>From Thinksecret.com...

http://www.thinksecret.com/news/g3imacg4towers.html

Adios G3 iMacs; G4 towers
August 13

July 12, 2002 - Think Secret has confirmed Apple has tentatively scheduled
August 13 as the rollout date for new, faster Power Mac G4 systems and will
quietly discontinue its most popular Mac ever, the all-in-one, classic iMac
over the next few months.

In what has been "standard procedure" for CEO Steve Jobs, neither
announcement is expected to be made during his keynote address next
Wednesday, July 17. Jobs and Apple historically do not talk about
un-announced products and hardly ever officially announce the end of a
product line. There is no reason to think this policy will change on either
of these products, sources report.

As we mentioned earlier this week, Apple announced a $300-$500 mail-in
rebate offer on Power Mac G4 systems with the purchase of either a 17-inch
Studio Display, 22-inch Cinema Display, or 23-inch Cinema HD Display. The
promotion is Apple's effort to clear existing inventory of systems that have
slowed to a crawl worldwide before announcing new systems. Historically,
Apple has timed new product announcements to the end of promotions, and
sources have confirmed this time it will be no different. "The G4/display
promotion ends August 12," an un-named source inside Apple said. "The new
systems will be announced the next day, or at least that's the plan at this
point. It's that simple."

It is expected the new models will include speed-bumps to at least 1.2GHz
and a new motherboard design. Sources have squashed for good any rumor that
USB 2.0 will be part of the new professional systems. It is also expected
that once the new systems ship (which might not be immediately after August
13), they will ship with Mac OS X version 10.2.

As for the low-end, all-in-one iMac systems priced at $799 and $999, sources
say they will quietly and quickly be discontinued, and replaced by the
recently announced 17-inch eMac as the signature all-in-one system. It is
not known if Apple will release additional eMac models in different price
ranges and colors to spread the line out. If it does not, it is a clear sign
Apple is happy with its positioning of low-end, CRT-based systems.
The death of the G3-based iMac is clearly the end of an era for a computer
that revived Apple as a major player in the PC industry. As technology has
evolved, LCD prices fallen, and margins shrunk on iMac systems, it was
inevitable that the classic iMac would soon see closure. If Apple does not
rollout an eMac system below $1000, it is another clear sign the company
feels its tests in the sub-$1,000 market with the iMac have proven of little
consequence, which many industry analysts and dealers will agree with. For
most dealers, low-end iMacs have been a "loss-leader," bringing in less than
$70 profit per unit. In some instances, larger computer stores, such as
MicroCenter, have marked up $799 and $999 iMacs an additional $25 to make it
worth their while in stocking them.

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