New era for Apple as names new boss to replace Tim Cook after 15 years — BBC News

[0:00] Now let's talk about Apple. It has announced its chief executive, Tim Cook, is stepping down in [0:06] September after 15 years in the top job. He'll be replaced by John Ternus, who is currently [0:12] president of hardware engineering and oversees all of Apple's physical products like the iPhone [0:19] and the iPad. Mr. Cook will become the executive chairman of the company's board. He said [0:25] leading Apple has been the greatest privilege of his life. Lily Jamali has more details. [0:34] Tim Cook has held the top job at Apple since 2011 when legendary co-founder Steve Jobs stepped [0:40] down due to health reasons. A huge day for Apple. And Tim Cook has always been seen as a steady hand, [0:46] somebody who helped remake Apple's supply chain to center much of it in China. Since he's been at [0:53] the helm, the company has released the Apple Watch and AirPods. They have moved more deeply into [0:59] services, but there also have been some notable flops, including the Apple Vision Pro, which never [1:05] quite took off. Still, since Cook has been CEO, the company has gone from a $350 billion market cap [1:13] to a $4 trillion market cap. So it is one of the most important companies easily in Silicon Valley. [1:20] He has also successfully navigated two administrations of U.S. President Donald Trump, navigating Trump's [1:28] tariff wars and geopolitical tensions between the U.S. and China. That has actually drawn some criticism [1:34] from people who say that Tim Cook has been too cozy with the current U.S. president. [1:41] John Turnus, on the other hand, is a new face to many people outside of Apple, but he's actually spent [1:47] about half of his life at the company. He's currently the senior vice president for hardware [1:52] engineering. And when you think of Apple, you think of hardware. He has been instrumental in [1:58] the company's telling of things in the release of products like the iPad and AirPods. He has also been [2:04] there for new generations of the iPhone, which is, of course, Apple's most important product. The question [2:10] is, will John Turnus make big, bold decisions? And can he help Apple introduce that next blockbuster [2:18] product that will make the company as culturally relevant as it once was? [2:23] Well, let's unpack that with Sunaina Sinhar-Haldea, who's Global Head of Private Capital Advisory at [2:29] Raymond James. Morning, Sunaina. I do remember when Tim Cook took over from Steve Jobs, and you just think, [2:36] oh, man, those are huge shoes to fill. And I would say for John Turnus, it's a similar scenario, [2:43] would you? Indeed. He does have gigantic shoes to fill. There's not that many CEOs that can almost [2:51] 10 times, 11 times the valuation of a $350 billion company that he inherited from a legendary founder [2:58] like Steve Jobs. But that's what Tim Cook did. And you're looking at one of the most valuable public [3:04] companies on the planet in Apple. But John has a huge task ahead of him, which is the pivot to AI. [3:11] Apple has been said to have been left behind in this AI reinvention of tech companies. And it's done [3:19] this major deal with Google's Gemini now. And it's up to John to roll that out and stay ahead of the [3:24] zeitgeist when it comes to AI. And how do you do that when you're the CEO of such an enormous [3:32] company? I mean, Lily was just pointing out what that does involve, which includes geopolitics. [3:38] I mean, Tim Cook was criticised to a degree for being cosy with President Trump. But isn't that [3:45] true with all the tech bros? It's kind of the way they've had to be. [3:48] Indeed, because they're so influential that that influence gets them unique access. And they're [3:55] able to use that access to, of course, advance their own company's agendas, but also to be able [4:01] to influence policy. And that's what they all have the opportunity to do. The question is, [4:06] how do they use that opportunity and that access that's given to them by the influence of their [4:11] products? And John will have that and more. But the world in tech is changing so fast. Apple has done [4:18] an incredible job under Tim Cook of making it part of all of our zeitgeist, guys, from products to [4:25] content to subscription to wearables. It's part of our healthcare routines for many people who use [4:31] the Apple Watch and so on. The question for John is, how do we continue to maintain that market share, [4:37] but also stay up with all the AI invention that's happening and the move towards being smarter and [4:44] more intelligent in those products? That is a huge task. But given that he's been at the forefront [4:50] of that innovation at Apple for most of his career, I think he sounds like the Apple board is convinced [4:57] that he's up for it. Yeah, I was going to say, I mean, succession is so important. Successful [5:01] transition from one CEO to another. And Apple have done this with Tim Cook already. And I'm guessing [5:09] that they have been preparing for this for quite some time. I mean, he's been known as the man [5:14] John Ternis that will be taking over for a little while. Indeed. And I think all boards do a slow [5:21] and methodical succession that want that succession to be successful. And that's what Apple's chosen to [5:27] do. Tim Cook isn't going anywhere. He's stepping into an exec chair role. Exec chair by definition [5:33] means incredibly active in that role for a period of time before he hands the reins completely over. [5:39] So it is a gradual, very thoughtful succession at Apple. [5:44] Sunayna, thanks for your time. We'll see you again soon. Sunayna Sinha Chaldea there from Raymond James.