Key Takeaways
- Tim Cook has worked at Apple for nearly three decades, starting as senior vice president of operations in 1998.
- Cook, who has been CEO of Apple since 2011, could be preparing to step down as early as next year, according to a new report.
- John Ternus, Apple’s senior vice president of hardware engineering, is considered Cook’s most likely successor.
Apple’s longtime CEO could be preparing to leave.
A recent report from The Financial Times indicates that Apple CEO Tim Cook could step down as early as next year, with preparations for his succession accelerating within the company. Cook, 65, has been CEO of Apple since 2011, but has worked at the company even longer, starting off as senior vice president of operations in 1998.
Apple’s board of directors and senior executives have “recently intensified” their succession planning, according to the report. John Ternus, 50, Apple’s senior vice president of hardware engineering, is widely seen as the person most likely to succeed Cook, though “no final decisions have been made,” and the timing of any announcement may still change, per the FT.
Related: New Apple Tech Will Translate Languages During Conversations in Real Time
The preparations for succession are not related to Apple’s current business performance, which is expected to be strong going into the end-of-year sales period for the iPhone. Apple is unlikely to name a new CEO before its next earnings report in late January, which encompasses the essential holiday period, per the FT. Apple is expecting revenue growth of 10% to 12% for the holiday quarter ending in December, sparked by the iPhone 17 release in September, per the outlet.
If appointed CEO, Ternus would be charged with helping Apple break into AI and keep up with other tech giants. According to Fortune, Apple has been under scrutiny this year for not having a clear AI strategy. The company’s AI-enabled Siri, which was supposed to come out this year, has been delayed until 2026 or later due to technical issues.
Other longtime Apple executives have recently transitioned away from the company. Jeff Williams, Apple’s former chief operating officer, retired last week after overseeing Apple’s operations for a decade. Cook said the following about Williams: “Apple wouldn’t be what it is without him. He’s helped to create one of the most respected global supply chains in the world.”
Related: How Much Does Apple Pay Its Employees?
Meanwhile, former Apple CFO Luca Maestri transitioned to the role of vice president of corporate services in January. Cook said in an earnings call last year that he was “deeply grateful” for Maestri’s “truly exceptional work in shaping Apple as we know it today.” Maestri became CFO in 2014 and has overseen Apple’s growth over the past decade. Under his leadership, Apple’s market capitalization grew from $700 billion in 2014 to $3.69 trillion in January. Apple crossed the $4 trillion mark for the first time last month.
Apple’s new CFO is Kevan Parekh, who has been with the company for over a decade.
For its fiscal fourth quarter, Apple generated record revenue of $102.5 billion, “including a September quarter revenue record for iPhone and an all-time revenue record for services,” Cook said in a statement. The company saw revenue reach $416 billion for the fiscal year, an all-time high.
Key Takeaways
- Tim Cook has worked at Apple for nearly three decades, starting as senior vice president of operations in 1998.
- Cook, who has been CEO of Apple since 2011, could be preparing to step down as early as next year, according to a new report.
- John Ternus, Apple’s senior vice president of hardware engineering, is considered Cook’s most likely successor.
Apple’s longtime CEO could be preparing to leave.
A recent report from The Financial Times indicates that Apple CEO Tim Cook could step down as early as next year, with preparations for his succession accelerating within the company. Cook, 65, has been CEO of Apple since 2011, but has worked at the company even longer, starting off as senior vice president of operations in 1998.
The rest of this article is locked.
Join Entrepreneur+ today for access.
Read the full article here
