Apple Inc. (NASDAQ:AAPL) is set to kick off its 2013 Worldwide Developers Conference (WWDC) on June 10 in San Francisco. The conference is a chance for Apple to showcase new products to the developer community and give investors a sense of where the company may be headed next.
So what can we expect this year? Let’s take a look.
iOS 7
The latest version of Apple Inc. (NASDAQ:AAPL)’s mobile operating system is pretty well guaranteed to make an appearance at WWDC this year.
Marketing Chief Phil Schiller was recently quoted, “We can’t wait to get new versions of iOS and OS X in their [developers’] hands at WWDC.”
So what changes are anticipated with iOS 7?
Killer App: Apple already offers Passbook, but iOS 7 could take things further by using a Near Field Communication (NFC) chip to handle mobile payments. NFC allows your smartphone to collect data from a nearby NFC tag or device. Essentially this feature could turn your smartphone into a credit card.
Biometric Security: Last year, Apple Inc. (NASDAQ:AAPL) purchased biometric security firm AuthenTec for $365 million. Analysts expect a number of security-related features, such as fingerprint readers, included in the next-generation of devices.
Other Enhancements: The most noticeable change in iOS 7 may be to the user interface. The new U.I. is expected to be “flatter,” resembling Microsoft Corporation (NASDAQ:MSFT)‘s Metro look. Also expect improvements to the Safari browser and better built-in apps, such as weather.
OS X 10.9
Apple’s desktop operating system is expected to have several new features including Siri, Maps, iBooks, and Newsstand.
But the biggest changes may be on the enterprise size. Rumors suggest Apple Inc. (NASDAQ:AAPL) may be developing a fingerprint technology and other enhanced security features for business and bring-your-own-device (BYOD) users.
Beefing up Apple’s enterprise offerings may be a smart move.
Last week, IDC projected global PC shipments will decline 7.8% in 2013 as consumers shift to mobile devices like tablets and smartphones. With sales in free fall, the last refuge for the PC may be the office.
iRadio
Based on recent leaks that Apple is in negotiations with top music labels, rumors are swirling that Apple Inc. (NASDAQ:AAPL) could release its own streaming music service dubbed iRadio as early as this summer.
This comes on the heels of Google Inc (NASDAQ:GOOG) entering the internet radio business. Earlier this month, the company announced its new ‘All Access’ streaming radio service for $9.99 per month. Google Inc (NASDAQ:GOOG) could tap its 300 million+ Android users to quickly grab a significant piece of the market share.
So will iRadio and All Access spell the end of internet radio pioneer Pandora Media Inc (NYSE:P) ? Probably not.
First, All Access is subscription-focused, which is a fundamentally different business model. Pandora Media Inc (NYSE:P) relies mostly on advertising. Paid subscribers account for only 1% of Pandora’s 70 million user base and subscriptions account for less than 15% of Pandora’s revenues. Even if All Access is a success, it might not necessarily take share away from Pandora Media Inc (NYSE:P).
Second, selling internet radio ads turns out to be a difficult process that requires lots of time with local buyers. This is something Pandora Media Inc (NYSE:P) has done successfully for years. It’s difficult to imagine Apple making the same effort.
And third, Apple Inc. (NASDAQ:AAPL) is looking to do something very different with iRadio by developing with a hybrid type of Web and radio service. Negotiating licensing terms will be difficult, buying Pandora Media Inc (NYSE:P) more time.
Other possibilities
Hardware: The next MacBook Air iteration is expected to feature Retina display following the MacBook Pro last year. This may be the only hardware update to appear at WWDC.
Apple TV: While no news is expected, it would be surprising if Apple didn’t have something TV-related in development. Apple may start moving developers onto an app-based model of its TV set-top box.
iCloud: Apple’s cloud storage and computing service is in desperate need of an overhaul. Apple Inc. (NASDAQ:AAPL) is expected to fix developer data syncing issues while improving iCloud’s navigation and file system.
Foolish bottom line
What shouldn’t you expect at WWDC? Moonshots.
WWDC will likely feature tweaks rather than game changers. Don’t expect any major hardware announcements regarding new phones or tablets. Anything related to Apple’s much speculated iTV or iWatch would be a big surprise.
Based on CEO Tim Cook’s recent comments, investors are unlikely to see any major product announcements until at least September.
Robert Baillieul has no position in any stocks mentioned. The Motley Fool recommends Apple Inc. (NASDAQ:AAPL) and Google Inc (NASDAQ:GOOG). The Motley Fool owns shares of Apple and Google.
The article What Will Apple Announce at WWDC 2013? originally appeared on Fool.com.
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