Say Hello To iHypeSay Hello To iHype

Apple Computer founder and CEO Steve Jobs is famous for his virtuoso speeches, particularly those given at the semiannual Macworld Expos. Usually clad in his trademark black mock turtleneck and jeans, Jobs wows the crowds with previously supersecret announcements of new hardware and software. In the days leading up to these performances, Mac user Web sites churn with rumors about what sort of new goodies Jobs might debut. But the hype shifted into overdrive in advance of the Jan. 7 keynote at Macworld Expo in San Francisco.

The Web rumor mill was already hot, thanks in large part to spymac.com, which presented video it claimed was of the "iWalk," a new Apple PDA. But then Apple--which usually remains stoically silent in advance of these events--began feeding the fire with messages posted on its Web site. "This is huge, even by our standards," read one. "Count on being blown away," promised another. A third even directly addressed the hype, claiming the truth was "beyond the rumor sites, way beyond."

So what might all the noise be about? Most observers expect a major upgrade of the now dusty iMac product line, perhaps machines with a flat-panel LCD screen. Others have speculated on an extension of Apple's "digital lifestyle" strategy, which introduced the "iPod" MP3 player a few months ago, and could lead to the unveiling of a branded video camera or other wireless device. Perhaps it's an entirely new "tablet" computer, or it could even be a big business announcement, like a merger with Palm Inc.

But Gartner analyst Charles Smulders hopes Apple will shy away from the bolder of those possibilities. "They'd be wise to be pragmatic," he says. "Frankly, I think Apple has gotten behind a little bit and it needs to update its products, but it wouldn't be wise to go to far in this economic environment."