Apple’s iPad Air 2 Keynote – October 2014 Media Event (Full Transcript)

With support for TD-LTE and FDD LTE, iPhone 6 and 6 Plus customers will have access to China’s fastest networks on all three major networks.

This is the very first time we’ve launched a new iPhone on all three networks and we’re doing it perfectly aligned to the early stages of China’s huge 4G rollout. We couldn’t be more excited about this, and I would tell you that the preorders, as you might guess, have set a new record. We can’t wait to get started.

With what’s going on in China, what’s going on here and the other countries around the world and all of the reviews and the customer response, this is our biggest iPhone launch ever.

So that’s a quick update on iPhone.

Apple Pay updates

Now the iPhones also get the benefit of another major announcement that we made last month. And of course, I’m talking about Apple Pay, which is an entirely new way to pay for things in stores and in apps. Apple Pay is built right into Passbook integrated right in and everything you need is built into iPhone 6 and 6 Plus. It’s an easy, it’s secure and yes, it’s a private way to pay for things. We think that it is going to be profound.

We’re getting going in the United States. We’ve got all three major networks supporting us and we have all of the nation’s top banks supporting us. And just since last month announcing this, we have signed another 500 banks. They will be rolling out support later this year and early next year, showing the support and the enthusiasm around Apple Pay.

We’ve got many of the largest retailers in the country supporting us, and as you might guess since we announced last month, there is even more that will be rolling out between now and the end of the year.

Now Apple Pay also works online in apps. You can buy products and services right in the app. And it’s pretty simple. Find those pair of Beats headphones you want and boom! You bought them. I have been wanting this a long time and Jimmy won’t give me a pair.

We’ve got a lot of people behind us here as well. Lot of great apps and a lot of great developers and as you might guess since last month, many more people have committed to roll out between now and the end of the year.

So we believe Apple pay is going to be huge. It’s going to change the way we pay for things. And I am excited to announce today that we are beginning on Monday.

The journey begins and we can’t wait.

Apple Watch updates

Now also last month, we announced an entirely new category. Of course, I am talking about Apple Watch. It’s the most personal device we’ve ever created. You can wear this powerful technology right on your wrist and it’s just as much about personal expression as it is about functionality.

We’ve had great reception from the tech community, but we’ve also had great reception from the health and fitness community and by people who know a lot about fashion and style. Even more than I do.

In fact, this month, the Apple Watch is on the cover of Vogue China. We are really proud of this. It’s an incredible image and we’re so proud to be associated with Vogue in China.

Now as we showed you last month, we have been working with selected third-party developers on Apple Watch. Like BMW, like American Airlines, like Starwood, and they’ve created some really unique personal experiences for Apple Watch.

I am pleased to tell you today that we have developed WatchKit where many other developers can join this party. And we are rolling out WatchKit next month in time for our developers to really do some fantastic work before we begin shipping Apple Watch. We can’t wait to see what amazing experiences they will come up with.

Now Apple Watch will be shipping in early next year and every day I look forward to that day.

So that’s some quick updates around iPhone 6, iPhone 6 Plus, Apple Pay and Apple Watch. They join an incredible product lineup, one that I would call our strongest product lineup ever.

Each of these products are not only individually the best-in-class within its category but they’ve been designed to work seamlessly together. And this is made possible by the most advanced operating systems on the planet iOS 8 and OS X Yosemite.

Today we’ve got some terrific updates on both of these and to tell you all about them, I’d like to turn the stage over to Craig Federighi. Craig?

Craig Federighi – SVP, Software Engineering, Apple Inc.

Good morning. Well, iOS 8 has been out for just under a month and I like to give you a quick update.

Now iOS 8, of course, is a major new operating system for iPhone, iPad and iPod Touch and the early reviews have been just great.

The Wall Street Journal said that iOS 8 pulls out ahead of the competition by leveraging the greatest strengths of the iPhone: its app and its ecosystem.

But what’s even cooler is just how many of our customers are already using it. You can see that in just under four weeks, nearly half of iOS customers are running iOS 8.

Now if you consider that in combination with iOS 7, that means that 94% of iOS users are running an operating system that shipped in just over the last year – which means they’re getting the latest features and all the latest security protections.

Now the situation with other mobile platforms is somewhat different. So when you look at Android, for instance, the vast majority of customers are running an operating system that’s more than two years old.

And if you focus just on KitKat, the latest release, after 313 days that achieved just 25% penetration of our user base; iOS 8 has nearly doubled that in just 26 days. We couldn’t be [happier].

Now iOS 8 is a major feature release with something for all of our customers. Things like Tap To talk and easy location sharing and messages, our new QuickType keyboard with smart predictive typing suggestions, and family sharing that makes it easy to share your calendars, your to-do’s, your photos and even your purchases on the App Store and the iTunes Store.

But what really sets iOS 8 apart is all the incredible technologies that it puts in the hands of our developers. It’s amazing what they’ve done with them.

Let’s take a look. We’ll start with Extensions. We’ve seen an absolute flood of updates to the App Store with applications improving their functionality via Extensions.

So now with iOS 8, when you swipe down from the top of your phone to get into your today view, you have access not just to the systems built-in widgets but also these great third-party widgets as well.

And when it comes to sharing, you, of course, have all of the system sharing options but also those of the third-party apps you use the most. And so with just a single tap, for instance, from almost anywhere in the system you can post to Evernote.

Now we’ve also added support for third-party actions, the ability to edit your photos using third-party filters without even leaving the photos app and access to your documents, not just in iCloud but also in Box and Dropbox and just about any other box where you happen to put some files.

Now we also have support for third-party keyboards. So whether you like to type by swiping your finger all over the screen, or enrich the life of your friends with sending them animated gifts, or communicate in your native language of Klingon, iOS 8 has you covered. Believe it or not, this is actually in the App Store.

Next up, HealthKit. Developers really embraced HealthKit. So when you are taking a run or cycling with Strava, all of the data about your workout, activity data goes into your health profile and HealthKit. With apps like Lifesum, they’re able to combine activity information with information about your eating habits to make a custom diet recommendations.

And then you have apps like Sharecare’s AskMD which are able to take your profile, including things like data from your Bluetooth Scale or other sensors to make — to offer personalized health consultation.

Now we’ve also given developers access to Touch ID, which means now if you want to get into E*TRADE or unlock your passwords in one password, you can do it with the security and convenience of your fingerprint.

And then there is Metal. With Metal, you get direct access to the power of the 64-bit A7, A8 and the amazing GPUs they have inside. And so whether you’re racing around the track in Asphalt 8, creeping around the rooftops in Assassin’s Creed: Identity, or slashing your way through Gods of Rome, you can do so with unparalleled visual fidelity, things you’ve never seen on mobile platforms.

Next is Swift, an entirely new programming language that we introduced to take development of iOS 8 and OS X apps to the next level.

Now Wired had said that Swift’s impact could be greater than any other language that has sprung up in recent years and it may achieve mass adoption faster than any language in modern history.

And from everything we can see they are right. We’ve seen a flood of applications written in Swift in the App Store already. And our enterprise partner, IBM has completely embraced Swift for their custom enterprise applications. In fact, they’ve said that Swift is incredibly interactive and intuitive, giving the thousands of developers on our teams the flexibility to create powerful apps that will transform enterprise mobility.

Now there will be many new Swift programmers being minted every day because major universities have incorporated Swift into their programming curriculum to teach new students this awesome new language.

That’s a quick update on iOS 8.

iOS 8.1

Now let’s turn our attention to iOS 8.1. Now needless to say, when we put a major new operating system in the hands of hundreds of millions of users, we do get a little bit of feedback. And that takes us to improvements.

So one of our major goals, of course, with iOS 8.1 is to address the top sources of customer feedback and of course to even bring back the beloved camera roll. But not just that, we’ve added support in 8.1 for Apple Pay on iPhone 6 and 6 Plus and the public beta of iCloud photo library, so now everyone can have every photo you take on all of your devices. And this means that any organization you do, or any edits you make on any device are instantly reflected on all of your devices. This is true on your iPhone, your iPad and you can even access your photo library on your Mac or on your PC via iCloud.com.

Now this isn’t just your photos, it’s also your videos as well. And they are in their original format and resolution, no downscaling. It’s available in public beta with iOS 8.1 and it uses your iCloud storage. So your first 5 GB are free. For just $0.99 you can get 20 GB more and you get a massive 200 GB for just $3.99.

So that’s iOS 8.1 and a quick update on iOS 8.

OS X and Yosemite

Now let’s turn to OS X and Yosemite. So it was just this June that we publicly unveiled Yosemite to the world. The reception has been fantastic. We’ve had over 1 million members of the Mac community signed up to be part of the Yosemite public beta, and the reception has been just awesome.

We’re all in love with the gorgeous new design of Yosemite. It’s just amazing. Has this gorgeous Dock with these vibrant icons, so precise, this clean and consistent use of typography throughout the system. Notification Center is more useful than ever, lets you get all of your widgets, just at a glance, including third-party content.

And Spotlight has been absolutely supercharged. So now in addition to searching content locally on your Mac, it also taps into sources on the Internet, things like maps and Wikipedia just right there whenever you need them.

And of course, all of the apps built into Yosemite have been completely revitalized with this new UI. So Safari, for instance, all the power of the world’s most powerful browser are packed right into that elegant toolbar right there at the top.

If you want to get all of your favorites, just tap in the address field, they’re right there. And if you start typing, you don’t just get Google search suggestions, you also get Spotlight suggestions which often provide the answer to your question without even completing the search; it’s just really fast.

Now Safari is better at sharing than ever as well; can share the system sources and through Extensions to third-party sources as well, right within the app. Safari users also of course love tabs. And so we have a great new TabView, provides a bird’s eye view of all of your tabs, stacks multiple pages from the sites into stacks like this, and you get access to tabs you’ve opened across all your devices listed right there along the bottom.

But of course, Safari is also blazing fast. In fact, when you look at the kind of JavaScript that’s in typical websites, Safari is literally six times faster than other browsers. And when it comes to battery life, no browser can compare to Safari.

If you look at our 13-inch MacBook Air, for instance, browsing in Safari gets you more than two hours greater battery life than other major browsers, and with Netflix streaming, three hours longer. Safari is just incredibly efficient.

Now our Yosemite design extends, of course, to Mail as well. It’s not just gorgeous but it’s more functional than ever. Now if you’re replying to a message and you need to fill out a form, you can use Markup. You can even fill out your signature on a form right there inside the message. It’s incredibly convenient. And you can also markup your drawings as your pictures as well, which is a fantastic way to communicate.

Now, Mail also now has Mail Drop. So you can absolutely enormous attachments up to 5 GB, securely encrypted through iCloud. Messages has a beautiful new design for Yosemite as well, and it has powerful features like name group chats, easy location sharing and really convenient access to all the photos that you share in your conversations.

iTunes has been updated for Yosemite as well. There is a convenient new shelf across the top with all of your recent additions to your library.

And then there is iWork. It’s the most popular desktop productivity suite across all Apple devices and it’s got a great update for Yosemite. In addition to this beautiful new design, it’s more functional than ever with a sidebar that summarizes all the comments on documents that you have under review. We have an update to numbers, lots of power user features like the ability to transpose tables in a single step.

And then there is Keynote with a customizable presenter display and these cool new text effects. It’s really nice.

So next, there is iCloud Drive. So with iCloud Drive, you can store any file in the cloud. It’s accessible right from the Finder, right from the sidebar there, and you get access to the application folders of all of the applications on your Mac. But not just that, also the data you’ve stored for applications on your iOS devices. And best yet, you can put any other files you want in there and organize them however you want in folders with tags and search them and then access them across all of your devices: your iOS devices, your Mac, and if you’re having to work under extreme duress, even a Windows PC.

So now – so those are just some of the wonderful new user features in Yosemite.

But actually what makes both Yosemite and iOS 8 so special is the way that they work together. Now working together is something we’ve been focused on for years now. And at the center of it is iCloud. It’s almost easy to take for granted the way we can edit our contacts, or update our calendar to do’s or Safari bookmarks, and we just know that it’s going to be available to us across all of our devices.

And now with Yosemite and iOS 8, all of our documents with iCloud Drive and all of our photos and videos are synced with our iCloud photo library. We’ve also advanced on technologies for our devices to communicate in proximity, taking advantage of the most advanced Wi-Fi and Bluetooth low energy technologies.

So now with the latest Macs and iOS devices, you can actually airdrop between iOS and OS X and you can airplay to your Apple TV even without connecting to any Wi-Fi network. It’s really awesome.

But the area where I think we’ve really taken it over the top is something we call Continuity. Now with Continuity, your devices are aware of each other and allow you to work at any moment with a device that’s right for that time.

It starts with Handoff where you can work on one device and just pick up where you left off with just a swipe across the lock screen of another. And there is instant Hotspot, so you can take advantage of the cellular data connection of your phone from your iPad or your Mac without even touching the phone in your back.

There is the ability to receive text messages on any device, so not just your iMessages but also you can send and receive SMSes from any of your devices.

And finally, you can also make and receive regular telephone calls using your Mac as a speakerphone using your phone. It’s really magical.

And to drive that home, I’d like to give you a demo now.

All right. Well, so let’s take a look at life in the world of Continuity. Now, Tim has sent me a note here about doubling down on secrecy at Apple. We want to preserve the same kind of airtight security or, secrecy rather, that makes the announcements at an event like today a shocking revelation to all of you.

So I’ve been tasked to create a new employee orientation presentation. And so I have been taking some photos around campus, about some of our new secrecy measures; we’re tightening things down a little bit. So we see with redacting some things in the menu, we don’t want any leaks there.

We’ve upgraded the door to Jony’s lab, and you know, I should favorite some of these photos, because I think I  like to incorporate them in my presentation. We’re saving a step with the printer, just go straight into the shredder.

And of course, we’ve increased the number of lasers on the path to the bathroom. So that’s good. So I incorporate this right here in my presentation. We’ve got my cover slide here and this looks like a good place to add that new content.

But you know, I actually have my iPad right here, and what’s really great is with Continuity, I can just pick up where I left off. You know, it’s in the lower left-hand corner of the screen, and my iPad is aware of what I have been doing on my phone, here is a little Keynote icon and I can just swipe up. And it takes me right to that document in exactly the place where I was working. So it knows right where I am.

I am just going to open this up and we will see that I can see my photos here.

Let me try that again. There we go. There are the photos I just favorite and just to show you that this is all completely live, I am going to go back into my Photo library here. I am going to favorite this last photo with lasers, give it a little hard and you’ll notice here and on the iPad, it just shows up automatically right there. That’s super cool!

So let’s just add that photo to my presentation. You know, while I am working on my iPad, my phone could even be across the house and if I were to receive an SMS, for instance, I could pick it up – oh, here it is. What a coincidence! — right here on my iPad. This is a regular SMS and it says, “Hey, Craig, check out the latest Apple rumor…” Well, these are usually — have no merit at all but I’ll just check in to see what this is all about.

Apple’s spaceship actual spaceship.

Okay. Well, it turns out in this case, unfortunately, they did nail it.

So this will be a good one to add as a cautionary tale to my presentation. Now I could do that here on my iPad. You know, I’ve got this beautiful Mac right here. Let me just pick up where I left off on the Mac.

So we will just look at the Mac display. And you know, as the Mac is aware of what I’ve been doing, you see right down here, says that I was using Safari on my iPad. I click and it takes me right to that same page, it’s just magical.

And of course, I can get to my presentation as well. We see, I have iCloud Drive right here in the Finder and there is my Keynote folder, and of course, there is my presentation on secrecy at Apple. So I can open that up and, of course, it takes me exactly to where I was in the presentation.

So let’s add my picture for about controlling leaks. I can just drop that one right in there. That’s really cool.

And so next, I am going to move on to the next slide of my presentation. And I heard that our new “chief of secrecy” Stephen Colbert has some concerns about his part of the presentation. And so actually I can give him a call from my Mac, right here at his office.

So let’s just type up Stephen, there’s his work number, and I can just dial right here and it’s going to dial — my Mac is going to actually make a speakerphone call through my phone. By the way, yeah, I have the coolest job in the world, I guess, to talk to Stephen Colbert. [Phone calls…]

Stephen Colbert: Hello!

Craig Federighi: Hi Stephen, it’s Craig from Apple.

Stephen Colbert: I am sorry. I don’t recognize that name.

Craig Federighi: So all right. Hello, Red Delicious. This is Granny Smith. Over?

Stephen Colbert: Is the squirrel in the basket?

Craig Federighi: Roger Foxtrot Thunderbolt Retina Swift Lightning!

Stephen Colbert: Okay. The line is secured. Thanks for calling today. I have some critical feedback on the content of your presentation today. Specifically I’ve got a big problem with my Title.

Craig Federighi: That ‘chief secrecy officer’, that’s a pretty impressive title.

Stephen Colbert: If something is big enough to capture how important of my role is, but – hear me out. Supreme Allied Commander of Super Secrecy.

Craig Federighi: I don’t know.

Stephen Colbert: Craig, if supreme allied commander was good enough for Mike, it’s good enough for me. Also accept Intergalactic Chancellor.

Craig Federighi: Intergalactic Chancellor? How about Supreme Commander –

Stephen Colbert: You let him know.

Craig Federighi: Who?

Stephen Colbert: I am sorry. I mean Chairman Honeycrisp.

Craig Federighi: Oh, yes, yes. Yes, absolutely. I will let the Chairman know.

Stephen Colbert: Now please get back to work, because, you know, what I see when I look at my wrist, my reds.

Craig Federighi: I will get it right on it, Stephen.

Stephen Colbert: All right. Over and out, Granny Smith.

Craig Federighi: Over and out, Red Delicious.

Phone conversations end]

 

I am glad we were able to sort that out.

So I have one more slide to work on my presentation here. Oh, an email update from Phil about a new badging protocol. So check out this video. It really demonstrates Apple’s commitment to badging excellence.

Well, that’s great. I am going to drop that one in my presentation. You know, I am sure it’s a great video. So I’d like to play this now. What’s really cool is I have an Apple TV. We can bring that up here. We can see it actually airplay from my Mac to my Apple TV, just like this, and project my presentation that way. So we can enjoy the presentation I put together and, of course, you control the presentation. The best remote you have is the one you’re wearing on your wrist. So I could bring up the remote here.

Let’s see. So there is our secrecy team. Of course, we’ve got the path to the bathroom, controlling leaks, our new supreme commander and let’s take a look at that video from Phil.

[Video clip]

I think you know have a full understanding of Continuity.

So this is just a quick overview of the amazing new Yosemite release from its beautiful new design, powerful Spotlight search, iCloud Drive, the amazing and elegant new Safari and of course these Continuity features.

Now there is much, much more to Yosemite that I can possibly cover today. But the good news is I don’t have to because now all of you can get access to Yosemite and the Mac [just for] today.

You know what, it’s available for free. There is also 8.1 which has its support for Apple Pay, also iCloud photo library and Continuity available for download this Monday. It’s free as well.

Finally, iWork and update for OS X, also for iOS, also available today and also free.

And that is my quick update on iOS 8 and OS X Yosemite.

Thank you. Back to you, Tim.

Tim Cook – CEO, Apple Inc.

Thanks, Craig. It’s really great to have Stephen onboard. I hope he can do a better job than I have done on controlling these leaks.

I would like to now talk about iPad.

iPad

The iPad is the simple and magical device. It’s always been a unique blend of simplicity and capability.

But while the iPad has been beautifully simple on the outside, since the very first one, it has advanced technology just jampacked on the inside. From Apple’s custom-designed powerful chips to the ultrafast Wi-Fi and cellular conductivity to the incredible iSight and FaceTime cameras. The technology is jampacked in this incredibly thin and light package that you can take with you everywhere you go and use all day long.

And as we pack more and more power, and more and more performance and more capability in iPad, our customers and developers have begun to use it in ways we could not imagine. And now as you look around, iPad is everywhere. It’s transforming the way we work, the way we learn, the way we play. And it’s transforming the way we communicate.

With so many people using iPad for so many things in so many different places, it’s not surprising that we’ve sold more iPads in the first four years than we’ve sold any product in our history. In fact, we’ve sold over 225 million iPads around the world.

To put this in a little more perspective, if you look at the top four by volume, PC manufacturers – the number of sales that they’ve done for the last 12 months and compare that to iPad, iPad beats them all. And this is their entire PC lineup, every notebook, every desktop, every two in one, every all in one, every toaster refrigerator in one, all of them, this is pretty fantastic, and not by a little but by a lot.

But what’s more important to us is that iPad has consistently been rated number one in customer satisfaction. This is what makes our hearts sing.

An iPad mini Retina has scored an unbelievable 100% customer sat. These numbers are — you just don’t see these numbers in customer sat.

And so why are so many iPad users so satisfied? We think it comes back to this unique blend of simplicity and capability. And the fact that you can do so many things on iPad and you have such a great experience doing it.

At the root of this is that we have over 675,000 apps in the App Store that have been custom-designed to take advantage of the big beautiful screen on iPad. And this is a huge advantage over our competition.

The Verge [Dan Seifert] said it well, “A tablet is only as good as what you can do with it and thanks to the hundreds of thousands of apps for the iPad Air, you can do more with it than any other tablet”.

This was one of the reasons they named the iPad Air the best tablet you can buy.

So iPad Air is number one in customer sat, but it’s also number one in usage. It’s number one in education. It’s number one in enterprise. It’s number one in consumer.

When we launched the iPad Air, just a year ago, we did so by showing that all of this power of the iPad was at a design that was so thin – it was thinner than a pencil – so you may remember this.

So what can you do when you make the best tablet in the world? How do you make it better?

You do this.

[Video clip]

This is the new iPad Air 2. It’s unbelievably gorgeous and look how thin it is. Can you even see it? It is so incredible.

And to tell you more about it, I’d like to invite Phil Schiller up. Phil?

Phil Schiller – SVP, Worldwide Marketing, Apple Inc.

Thanks, Tim. Thank you. Good morning everyone. I am so excited to be able to tell you about the incredible new iPad Air 2.

iPad Air 2

It is the thinnest iPad we have ever made. It’s just 6.1 mm thin. That’s 18% thinner than the first iPad Air, which was already 20% thinner than the iPad before it. It makes it the world’s thinnest tablet. It is incredibly beautiful to hold all day long.

The progress the team has made over just the last couple years is unbelievable. Here is the original first iPad, next to the new iPad Air 2. The new iPad Air 2 is so thin you can set two of them and still be thinner than the original iPad.

What the team has done to pack so much technology and performances into the thinnest iPad is unbelievable. So how do they do it?

Well, let’s start with the display. Display is made up of number of components, primarily the LCD, the touch layer and glass. And in every iPad there has been a micro thin layer of air between each of those layers. We’re not satisfied with that.

The team has optically bonded those together, laminated them to make a single component with no air gap. That reduces the internal reflection that makes a sharper image and a thinner display. It makes the graphics and the texts feel like they sit right on top and you’re touching them with your finger. It’s really beautiful.

In addition, we’ve now created an antireflective coating for this multitouch surface. This has never been done in a tablet before. It reduces reflections by 56%, making it even more beautiful as an image. So it is an incredible display. This is the only tablet that has this kind of a surface and is the lowest reflectivity of any tablet. So this will be the best tablet display you’ve ever seen in the thinnest tablet.

But there is so much more that makes an iPad Air 2 great.

A8X chip

And it starts with the brains inside it. A whole new generation chip A8X. You’ve heard of the A8 chip with the iPhone 6 and iPhone 6 Plus and it’s blowing people away. But this is a new version created specifically for iPad Air 2. It is unbelievable.

It’s our second-generation 64-bit architecture. It has 3 billion transistors. The iPad Air had an A7 with 1 billion transistors. $3 billion – delivers up to 40% faster CPU performance for most of your apps. Some apps can achieve 2X performance in CPU.

And the graphics are out of this world. 2.5 times faster what was already the industry-leading graphic performance.

Just look what the team has done. The original iPad started with an A4 chip and now we’re 12 times faster than that with iPad Air 2.

But check out this graphics performance. We’re now at 180 times faster.

Add to that, the work the software team is doing with technologies, like Metal, that the developers get full access to that performance without any software overhead, we’re able to now deliver console level graphics in the palm of your hand. And that’s what a lot of the developers are doing. We’re working with game developers and they’re now bringing the engines, not from their mobile gaming but from their desktop gaming systems right onto iPad Air 2.

And all this power in such a thin package, the team has worked to ensure that you have that great all day better life, 10 hours of battery, so you don’t have to give up any of that.

M8 motion coprocessor

Along with the A8X, we have the new M8, motion coprocessor. This works to read data for the sensors like accelerometer and gyroscope and it instantly calibrates, so all your apps get incredibly accurate data. And there is also the new barometer for measuring relative elevation and developers can take advantage of that too.

But perhaps the feature people love the most about their iPads is the camera – a built-in iSight camera. Some people have been surprised by that but it really makes a lot of sense.

The iPad is the best viewfinder for composing your photos and your videos. You can see the scene, you can take incredible photos. You can edit them right on the device and share them instantly with people around the world. And not only do we all like taking pictures and videos but developers like taking advantage of these cameras to build incredible applications that haven’t existed on any other platform — things like applications for helping coaches train their players with Coach’s Eye. Or consumer apps like Prizmo that lets you scan and translate documents on-the-fly. Or apps like Caribou that let a parent read with FaceTime to their children from anywhere around the world, or Homestyler that lets you create a virtual reality image of your own home, then lay out the furniture interior design of it.

These and hundreds of more applications take full advantage of the cameras we built into the iPad and may the developers and the customer use these apps, they’re going to love the new iSight camera. It’s a huge jump forward for iPad. It’s a full new 8 megapixel iSight camera. It has large 1.12 micron pixels, has a fast 2.4 aperture, it takes photos and 1080p HD video.

It has a great sensor. It’s combined with the Apple designed lens but really what rounds it out is the brains behind it all. The image signal processing is done in that A8X chip and it does an incredible job. I am going to show you some photos now that we’ve taken with an iPad Air 2, un-retouched right off of it, and tell me you’re not going to be blown away that these were taken with an iPad.

Look at that photo. That’s a beautiful landscape scene. You can see the quality of the Auto HDR that creates the amazing exposure. Look at the low noise in that blue sky, and it is a remarkable photo.

Here is another. People are not just going to believe these are taken with the iPad you bring with you to do work and you’re taking incredible photos with it.

Here is a shot from above the Golden Gate Bridge. You see the incredible accurate color it delivers and the great depth of field.

Here is my favorite of the bunch. It’s a portrait photo. The skin tones are just perfect; the background is painterly. It’s an amazing photo.

Of course, we all love taking macros and showing them to the world. Here is a great one. Look at the level of detail in the feathers. You can’t tell – is that taxidermy or live? Don’t worry it’s live.

For the first time with iPad, you can take large panoramas up to 43 megapixels. So you take your iPad on vacation, you can share your mountain scenery with all your friends.

For the first time on iPad, you can take burst mode photo. So you’re taking something that’s high-speed, actually you can grab it, just like this photo. Is that incredible?

For the first time with the iPad iSight camera, you can do time-lapse. So here is a time lapse. It’s taken in Venice. You maybe recognize it.

Now there’s a group of boats that are going to start coming down to see where they are. That was the George Clooney wedding party that came by as we were shooting that. Still waiting for my invitation.

This we took recently in Albuquerque at the Balloon Fiesta, the gathering there. It’s a lot of fun. Yeah it is.

Also, for the first time on iPad, you can do slowmo videos. Yeah, customers are going to love taking these. This is 120 frames per second at 720p.

[Video clip]

Pretty cool. You heard that audio, there is now dual microphones to get better quality audio in your videos as well.

In addition to that, all new iSight camera, and all those capabilities, there is a new FaceTime camera in the front side as well. Whole new FaceTime camera sensor has a larger 2.2 aperture, it lets in 80% more light and combined with the 8X chip, it can improve face detection, the first time when you do burst selfies which kids love to do, this chip is amazing. It does HDR with a single image, not combining multiple image which keeps it really sharp. And you can do videos with HDR as well.

So with all these great new cameras, all this great new performance, also faster connectivity too, iPad Air 2 is faster Wi-Fi 802.11ac with MIMO that delivers 2.8 times faster performance up to 866 MB per second throughput.

There is also faster LTE with more bands. There is up to 150 MB per second that’s using carrier aggregation and there is 20 LTE bands, that’s more than any other tablet, so it connects at high LTE speeds on more networks around the world.

But perhaps the most requested feature from customers is Touch ID. Now like many of us, if you have Touch ID in your iPhone, and you probably pick up your iPad, and put your finger on the Home button only to see that it doesn’t a lot because you didn’t have Touch ID. We get used to it so quickly.

Well, now with iPad Air 2, there is Touch ID. And it reads your fingerprint and quickly unlocks your iPad without having to enter the passcode and it works with our stores, so you can purchase in the iTunes Store and the App Store. And it works with the new iOS 8 developer apps that support Touch ID. So you can unlock Evernote or Mint or your Day One Journal, just with your fingerprint.

And as you know, all of us use iPads for we’re prodigious shoppers. We love to use our iPad to sit back and surf the web and make purchases and particularly with all those 635,000 apps, many them help us make purchases.

And now with Touch ID, you will be able to use Apple Pay to make online purchases. This isn’t for retail point-of-sale purchases; this is for online purchasing within all the apps that are going to support Apple Pay and there are going to be many of them growing starting on Monday. So it will be the best way to shop online.

Of course, iPad Air 2 comes with a brand-new iOS 8.1 that Craig just showed us and all the incredible features it has. Now our developers had a great time using the performance of the A8X chip and taking advantage of all the power on iPad 2 to do remarkable things. And developers have two. We’ve given a few of them early access to the iPad Air 2 and to see what they can do with it, with their incredible applications.

Well, I like to show you two of those this morning.

The first is a great team – two brothers started a company in Lithuania and they’ve had a hit application on OS X called Pixelmator. Perhaps you know it. It’s a professional quality image editing application. It’s been a big hit on the Mac and now they’re here today to show you the work they are doing an iPad.

Like to bring up Aidas to tell you all about it.

Aidas Dailide – Co-founder, Pixelmator

Well thank you. Thank you. After two years of work, we are really excited to share with the new Pixelmator for iPad today. It’s a full-featured image editing app.

We are going to open a 4K image of the Arabian desert. It’s really exciting that we can work so smoothly with large images like this. The new iPad handles those images faster and better than ever before.

We created the graphic by using the shadow of the actual Oryx in the sand and some text which will bring in as a new layer. I’d like to place it here at the bottom. But you see there is a track of Oryx that would interfere with the graphic.

So let’s remove the Oryx right now. We were able to bring our repair tool from our award-winning Mac version to the iPad and that works fantastic. By simply brushing over the Oryx, our app will take care of removing it but still maintain the background. That is 2 times faster on the new iPad compared to iPad Air.

Notice how the texture in the sand is intact, the oryx is gone. Let’s place the graphic back at the bottom and size it to fit.

Now let’s blend the graphic with the background to complement the color of the sand. Next, I would like to apply a filter to enhance the color and darken the edges a bit. We can adjust the depth and strength of the effect. Notice the very fast response time.

So that’s a quick peek of Pixelmator for iPad coming later this month in the App Store. The power of the new iPad is perfect for the new Pixelmator. We’ve seen improvement of up to 3 times in many aspects of the app. It’s a fantastic bearing that will make image-editing a breeze.

Thank you.

Phil Schiller – SVP, Worldwide Marketing, Apple Inc.

Next, there is an exciting new video editing application that has everyone abuzz. It’s called Replay. It’s from a bunch of brilliant scientists from France.

And to tell you all about it, I like to bring up Jeff Boudier to show you what they’ve been up.

Jeff Boudier – Co-founder, Replay

With Replay, you can use your iPad to create amazingly rich videos without knowing anything about editing. [inaudible]

Let’s take a look. We all take so many photos, so many videos. Often we don’t have time to do anything with them. Like these videos from a trip in Utah. To make a nice movie edit out of all of this, it would take me hours of work, right?

Well, let’s select all these clips and see how long it takes Replay to make a movie.

My movie is already playing. That just happens. In one tap. Thank you.

In one tap, Replay analyzed all my videos, added beautiful motion graphics and synchronized everything to the beat of the music.

Okay. Let’s do it again. But try a different style.

I love this style. Replay runs computer vision algorithms to find the best accent color for each video, then desaturates the rest, and with Metal, this code runs 20 times faster than using the CPU.

Well, this style is too romantic. Let’s try something more vibrant.

Nice. I love how Replay picks the background colors to match the videos. Now I want to add a text slide. Let me show you how easy it is.

How about Utah road trip? Just as easy I can add captions, trim videos, or reorder things.

The result again is instant. We created a custom rendering engine on top of OpenGL and with each new processor, Replay gets faster. With A8X, we get 4 times faster rendering than on A7.

Now I’m really excited to show you something never done before on mobile. It’s very Hollywood.

[Video clip]

See how the light interacts with the text. I can even set the lighting color while my movie is playing. This effect is called volumetric lighting and Replay renders it in real time on the iPad. This is truly desktop class performance.

We believe video creation should be easy and instant. With this new iPad and Metal, our vision becomes reality. This new style will be available end of October and you can get Replay for free on the App Store today. We can’t wait to see what you will create.

Thank you. Thank you.

Phil Schiller – SVP, Worldwide Marketing, Apple Inc.

So those are just two examples from the over 675,000 apps in the App Store that take unique advantage of iPad. You can see now the apps are doing things on iPad on a thin mobile device that previously would’ve taken the highest end desktop computers to do. You can do this anywhere you go.

So this is the new iPad Air 2, packed with an incredible range of new technologies and innovation. Next-generation Retina display with no air gaps and antireflective coating. Our second-generation 64-bit chip for iPad the A8X with 3 billion transistors. The new 8 megapixel iSight camera and all those incredible features, the new FaceTime HD camera, ultrafast 802.11ac wireless and 20 bands of LTE for fast performance around the world. And of course, the most requested feature, Touch ID, all of this packed into the thinnest iPad we’ve ever made. You just have to hold it outside when you get a chance to – just see just how incredible this is. It will blow you away.

Pricing & Availability

So if you want to get one, and if you’re like me, you’re just dying to – what will it cost?

Well, first, it comes in silver, space grey and the new gold that you’ve seen here. And it starts at $499, that’s the price of the previous iPad Air for Wi-Fi with 16 GB. $599 for 64 GB, that’s a $100 less than before, and $699 for 128 GB, again $100 less expensive than before. So much more power, great new features, thinner device and more affordable.

There are also cellular versions for $130 more, and that is the new iPad Air 2.

At the same time, we have an update today for iPad mini as well, we call it iPad mini 3. It’s the third-generation of iPad mini. It comes in silver, space grey and gold. And of course, it includes new Touch ID feature as well. It will start at $399, $499 and $599, new memory configurations and have cellular versions as well.

And both iPad Air 2, iPad mini 3 are made in the most environmentally friendly way possible, and we’re really proud of this. You know, I just want to point that out.

So those are the two new lines of iPad – iPad Air 2, iPad mini 3.

We’re going to keep iPad mini 2 and iPad Air on the line and reduce them by $100, so everyone has something at each price point. So those are more affordable as well.

And the original iPad mini, we’re going to continue sell it now at a all new price of just $249; previously it was $299. So that now means our lineup has the lowest price point ever for iPad $249, means iPad 2, mini 2 and iPad Air have been reduced by $100. We have an all new iPad mini 3 and all new iPad Air 2 at the high-end with more features and capabilities in the thinnest iPad we’ve ever offered. So a lot of changes up and down the entire line.

To get iPad mini 3 and iPad Air 2, you can start to order them tomorrow. We will take preorders tomorrow, October 17 [2014] and we’ll begin to ship by the end of next week.

So that’s iPad.

I think this graphics says a lot in a very simple image about the things we create, how beautiful they are, how incredibly advanced they are at each category, and how each one is pushing on the next to be even better and to do even more, as iPad continues to evolve and challenge what a computer can be that you can hold all day long, it then challenges us at the higher end to move those forward as well. And nobody is better at that than Apple.

Mac

Let’s talk a little bit about what’s happening with the Mac. We have the best lineup we’ve ever had. It’s the 30th birthday of the Mac this year, and these are the best ever. And the results are fantastic.

If you look at Mac compared to the rest of the industry, this is based on the last quarter, the Mac grew 18% year-over-year while the rest of the industry didn’t do as well. And the reason is very simple: our customers love their Macs.

This summer, we updated MacBook Air. It got faster, better battery life, better value. People bought them like crazy and the reviews were off the charts. I think this one said it best from the Wall Street Journal: The MacBook Air is the best laptop ever made, and who are we to argue.

The customers who want a higher level of performance, they love the MacBook Pro. It delivers all-day battery life, incredible performance and, best of all, that beautiful Retina display.

It’s been really fun to watch the migrations of Retina display. It started with the iPhone, moved into iPod Touch, and moved to the iPad, then into the Mac with the MacBook Pro. Well, today we’re really happy for you to see the continued march of this incredible Retina technology and the next step we’re going to take with it.

[Video Clip]

So, yes, we are so excited to tell you about the all new iMac with Retina display. There has never been a desktop display like this. It is simply stunning. You will have never seen a level of detail in a desktop display as you’ll see with this iMac. It is truly remarkable.

iMac – Retina 5K display

It’s a 27-inch display that has 5120 pixels by 2880 pixels. If you’re really fast with Mac, you know that is an insane – 14.7 million pixels on one display. It is the world’s highest resolution display. It is an incredible feat of engineering. We call it the Retina 5K display.

So to put in context, we all look at HDTVs all day. They are 1920 x 1080, that’s overlay those pixels on top of the Retina 5K display. There are seven times more pixels on the Retina 5K display than on your HDTV.

And let’s compare that to the new standard 4K digital cinema. And there it is – 4096 x 2160, the Retina display still has 67% more pixels than that. It is stunning.

What’s more remarkable is the work the engineering team to fit those 14.7 million pixels into our beautiful iMac design; it’s just 5 mm thin. It’s an incredible feat of engineering. It took a lot of invention.

It starts with a chip that controls the display. It’s called timing controller or TCON. When it didn’t exist to drive this display quickly and efficiently, so our team had to invent one.

It started with – had to create a new material oxide-TFT to be able to charge those pixels quickly and evenly across the whole display. And when taking technology from our Retina iPad display organic passivation to reduce crosstalk because those pixels are getting so close together to keep the image really sharp and beautiful. It took building a new backlight technology and LED backlight that’s just as bright as previously but consumes less power and is thinner.

And all put together, this new display with four times the number of pixels of the previous version uses almost a third less energy. That’s an incredible work. And to make it even more beautiful, these are Apple photo alignment technology to give higher contrast ratios on axis and a new compensation film, so it looks better off axis too. It is a remarkable feat of engineering and the most beautiful desktop display for everything you do, when you read text, looks incredible crisp and sharp of magazine quality.

If you work with photos, you will have never worked on a desktop display with this level of detail in your photos. And if you love to edit video, like here in Final Cut Pro, you’ve never had the ability to do 4K video editing, pixel for pixel with room left over for your bins and timelines.

And if you’re Craig and you’ve worked so hard on a beautiful version of OS X, there has never been a display to show off that great new user-interface as beautiful as this new Retina 5K display. We have a brief video to tell you a little bit more about it.

[Video Clips]

[The Mac enables people to do amazing things. And for many people it’s the most important creative tool that they use. And what we really love doing is making it better. On an iMac, the experience begins with the display. And now we’re really proud to introduce the first iMac with the Retina 5K display.

With 14.7 million pixels, this goes way beyond HD. It gives the ultimate all-in-one computer the ultimate display. And it means you see incredible detail on a scale that just hasn’t been done before on a desktop. We started by moving to an oxide-TFT or thin-film transistor panel. Oxide-TFT is needed to get these many millions of pixels to charge quicker and then stay charged the longer. We manufactured an oxide-TFT based display more precisely than it’d ever been done before. One of the great results is the vivid brightness we see across the whole screen.

Communicating to all of those pixels requires a lot of brainpower. In a display, it’s called the timing controller or TCON. The TCON tells every pixel what to do and when to do it. For this new Retina display, a TCON didn’t exist that could do the job. We had to create it. The single incredibly advanced chip that’s responsible for directing millions of pixels. Whether you’re looking at photos or texts or even editing 4K video, the picture is stunning.

We’ve also improved the contrast ratio. So you get brighter whites and darker blacks from any viewing angle.

“When I’m working on imagery, I need to see the details in it, to make accurate judgments of color and exposure, to be able to make it look on-screen exactly how it appeared to me when I saw it in reality.”

For this display to be possible, millions of pixels have to be driven with more energy efficiency. To use power saving LEDs in organic passivation which enables a clear signal to be sent to each pixel. This dramatically increases the display’s performance and image quality while actually decreasing its power usage by 30%.

“Every photograph I shoot, there is so much work to be done before it’s really finished. To get there, the tools I use need to be powerful and precise. And now that I’ve had a chance to experience the sharpness and the resolution and the incredible tone range in the new iMac, I just can’t imagine a better tool for the work I do”.

With its stunning Retina 5K display and all of these new capabilities, the new 27-inch iMac is by far the most amazing iMac we’ve ever built.

–    Video concludes]

 

So not only we’ve built an iMac with the most incredible display we’ve ever made but throughout the product line we’ve updated everything to make it the best iMac ever.

So if you look inside it, it has the fastest chips we’ve ever put in an iMac. It starts with the 3.5 Gigahertz Intel Quad-Core i5 but upgradable to 4 GHz i7, the fastest ever in an iMac.

The graphics, Radeon R9 M290X, upgradable to 295X, so how fast is that? The previous fastest chip in an iMac was 2.4 teraFLOPS of compute power, not bad. This is 3.5 teraFLOPS, 45% faster than the previous version. I/O is faster as well, it is now Thunderbolt, 20 Mb per second bandwidth per port. It’s faster storage, standard terabyte Fusion drive and it’s all built together like all of our products in the most environmentally friendly manner, including supporting the latest Energy Star 6.1, so it’s a very efficient desktop product.

So what does this amazing state-of-the-art new iMac cost?

Well, let’s make a comparison. If you’ve ever tried to buy a high-end display, for example, a new 4K IPS TFT display, not quite as many pixels as the iMac, not quite as beautiful display but still not bad, you know, that these range in the price of $3000 or more. So that’s why we’re really excited to tell you the new iMac with Retina 5K display, it’s going to cost $2499.

And for that, we’re throwing an entire computer, it’s got 3.5 Ghz i5 standard, Radeon R9 chip, 8GB of memory and a terabyte Fusion drive. And it starts to ship today.

So that is the new iMac with Retina display. It joins the rest of the iMac line, a 21.5-inch iMac starting at $1099, 27-inch iMac starting at $1799 and new iMac with Retina 5K display at $2499. I can’t wait for you all to see it and experience incredible images that it produces, there has never been a desktop computer like it. I think it’s the perfect fitting to the 30th birthday of Macintosh.

We have one other small update today and that’s a computer that a lot of our customers love. We’re getting the very first back, it’s called Mac Mini. Perhaps you’ve got it one in your own home network but we have a whole new version today. It’s updated with faster processors, fourth generation Intel core processors, faster graphics Intel Iris and HD Graphics 5000, faster storage PCIe based flash storage, faster Wi-Fi, 802.11ac and it now has 2 Thunderbolt 2 ports, so it’s packed with all the I/O you need in a very small design, and most important to us, it is not only compacted, it is the world’s most energy-efficient desktop computer, which is really great.

A lot of customers choose this for their first Mac. Previously Mac Mini started at $599, the new faster, more capable Mac Mini starts at just $499. And it’s shipping today as well.

So that’s our update for the Mac.

Let me turn it back to Tim.

Tim Cook – CEO, Apple Inc.

What do you think?

This is the strongest line-up of products that Apple has ever had. And we believe that each one of these play a very important role. People need different types of technology for the way they live their lives. We all do different things.

In fact, many of us and many of our customers use more than one of our products every day. Sometimes you want to sit at your desk in front of a huge beautiful immersive screen, packed with powerful technology. And we’ve made that much better today with the Retina 5K screen for iMac.

Sometimes you want to take that powerful technology with you wherever you go, and we’ve made our notebooks even better this year with MacBook Air and MacBook Pro.

Sometimes you want to be close to your content, touching it and we’ve made that experience even better today with the iPad Air 2, more powerful and incredibly thin.

Sometimes you want to hold that powerful technology in the palm of your hand and there’s no better thing for your hand than the iPhone 6 and iPhone 6 Plus.

And soon, you can wear that powerful technology right on your wrist.

Now this incredible lineup of products and the ecosystem that supports them is something only Apple can create. They are designed to be incredible products individually but they are also designed to work together seamlessly.

And because we create both the hardware and the software, we can deliver something that no one else can do. A simple intuitive and yes, a magical experience for our customers. This is our vision of personal technology and we are just getting started.

I’d like to thank all the teams at Apple that have worked so hard, for not only this year, much of what you see here is multi-years of work to bring these products out on top of all the other things that you’ve seen during the day. They are doing the best work of their lives. And I and the executive team really appreciate it.

Now I want to invite all of you to come across the hall to get your eyes on this Retina 5K display. You’re not going to believe it is killer. And to hold the iPad Air and see how thin and powerful it is. We also have a station set up next door so that you can try out Apple Pay if you haven’t tried it yet, and you can be among the first to buy something off it.

Thanks very much for joining us.

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