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Apple Stock Slides After iPhone 13 Launch Event Focused on 5G, Chip Speed

Apple kicked off its 'California Streaming' launch event by unveiling new versions of its iPhone, iPad and AppleWatch.

Apple Inc.  (AAPL) - Get Apple Inc. (AAPL) Report unveiled its next generation iPhone 13 Tuesday as the headline release of the flagship 'California Streaming' launch event in Cupertino.

The iPhone 13 will come in five colors and include what the group calls and advanced dual camera system and an OLED screen display. It will also come with an A15 bionic chip, 5G connectivity and two extra hours of battery life. It will be available next week with a list price of $799. 

The iPhone 13 Pro, priced at $999, will come in four separate finishes and include a larger display -- as large as 6.7 inches -- longer battery life and new camera system. The iPhone 13 Pro Max will list at $1,099. 

An iPhone 13 mini, priced at $699, will also be released alongside the main smartphone that will have a battery life that's 90 minutes longer than its prior version. 

Apple also announced new versions of its iPad tablet computer with a faster A13 bionic chip, as well as a the 7th series of its AppleWatch.

"We are so excited for iPhone13," said Apple CEO Tim Cook. "For all its power and capability, we can't wait to see what our users can do with it." 

Apple shares were marked 1.5% lower in afternoon trading immediately following details of the iPhone launch to change hands at $147.29 each.

The new iPad will include an ultrawide 12 mega-pixel camera and will feature the 'true tone' technology found in Mac computers. The new tablet will also ship with Apple's new operating system, iOS 15, and will be available next week with a list price of $329. A new iPad Mini will also feature liquid retina display and 5G connectivity, starting at $499.

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The AppleWatch will include a new operating system, iOS 8, and boasts 20% more screen space than its prior version. It will be priced at $399, Apple said.

Apple said iPhone revenues rose 49.8% from last year to $39.57 billion, well ahead of the $35.8 billion Street forecast of around $35.8 billion.

iPad revenues were pegged at $7.4 billion over the three months ending in June, the tech giant's fiscal third quarter, a 12% increase from the same period last year. 

Apple doesn't break out AppleWatch sales from its Wearables, Home and Accessories division, but those sales collectively rose 35.4% from last year to $8.8 billion.

How the Long Tech Rally Evolved

The 'California Streaming' launch event comes just hours after Apple suffered a significant security embarrassment traced to an Israeli cyber surveillance that could have lead to remote hacking of its iPhone.

"After identifying the vulnerability used by this exploit for iMessage, Apple rapidly developed and deployed a fix in iOS 14.8 to protect our users," said Apple's head of security and engineering architecture Ivan Krstić. "Attacks like the ones described are highly sophisticated, cost millions of dollars to develop, often have a short shelf life, and are used to target specific individuals."

"While that means they are not a threat to the overwhelming majority of our users, we continue to work tirelessly to defend all our customers, and we are constantly adding new protections for their devices and data," Krstić added.