Apple has ramped up its secretive CEO succession planning, preparing for the likelihood that Tim Cook could exit as early as next yr, based on a report.
Board members and senior executives have accelerated preparations in recent months as Cook, who turned 65 this month, weighs the top of a 14-year run that began after the death of co-founder Steve Jobs in 2011, the Financial Times reported.
The trouble has intensified to the purpose where an announcement could come sometime early next yr — with hardware engineering chief John Ternus emerging because the leading contender, based on the report, which cited unnamed sources.
Apple finds itself at a crossroads because it searches for growth beyond the iPhone. The Vision Pro headset fell in need of sales targets, with projections cut in half, and the corporate has pushed back its AI-powered Siri to 2026 as rivals like Microsoft and Google speed up their artificial intelligence efforts.
Ternus, 50, joined Apple’s product design team in 2001 and rose steadily through senior roles in the corporate’s hardware division. He eventually became a vp in 2013, taking charge of hardware engineering several years later. In 2021, he joined the corporate’s executive team.
Ternus, a former champion swimmer, reigns over a portfolio that features the iPhone, iPad, Mac and AirPods. He also played a central role within the high-stakes shift from Intel processors to the corporate’s in-house Apple silicon chips.
In recent times, Ternus has also turn into a well-recognized presence at major launch events. Ternus has been described as an executive who’s “charismatic and well-regarded by Apple loyalists” and who’s trusted by Cook, who has granted Ternus more responsibilities, based on Bloomberg News.
While Ternus is viewed by many as the favourite, no decision has been made, based on the FT.
Dan Ives, head of technology research at Wedbush Securities, sounded skeptical that Cook would step down anytime inside the following two years.
“I don’t see Cook leaving his CEO perch… til at the least… 2027? And potentially later,” Ives told The Post.
Ives, who called the suggestion within the FT report of a change at the highest a “head-scratcher,” said it’s likely Cook stays for the foreseeable future “given our view that the AI strategy is front and center for him to construct…and he’s not gonna hand the keys to the castle without the AI strategy fully in motion.”
If Ternus does ascend to the highest role, he could have significant shoes to fill.
Under Cook, Apple’s market capitalization exploded tenfold — from about $350 billion in 2011 to $4 trillion today.
The corporate became the primary publicly traded US firm to be valued at $1 trillion in 2018, and it crossed the $2 trillion mark just two years later.
While Jobs was considered a visionary who focused on innovation and design, Cook, who was his operations chief, proved to be a master of efficiency and provide chain operations — allowing Apple to scale its global empire and maintain its dominance.
Cook has also been credited for the successful rollout of accessory products reminiscent of Apple Watch in 2015 and AirPods in 2016.
He also engineered the corporate’s massive and highly profitable pivot to services, reminiscent of the App Store, Apple Music, iCloud and the Apple TV+ streaming service.
The services division grew from slightly below $3 billion in fiscal 2011 to greater than $96 billion in 2024, providing a gradual revenue stream to offset slowing iPhone growth.
Cook himself has confirmed the existence of strong succession plans, though he has remained tight-lipped on timing.
“We’re an organization that believes in working on succession plans, so we’ve very detailed succession plans,” Cook told singer Dua Lipa on a podcast in November 2023.
“Because something unpredictable can all the time occur.”
He has also made his preference clear for a successor from inside the company’s ranks.
“I actually need the person to return from inside Apple, the following CEO,” Cook stated in the identical interview.
“In order that’s my role: That there’s several for the board to choose from.”
Despite the intensified planning, Cook has signaled he will not be in a rush to depart.
“I adore it,” he said when asked to reflect on greater than 1 / 4 century on the Cupertino-based company.
“I can’t envision my life without being there so I’ll be there some time,” he told Lipa.
While Apple’s stock is trading near an all-time high, its 12% rise this yr has lagged behind tech rivals like Microsoft and Nvidia, whose valuations have been supercharged by Wall Street’s frenzy over artificial intelligence.
The Post has sought comment from Apple.
Apple has ramped up its secretive CEO succession planning, preparing for the likelihood that Tim Cook could exit as early as next yr, based on a report.
Board members and senior executives have accelerated preparations in recent months as Cook, who turned 65 this month, weighs the top of a 14-year run that began after the death of co-founder Steve Jobs in 2011, the Financial Times reported.
The trouble has intensified to the purpose where an announcement could come sometime early next yr — with hardware engineering chief John Ternus emerging because the leading contender, based on the report, which cited unnamed sources.
Apple finds itself at a crossroads because it searches for growth beyond the iPhone. The Vision Pro headset fell in need of sales targets, with projections cut in half, and the corporate has pushed back its AI-powered Siri to 2026 as rivals like Microsoft and Google speed up their artificial intelligence efforts.
Ternus, 50, joined Apple’s product design team in 2001 and rose steadily through senior roles in the corporate’s hardware division. He eventually became a vp in 2013, taking charge of hardware engineering several years later. In 2021, he joined the corporate’s executive team.
Ternus, a former champion swimmer, reigns over a portfolio that features the iPhone, iPad, Mac and AirPods. He also played a central role within the high-stakes shift from Intel processors to the corporate’s in-house Apple silicon chips.
In recent times, Ternus has also turn into a well-recognized presence at major launch events. Ternus has been described as an executive who’s “charismatic and well-regarded by Apple loyalists” and who’s trusted by Cook, who has granted Ternus more responsibilities, based on Bloomberg News.
While Ternus is viewed by many as the favourite, no decision has been made, based on the FT.
Dan Ives, head of technology research at Wedbush Securities, sounded skeptical that Cook would step down anytime inside the following two years.
“I don’t see Cook leaving his CEO perch… til at the least… 2027? And potentially later,” Ives told The Post.
Ives, who called the suggestion within the FT report of a change at the highest a “head-scratcher,” said it’s likely Cook stays for the foreseeable future “given our view that the AI strategy is front and center for him to construct…and he’s not gonna hand the keys to the castle without the AI strategy fully in motion.”
If Ternus does ascend to the highest role, he could have significant shoes to fill.
Under Cook, Apple’s market capitalization exploded tenfold — from about $350 billion in 2011 to $4 trillion today.
The corporate became the primary publicly traded US firm to be valued at $1 trillion in 2018, and it crossed the $2 trillion mark just two years later.
While Jobs was considered a visionary who focused on innovation and design, Cook, who was his operations chief, proved to be a master of efficiency and provide chain operations — allowing Apple to scale its global empire and maintain its dominance.
Cook has also been credited for the successful rollout of accessory products reminiscent of Apple Watch in 2015 and AirPods in 2016.
He also engineered the corporate’s massive and highly profitable pivot to services, reminiscent of the App Store, Apple Music, iCloud and the Apple TV+ streaming service.
The services division grew from slightly below $3 billion in fiscal 2011 to greater than $96 billion in 2024, providing a gradual revenue stream to offset slowing iPhone growth.
Cook himself has confirmed the existence of strong succession plans, though he has remained tight-lipped on timing.
“We’re an organization that believes in working on succession plans, so we’ve very detailed succession plans,” Cook told singer Dua Lipa on a podcast in November 2023.
“Because something unpredictable can all the time occur.”
He has also made his preference clear for a successor from inside the company’s ranks.
“I actually need the person to return from inside Apple, the following CEO,” Cook stated in the identical interview.
“In order that’s my role: That there’s several for the board to choose from.”
Despite the intensified planning, Cook has signaled he will not be in a rush to depart.
“I adore it,” he said when asked to reflect on greater than 1 / 4 century on the Cupertino-based company.
“I can’t envision my life without being there so I’ll be there some time,” he told Lipa.
While Apple’s stock is trading near an all-time high, its 12% rise this yr has lagged behind tech rivals like Microsoft and Nvidia, whose valuations have been supercharged by Wall Street’s frenzy over artificial intelligence.
The Post has sought comment from Apple.
