The standoff comes as Apple nears an impressive benchmark.

THIS-MORNING-07

MORNING-07

smartphone is twelve thousand times more powerful than the original

McIntosh, capturing one image on the device`s camera means performing

twenty-four billion operations.>

MAN: Whoa. Oh, broken.

VINITA NAIR: Yeah. It`s a little hard to make out there. But you can see the packages just tumbling out. It`s a bit of package rage. A UPS driver in Hawaii, apparently, just couldn`t take it anymore. He`s captured on video throwing and kicking the packages in the back of his truck. Witnesses say he was upset because he couldn`t maneuver his truck in the tight loading dock area. UPS says that it`s taking corrective actions with that driver. Never want a temper tantrum captured on camera. No. Do you?

KRISTINE JOHNSON: Not.

ANTHONY MASON: I bet there a lot of those this time of year with UPS drivers.

VINITA NAIR: Welcome back to CBS THIS MORNING. Coming up in this half hour, Apple`s CEO Tim Cook says his company`s smartwatch has the potential to be huge. Ahead, moments you did not see on last night`s 60 MINUTES interview with Charlie Rose, including the importance of the iPhone to Apple.

KRISTINE JOHNSON: Plus, a vest may have helped save a skier`s life. He plummeted down a mountain Saturday, but avoided serious injury. We`ll show you how new airbag technology could change extreme sports. That`s ahead.

ANTHONY MASON: Time to show you some of this morning`s headlines.

The Atlanta Journal-Constitution reports on former President Jimmy Carter, teaching Sunday school just hours after the death of his grandson. Carter told his Georgia church how twenty-eight-year-old Jeremy Carter died.

PRESIDENT JIMMY CARTER: He got ready to eat supper. He thought-- he told his mother, he thought he would go lie down a while, so he went to his room and lay on the bed and she went to see if he was okay and his heart quit beating.

ANTHONY MASON: So sad. The cause of Jeremy Carter`s death is unknown.

VINITA NAIR: The Wall Street Journal says hackers from Iran infiltrated the control system of a dam near Rye, New York. It is less than twenty miles from New York City. The breach happened two years ago. The incident sparked concerns that reached the White House. The hackers did not take control of the dam but probed the system.

KRISTINE JOHNSON: Wall Street Journal also has the first interview with Martin Shkreli since his arrest. Shkreli pleaded not guilty after being taken into custody Thursday on securities fraud charges. He says he was targeted by prosecutors because of the much criticized, but unrelated drug price hike and his high-profile personality. The former drug company`s CEO calls the allegations baseless and without merit.

VINITA NAIR: Variety reports on Star Wars: The Force Awakens record- breaking opening weekend. The box office debut of the seventh episode of the science fiction saga was the biggest in North American history. Movie earned two hundred and thirty-eight million dollars domestically. Globally, the film took in five hundred and seventeen million dollars, just shy of Jurassic World`s record. Your son, Anthony was lucky.

ANTHONY MASON: Well, he loved it.

VINITA NAIR: He got to see it.

ANTHONY MASON: Yep.

VINITA NAIR: Yeah.

KRISTINE JOHNSON: Rave reviews about that movie.

ANTHONY MASON: Yep. All the early news is good.

KRISTINE JOHNSON: CBS New York reports on the Manhattan district attorney taking aim at Apple`s CEO over encryption after last night`s 60 MINUTES interview. Apple chief Tim Cook defended the technology in his conversation with Charlie Rose. Manhattan DA, Cyrus Vance says encryption protects criminals. He wants tech companies to give the government access to the information.

ANTHONY MASON: The standoff comes as Apple nears an impressive benchmark. Sales of the iPhone next year will reach one billion. The pioneering smartphone is twelve thousand times more powerful than the original McIntosh, capturing one image on the device`s camera means performing twenty-four billion operations. Here`s part of Charlie`s interview with Tim Cook that you did not see on last night`s broadcast.

(Begin VT)

CHARLIE ROSE: How important is the iPhone to Apple?

TIM COOK: It`s very important.

CHARLIE ROSE: It was more than that.

TIM COOK: It`s very important.

CHARLIE ROSE: Oh, come on. It`s more than that. It`s more than sixty percent of your revenue.

TIM COOK: Yes, yes.

CHARLIE ROSE: That`s more than very important.

TIM COOK: It`s incredibly important.

CHARLIE ROSE: Exactly, more.

TIM COOK: It`s incre--

CHARLIE ROSE: I mean it is the engine driving the company.

TIM COOK: Those--

CHARLIE ROSE: It is the engine driving the company.

TIM COOK: Well, those-- those other engines are pretty good, too.

CHARLIE ROSE: Yeah. But sixty percent of your revenue?

TIM COOK: Yes. It`s hugely important.

CHARLIE ROSE: You know what they say? Watch out for saturation. What do you say?

TIM COOK: We-- as I look at it, there is, you know, over a billion smartphones sold a year. There is about two billion mobile phones sold a year. And so there is still a lot more between the billion and the two billion. Also, smart-- the-- the-- the underlying technologies that-- that are possible in smartphones, things will get better and better and so I don`t think the smartphone is near the end of its life cycle. I think it`s closer to the beginning than I think--

CHARLIE ROSE: Mm-Hm.

TIM COOK: --it is the end. I do.

CHARLIE ROSE: Apple Watch. Does it have the potential, in your judgment, to be as significant a contributor to Apple as the iPhone?

TIM COOK: I think-- I think it has the potential to be huge. I`m not going to forecast, you know--

CHARLIE ROSE: Okay. But it`s of that dimension?

TIM COOK: But it`s huge.

CHARLIE ROSE: That`s a big bet on the part of Apple.

TIM COOK: We would have gone into it.

CHARLIE ROSE: It`s a big bet on the part of Apple that this can deliver way beyond what we might have imagined from a smartwatch?

TIM COOK: Sure. Because we-- when we place our emphasis on something, we not only decide what we are working on, but it means we didn`t work on something else. And so there is an opportunity cost of doing that. And so we are a big believer in wearable technology and the wrist in particular, and Apple Watch in particular.

(End VT)

ANTHONY MASON: Interesting to see how much upside he still believes there is in the smartphone. I mean, the beginning of its life cycle, he says.

VINITA NAIR: I know. That caught me, as well. It just makes you think, what could be next.

KRISTINE JOHNSON: What else is possible?

ANTHONY MASON: Yeah, yeah.

VINITA NAIR: We`ll stand in lines to get it, whatever it is, right?

KRISTINE JOHNSON: And try to understand it.

END

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