Tim Cook Isn't Leaving Anytime Soon [Gurman]

A new report from Bloomberg's Mark Gurman details Apple's leadership plans, indicating that CEO Tim Cook is likely to remain at the helm for at least another five years, despite the company's recent artificial intelligence struggles. The report also sheds light on a major executive overhaul underway, with longtime COO Jeff Williams retiring and his responsibilities being divided among other senior leaders.

The retirement of Jeff Williams, announced in July, leaves no immediate successor for the CEO role. Gurman notes that there have been no internal signs that Cook is preparing to leave, and the board of directors—described as Cook loyalists—is not pushing for a change. While Apple's shares are down 16% this year, they have surged approximately 1,500% since Cook took over in 2011.

While Cook bears responsibility for Apple's current challenges, including its AI missteps and a lack of breakthrough mainstream hardware, the board reportedly sees him as the only person to lead the company through them. Gurman reports that services chief Eddy Cue has warned internally that Apple risks becoming the next BlackBerry or Nokia if it doesn't adapt quickly.


A broader management shake-up is also in motion, with many of Apple's top executives now in their 60s. Recent departures include longtime hardware engineering leader Dan Riccio, while CFO Luca Maestri handed over the reins to Kevan Parekh in January. With Williams leaving, his duties are set to be divided. The design team, led by Alan Dye and Molly Anderson, will report directly to Cook. The watchOS and health software engineering teams will move to Craig Federighi's organization, while Fitness+ will likely shift to Eddy Cue's services group. AppleCare is expected to move under the new COO, Sabih Khan, who will also share oversight of the Greater China group with Cook.

The report also touches on the company's long-term succession plan. While Sabih Khan now holds the COO title, he is not seen as the clear heir apparent, lacking the broad experience Williams had. In the event of an emergency, a committee would likely run the company initially. Hardware engineering chief John Ternus remains the most plausible long-term successor to Cook, though Gurman notes his financial and operational experience is limited.

The report also suggests that to truly fix its AI problem, Apple may need to make a major acquisition, potentially of a startup like Perplexity, which has been the subject of internal acquisition discussions at Apple. However, Gurman notes that a bold play like acquiring a major AI company and grooming its CEO as a successor is not likely to happen.

For more updates on Apple's leadership, please download the iClarified app or follow iClarified on Twitter, Facebook, YouTube, and RSS.