Toni Sacconaghi - Sanford Bernstein

That’s a good segue for the two things I wanted to just clarify with Steve. Steve, you mentioned a couple of times that you thought there were extraordinary opportunities for companies with cash. I think you could hire almost every engineer in Silicon Valley on a lifetime employment contract and not really dent that significant cash horde that you have. When you made that statement, are you suggesting that there are significant opportunities for Apple outside of Apple, specifically in terms of acquiring companies?

Steven P. Jobs

I just meant exactly what I said, which is I think there’s going to be some significant opportunities. I think hiring every engineer is Silicon Valley is a good idea, though. Thanks.

Toni Sacconaghi - Sanford Bernstein

And then you had also mentioned the price umbrella statement and you said look, certainly to be successful on iPhone, we don’t want to create a price umbrella. I think in response to another question, you also talked about extraordinary feature functionality in terms of your Mac products. Do you have the same philosophy around Mac as you do with iPhone that you have to be careful not to create an umbrella in each? So I guess the simple question is should we continue to see more affordable price points across the Mac product family and across iPhone going forward?

Steven P. Jobs

Well, I think what we want to do is deliver a lot, an increasing level of value to these customers. There are some customers which we choose not to serve. We don’t know how to make a $500 computer that’s not a piece of junk, and our DNA will not let us ship that. But we can continue to deliver greater and greater value to those customers that we choose to serve and there are a lot of them. And we’ve seen great success by focusing on certain segments of the market and not trying to be everything to everybody. So I think you can expect us to stick with that winning strategy and continuing to try to add more and more value to those products in those customer bases we choose to serve. Does that make sense to you?

Toni Sacconaghi - Sanford Bernstein

Yes, it does. I mean, I guess, if I could follow-up, you did in this case add more value in terms of feature functionality with your notebook by actually lowering the price. So you retained the features but lowered the price. Certainly in terms of the new notebooks, you retained the price and added more features.

Steven P. Jobs

Correct.

Toni Sacconaghi - Sanford Bernstein

Can we expect you to continue to attract more customers by doing both, both adding more features at the same price and lowering price and retaining the same features?

Steven P. Jobs

Well, we like to attract new customers but you will just have to wait and see.

Toni Sacconaghi - Sanford Bernstein

Thank you.

Nancy Paxton

Thank you, Toni. Could we have the next question, please?