Touch technology help non-tech industries improve business, efficiency, and their bottom lines.

The SMART Table brings touch to masses and classes. Photo: SmartTech

We all oohed and aahed when Apple's (AAPL) iPhone came out because of how cool it was, especially its multi-touch capability that let us flick through photos and "pinch" and expand photos and websites.

Now, with Microsoft (MSFT) Windows 7 specially formatted for touch capabilities, and everyone from manufacturers to hotels touting their tough capabilities, we know human contact with computer screens is more than a gimmick — it’s here to stay.

Touch is already a big business — estimates indicate that sales will be more than $3.66 billion for this year and will catapult 145% to almost $10 billion in the next five years.

Only half of that revenue is coming from consumer electronics (i.e. cell phones, digital frames, etc.) — the rest is from retail, hospitality and more. What many people forget is that this 30-year-old technology has been integrated in non-tech industries for years — mainly as a way to improve efficiency, but never as a centerpiece.

So, we decided to take a look at the best of the rest and highlight the most innovative, business-savvy ways other industries are implementing touch technology — and helping improve their bottom line. More

Despite a hasty fix to repair the last update, reports of problems continue to pour in

Photo: Apple Inc.

Only hours after Apple (AAPL) released version 3.0 of the software that runs its Apple TV set-top box, complaints began appearing on its online discussion boards — the company's own early warning system for detecting major bugs.

By Saturday, Nov. 7, when Apple advised owners by e-mail to immediately update to version 3.01, the discussion topic TV 3.0 — Many Problems had drawn 134 posts and been read more than 10,000 times. A second topic, Apple TV lost all media, had 108 posts and more than 3,000 reads.

Unfortunately, update 3.01 addressed only the "lost all media" issue. The other problems — periodic freezes, random restarts, overheating, sluggishness, disappearing networks, screens going "blocky red" etc. — haven't gone away.

"3.0.1 has actually made things worse for me," wrote user "laozi" late Saturday evening. "Now iTunes won't see the AppleTV at all, and no combination of rebooting/resetting is helping. Totally stuck. Apple, please fix this."

Apple TV may be a "hobby" for Steve Jobs, but Apple's customers don't sound happy about being treated like hobbyists.

"I don't know about you," wrote a user who calls himself baron von benjamin, "but this is the most problem-prone upgrade to any hardware I've ever seen."

Below the fold: The e-mail Apple sent Apple TV owners Saturday afternoon.

More

The opening of a retail store near the Louvre draws huge crowds in Paris

Photo: Fabio M. Zambelli, setteB.IT

Who says Parisians are blasé? Tout Paris, it seems, turned out Saturday morning for the opening of Apple's (AAPL) first retail outlet in France. The video posted below the fold shows lines of shoppers that stretched for blocks.

Planning for the store, located in the Carrousel du Louvre, an upscale shopping mall beneath the Tuileries garden and adjacent to the museum, began more than two years ago. A second store in Montpelier was actually ready before this one, but its opening was postponed, according to ifoAppleStore, in deference to the City of Lights.

There are several videos of the event, including a four-minute version suggested by reader Rick in San Jose, Calif. But we've selected piratec.net's because it's been edited down to less than two minutes:

More

A rare visit with the man who designed the iMac, the iPod and the iPhone

Jonathan Ive. From Gary Hustwit's "Objectified."

"I guess it's one of the curses of what you do," says Jonathan Ive, Apple's senior vice president for industrial design, "is that you are constantly looking at something and thinking 'Why why why is it like that? Why is it like that and not like this?'"

Ive's five-minute appearance in Objectified is one of the centerpieces of Gary Hustwit's 2009 documentary about contemporary industrial design. It's a follow-up to Hustwit's amazing Helvetica (2007), the only full-length film about a typeface. Objectified may not be as surprising or groundbreaking, but it does feature this rare inside look at Apple's (AAPL) secretive design lab, an inner sanctum on the Cupertino campus only slightly less guarded than Fort Knox.

"I remember the first time I saw an Apple product," says Ive as the camera pans across a busy Apple Store. "I remember it so clearly because it was the first time I realized when I saw this product I got a very clear sense of the people who designed it and made it."

Below fold, unless Hustwit has pulled it, a YouTube clip of that video.

More

The Big Apple's newest Mac store is opening on the Upper West Side next Saturday

Source: Apple Inc.

Media invitations went out Friday for a press preview of the new Apple Store in Manhattan — the city's fourth — scheduled to be unveiled Saturday, Nov. 14.

The store, located on a nearly triangular site at Broadway and 67th Street, is well-positioned to get attention from the crowds and TV cameras heading for Central Park West to catch the Macy's Thanksgiving Day parade less than two weeks later.

New York City has been good to Apple (AAPL). The glass cube of its flagship store is believed to be the highest-grossing retail outlet on Fifth Avenue, bringing in an estimated $35,000 per square foot, nearly double the gross of Tiffany's sales floor and triple Harry Winston's, according to a New York real estate expert interviewed by Bloomberg reporters last summer.

Below the fold: Photographs showing the plastic faux curtain that's covering the building site and the curve of the store's unusual glass roof, courtesy of ifoAppleStore.com.

[Follow Philip Elmer-DeWitt on Twitter @philiped]

More

It has near-monopoly status and nimble, disruptive competitors. We’ve seen this movie before.

By Jay R. Galbraith, president and founder, Galbraith Management Consultants

Galbraith questions Microsoft's resolve to change. Image: Galbraith Management

The more I learn about the current situation in software, the more Microsoft’s position seems to mirror General Motors’ position in the auto industry a few decades ago. Like Microsoft (MSFT) today, GM was an icon in its industry, held a quasi-monopoly, produced eye-popping profits and was often distracted by antitrust lawsuits. When a company experiences this kind of environment over a couple of decades, it eventually loses its competitiveness. Of course, Microsoft would vigorously deny any such comparison. The top executives in Redmond, Wash., claim to be on top of the trends in the industry. They are confident they can develop all the software they will need to be competitive.

My concern is not with the leadership of Microsoft; I am sure Ray Ozzie, the chief technical officer, will stay on the cutting edge of the technology. But its 15,000 to 20,000 middle managers have never been through a downturn (assuming they’ve worked only at Microsoft). And to me, you are not a real company until you have been through a downturn. Growth and high margins are very good at covering up a company’s bad habits and unresolved issues. When a downturn hits, all of the flaws come to the surface and the company purges itself of its bad practices. A  3% decline in sales in 2008 – Microsoft’s first ever – during the worst recession in decades will not wake up Microsoft. The bad habits will persist. More

Microsoft moved a lot of install disks, but hardware makers got a bigger bump two years ago

Photo: Philip Elmer-DeWitt

When Microsoft (MSFT) launches a new operating system, as it did two weeks ago, PC manufacturers like Hewlett Packard (HPQ), Dell (DELL) and Acer are supposed to reap the benefits. And everything seemed to be in place on Thursday Oct. 22 for that to happen.

"Never before has the industry launched such a variety of new form factors, price points, technology upgrades, and design innovations at one time," wrote NPD's Stephen Baker just before Windows 7's release. "This past weekend I happened by a Best Buy store and there was not one single PC for sale with Vista on it. Lots of Windows 7 machines, however, all of which were marked 'not for sale until October 22.' Someone did a great job in the supply chain making this happen. This will give Win 7 a tremendous boost out of the gate." (link)

Two weeks later, Baker is singing a different tune. Microsoft got a big boost according to NPD's weekly tracking data, racking up sales of Windows 7 that were 234% higher than Vista's during its first few days of sales. (More on that below the fold.)

But PC makers didn't make out quite as well. Although they had a relatively strong week, with unit sales up 49% year over year and 95% from the week before, it was nothing like Vista's launch in Feb. 2007. Then, sales soared 68% year over year and 170% from the week before.

In a press release issued Thursday, Baker explained what happened:

More

How Apple's imperious, brilliant CEO transformed American business.

It's Steve's world, we just live in it.

How's this for a gripping corporate story line: Youthful founder gets booted from his company in the 1980s, returns in the 1990s, and in the following decade survives two brushes with death, one securities-law scandal, an also-ran product lineup, and his own often unpleasant demeanor to become the dominant personality in four distinct industries, a billionaire many times over, and CEO of the most valuable company in Silicon Valley.

Sound too far-fetched to be true? Perhaps. Yet it happens to be the real-life story of Steve Jobs and his outsize impact on everything he touches.

The past decade in business belongs to Jobs. What makes that simple statement even more remarkable is that barely a year ago it seemed likely that any review of his accomplishments would be valedictory. But by deeds and accounts, Jobs is back. Read the rest of the story here.