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Five Years of Tim Cook’s Apple in Charts

Jan Dawson:

This week marks the fifth anniversary of Tim Cook’s appointment as permanent CEO at Apple — he was appointed CEO on August 24th, 2011. As a result, we’ll no doubt see quite a few retrospectives this week looking back over his time at Apple, and evaluating his tenure. As context for that analysis, I wanted to share some numbers about Apple in the quarter and year before he took over, and compare it with numbers for the quarter and year ending in June of this year. Not all the applicable data sets go back that far — Apple has changed its reporting segments in at least a couple of ways during this five year period, but we’ll mostly try to compare before and after as closely as possible.

Outstanding work. Both the factual comparisons and his analysis. Particularly eye-opening to me is Apple’s increase in R&D spending as a percent of revenue, and the correlating drop in margins. Dawson writes:

That reversed the trend under Steve Jobs, and the increased investment in R&D is roughly equivalent to the drop in margins during this time — Cook has made a massive bet on R&D and by implication on future products.

Wednesday, 24 August 2016