The Tim Cook CEO era at Apple is almost over and there’s deep intrigue into how his replacement John Ternus will handle things after taking the reins. Will the new man look to keep the ship steady? Or could we be set for a shake up to drive Apple into a new era of prosperity?
Well, according to an analyst at a major US bank, exciting times may lie ahead with Apple taking more risks than before and not waiting as long to push on into new product categories. Cook’s era was incredibly successful for Apple, but under his leadership the company largely played it safe and did not rush to enter arenas like foldables and virtual reality headsets even when competitors were jumping out into a head start.
According to a note to investors written by Bank of America analyst Wamsi Mohan and seen by The Street, Ternus will keep the “juggernaut” in tact. However, as the publication’s Moz Farooque writes: “The potential break with the Cook era is mostly in risk appetite.”
Reporting on the contents of the note, Farooque adds that BoA believes Apple may seek larger acquisitions by going after bigger and more established companies. Under Cook, Apple typically picked up much smaller companies’ technologies to assist with getting a product over the line.
The note also says that Apple will look to move into new product categories at a more rapid pace under the new regime. Farooque writes:
The bank underscored Apple’s move away from its net-cash-neutral objective as an early signal that its management might be more willing to deploy capital. That would translate into heavier R&D spending, more CapEx, and potentially bigger acquisitions, areas that weren’t major features of Cook’s strategy.
Under Ternus, BofA sees the possibility of Apple moving much more quickly into new categories, including AI glasses, camera-equipped AirPods, smart rings, home automation, personal assistants, and robotics.
What would you like to see change at Apple when Tim Cook rides off into the sunset on September 1? Let us know at @Stufftv on X.
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