15   But you should send in your Ask Upgrade questions.

01:45:17   Please go to upgradefeedback.com.

01:45:20   I mean, bear in mind, I'm only here for a few more weeks.

01:45:22   You've got questions you want to ask me.

01:45:23   You've got a closing window and I'm going to be on for a long time.

01:45:26   So go to upgradefeedback.com and you can send those in.

01:45:29   Thank you to our members who support us for Upgrade Plus this week.

01:45:33   I want to ask you a little bit about how you put the report card together this year.

01:45:36   So this is a lot that goes into it.

01:45:38   Go to getupgradeplus.com and you can sign up and support the show and get extra content and no ads.

01:45:43   You can always find us on YouTube by searching for Upgrade Podcast.

01:45:46   If you'd like to see how we look while we record, we're out there for you.

01:45:48   Thank you to our sponsors of this week's episode.

01:45:51   That is Delete Me, FitBot, and Squarespace.

01:45:53   But most of all, as always, thank you for listening and we'll be back next week.

01:45:57   Until then, say goodbye, Jason Snow.

01:45:59   Goodbye, Mike Hurley.