Apple 1997 Annual Report Download - page 5

MACINTOSH POWERBOOK
The PowerBook family of portable computer products is specifically designed for mobile computing needs. All PowerBook personal
computers include software designed to enhance mobile computing.
PERIPHERAL PRODUCTS
The Company sells certain associated computer peripherals including LaserWriter-Registered Trademark- printers and a range of color
monitors.
MESSAGEPAD AND EMATE
The Apple MessagePad-Registered Trademark- 2100 communications assistant employs the Company's proprietary Newton-Registered
Trademark-technology in a hand-held mobile computer that intelligently assists the user in capturing, organizing and communicating
information using built-in business software programs, including word processing, Internet e-mail and spreadsheet applications. The Apple
eMate 300 integrates Newton technology in a mobile computer designed for use primarily in education. The eMate 300 allows students to enter
data by keyboard or stylus and share data and files with each other, and with Mac OS-Registered Trademark- and Windows-Registered
Trademark- software-based computers, send and receive e-mail, and access the Internet. The eMate 300 includes built-in word processing,
drawing and spreadsheet applications.
OPERATING SYSTEM SOFTWARE AND APPLICATION SOFTWARE
The Company's operating system software, its proprietary Macintosh system software called Mac OS, provides Macintosh computers with an
easy, consistent user interface and built-in networking capability based on its AppleTalk networking standard, as well as other industry
networking standards, and ensures integration of hardware and software. The Company also develops and distributes extensions to the
Macintosh system software, such as utilities, languages, developer tools, and educational software. Claris Corporation, a wholly-owned
subsidiary of the Company, develops, publishes, and distributes application software in a variety of established personal productivity
categories, such as database management, for Mac OS and Windows-based systems. Claris-Registered Trademark- products are distributed
primarily through independent software resellers. The Company plans to continue to introduce major upgrades to the current Mac OS and later
introduce a new operating system (code named "Rhapsody") which is expected to offer advanced functionality based on software technologies
of Apple and those of NeXT Software, Inc. ("NeXT") which the Company acquired in 1997.
The Company previously entered into agreements to license its Mac OS to other personal computer vendors (the "Clone Vendors") as part of an
effort to increase the installed base for the Macintosh platform. The Company recently determined that the benefits of licensing the Mac OS to
the Clone Vendors under these agreements were more than offset by the impact and costs of the licensing program. As a result, the Company
agreed to acquire certain assets, including the license to distribute the Mac OS, of Power Computing Corporation ("PCC"), a Clone Vendor,
and has no plans to renew its other Mac OS licensing agreements.
SERVERS
The Workgroup Server family of products provides file, print, Internet, and application services, to varying size workgroups. These products
also provide Apple system connectivity to local area networks, and interoperability with other computers and computing environments.
INTERNET INTEGRATION
Apple's Internet strategy is focused on delivering seamless integration with and access to the Internet throughout the Company's product lines.
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