Apple 2002 Annual Report Download - page 7

correction tools, tracking/stabilization capabilities, integrated procedural paint, rotoscoping tools, and support for leading plug-in vendors.
Shake has been used in the production of over a hundred motion pictures including the past five winners of the Academy Award for Best
Visual Effects. Introduced during the fourth quarter of 2002, Shake 2.5 was the first Mac OS X native version of the software and added an
improved image input, a disk-
based proxy system, and the ability to limit the rendering process to a portion of an image for quicker processing.
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Introduced in 2002, Cinema Tools for Final Cut Pro™ is a new software package that enhances Final Cut Pro 3's 24 frames-per-second (fps)
editing capabilities with support for film cut lists and 24-frame edit decision lists (EDLs) for high-definition (HD) video. The 24-frame EDL
support allows off-line HD projects to be finished using significantly more affordable Final Cut Pro®-based HD finishing systems. Cinema
Tools for Final Cut Pro is a robust solution for filmmakers who shoot and finish with 35mm or 16mm film, but want to take advantage of the
cost and time benefits of digital editing on a Final Cut Pro system. Cinema Tools converts "telecined" content to its native 24-frame rate for
editing, then generates a 24-fps cut list for negative conform. With its support for 24-fps EDL import/export, Cinema Tools for Final Cut Pro
provides video professionals with not only an affordable path to online HD finishing, but also the EDL conversion capabilities required to
create high-definition 24P universal masters used to efficiently meet the needs of varying international distribution formats.
DVD Studio Pro® 1.5 lets professional users encode video, conduct complex authoring tasks and preview finished product in real-time and
allows users to burn DVDs using SuperDrive-equipped Macintosh systems. It handles the MPEG encoding, menu creation, asset organization,
linking, and output formatting that are required to produce DVD-Video disks. DVD Studio Pro 1.5 has been optimized for Mac OS X and
features enhanced integration with Final Cut Pro.
The Company was honored in 2002 by the National Academy of Recording Arts and Sciences with a Technical GRAMMY Award for its
outstanding technical contributions to the music industry and recording field. This was the first Technical GRAMMY ever awarded to a
personal computer company. From the original Macintosh, the first personal computer to include built-in audio capabilities, Apple has helped
change the way music is written, recorded, mixed and enjoyed. The Company acquired Emagic, a leading provider of professional software and
hardware solutions for computer based music production, during the fourth quarter of 2002. Emagic's most popular product, Logic®,
is actively
used by musicians around the world and by professionals in music production, film scoring, and post production facilities. At the time of the
acquisition, Macintosh-based products accounted for over 65% of Emagic's revenues. Emagic's Windows-based product offerings were
discontinued by the Company during its first fiscal quarter of 2003.
Consumer, Education and Business Oriented Application Software
iMovie™ 2, the Company's easy-to-use consumer digital video editing software for creation of home and classroom movies, features an
enhanced user interface, improved audio editing capabilities, enhanced controls for titling and transitions, and added special effects. iMovie 2 is
currently preinstalled on all of the Company's Macintosh systems. iDVD™ 2 is consumer oriented software that makes it easy to turn iMovie
files, QuickTime files and digital pictures into DVDs that can be played on most consumer DVD players. iDVD 2 simplifies DVD authoring by
including professionally designed themes and drag-and-drop simplicity. iDVD 2 is currently preinstalled on all Macintosh systems equipped
with a SuperDrive.
The Company introduced iPhoto™ in January 2002. Designed exclusively for Mac OS X, iPhoto makes it easy to import, edit, save, share, and
print digital photos, as well as organize and manage an entire digital photo collection containing thousands of photos. Users are able to view
their photos in full-screen; using the slide show feature accompanied by their favorite music; automatically create custom web pages of their
photos; email photos to friends and family; order professionally-processed prints and enlargements online; or easily design and order custom-
printed, linen-
covered hard bound photo books online. Prints, enlargements, and hard bound book production is currently only available to U.S.
customers. iPhoto is currently preinstalled on all of the Company's Macintosh systems.
iTunes® is a digital music application for the Macintosh that lets users create and manage their own digital music library. iTunes organizes
music using searching, browsing and playlist features. It supports both audio and MP3 CD burning, features a graphic equalizer and cross
fading between songs, and supports automatic synchronization with the music stored on an iPod, Apple's portable digital music player. iTunes
is currently preinstalled on all Macintosh systems. In July 2002, the Company introduced iTunes 3,
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featuring Smart Playlists, which automatically and dynamically updates playlists based on simple rules set by the user, and Sound Check for
consistent volume playback.
During the fourth quarter of 2002, the Company released two new applications, iCal and iSync Public Beta. iCal is a new calendar program that
allows users to manage multiple calendars and share them over the Internet. iCal makes it easy for consumers, students, educators and small
business users to create and manage individual or group activities on single or multiple calendars; publish these calendars on the web for
viewing by colleagues, friends and family members; subscribe to automatically updated calendars via the Internet to keep up with work