Apple's Eddy Cue- Steve Jobs was confused in his e-mails

Apple's Eddy Cue: Steve Jobs was confused in his e-mails
NEW YORK -- An e-mail from late Apple CEO Steve Jobs about e-book deal terms is no smoking gun, just a confused draft of a message, said a high-level Apple executive Monday during the e-books antitrust trial. Eddy Cue, Apple's senior vice president of software and services, testified that he never received an email from Jobs that said publishers would have to change their e-book sales terms with Amazon in order to reach an agreement with Apple. Cue said he didn't receive any of the four other drafts of the message, either. Related stories:Apple e-book trial: How the case has unfolded so farApple fires back at DOJ with actual e-mail from JobsApple holds a quarter of e-book market, Eddy Cue saysApple's Eddy Cue: Yep, we caused e-book pricing to riseFurthermore, Cue said there's no way Jobs meant what he wrote because Cue told him such a planwas already off the table. He added that had Jobs sent the e-mail, he would have corrected him."As he was writing this, he [probably] got confused," Cue said. "I believe he said forget it, this doesn't make sense," which is why Jobs ultimately never sent the message. "I'm 100 percent positive that's what happened," Cue said. "Steve would never have sent an e-mail if he wasn't sure."The U.S. Department of Justice in week two of the trial presented an e-mail from Jobs that it said showed Apple required publishers to change their contracts with Amazon. Known as the "smoking gun" e-mail, it directly implicated Jobs and established his intent to change the business. In the message, Jobs responded to price tiers suggested by Cue:"I can live with this, as long as they move Amazon to the agent model too for new releases for the first year. If they don't, I'm not sure we can be competitive..."However, Apple's attorneys said the e-mail was simply a draft that had never been sent. Instead, they cited another version of the same e-mail, where Jobs said the following:"I can live with this as long as they also agree to the other things you told me you can get: The retail price they will set for any book will be the LOWER of the applicable 'iTunes' price below OR the lowest wholesale price they offer the book at to anyone else, with our wholesale price being 70% of such price."The DOJ, which questioned Cue about the documents several times during his testimony, said the document they cited had the most recent time stamp, indicating it was Jobs' actual thoughts about the situation. Apple's attorneys have refuted that claim. Cue said that he had never received the e-mails, and that he couldn't be sure they were actually composed in the order shown by the time stamps. "Time stamps don't always tell what the latest draft was," Cue said. He noted that people could have multiple windows open, and just because they closed one last, it would have the most recent time stamp even if it wasn't the most recent draft.However, Judge Denise Cote, in questioning Cue, got him to admit he had no reason to doubt the time stamps didn't indicate the actual order Jobs was drafting the message. The last message according to the time stamp also was the only one with Jobs' signature at the end."You probably don't want to see those five documents again," she joked as she asked Cue about the messages the DOJ had repeatedly questioned Cue about. The DOJ's case against Apple is being argued in district court in Manhattan.Sarah Tew/CNETShe also asked Cue if it was possible that Jobs and Apple felt it couldn't be competitive in the e-books market unless Amazon adopted deal terms similar to Apple's. Cue rebuffed that theory."There's just zero chance of that," Cue said. "It's what I did for a living. I lived it night and day. ... He's confused about it because it's not clear if it's a wholesale, retail agency, non-agency. That's why he never sent the e-mails to me."At issue in the DOJ's case against Apple is whether or not the Cupertino, Calif., electronics giant forced publishers to change their deal terms with other retailers, such as Amazon. The Justice Department, which initially sued Apple and a handful of the nation's largest publishers over a year ago, contends that Apple forced publishers to move to an agency model, in which publishers set the prices, and away from the traditional wholesale business, which typically results in lower prices for the consumer.Apple's initial proposal sent to publishers on January 4 and 5 of 2010 said publishers working with Apple had to move all retailers to agency. But Cue testified during his two days on the stand that he quickly abandoned that idea as it wouldn't guarantee Apple would have the lowest prices. Amazon or another retailer still could reach better agency deal terms with the publishers that could establish lower maximum prices, and Apple had no way to enforce that requirement. "What we wanted was to get competitive pricing," Cue said. "Having everyone go to agency is not something I can force."Instead, Apple pursued a price-matching provision in all of its deals that meant it didn't care what other retailers did. That provision, known as a most-favored nation or MFN clause, would allow it to always meet the lowest prices in the market, no matter if the retailer was on an agency or wholesale model. Cue is the highest-ranking Apple executive to testify during the trial. The Justice Department has portrayed Cue as the "chief ringleader of the conspiracy" to control e-book pricing, and said his testimony would show Apple colluded with the publishers to boost digital book prices and hurt rivals such as Amazon. Conversely, Apple's attorneys are counting on Cue to reinforce their defense that Apple's actions simply were standard negotiation tactics.The two sides have been making their arguments in court during the three-week trial. Cue testified over the past couple days, and the DOJ rested its case following his testimony Monday. Closing arguments are scheduled for Thursday.


MySpace Music makes its debut

MySpace Music makes its debut
Among the many challenges the service faces is that it offers no hardware solution. Apple can provide everything a music listener needs--hardware and software. MySpace hasn't attached itself to any popular music player, primarily because the iPod has such a huge market share. MySpace will sell songs, which will come from Amazon, in the MP3 format. This means they are not locked in digital rights management and will play on the iPod and most other devices. MySpace has long been an Internet concert hall, where bands went to market their wares to the Web, and that's a big part of the reason why the Los Angeles-based site rose to fame in 2004. According to MySpace, 65 percent of its users already have streaming music on their profiles and six billion songs are played every month. On the flip side, neither MySpace nor News Corp., has much experience in music retail; consider that Apple has zoomed past Wal-Mart to music retail's top spot. Some critics have said that something like MySpace Music should have been in place on the site years ago.But after reviewing the site with the help of Steve Pearman, MySpace's senior vice president of product strategy, it's clear the site has a few things going for it.The coolest thing I saw was the site's streaming music player. A person can search for music from all four major labels, drag as many as 100 songs into a playlist area and then listen to complete songs without paying a dime. Of course, the music is restricted to PCs and can't be downloaded to mobile devices. Sites like Imeem and Last.fm (owned by CBS Interactive, which publishes CNET News) also have significant head starts in this area, and streaming playlists are integral to the distribution strategy at iLike, another music start-up that has a very close relationship with MySpace rival Facebook.What MySpace doesn't do is send users to another site to buy. On MySpace Music, the music listed on an artist's profile page will have "Add" and "Buy" buttons. A user can either hit add to include a song to a playlist or hit buy to instantly purchase the music. Amazon users won't even need to create a new purchasing profile. They can use their existing accounts. The inaugural advertisers on MySpace Music are McDonalds, State Farm, Toyota, and Sony Pictures Entertainment--which will, conveniently, be advertising on all MySpace Music playlists for a week with ads for its forthcoming teen flick, Nick and Norah's Infinite Playlist. That's just a little too perfect.In addition to advertising support, marketing campaigns, (Toyota will be giving away free songs on Tuesdays, for example) and the Amazon MP3 partnership, MySpace Music will also sell ringtones through a partnership with Jamster. Some speculated that concert tickets and merchandise would also be sold somehow through the store, but that's not present at launch.MySpace now has more than 120 million users worldwide, according to ComScore.CNET News' Caroline McCarthy contributed to this report.


Beats Music to launch January 21, with AT&T as its front man

Beats Music to launch January 21, with AT&T as its front man
Beats Electronics, the headphone company founded and run by music industry legend Jimmy Iovine, has joined up with AT&T to launch its subscription music service on January 21.Everyone can try the entire service for free, Beats Music said, AT&T customers can access unlimited song streaming and downloads for individuals across three devices for $10 a month or for up to five family members across 10 devices for $15 a month. AT&T Family customers will receive a 90-day free trial, while individual AT&T wireless customers can get the first 30 days free. It will be part of an AT&T customer's regular bill.Song downloads will allow customers to listen to music when they're offline, but a download expires when the user's membership ends. Beats Music will be available for download on nearly all major platforms or from a PC beginning January 21, the companies said. It's supported on iPhone, Android, or Windows Mobile phone. CNET reported in July that Beats was pursuing a partnership with AT&T to launch its music service. Striking a deal with AT&T, the country's second-biggest wireless carrier, gives Beats a huge pool of potential customers and a mega marketing machine at its very outset, with single billing removing the hurdle of entering in payment information to sign up as a revenue-generating subscriber.It's a strategy that some of Beats Music's main rivals -- the likes of Spotify and Deezer -- have used to spread their service globally. While Beats is entering a market of strong growth, it's also one of intensifying competition. Not only is Beats going up against relative newcomers like Spotify, it will also face entrenched Internet radio service Pandora and offerings from huge tech companies such as Apple's iTunes Radio and Google's All Access. Beats is seeking to set itself apart by marrying algorithms with curated programming from tastemakers. In a blog post Saturday, Beats Music CEO Ian C. Rogers said Beats Music's competitors "aren't actually 'services,' they're 'servers.'"Beats Music combines "the trust that comes from excellent handpicked music with the personalization that knows you're an individual and that a handful of stations can't satisfy all listeners," Rogers said. Iovine founded Beats with musician and producer Dr. Dre and bought MOG, an on-demand subscription service. The intent was to combine that technology and the Beats brand to create Beats Music, also known by its code name Daisy.Update, 1:47 p.m. PT: Adds details from blog post.


The 404 354- Where we three cover day one of E3 2009

The 404 354: Where we three cover day one of E3 2009
Yesterday's Microsoft press conference at E3 2009 unveiled some pretty exciting video game news, even for an antigamer such as myself. First up is the new Project Natal, the company's new motion-sensing bar for the XBox 360 that allows the gamer to control gameplay with motion, sound, and even 3D movement. As exciting as it sounds, unfortunately Microsoft didn't mention a release date, so we definitely won't see it in stores for Christmas 2009, which Jeff and Wilson think is a bit of a tease.Aside from a few big game announcements, the big release news comes by way of everyone's favorite British gentlemen, with Beatles: Rock Band. Paul, Ringo, and even a few surprise visitors were there to kick off the game, and although Jeff is decidedly negative about the rise of plastic gaming, the game looks pretty cool. Check out the slideshow for pictures of Christopher "McLovin" Mintz-Plasse and Dhani Harrison taking a crack at the game.Check out the FINALISTS in our 404 logo...See full gallery1 - 4 / 11NextPrevLater on in the show, we announce the FINALISTS for our 404 logo competition. We received over 150 submissions and while they were all fantastic, we can only choose one for the official logo, so be sure to check out the final slideshow above and vote for your favorite in the comments section! Also, don't forget that even if your entry doesn't win the grand prize, we'll still use it for our mosaic/quilt/poster/sticker/shirt/etc...Thanks one million times over and again to everyone that submitted--you guys rule! EPISODE 354Download today's podcast Subscribe in iTunes audio | Suscribe to iTunes (video) |Subscribe in RSS Audio |Subscribe in RSS Video This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.PlayE3 2009 Microsoft press conference wrapupAll things E3 2009 on CNET.comCan Sony keep pace at E3 2009?Microsoft expands XBox Live audio and video offeringsFacebook, Twitter come to Xbox LiveThe Beatles: Rock Band Microsoft press conference impressionsFollow us on Twitter!The 404Jeff BakalarJustin YuWilson Tang


Live Nation for iOS- Buy concert tix on the iPhone

Live Nation for iOS: Buy concert tix on the iPhone
Suppose you just found out Brendan Benson is playing in your town (he's in L.A. tomorrow, FYI). You don't have to run scrambling to the nearest computer to buy tickets; just fire up the new Live Nation app. With it you can find concerts in your area and buy tickets on the spot.If your first reaction is to leave a comment telling me how much you despise Live Nation (and, by proxy, Ticketmaster), go right ahead. In fact, I'll start: If I want to pay a lot of ridiculous fees on top of already overpriced tickets, I'll just book some air travel, thank you.But, hey, it is what it is. If you love live music, you rarely have a choice but to use Live Nation/Ticketmaster--so you might as well get some convenience out of the deal. (Say, maybe this is what all those "convenience" charges are for!)It's a good app, letting you browse by concert or venue (both based on your location). You can search for artists or choose to see all the shows for a particular day.Tap the Favorite button and the app does something clever: displays a list of shows based on artists already in your library. That's a huge time-saver. Of course, you can manually add artists to your Favorite list as well.Live Nation's coolest feature? Set Lists. Choose an artist and the app displays a list of shows--sometimes dating back years. Tap a show and you'll see the entire set list. And if a song is available from iTunes, you can play a snippet or buy it.My main complaint is that you can't look up concerts that aren't local. For example, if I'm flying to California tonight and want tix for tomorrow's Brendan Benson show, I'm out of luck--until I touch down, that is.I wasn't able to test an actual ticket purchase, but all the elements are there: you can choose a price and/or section (where applicable), view a seating chart, and even request wheelchair-accessible seating.For that kind of convenience, I don't mind paying a little extra.


AT&T shaves $100 off iPad with two-year contract

AT&T shaves $100 off iPad with two-year contract
Those of you interested in a 3G or 4G iPad can score $100 off the full price, but you'll have to pony up the monthly costs for a two-year contract with AT&T.The carrier is selling both new and refurbished versions of the iPad 2 and the third-gen iPad. For example, a new third-gen Wi-Fi + 4G LTE model with 16GB of storage sells for $479, down from the regular price of $579. A refurbished edition of the same model goes for $429. Meanwhile, a new iPad 2 with Wi-Fi + 3G and 64GB of storage will cost you $529.AT&T is focusing on the older iPads as the iPad Mini and iPad 4 are not available through this offer.Not interested in an iPad? The deal extends to a few other tablets.You can get a new Samsung Galaxy Tab 2 10.1-inch tablet for $399 and a refurbished Galaxy Tab 8.9-inch unit for just $249. A couple of Pantech Element tablets and an HTC Jetstream are also up for grabs as part of the deal.Related storiesAT&T will spend $14B to pump up wireless, wireline networksAT&T exec: We're 'thrilled' with our cash-cow shared data plansiPad Mini vs. fourth-gen iPad vs. the new iPadSprint unveils new no-contract data plans for 4G LTE tabletsOK, so what about the two-year commitment? AT&T offers you several options.Current subscribers with an AT&T Mobile Share plan can add a tablet for an extra $10 per month. This plan gives you a pool of data -- anywhere from 1GB to 20GB -- to share among other devices.Otherwise, you can opt for an AT&T DataConnect plan, which provides 250MB a month for $15, 3GB for $30, or 5GB for $50.This could be a good deal for people with the Mobile Share plan since it adds just $10 a month. Those who'd need to kick in for a DataConnect plan may want to first weigh your options. Both Sprint and Verizon offer contract-free data plans for the iPad and other tablets.


AT&T reportedly begins wide cellular support for FaceTime

AT&T reportedly begins wide cellular support for FaceTime
AT&T appears to have quietly begun rolling out nationwide support for Apple's FaceTime videoconferencing app for iPhone on its cellular network.While AT&T has made no official announcement about beginning a nationwide rollout, the move would be a major step toward fulfilling a promise it made in May that its LTE customers would be able to use video chat apps from Apple, Samsung, and BlackBerry over the AT&T network by mid-June.Customers of the wireless service in New York, Maryland, Georgia, Louisiana, California, and Hawaii tell AppleInsider that they have verified activation of the service. Users report that voice and video quality is on par with the W-Fi version of the service, suggesting that speeds are not being restricted for subscribers using AT&T's network.CNET has contacted AT&T for comment and will update this report when we learn more.The apparent move comes less than a month after AT&T announced that it would enable video chat apps that come preloaded on devices sold by Apple, Samsung, and BlackBerry over its cellular network by mid-June for its unlimited plan customers who have LTE devices.AT&T came under scrutiny when the company limited iOS users to using Apple's Facetime app over Wi-Fi only. After public pressure and the threat of a Federal Communications Commission investigation, AT&T revised its policy to allow any wireless customer with a tiered data plan to use Apple's FaceTime app over AT&T's cellular network.


AT&T- 'Most successful' iPhone 5 launch smashes sales records

AT&T: 'Most successful' iPhone 5 launch smashes sales records
AT&T said today that the iPhone 5 has sold faster than any previous model of the Apple smartphone.The network declined to offer numbers on the first weekend of the iPhone 5 going on sale -- normally reserved for Apple, in which an announcement is expected in the coming days -- but the cell network giant said it set a "sales record" for its first day of pre-orders and over the weekend.The 5 arrivesCNET's iPhone 5 reviewApple out to prove it's still kingPictures: Apple's big iPhone 5 reveal Full coverage: The iPhone 5 arrivesiPhone 5: What we didn't getStart your iOS 6 downloads September 19Apple reworks, simplifies iTunesApple's new smartphone comes with a 4-inch Retina display, global 4G LTE coverage, an improved A6 processor and 1GB memory, and a new Lightning dock connector.The iPhone 5 was announced on Wednesday and was available for pre-order on Friday. Almost as soon as the device went up for sale on carrier's sites at 12.01 a.m. PT, many carrier sites struggled to stay afloat. AT&T's own site hiccuped through the early morning and eventually came back online close to two hours after the device went on sale.In the first hour, the first batch of iPhone 5 smartphones were sold out, pushing back delivery times from September 21 to as far as early October.Apple said on Friday, following the outages and delays, that it was "blown away by the customer response," and noted that: "Pre-orders for iPhone 5 have been incredible."Apple is expected to sell between 6 million to 10 million iPhone's in September alone, according to Piper Jaffray analyst Gene Munster, with an overall 49 million units in the fourth-quarter in the run-up to the Christmas holiday season.See CNET's full reporting on Apple's iPhone 5.This story originally appeared at ZDNet.This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.Play


AT&T iPhone 4S now gets FaceTime over cellular

AT&T iPhone 4S now gets FaceTime over cellular
AT&T has loosened its grip on FaceTime availability.FaceTime access has opened up to those who own the iPhone 4S and who have grandfathered unlimited data plans. Macrumors discovered the feature from users in forums.An AT&T representative said "we're looking into it."At one time, AT&T had banned FaceTime access via its cellular network, limiting use to Wi-Fi systems. But earlier this month the company announced that it would open it up to those who had an LTE-equipped device and a Mobile Share data plan. All others were left out. According to Macrumors, AT&T has backtracked a bit, giving FaceTime access to iPhone 4S owners (who obviously don't have access to its LTE network), as well as those outside of its Mobile Share data plan.AT&T has been one of the more restrictive U.S. carriers when it comes to FaceTime access. The company's top executive on legislative and regulatory affairs, Jim Cicconi, has argued that's because it has the most iPhones of any carrier, and the data impact on video conferencing over its network would be huge."AT&T has by far more iPhones on our network than any other carrier," Cicconi wrote in a blog post earlier this month. "We're proud of this fact and the confidence our customers have in us. But it also means that when Apple rolls out new services or changes, as it did in iOS 6, it can have a much greater, and more immediate, impact on AT&T's network than is the case with carriers who have far fewer iPhone users."In order to get FaceTime running on the iPhone 4S, users must turn their handset off and then back on. According to some forum posters, FaceTime works quite well over AT&T's network.Updated at 10:37 a.m. PT: to include a comment from AT&T.This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?YesNoSorry, you are not old enough to view this content.Play


AT&T delays retail sale of iPhone 4

AT&T delays retail sale of iPhone 4
Many customers who are longing for the iPhone 4 are going to have to wait a little longer. On Tuesday, AT&T announced that only preordered iPhone 4s will be in stock in its retail stores on Thursday, the official iPhone 4 launch date. Anyone looking to buy an iPhone 4 off-the-rack at an AT&T store without preordering the device will have to wait until Tuesday, June 29."AT&T plans to have iPhone 4 inventory--available on a first-come, first-served basis while supplies last--on June 29 in its retail locations, at www.att.com, and in business sales channels," the company said in a statement. "As inventory sells out, AT&T will offer the convenient option of purchasing iPhone 4 and having it delivered to a home, business, or an AT&T store."AT&T's preordering system crashed over and over on June 15, the day the iPhone 4 was made available for preorder. Potential customers attempting to buy the phone saw error messages as they tried to process their orders. AT&T said that its systems were overwhelmed by the number of people attempting to order the device ahead of the June 24 launch. By the end of the first day, Apple and AT&T had run through their initial round of preorder supply. The following day, Apple said that together with its partners, it had sold about 600,000 iPhones before AT&T suspended sales. AT&T said that orders for the new phone were 10 times higher than the number of iPhone 3GS handsets preordered this time last year. Phones ordered online now will be delivered to customers starting July 14.Customers who have preordered their iPhone 4 will get an e-mail letting them know their phone has shipped. People picking up devices in the store will get a call from an AT&T representative to let customers know their iPhone 4 is available for pickup. Apple officials did not return calls for comment on this situation. But sales associates in Apple stores in New York City and San Francisco said that preordered and non-preordered phones should be available for purchase on Thursday.CNET's Erica Ogg contributed to this report.