Apple CEO John Ternus plans leaner structure and faster product releases
Apple CEO John Ternus is planning an overhaul aimed at making the company faster and leaner. Bloomberg reports that the proposals include more frequent product releases, cuts to some middle-management roles and expanded services revenue.
A forecast as of publication. An announcement and on-sale availability require separate confirmation.
Apple CEO John Ternus is planning an overhaul intended to make the company faster and leaner, Bloomberg reports.
The proposals include releasing more products throughout the year instead of relying mainly on the traditional spring and fall cycle. Ternus also wants Apple to take a more experimental approach.
Cuts in hardware engineering
According to Bloomberg, Apple has dismissed a number of engineering program managers in its hardware engineering division over the past two weeks. The cuts included roughly half a dozen directors, one of the company’s most senior employee levels.
Those managers had coordinated development timelines and work across teams for decades. They were given weeks to find other roles within Apple; employees who do not secure new positions could be laid off later this year.
Ternus has advocated a smaller organization for years. While leading hardware engineering, he urged employees to hire fewer people, demand more from existing engineers and reduce organizational layers.
Services and support automation
Bloomberg also reports that Apple scrapped a summer plan to lay off 5,000 AppleCare employees, believing AI-powered agents could handle their responsibilities.
At the same time, Ternus, services chief Eddy Cue and CFO Kevan Parekh have discussed launching new services and generating more revenue from existing products and offerings.
People familiar with the situation told Bloomberg that managers in product-development groups are being pushed to deliver more products, more frequently and on shorter timelines. The report describes the current atmosphere inside Apple as hectic.
What we know
- John Ternus is planning an Apple overhaul focused on faster development and a leaner structure.
- Apple may release products more frequently throughout the year instead of following its usual spring-fall cycle.
- The hardware engineering division has cut several engineering program managers, including about six directors.
- Employees who do not find other roles inside Apple could be laid off later this year.
- Apple is discussing new services and higher revenue from existing offerings.
Trust: Single source
- The story relies on one publisher. A second independent confirmation has not been established from the cited sources.
- Sources: 9to5Mac.
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