John Ternus took over the role of Apple CEO this year. While Ternus was reportedly making headlines for replacing nearly 5,000 AppleCare employees with AI agents, a new report from Bloomberg has suggested that he has postponed the plans. However, smaller job cuts and budget reductions may remain under consideration.
John Ternus Wants Apple To Become More Engineering-Focused
According to the report, Apple is reviewing how it develops products and makes decisions. One of the areas under the review is reducing layers of middle management, which might have allowed engineers to communicate more directly with senior executives.
More importantly, the report highlights that Ternus wants to change how the traditional product launch works. Rather than relying heavily on its usual spring and autumn launch plans, Apple may introduce new products more frequently.
A more continuous launch schedule could allow Apple to release devices throughout the year rather than concentrating announcements within specific periods. This reported shift could be a part of Ternus’ product development process. However, the company has not officially announced any changes to its launch calendar.
What The Changes Mean For Apple’s Future
The reported restructuring comes as Apple looks for ways to improve efficiency, generate more revenue from its existing products and identify new growth opportunities. Ternus’ appointment marks a leadership transition for the company after Cook’s long tenure as CEO. Apple announced the succession in April, naming Ternus as Cook’s successor.
At his first major Apple product event as CEO, Ternus highlighted the iPhone’s role in the company’s artificial intelligence strategy and introduced the latest hardware lineup, including the iPhone Duo.
The alleged decision to drop the proposed large-scale AppleCare layoffs, while continuing to consider smaller cuts and budget reductions, indicates that the reported restructuring is not limited to reducing headcount. Apple’s focus also reportedly includes changing how teams work, simplifying decision-making and speeding up the process of new product launches.
