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WWDC Preview: Apple's Cook, To Show Ive-Inspired iOS, Needs To Impress

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Tim Cook has already promised to unveil new versions of Apple ’s operating systems — iOS for the iPhone and OS X for its computers – at the company’s Worldwide Developers Conference, which kicks off today in San Francisco.

But opinions vary as to what else might Apple’s CEO introduce when he steps on stage. Where the pundits are in agreement is that Apple needs to impress if it wants to keep its title as most innovative technology company – and if wants to continue holding sway with the developers who create apps for its devices and may be thinking of putting more time into Google ’s rival Android OS.

“Apple needs to demonstrate that it still has the ability to innovate and invent products that consumers don't know that they need or want yet,” said Van Baker, an analyst with Gartner. “This is the hallmark of Apple.”

Apple hasn’t unveiled a new product since its Oct. 23 introduction of the iPad mini, with critics saying the unprecedented 230-day “drought” between product rollouts may be a sign it has lost its way without visionary co-founder Steve Jobs to drive innovation. Apple’s stock has lost a third of its value from a high of $702.10 in September, a situation even Cook, who celebrates his second anniversary as Apple’s CEO in August, has described as frustrating. Cook said last month at the AllThingsD conference that his team is at work on some “game changers” -- new products that may push Apple into new categories such as smart TVs and wearable computing devices – though he declined to say what those products may be.

While an interactive TV, smartwatch and a new iPhone aren’t expected today, Cook has an opportunity with the new iOS 7 software and new services including a streaming-music service already dubbed iRadio by company watchers to shift attention away from concerns about shrinking profit margins, lackluster iPhone sales and increased competition from rivals like Google and Samsung.

“The significance of this event lies in new software and services that should be previewed – and whether these initiatives start to change the ‘narrative’ for Apple,” said Ben Reitzes, an analyst with  UBS . WWDC “ is key in terms of showing that the ecosystem remains strong over the long term and warrants premium-priced Apple products.”

WWDC, a five-day confab that typically draws more than 5,000 developers, is usually a showcase for Apple’s software. The next-generation of iOS, which powers mobile devices including the iPhone and iPad, and OS X for the Mac, will be the first versions overseen by design chief Jony Ive. He was put in charge of “human interface” in addition to industrial design back in October when Cook booted iOS chief Scott Forstall over the error-prone Maps App in iOS 6. Apple rumor sites have been saying for weeks that Ive has undertaken a major redesign of iOS, with the software featuring a new “flat” black and white interface that replaces the texture-heavy interface (skeuomorphic) interface and physical metaphors preferred by former CEO Steve Jobs and Forstall. What does that mean? Say goodbye to icons like the yellow notebook pad and the wooden bookcase.

After Cook said last month that Apple would “open up more” when asked about giving developers access to its iPhone software, app creators are counting on being able to build custom keyboards for the iPhone and programs that tap into Apple’s Siri voice recognition software.

The Mac faithful are also hoping for the long-promised update to the Mac Pro desktop, a high-powered workstation that could be assembled in the U.S. later this year. Apple may also update its MacBook notebooks with faster new processors from  Intel .

As for the new iPhone 5S (or iPhone 6) and a possible lower-cost model of the iPhone, Apple will likely hold another product introduction later this year. “Since Apple derives the majority of its revenue from iOS devices, iOS will be center stage,” said Charles Golvin, an analyst with Forrester. “iPhones will wait until the fall.”

Apple’s WWDC keynote starts at 10am California time. I’ll be covering it live so check back here to see my play-by-play of the event.