Tuesday 29 January 2013

Apple After Seventeen Months of Tim Cook

You already know what this is. An assessment of Tim Cook as CEO of Apple. So how has he fared? Well that’s the point of this article. His suitability for the role of CEO has always been debated and popular opinion is that he is no Steve Jobs. While this is true in both good and bad ways, I think it is unfair to compare him to his predecessor at the slightest opportunity. Some say he is doing extremely well on account on the company’s balance sheet. Others say he just hasn’t had enough time to mess things up yet. And where do I stand? Well it’s a 50-50 situation but recent events have me leaning towards the latter view.

While Mr. Cook has gotten a lot of things right, he has gotten a whole lot wrong. And this is after he has had time to settle into the role of CEO. The truth is that the buck stops at his table and under his watch, Apple has made many grave missteps. Like I said in a previous post, the whole Apple Maps debacle is his fault. Its faults and flaws were too great and numerous to have gone unnoticed at Apple and the buck stops at his table. On the issue of the inhumane working conditions at Foxconn, I think his hasty trip to the factories was just cosmetic and an attempt at damage control. The conditions at Foxconn had already been widely publicised when he was COO and let’s not forget that it was he who suggested moving production to China in the first place and he did so for good reason: cheap labour. But he has since made commendable efforts at ensuring some decency as exemplified in their recent firing of a supplier and hiring agency that used underage workers.

Also since he has been CEO, Apple the trailblazer is beginning to play catch up in a number of vital areas. Their decision to go widescreen with the iPhone 5 was welcomed with a sigh of relief. However, the company is still making its tablets in the old 4:3 letterbox format. They say letterbox is better for reading ebooks. This is particular amusing considering that their laptops and desktops can also display ebooks and are made in the widescreen format. A device pegged as a 21st century multimedia device with a letterbox screen. Go figure.

They have also decided to shun Near Field Communications (NFC) and go with their limited Passbook solution instead. They have done this despite the greater potential of NFC and the fact that NFC is gathering steam and has widespread appeal. They have also refused to make large screen phones though it must be said there are rumours of a 4.8 inch iPhone + in the works. The 4 inch effort on the iPhone 5 is not well done and looks like a last minute decision.
iOS, the operating system of all their mobile handheld devices is also playing catch up. Its layout and methodology now look dated and antiquated. It can be said that iOS in its present form can be thought of as a properly working version of Symbian S60v3 with a touch screen. I’ve discussed the many shortcomings of iOS here.
Mr Cook however deserves commendation for one particular product, the iPad Mini. Though they are very late to 7 inch tablet market, it’s better late than never. However, after analysis, the device is too expensive and is behind the times. Another good thing he’s done is improving Apple’s Corporate Social Responsibility (CSR). The company will match any charitable donation made by any of its US employees. He has also declared dividends to shareholders. This is something Steve Jobs never did. It must also be said that he apologised for Apple Maps. This is something Jobs wouldn’t have done as shown with his rather tacky handling of the antenna problems of the iPhone 4. He must also be commended for bringing back production of some of their products back to the US. This will no doubt provide employment for some and contribute to the US economy.
The greatest problem for Tim Cook though has got to be Apple’s share price which within a few months has plummeted from an all-time high of $705.07 in September 2012 to a disappointing $437.63 as at time of publication.

All in all, Apple has suffered under Tim Cook and this is because their cash cow/primary product, the iPhone is yesteryear’s device. Despite its upgrades, it really hasn’t kept up with the times. It hasn’t delivered features that consumers are yearning for. The lack of NFC and lack of a bigger screen are the greatest omissions. The design and layout of iOS is also a misgiving that users are now forced to put up with.  And though Sir Jonathan Ive has taken over design and development of the interface, we are not likely to see the results until the release of the next iPhone. But what is the next iPhone? If it turns out to be the 5S, then rest assured that we are not going to see any redesign of iOS any time soon. And while I think there is no need for an iPhone 5S, it could still be released. If this happens, it will prove yet again that Apple and by implication, Tim Cook are out of touch with the realities and vagaries of the smartphone market. 
And regardless of what Gene Munster thinks of their fabled TV, it is probably non-existent. And if it ever sees the light of day, it’s not going to sport any revolutionary interface as indicated by Steve Jobs in his biography by Walter Isaacson. If anything, it will have an interface derived from whatever redesign or improvements that Ive and his team come up with and this will prove the lie in the book as regards ‘cracking the interface’. I’ve discussed this in greater detail here. The rumours of Jonathan Ive and Bob Mansfield boycotting meetings that had Scott Forstall in attendance also don't help because it insinuates that Tim Cook cannot effectively control the company. If this is true, it would never have happened under Steve Jobs. They all found a way to get along regardless of their differences.

But this brings up another question: why did Steve Jobs suggest Tim Cook as his successor? Who knows?! I am not familiar with the internal workings and ramblings at Apple but I think Jonny Ive would have made a better CEO. So what will Apple’s next breakthrough device be? iWonder. Whatever it is, Tim Cook should note that slices are already been taken out of the Apple. We’ll be watching. 


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