Mobile menu toggle

Apple business strategies

Read Cult of Mac’s latest posts on Apple business strategies:

Today in Apple history: Steve Jobs acknowledges MobileMe failure

By

Apple MobileMe logo
MobileMe was the failed precursor to iCloud.
Image: Apple/Cult of Mac

August 4: Today in Apple history: Steve Jobs acknowledges MobileMe failure August 4, 2008: In an internal memo, Apple CEO Steve Jobs owns up to mistakes in launching MobileMe. He spins the company’s bungled cloud service rollout as a learning opportunity.

“It was a mistake to launch MobileMe at the same time as iPhone 3G, iPhone 2.0 software and the App Store,” Jobs writes in an email to Apple employees. “We all had more than enough to do, and MobileMe could have been delayed without consequence.”

Today in Apple history: World’s first iPad newspaper starts to crumble

By

Image of an iPad with The Daily app on it. It was the first iPad-only newspaper.
Designed exclusively for the iPad, The Daily was a great, but ultimately failed, experiment.
Photo: The Daily

July 31: Today in Apple history: The Daily, the world's first iPad newspaper, starts to crumble July 31, 2012: The Daily, the world’s first iPad-only newspaper, lays off almost a third of its staff, signaling the demise of a bold publishing experiment.

The deep cuts — The Daily fires 50 of its 170 employees — affect mainly sports and editorial page staffers, although some production and design employees get the ax, too. The ominous move comes as News Corp places the iPad app “on watch” due to disappointing readership numbers.

Apple Maps ads will ban plumbers, crypto ATMs and bail bonds

By

Three iPhone screenshots of Apple Maps used in a story about restrictions on ads in the navigation app.
Apple Maps ads will shut out several business categories when they roll out this summer.
Image: Apple

Apple is going to be quite picky about the types of ads it shows in Apple Maps. New advertising rules say plumbers, electricians, locksmiths and roofers can’t buy ads on the navigation app — even though Google happily sells them in its mapping app.

That’s a deliberate distinction from Google’s model, in which home services ads make up one of the biggest categories. And that’s just the start of Apple’s restrictions on ads in Apple Maps and its other services.

As it turns out, Apple wants Maps to feel more like a curated storefront than a search engine.

Today in Apple history: Apple reclaims top spot in education

By

Photo of iMac G3, which fuels a resurgence in the education market for Apple
The easy-to-use iMac spurred Apple's return to dominance in schools.
Photo: Apple

July 9: Today in Apple history: Apple reclaims top spot in education July 9, 2001: Apple earns the title of No. 1 computer manufacturer in the education market, with twice as many machines in schools as runner-up Dell Computer.

It marks a big turnaround from a couple of years earlier, when Dell overtook Apple and people accused Steve Jobs of abandoning this important market.

Today in Apple history: After a horrible quarter, Gil Amelio gets the boot

By

Bringing on Gil Amelio was viewed as a big coup for the Apple board.
This was the end of Amelio's 500 days running Apple.
Photo: Apple

July 6: Today in Apple history: After a horrible quarter, Apple CEO Gil Amelio is fired July 6, 1997: Following a massive quarterly loss for Apple, board member Edgar S. Woolard Jr. calls CEO Gil Amelio and informs him that he needs to step down. “You’ve done a lot to help the company, but the sales haven’t rebounded,” Woolard says.

Steve Jobs, who recently returned to the company he co-founded, denies being responsible for Amelio’s ouster. However, the move results in Jobs becoming Apple CEO for the first time. Now it’s time for a real turnaround!

Today in Apple history: Bill Gates urges Apple to license Mac OS

By

Bill-Gates_Ideas-into-Money
Bill Gates took this strategy and made himself a multibillionaire.
Photo: Fulvio Obregon

June 25: Today in Apple history: Bill Gates urges Apple to license Mac OS June 25, 1985: Microsoft co-founder Bill Gates sends a memo to Apple execs suggesting that Cupertino should license its Mac operating system and additional technology to other companies.

Apple CEO John Sculley and Macintosh boss Jean Louis Gassée ignore the advice of the 30-year-old Gates, who at the time is best known as a Mac developer. Five months later, Microsoft releases Windows 1.0.

Today in Apple history: Brilliant ad campaign turns Mac ‘switcher’ into unlikely star

By

A still from Apple's
Apple's "Switch" ad turns Ellen Feiss into an unlikely internet superstar.
Photo: Apple

June 9: Today in Apple history: Ellen Feiss becomes an unlikely star thanks to Apple's Switch ad campaign June 9, 2002: Apple launches its “Switch” advertising campaign, featuring real people talking about their reasons for switching from PCs to Macs. Apple’s biggest marketing effort since the “Think different” ad campaign a few years earlier, one “Switch” ad in particular turns a 15-year-old high-school student named Ellen Feiss into an unlikely star.

She becomes a viral sensation after viewers suggest she was stoned while filming her sleepy-eyed “Switch” spot about a homework-devouring PC.

Today in Apple history: Apple reinvents the computer store

By

Steve Jobs offers a sneak peek at the first Apple store prior to its opening.
Steve Jobs offers a sneak peek at the first Apple store prior to its opening.
Photo: Apple

May 15: Today in Apple history: Apple reinvents the computer store, with plans to open 25 Apple Stores in the U.S. May 15, 2001: Apple CEO Steve Jobs flips the script on the dreadful experience of computer shopping, unveiling an ambitious plan to open 25 innovative Apple stores across the United States. The first ones, located at Tysons Corner in McLean, Virginia, and the Glendale Galleria in Glendale, California, are set to open later that week.

However, this new Apple initiative is about much more than just a couple of retail outlets. It’s a radical reinvention of tech retail that will change the way computers get sold.

Today in Apple history: iTunes experiments with video downloads

By

Morcheeba's
Morcheeba's "The Antidote" was one of the first music videos available on iTunes.
Photo: Morcheeba

May 9: Today in Apple history: iTunes experiments with video downloads May 9, 2005: Apple quietly begins selling music videos in the iTunes Music Store.

The feature arrives with iTunes 4.8, initially offering bonus content for people purchasing albums through the store. It will take several months for Apple to start selling individual music videos, along with Pixar short films and a selection of TV shows, for $1.99 a pop.

Today in Apple history: iTunes hits 1 million downloads in first week

By

iPod silhouette ad, part of the marketing campaign that boosted iTunes Music Store sales
iTunes becomes an instant hit.
Photo: Apple

May 5: Today in Apple history: iTunes Music Store hits 1 million downloads in first week May 5, 2003: Just a week after launching the iTunes Music Store, Apple reaches an incredible milestone with more than 1 million songs sold.

Particularly notable is the fact that more than half the songs purchased are albums. This quickly dispels fears that selling tracks individually at 99 cents apiece will kill the record industry’s dominant format. In addition, more than half of the 200,000 songs initially available in the iTunes library get downloaded at least once.

“In less than one week we’ve broken every record and become the largest online music company in the world,” says Apple CEO Steve Jobs in a press release. “Apple has created the first complete solution for the digital music age — you can purchase your favorite music online at the iTunes Music Store, mix your favorite tracks into playlists with iTunes, and take your entire music collection with you everywhere with the super-slim new iPods.”

It’s a roaring success for Apple’s newest venture!

Today in Apple history: Apple’s first watch is a freebie for upgraders

By

The first Apple watch was ... well, just a watch, actually.
Apple's first watch was ... well, just a watch, actually.
Photo: Jonathan Morrison

May 2: Today in Apple history: First Apple watch is a freebie for upgraders May 2, 1995: Apple enters the wearables space with its first watch. However, the first Apple watch is a timepiece with no fitness-tracking tech, no on-screen notifications and a whole lot of 1990s styling.

The device comes two decades before wearables actually will become a thing. A regular wristwatch, the freebie gadget is available via a special mail-in offer to Mac OS upgraders.

Today in Apple history: iTunes puts the hurt on DVDs

By

iTunes movie
iTunes getting day-and-date releases for new movies was a big deal.
Photo: Apple

May 1: Today in Apple history: iTunes begins selling digital movies on same day as DVD release May 1, 2008: The iTunes Store takes a gigantic step toward cinematic relevancy, selling new movies on the day of their DVD releases for the very first time.

“We’re thrilled to bring iTunes Store customers new films for purchase day-and-date with the DVD release,” says Eddy Cue, Apple’s vice president of iTunes, in a press release. “We think movie fans will love being able to buy their favorites from major and independent studios.”

Movies out that week include Cloverfield, Juno, Alvin and the Chipmunks and American Gangster.

People snap up Macs faster than Apple can make them — here’s why

By

Photo of a person using a MacBook Neo in a school gym, used to illustrate a story about Mac supply constraints
The MacBook Neo became an overnight success, but it's getting hard to find.
Photo: Apple

Customers are buying Macs in such high numbers that even Apple’s vaunted manufacturing expertise can’t keep up — and current Mac supply constraints could extend for months.

Apple CEO Tim Cook said Thursday that a couple of factors mean the Mac mini, the Mac Studio and the new MacBook Neo laptop might not be easy to find.

Future Apple CEO John Ternus promises fiscal discipline, ‘incredible’ product pipeline

By

Photo of future Apple CEO John Ternus from an Apple event in 2024.
John Ternus sounds incredibly hyped about Apple's future.
Photo: Apple

Incoming Apple CEO John Ternus promises he will be just as much of a profit-focused bean counter as his predecessor, current CEO Tim Cook.

“As you know, one of the hallmarks of Tim’s tenure has been a deep thoughtfulness, deliberateness and discipline when it comes to the financial decision-making of the company,” Ternus said Thursday during Apple’s earnings call with Wall Street analysts. “I want you to know that it’s something Kevan and I intend to continue when I transition into the role in September,” Ternus added, referring to Apple CFO Kevan Parekh.

Here’s one thing John Ternus must not screw up as Apple CEO

By

John Ternus must follow a rule that Tim Cook and Steve Jobs both knew.
John Ternus must follow a rule that previous Apple CEOs Tim Cook and Steve Jobs both knew.
AI image: Apple/ChatGPT/Cult of Mac

As the upcoming CEO of Apple, John Ternus is surely getting deluged with advice, and I do not have the hubris to tell him what he should do. But my decades of reporting on the tech business have shown me that there’s something he absolutely must not do … because it could ruin the company.

Do not ship anything before it’s finished. You’d think that would be obvious, but it’s a mistake companies make over and over. Even Apple has done it a time or two — and that includes with a product still in its lineup today.

Today in Apple history: Apple teams with Volkswagen for iBeetle car

By

The first Apple car, a collaboration with VW known as the iBeetle, rolls onto the scene.
The first Apple car, a collaboration with VW known as the iBeetle, rolls onto the scene.
Photo: Volkswagen

April 22: Today in Apple history: Apple teams with VW for the iBeetle. It's the first Apple car! April 22, 2013: The world gets its first Apple car. Well, kind of. In reality, the iBeetle is a collaboration with German automaker Volkswagen that offers a car “stylistically linked” to Apple.

This means Apple-inspired colors, a built-in docking station for your iPhone, and a special app that lets you control the car’s features.

Biggest problem with the MacBook Neo? It’s too popular!

By

MacBook Neo sold out? Suffering from its own success?
Apple has a problem with the MacBook Neo that other companies can only dream of.
AI image: Apple/Gemini/Cult of Mac

Want a MacBook Neo? Better order it soon. It’s possible Apple will sell out of the affordable notebook … and not just for a few weeks. It’s not impossible that the laptop will go completely off the market until Apple can solve a shortage of a critical component … and it’s not RAM! Alternatively, Apple could be forced to raise the price.

And it’s all because the Neo is so wildly popular. Here’s what’s going on.

Today in Apple history: Mac OS 7 gets its final update

By

Today in Apple history: Mac OS 7 gets its final update: Mac OS 7.6.1 was the beginning of the end for Mac OS System 7.
This was the beginning of the end for System 7.
Photo: Apple

April 7: Today in Apple history: System 7 gets its final update with Mac OS 7.6.1 April 7, 1997: Apple’s System 7 operating system receives its last update with the shipment of Mac OS 7.6.1.

The update brings a few bug fixes and support for Apple’s new PCI Power Macs and the PowerBook 3400. Most importantly, it marks the end of the System 7 era, which dawned way back in 1991.

Today in Apple history: Apple racks up staggering $700 million loss

By

Image of the old Apple Inc. rainbow logo atop American cash money.
In 1996, Apple's worst quarter yet saw the company lose $700 million.
Image: Ste Smith/Cult of Mac

March 28: Today in Apple history: Apple racks up staggering $700 million loss March 28, 1996: In a dire message to Wall Street, Apple warns that it will report a $700 million after-tax loss for its most recent quarter.

Apple’s biggest quarterly loss in history, the shocking news reveals a company in far more financial trouble than previously thought. More than half the loss comes from $1 billion of unsold products.

Today in Apple history: iTunes tops 50 million songs downloaded

By

itunes
That's worth a quick dance!
Photo: Apple

March 15: Today in Apple history: iTunes tops 50 million songs downloaded March 15, 2004: The iTunes Music Store hits a crucial milestone, having sold an astonishing 50 million songs in less than a year. The achievement cements Apple’s place at the center of the rapidly changing music business — at least for the moment.

Crossing 50 million songs is a major milestone for iTunes and the emerging digital music era,” Apple CEO Steve Jobs says in a statement. “With over 50 million songs already downloaded and an additional 2.5 million songs being downloaded every week, it’s increasingly difficult to imagine others ever catching up with iTunes.”

Today in Apple history: Apple outwits clone-makers with Mac OS 8

By

Mac OS 8 gave Apple a much-needed revenue boost.
More than just a system update, Mac OS 8 included a nasty surprise for clone-makers.
Photo illustration: Ste Smith/Cult of Mac

March 8: Today in Apple history: Apple outwits clone-makers with Mac OS 8 March 8, 1997: Apple renames the forthcoming Mac OS 7.7 update, calling it “Mac OS 8.” It’s more than just a name change, though: It’s a sneaky sucker punch that ultimately knocks out Mac clones.

Unfortunately for Mac users, the updated operating system does not deliver the total top-to-bottom rewrite promised by Apple’s Project Copland. However, the renaming strategy turns out to be a brilliant (if underhanded) way of getting Apple out of terrible licensing deals.

Today in Apple history: CFO Peter Oppenheimer retires from Apple

By

Peter
Peter Oppenheimer oversaw a decade of explosive growth at Apple.
Photo: C-SPAN

March 4: Today in Apple history: Apple CFO Peter Oppenheimer retires March 4, 2014: Peter Oppenheimer, the Apple chief financial officer who presided over a decade of skyrocketing growth, steps down from the company.

After becoming Apple CFO in 2004, Oppenheimer saw the company’s valuation soar from $8.8 billion to $471 billion. Luca Maestri replaces Oppenheimer in this crucial position.

Today in Apple history: Mac mini arrives with Intel inside

By

With a powerful Intel chip inside, the new Mac mini made big of waves.
With a powerful Intel chip inside, the 2006 Mac mini made big waves.
Photo: RecycledGoods

February 28: Today in Apple history: Mac mini arrives with Intel inside February 28, 2006: Apple introduces an upgraded Mac mini, an affordable computer powered by an Intel processor.

A “headless” Mac for entry-level users, it’s the third Apple computer to switch to Intel chips. Oh, and it makes one heckuva media player when plugged into a television set.

Today in Apple history: iTunes becomes No. 2 music retailer in US

By

iPod silhouette ad, part of the marketing campaign that boosted iTunes Music Store sales
In the early 2000s, the iTunes Music Store went from strength to strength.
Photo: Apple

February 26: Today in Apple history: iTunes becomes No. 2 music retailer in U.S. February 26, 2008: Less than five years after launching, the iTunes Music Store becomes the No. 2 music retailer in the United States, second only to Walmart.

In that relatively short period, iTunes sells more than 4 billion songs to more than 50 million customers. The rapid rise to prominence stands as a massive achievement for Apple — and for the revolutionary digital distribution model Cupertino helped pioneer.

Today in Apple history: Apple licenses Mac OS to Radius

By

In early 1995, the Mac clone era was about to arrive!
In early 1995, the Mac clone era was about to arrive!
Image: Ste Smith/Cult of Mac/Macworld

January 4: Today in Apple history: Apple licenses Mac OS to Radius January 4, 1995: Apple signs a deal with third-party Mac accessory-maker Radius, allowing the company to build Macintosh clones that run on Mac OS.

Radius is the second company to license the Macintosh operating system. (Power Computing did the same thing a month earlier.) However, Radius will become the first licensee to bring a clone to market when its System 100 ships in March 1995.