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In brief
- Tim Cook will step down as CEO in September, marking the end of a 15-year term.
- His replacement will be Apple hardware chief John Ternus, who has a reputation for sharp product ideas and design.
Apple has announced that John Ternus, a seasoned executive within the company, will take over as its new CEO. Ternus, who has been instrumental in the development of Apple’s hardware division, is set to lead the tech giant into a new era marked by advancements in artificial intelligence, succeeding Tim Cook in this pivotal role.
Since joining Apple in 2001, Ternus has made significant contributions to the company, particularly in reviving the popularity of Apple’s Mac computers. Under his leadership, these products have seen a notable increase in market share, becoming a crucial part of Apple’s diverse product lineup.
The appointment of Ternus signals a strategic shift for Apple from focusing on supply chain expertise, which was a hallmark of Cook’s leadership, to emphasizing design and product innovation. Ternus’s background aligns with this new focus, reflecting a commitment to advancing Apple’s legacy of cutting-edge technology and aesthetics.
At 50, Ternus mirrors the age Tim Cook was when he first took the helm from Apple’s iconic co-founder, Steve Jobs. This transition has been anticipated, with Ternus often regarded as Cook’s natural successor, set to continue steering the company forward.
Despite maintaining a relatively low profile, Ternus has been a driving force behind the creation of popular Apple products such as the iPad and AirPods, which are now staples in the tech world. His influence has been quietly transformative, shaping the way consumers interact with technology today.
He has also helped sharpen the distinctions among Apple’s product lines by introducing “Pro” models of Macs and iPhones that pushed their technological capabilities and prices to new heights, while also introducing offerings such as the MacBook Neo and iPhone “e” models at some of Apple’s lowest-ever prices.
He most recently showed the company’s iPhone Air last autumn, the biggest revamp of the iPhone since 2017 and a key proving ground for several new chips.
Ternus faces several challenges
Ternus will be tasked with helping Apple navigate a technology landscape upended by AI, after losing its crown as the world’s most valuable company to Nvidia.
Nvidia has announced its own personal computer and is working on chips that can power laptops.
Ternus will also have to fend off rivals such as Meta, whose augmented-reality glasses have become a surprise hit with just a fraction of the capabilities — and price tag — of Apple’s Vision Pro headset.
“The promotion of Mr Ternus indicates the company will focus on new hardware devices such as folding phones, glasses, VR devices and AI pins,” said Gil Luria, managing director of financial services company DA Davidson & Co.
Perhaps the biggest challenge Ternus will face is how to integrate AI into the iPhone — the most successful consumer product in history — and the rest of Apple’s lineup.
Earlier this year, Apple struck a deal with its longtime rival in smartphones, Alphabet’s Google, to use Google’s Gemini to try to improve its Siri virtual assistant.
Despite introducing a form of artificial intelligence to the public imagination in 2011 with Siri, Apple hasn’t yet scored a hardware or software product hit centred on new AI technologies, while emerging rivals such as OpenAI have attracted hundreds of millions of users.
“I expect his biggest challenge and efforts will be focused on getting a better AI story and offering together that relies more on Apple’s own capabilities and less on third parties,” Bob O’Donnell, head of tech consulting firm TECHAnalysis Research, said.
Cook will become the company’s executive chairman on 1 September, Apple said in a statement.
Apple stock has soared twentyfold since Cook took over as CEO in August 2011.
Cook, who presented a custom golden plaque to United States President Donald Trump will also continue to engage with policymakers, the company said.
Ben Bajarin, CEO of technology consulting firm Creative Strategies, said Ternus is well-liked within Apple “and will bring fresh energy”.
Separately, Apple said that Johny Srouji, who has overseen Apple’s custom chip and sensor designs, has been named chief hardware officer.
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