Apple expected to unveil iPhone 5

Apple Inc. opened its first major product event in years without Steve Jobs presiding by touting the popularity of its products and reiterating details about a new mobile software set for release this fall.

New CEO Tim Cook is leading the show after Jobs, who has been battling health problems, resigned from the post in August. Cook has been in charge of day-to-day operations for years, but isn't as recognizable as Jobs, who remains with the company as executive chairman.

Cook, wearing a navy blue button-down shirt and jeans, opened by calling his nearly 14-year tenure at Apple "the privilege of a lifetime." He added, "I'm very excited about this new role."

Those in the audience clapped as he entered, but the reaction seemed more muted than what Jobs had recently received

Cook announced the opening of two new Apple stores last weekend in Hong Kong and Shanghai. That brings the total to 357 stores in 11 countries.

The event was taking place in Apple's Town Hall room, where the first iPod was launched a decade ago. Cook said Apple has sold more than 300 million iPods worldwide so far, including 45 million in the 12 months through June.

The iPhone came six years later and has gained millions of fans, thanks to its slick looks, high-resolution screen and intuitive software. There were 39 million iPhones sold in the first six months of this year.

Cook said the latest iPhone, which came out in June 2010, sold more quickly than previous models, but the iPhone remains just 5 percent of the worldwide handset market. Apple is hoping to grow that with a new model that is expected to include the company's latest mobile software, a faster processor, a better camera and improved email and Web-browsing capabilities.

"Today will remind you of the uniqueness of this company as we announce innovations from our mobile operating system to applications to services to hardware and more importantly, the integration of all of these into a powerful yet simple and integrated experience," Cook said before unveiling details about the new products.

Scott Forstall, Apple's senior vice president for iOS mobile software, outlined such new features as the ability to set up devices and sync contents wirelessly, without having to plug an iPhone to a Mac or Windows machine. Apple had announced them in June.

He said the new software, iOS 5, will be available Oct. 12 for the iPhone 4 and 3GS, both iPad models and later versions of the iPod Touch.

Apple said Oct. 12 will also mark the launch of its new iCloud service, which will store content such as music, documents, apps and photos on Apple's servers and let people access them wirelessly on numerous devices.

Apple's stock fell $2.35, or 0.6 percent, to $372.25 in afternoon trading Tuesday.