The John Ternus era begins at Apple

John Ternus, left, with Tim Cook

When Tim Cook took over as Apple’s CEO, he did not try to fill the big shoes of its legendary founder and product visionary Steve Jobs. Instead, he took Jobs’s advice: “Never ask what I would do, just do the right thing.”

Fifteen years on, having taken the iPhone maker from a US$350-billion company to a more than $4.5-trillion behemoth, Cook will pass the baton to Apple hardware chief John Ternus, who will steering the company in the AI era.Apple CEO succession; Tim Cook executive chairman; Apple AI strategy; Apple manufacturing India

Cook will become executive chairman on 1 September, guiding Apple’s dealings with policymakers amid tense relations between its home market US and China, where many of its products are made.

The transition caps one of the most consequential CEO tenures ever.

Unlike Jobs’s product design genius, Cook ascended the Apple ladder by making the company’s supply chain the envy of every manufacturer. As CEO, Cook used this operations-first mindset to take Apple’s cutting-edge products to the masses.

In a perfect example of his business acumen, Cook understood Apple could make money from the customer long after the iPhone sale, turning the 2.5 billion installed iPhone user base into a recurring revenue machine. That business has outpaced growth in the company’s hardware business in recent years.

Apple’s annual sales rose from $108-billion at the start of Cook’s tenure to $416-billion in the last fiscal year, while profit grew more than fourfold to $112-billion.

‘Dependency flywheel’

Its wearables business, home to Cook-era iPhone accessories such as the Apple Watch and AirPods, brought in $35-billion in sales in fiscal 2025.

“Not only did Cook create his own path of operational and supply chain success but, he also created a ‘values-driven’ culture within Apple,” said Christopher Brown, a financial ​adviser at private wealth management firm Synovus ⁠Securities, which holds the iPhone maker’s shares. “What followed was a consumer brand loyalty and dependency flywheel that generated trillions of dollars in revenue.”

Critics have long accused Apple of losing its innovation edge in the Cook era. Cook, they say, has failed to answer what comes after the iPhone, as hardware rivals look to displace the smartphone as the default consumer device.

Read: John Ternus and the battle for Apple’s soul

Cook’s tenure had other misses: a decade-long EV project Apple scrapped in 2024 just as they took off in China. The company also famously botched the launch of Apple Maps in 2012, months after Cook took charge, leading to the departure of close Jobs collaborator and software chief Scott Forstall.

Apple’s bet on the Vision Pro augmented reality headset, which debuted at a whopping $3 499 in 2023, failed to produce strong sales, and its products have lagged in AI features, including delays in revamping Siri.

John Ternus took the reins on 1 September

“AI is the single biggest challenge for Ternus. Apple needs to demonstrate that AI will be more than an app on the iPhone, more than Siri,” said Brian Mulberry, chief market strategist at Zacks Investment Management, which owns Apple stock.

“Beyond AI, the pressure to continue to remove manufacturing from China without pressuring margins is a tall task to undertake but part of that process is already underway,” he said.

Apple’s dependence on China delivered decades of manufacturing efficiency, but rising Sino-US tensions, tariffs and supply-chain disruptions exposed the risks of concentrating production in a single country, prompting the iPhone maker to expand manufacturing in India and other countries.

Apple recast

Those moves, including making most US-bound iPhones in India by the end of 2026 and assembling certain devices such as AirPods and iPads in Vietnam, have helped Apple better navigate the tariff storm that disrupted businesses across the US.

Cook elevated a broader leadership team and recast Apple as an institution, giving himself room to focus on strategy and resource allocation while keeping a lower public profile, said Bill Birmingham, managing director at REX Financial. “This gave Cook space to make unpopular decisions and even be ruthless out of the spotlight.” — Aditya Soni, (c) 2026 Reuters

• Subscribe to TechCentral’s daily newsletter
• Get breaking news alerts on WhatsApp