What to Expect from Apple Inc. (AAPL)’s WWDC

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Shares of Pandora plunged on Monday. Given that so many Pandora users are also iPhone owners, a default radio application built into the iPhone could lead many Pandora users to defect.

If Apple’s iRadio is as planned, expect Pandora shares to fall further. However, if iRadio is delayed, or does not look appealing, Pandora shares will likely recover.

As for Apple itself, iRadio isn’t likely to be a game-changing product, but it is a necessary development. The rise of streaming music services are increasingly pressuring the iTunes music purchasing paradigm, and Apple Inc. (NASDAQ:AAPL) needs to do something to defend its business model.

Could there be a surprise waiting in the wings?

Apple isn’t expected to launch a new product next week. CEO Tim Cook has said that the company’s new products are coming this fall and next year.

But, if investors are looking for a short-term pop in Apple shares, a new product announcement would do it. It’s been over six months since Apple unveiled the iPad Mini, its last major product announcement.

New products would be unexpected, and would definitely generate some positive buzz. Possible products could include a TV, a cheaper iPhone, and the iPhone 5S (or 6).

The importance of Apple’s WWDC

Historically, Apple’s WWDC has brought many major announcements. Past WWDCs have been used to announce Apple’s move to Intel Corporation (NASDAQ:INTC) (2005), the launch of the app store (2008), and the Macbook Pro with Retina display (2012).

This year ought to be no different. Anyone invested in Apple Inc. (NASDAQ:AAPL), or any related tech companies, should keep a close eye on the event.

Joe Kurtz has no position in any stocks mentioned. The Motley Fool recommends Apple and Google. The Motley Fool owns shares of Apple and Google.

The article What to Expect from Apple’s WWDC originally appeared on Fool.com.

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