Apple’s incoming CEO John Ternus built his career in hardware, and had little involvement in the company’s services business. However, remarks Ternus reportedly made to Apple employees last week indicate services are set to continue growing at Apple.
This weekend in his Power On newsletter, Mark Gurman shared several John Ternus quotes from Apple’s employee town hall this past week.
Ternus reportedly praised the work of Apple’s services teams, and pledged to continue expanding that important business in the future.
Here are the future CEO’s words, per Gurman:
I’m in awe of what you all have done on the services side. I remember when there wasn’t much there, and there was sort of a plan to grow services. And every day I wake up and I kind of go through a series of using our services, whether it’s Apple Music or podcasts in the car, I pay for something with Apple Pay, iCloud is constantly being used to sync all my things, and on and on and on, and then ending the day usually with something on TV, on Apple TV. And it’s incredible.
And I think that’s the beauty of what we do, is we tie these things together. We have hardware, we have software, we have services. I mean, I think, Tim says this all the time, but I couldn’t agree more. And so I look forward to continuing to expand that and continuing to look for the kinds of services where we’re really finding the opportunities between the hardware and software.
And Apple Pay is an incredible one. I mean, we’ve just changed the way that commerce works and how people buy things, and what a perfect combination of all the things we have to offer. And I think there’s so much more opportunity there.
Tim Cook oversaw a significant expansion of the services business for Apple, which helped bolster the company when its product sales were flat or down.
With Ternus having expertise in hardware, it’s understandable that he would want to assure the teams inside Apple that services will remain a key business for the company.
What does “continuing to expand” services mean in practice? Probably just that Apple’s game plan for services isn’t really changing.
But we’ll learn in due time how the priorities at Apple might shift under its new leader.
Do you expect Apple’s services business to change at all with John Ternus as CEO? Let us know in the comments.
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