Apple Chief Executive Steve Jobs, whose biggest hit since returning to the company was the original iMac released more than three years ago, plans to target both iMac owners ready to upgrade to a faster, better-looking system and new computer users.

Innovation has kept Apple going, but it hasn't delivered hoped- for growth against the Microsoft desktop monopoly in commodity PCs. Apple's market share has fallen to under 5% in the last few years, even as it introduced fresh and useful hardware and software.

C1 Redesigned iMac: Steve Jobs, chairman and CEO of Apple Computer, shows off the latest iMac computer, which has a flat- screen monitor. C2; PHOTOGRAPHER: ROBERT DURELL / Los Angeles Times