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Apple Inc. is an American multinational
technology company A technology company (or tech company) is an electronics-based technology, technological company, including, for example, business relating to digital electronics, software, and internet-related services, such as e-commerce services. Details Accor ...
headquartered in
Cupertino, California Cupertino ( ) is a city in Santa Clara County, California Santa Clara County, officially the County of Santa Clara, is the sixth-most populous county in the U.S. state of California, with a population of 1,936,259, as of the 2020 United S ...
, United States. Apple is the largest technology company by revenue (totaling in 2021) and, as of June 2022, is the world's biggest company by market capitalization, the fourth-largest personal computer vendor by unit sales and second-largest mobile phone manufacturer. It is one of the Big Five American
information technology Information technology (IT) is the use of computers to create, process, store, retrieve, and exchange all kinds of Data (computing), data . and information. IT forms part of information and communications technology (ICT). An information te ...
companies, alongside
Alphabet An alphabet is a standardized set of basic written graphemes (called letter (alphabet), letters) that represent the phonemes of certain spoken languages. Not all writing systems represent language in this way; in a syllabary, each character ...
,
Amazon Amazon most often refers to: * Amazons, a tribe of female warriors in Greek mythology * Amazon rainforest, a rainforest covering most of the Amazon basin * Amazon River, in South America * Amazon (company), an American multinational technology co ...
,
Meta Meta (from the Ancient Greek, Greek μετά, ''wikt:meta-, meta'', meaning "after" or "beyond") is a prefix meaning "more comprehensive" or "transcending". In modern nomenclature, ''meta''- can also serve as a prefix meaning self-referential, a ...
, and
Microsoft Microsoft Corporation is an American multinational corporation, multinational technology company, technology corporation producing Software, computer software, consumer electronics, personal computers, and related services headquartered at th ...
. Apple was founded as Apple Computer Company on April 1, 1976, by
Steve Wozniak Stephen Gary Wozniak (; born August 11, 1950), also known by his nickname "Woz", is an American electronics engineer, computer programmer, philanthropist, inventor, and entrepreneur, technology entrepreneur. In 1976, with business partner Steve ...
,
Steve Jobs Steven Paul Jobs (February 24, 1955 – October 5, 2011) was an American Entrepreneurship, entrepreneur, industrial designer, media proprietor, and investor. He was the co-founder, chairman, and chief executive officer, CEO of Apple Inc., Appl ...
and Ronald Wayne to develop and sell Wozniak's
Apple I The Apple Computer 1, originally released as the Apple Computer and known later as the Apple I or Apple-1, is an 8-bit computing, 8-bit desktop computer released by the Apple Computer Company (now Apple Inc.) in 1976. It was designed by Steve W ...
personal computer. It was incorporated by Jobs and Wozniak as Apple Computer, Inc. in 1977 and the company's next computer, the
Apple II The Apple II (stylized as ) is an 8-bit computing, 8-bit home computer and one of the world's first highly successful mass-produced microcomputer products. It was designed primarily by Steve Wozniak; Jerry Manock developed the design of Appl ...
, became a best seller and one of the first mass-produced microcomputers. Apple went public in 1980 to instant financial success. The company developed computers featuring innovative
graphical user interface The GUI ( "UI" by itself is still usually pronounced . or ), graphical user interface, is a form of user interface that allows User (computing), users to Human–computer interaction, interact with electronic devices through graphical icon (comp ...
s, including the 1984 original Macintosh, announced that year in a critically acclaimed advertisement. By 1985, the high cost of its products and power struggles between executives caused problems. Wozniak stepped back from Apple amicably and pursued other ventures, while Jobs resigned bitterly and founded
NeXT Next may refer to: Arts and entertainment Film * Next (1990 film), ''Next'' (1990 film), an animated short about William Shakespeare * Next (2007 film), ''Next'' (2007 film), a sci-fi film starring Nicolas Cage * ''Next: A Primer on Urban Paintin ...
, taking some Apple employees with him. As the market for personal computers expanded and evolved throughout the 1990s, Apple lost considerable
market share Market share is the percentage of the total revenue or sales in a Market (economics), market that a company's business makes up. For example, if there are 50,000 units sold per year in a given industry, a company whose sales were 5,000 of those ...
to the lower-priced duopoly of the
Microsoft Windows Windows is a group of several proprietary graphical operating system families developed and marketed by Microsoft Microsoft Corporation is an American multinational corporation, multinational technology company, technology corporatio ...
operating system on
Intel Intel Corporation is an American multinational corporation and technology company headquartered in Santa Clara, California, Santa Clara, California. It is the world's largest semiconductor chip manufacturer by revenue, and is one of the devel ...
-powered PC clones (also known as "
Wintel Wintel (portmanteau of Windows and Intel) is the partnership of Microsoft Windows and Intel producing personal computers using Intel x86-compatible processors running Microsoft Windows. Background By the early 1980s, the chaos and incompatibil ...
"). In 1997, weeks away from bankruptcy, the company bought NeXT to resolve Apple's unsuccessful
operating system An operating system (OS) is system software that manages computer hardware, software resources, and provides common daemon (computing), services for computer programs. Time-sharing operating systems scheduler (computing), schedule tasks for ef ...
strategy and entice Jobs back to the company. Over the next decade, Jobs guided Apple back to profitability through a number of tactics including introducing the
iMac iMac is a family of All-in-one PC, all-in-one Mac (computer), Mac desktop computers designed and built by Apple Inc. It has been the primary part of Apple's consumer desktop offerings since its debut in August 1998, and has evolved through ...
,
iPod The iPod is a discontinued series of portable media players and multi-purpose mobile devices designed and marketed by Apple Inc. The iPod Classic#1st generation, first version was released on October 23, 2001, about months after the Ma ...
, iPhone and
iPad The iPad is a brand of iOS and iPadOS-based tablet computers that are developed by Apple Inc., Apple Inc. The iPad was conceived before the related iPhone but the iPhone was developed and released first. Speculation about the development, ...
to critical acclaim, launching " Think different" and other memorable advertising campaigns, opening the
Apple Store The Apple Store is a chain of Retail, retail stores owned and operated by Apple Inc. The stores sell various Apple products, including Macintosh, Mac personal computers, iPhone smartphones, iPad tablet computers, Apple Watch smartwatches, Apple ...
retail chain, and acquiring numerous companies to broaden the company's product portfolio. When Jobs resigned in 2011 for health reasons, and died two months later, he was succeeded as CEO by
Tim Cook Timothy Donald Cook (born November 1, 1960) is an American business executive who has been the chief executive officer of Apple Inc. since 2011. Cook previously served as the company's chief operating officer under its co-founder Steve Jobs. ...
. Apple became the first publicly traded U.S. company to be valued at over $1 trillion in August 2018, then $2 trillion in August 2020, and most recently $3 trillion in January 2022. The company receives criticism regarding the labor practices of its contractors, its environmental practices, and its business ethics, including
anti-competitive practices Anti-competitive practices are business or government practices that prevent or reduce Competition (economics), competition in a market. Antitrust laws differ among state and federal laws to ensure businesses do not engage in competitive practice ...
and materials sourcing. Nevertheless, the company has a large following and enjoys a high level of
brand loyalty In marketing, brand loyalty describes a consumer's positive feelings towards a brand, and their dedication to purchase, purchasing the brand's Product (business), products and/or Service (economics), services repeatedly, regardless of deficienci ...
. It is ranked as one of the world's most valuable brands.


History


1976–1980: Founding and incorporation

Apple Computer Company was founded on April 1, 1976, by
Steve Jobs Steven Paul Jobs (February 24, 1955 – October 5, 2011) was an American Entrepreneurship, entrepreneur, industrial designer, media proprietor, and investor. He was the co-founder, chairman, and chief executive officer, CEO of Apple Inc., Appl ...
,
Steve Wozniak Stephen Gary Wozniak (; born August 11, 1950), also known by his nickname "Woz", is an American electronics engineer, computer programmer, philanthropist, inventor, and entrepreneur, technology entrepreneur. In 1976, with business partner Steve ...
, and Ronald Wayne as a
partnership A partnership is an arrangement where parties, known as business partners, agree to cooperate to advance their mutual interests. The partners in a partnership may be individuals, business entity, businesses, interest-based organizations, schoo ...
. The company's first product was the
Apple I The Apple Computer 1, originally released as the Apple Computer and known later as the Apple I or Apple-1, is an 8-bit computing, 8-bit desktop computer released by the Apple Computer Company (now Apple Inc.) in 1976. It was designed by Steve W ...
, a computer designed and hand-built entirely by Wozniak. To finance its creation, Jobs sold his Volkswagen Bus, and Wozniak sold his HP-65 calculator. Wozniak debuted the first prototype Apple I at the Homebrew Computer Club in July 1976. The Apple I was sold as a
motherboard A motherboard (also called mainboard, main circuit board, mb, mboard, backplane board, base board, system board, logic board (only in Apple computers) or mobo) is the main printed circuit board (PCB) in general-purpose computers and other expand ...
with CPU, RAM, and basic textual-video chips—a base kit concept which would not yet be marketed as a complete personal computer. It went on sale soon after debut for . Wozniak later said he was unaware of the coincidental mark of the beast in the number 666, and that he came up with the price because he liked "repeating digits". Apple Computer, Inc. was incorporated on January 3, 1977, without Wayne, who had left and sold his share of the company back to Jobs and Wozniak for $800 only twelve days after having co-founded Apple. Multimillionaire Mike Markkula provided essential business expertise and funding of to Jobs and Wozniak during the incorporation of Apple. During the first five years of operations, revenues grew exponentially, doubling about every four months. Between September 1977 and September 1980, yearly sales grew from $775,000 to $118 million, an average annual growth rate of 533%. The
Apple II The Apple II (stylized as ) is an 8-bit computing, 8-bit home computer and one of the world's first highly successful mass-produced microcomputer products. It was designed primarily by Steve Wozniak; Jerry Manock developed the design of Appl ...
, also invented by Wozniak, was introduced on April 16, 1977, at the first
West Coast Computer Faire The West Coast Computer Faire was an annual computer industry conference and exposition most often associated with San Francisco, its first and most frequent venue. The first fair was held in 1977 and was organized by Jim Warren (computer spec ...
. It differed from its major rivals, the
TRS-80 The TRS-80 Micro Computer System (TRS-80, later renamed the Model I to distinguish it from successors) is a desktop microcomputer launched in 1977 and sold by Tandy Corporation through their Radio Shack stores. The name is an abbreviation of ''T ...
and
Commodore PET The Commodore PET is a line of personal computers produced starting in 1977 by Commodore International. A single all-in-one case combines a MOS Technology 6502 microprocessor, Commodore BASIC in read-only memory, keyboard, monochrome monitor, an ...
, because of its character cell-based color graphics and
open architecture Open architecture is a type of computer architecture or software architecture intended to make adding, upgrading, and swapping components with other computers easy. For example, the IBM PC, Amiga 500 and Apple IIe have an open architecture support ...
. While the Apple I and early Apple II models used ordinary audio cassette tapes as storage devices, they were superseded by the introduction of a -inch
floppy disk A floppy disk or floppy diskette (casually referred to as a floppy, or a diskette) is an obsolescent type of disk storage composed of a thin and flexible disk of a magnetic storage medium in a square or nearly square plastic enclosure lined wi ...
drive and interface called the
Disk II The Disk II Floppy Disk Subsystem, often rendered as Disk ][, is a -inch Floppy disk, floppy disk drive designed by Steve Wozniak at the recommendation of Mike Markkula, and manufactured by Apple Inc., Apple Computer, Inc. It went on sale in June ...
in 1978. The Apple II was chosen to be the desktop platform for the first "killer application" of the business world: VisiCalc, a spreadsheet computer program, program released in 1979. VisiCalc created a business market for the Apple II and gave home users an additional reason to buy an Apple II: compatibility with the office. Before VisiCalc, Apple had been a distant third place competitor to Commodore and Tandy. By the end of the 1970s, Apple had become the leading computer manufacturer in the United States. On December 12, 1980, Apple (ticker symbol "AAPL") went public selling 4.6 million shares at $22 per share ($.10 per share when adjusting for
stock split A stock split or stock divide increases the number of stock, shares in a company. For example, after a 2-for-1 split, each investor will own double the number of shares, and each share will be worth half as much. A stock split causes a decrease ...
s ), generating over $100 million, which was more capital than any IPO since
Ford Motor Company Ford Motor Company (commonly known as Ford) is an American multinational corporation, multinational automobile manufacturer headquartered in Dearborn, Michigan, Dearborn, Michigan, United States. It was founded by Henry Ford and incorporated o ...
in 1956. By the end of the day, 300 millionaires were created, from a stock price of $29 per share and a market cap of $1.778 billion.


1980–1990: Success with Macintosh

A critical moment in the company's history came in December 1979 when Jobs and several Apple employees, including human–computer interface expert
Jef Raskin Jef Raskin (born Jeff Raskin; March 9, 1943 – February 26, 2005) was an American human–computer interface expert best known for conceiving and starting the Macintosh project at Apple Inc., Apple in the late 1970s. Early life and education ...
, visited
Xerox PARC PARC (Palo Alto Research Center; formerly Xerox PARC) is a research and development company in Palo Alto, California. Founded in 1969 by Jack Goldman, Jacob E. "Jack" Goldman, chief scientist of Xerox Corporation, the company was originally a div ...
in to see a demonstration of the
Xerox Alto The Xerox Alto is a computer designed from its inception to support an operating system An operating system (OS) is system software that manages computer hardware, software resources, and provides common daemon (computing), services for comp ...
, a computer using a
graphical user interface The GUI ( "UI" by itself is still usually pronounced . or ), graphical user interface, is a form of user interface that allows User (computing), users to Human–computer interaction, interact with electronic devices through graphical icon (comp ...
.
Xerox Xerox Holdings Corporation (; also known simply as Xerox) is an American corporation that sells print and electronic document, digital document products and services in more than 160 countries. Xerox is headquartered in Norwalk, Connecticut (ha ...
granted Apple engineers three days of access to the PARC facilities in return for the option to buy 100,000 shares (22.4 million split-adjusted shares ) of Apple at the pre-IPO price of $10 a share. After the demonstration, Jobs was immediately convinced that all future computers would use a graphical user interface, and development of a GUI began for the
Apple Lisa Lisa is a desktop computer developed by Apple, released on January 19, 1983. It is one of the first personal computers to present a graphical user interface (GUI) in a machine aimed at individual business users. Its development began in 19 ...
, named after Jobs's daughter. The Lisa division would be plagued by infighting, and in 1982 Jobs was pushed off the project. The Lisa launched in 1983 and became the first personal computer sold to the public with a GUI, but was a commercial failure due to its high price and limited software titles.Hormby, Thomas
A history of Apple's Lisa, 1979–1986
'' Low End Mac'', October 6, 2005. Retrieved March 2, 2007.
Jobs, angered by being pushed off the Lisa team, took over the company's
Macintosh The Mac (known as Macintosh until 1999) is a family of personal computers designed and marketed by Apple Inc., Apple Inc. Macs are known for their ease of use and minimalist designs, and are popular among students, creative professionals, and ...
division. Wozniak and Raskin had envisioned the Macintosh as a low-cost computer with a text-based interface like the Apple II, but a plane crash in 1981 forced Wozniak to step back from the project. Jobs quickly redefined the Macintosh as a graphical system that would be cheaper than the Lisa, undercutting his former division. Jobs was also hostile to the Apple II division, which at the time, generated most of the company's revenue. In 1984, Apple launched the Macintosh, the first personal computer to be sold without a
programming language A programming language is a system of notation for writing computer program, computer programs. Most programming languages are text-based formal languages, but they may also be visual programming language, graphical. They are a kind of computer ...
. Its debut was signified by "
1984 Events January * January 1 – The Bornean Sultanate of Brunei gains full independence from the United Kingdom, having become a British protectorate in 1888. * January 7 – Brunei becomes the sixth member of the Association of Southeast As ...
", a $1.5 million television advertisement directed by
Ridley Scott Sir Ridley Scott (born 30 November 1937) is a British film director and producer. Directing, among others, science fiction films, his work is known for its atmospheric and highly concentrated visual style. Scott has received many accolades th ...
that aired during the third quarter of
Super Bowl XVIII Super Bowl XVIII was an American football American football (referred to simply as football in the United States and Canada), also known as gridiron, is a team sport played by two teams of eleven players on a rectangular American footba ...
on January 22, 1984. This is now hailed as a watershed event for Apple's success and was called a "masterpiece" by
CNN CNN (Cable News Network) is a multinational cable news channel headquartered in Atlanta, Georgia, U.S. Founded in 1980 by American media proprietor Ted Turner and Reese Schonfeld as a 24-hour cable news channel, and presently owned by ...
and one of the greatest TV advertisements of all time by ''
TV Guide TV Guide is an American digital media company that provides television program listings information as well as entertainment and television-related news. The company sold its print magazine division, TV Guide Magazine LLC, in 2008. Corpora ...
''. The advertisement created great interest in the original Macintosh, and sales were initially good, but began to taper off dramatically after the first three months as reviews started to come in. Jobs had made the decision to equip the original Macintosh with 128 kilobytes of RAM, attempting to reach a price point, which limited its speed and the software that could be used. The Macintosh would eventually ship for , a price panned by critics in light of its slow performance. In early 1985, this sales slump triggered a power struggle between Steve Jobs and CEO
John Sculley John Sculley III (born April 6, 1939) is an American businessman, entrepreneur and investor in high-tech Startup company, startups. Sculley was vice-president (1970–1977) and president of PepsiCo (1977–1983), until he became chief executi ...
, who had been hired away from
Pepsi Pepsi is a carbonated soft drink manufactured by PepsiCo. Originally created and developed in 1893 by Caleb Bradham and introduced as Brad's Drink, it was renamed as Pepsi-Cola in 1898, and then shortened to Pepsi in 1961. History Pepsi was f ...
two years earlier by Jobs saying, "Do you want to sell sugar water for the rest of your life or come with me and change the world?" Sculley decided to remove Jobs as the head of the Macintosh division, with unanimous support from the Apple board of directors. The board of directors instructed Sculley to contain Jobs and his ability to launch expensive forays into untested products. Rather than submit to Sculley's direction, Jobs attempted to oust him from his leadership role at Apple. Informed by Jean-Louis Gassée, Sculley found out that Jobs had been attempting to organize a boardroom coup and called an emergency meeting at which Apple's executive staff sided with Sculley and stripped Jobs of all operational duties. Jobs resigned from Apple in September 1985 and took a number of Apple employees with him to found
NeXT Next may refer to: Arts and entertainment Film * Next (1990 film), ''Next'' (1990 film), an animated short about William Shakespeare * Next (2007 film), ''Next'' (2007 film), a sci-fi film starring Nicolas Cage * ''Next: A Primer on Urban Paintin ...
. Wozniak had also quit his active employment at Apple earlier in 1985 to pursue other ventures, expressing his frustration with Apple's treatment of the Apple II division and stating that the company had "been going in the wrong direction for the last five years." Despite Wozniak's grievances, he officially remained employed by Apple, and to this day continues to work for the company as a representative, receiving a stipend estimated to be $120,000 per year for this role. Both Jobs and Wozniak remained Apple shareholders after their departures.Apple's ''Other'' Steve (Stock Research)
March 2, 2000,
The Motley Fool The Motley Fool is a private financial and Investment, investing advice company based in Alexandria, Virginia. It was founded in July 1993 by co-chairmen and brothers David Gardner (The Motley Fool), David Gardner and Tom Gardner, and Erik Rydholm ...
.
After the departures of Jobs and Wozniak, Sculley worked to improve the Macintosh in 1985 by quadrupling the RAM and introducing the
LaserWriter The LaserWriter is a laser printer with built-in PostScript interpreter sold by Apple Inc., Apple, Inc. from 1985 to 1988. It was one of the first laser printers available to the mass market. In combination with WYSIWYG publishing software like ...
, the first reasonably priced
PostScript PostScript (PS) is a page description language in the electronic publishing and desktop publishing realm. It is a Type system, dynamically typed, concatenative programming language. It was created at Adobe Systems by John Warnock, Charles Gesc ...
laser printer Laser printing is an electrostatic digital printing process. It produces high-quality text and graphics (and moderate-quality photographs) by repeatedly passing a laser beam back and forth over a Electric charge, negatively-charged cylinder call ...
.
PageMaker Adobe PageMaker (formerly Aldus) is a discontinued desktop publishing computer program introduced in 1985 by the Aldus Corporation on the Apple Macintosh. The combination of the Macintosh's graphical user interface, PageMaker publishing software, ...
, an early
desktop publishing Desktop publishing (DTP) is the creation of documents using page layout software on a personal ("desktop") personal computer, computer. It was first used almost exclusively for print publications, but now it also assists in the creation of variou ...
application taking advantage of the PostScript language, was also released by
Aldus Corporation Aldus Corporation was an American software company best known for its pioneering desktop publishing, desktop publishing (DTP) software. Adobe PageMaker, PageMaker, the company's most well-known product, ushered in the modern era of desktop comp ...
in July 1985. It has been suggested that the combination of Macintosh, LaserWriter and PageMaker was responsible for the creation of the
desktop publishing Desktop publishing (DTP) is the creation of documents using page layout software on a personal ("desktop") personal computer, computer. It was first used almost exclusively for print publications, but now it also assists in the creation of variou ...
market. This dominant position in the desktop publishing market allowed the company to focus on higher price points, the so-called "high-right policy" named for the position on a chart of price vs. profits. Newer models selling at higher price points offered higher
profit margin Profit margin is a measure of profit (accounting), profitability. It is calculated by finding the net profit, profit as a percentage of the revenue. \text = = There are 3 types of profit margins: gross profit margin, operating profit margin and ...
, and appeared to have no effect on total sales as power users snapped up every increase in speed. Although some worried about pricing themselves out of the market, the high-right policy was in full force by the mid-1980s, notably due to Jean-Louis Gassée's mantra of "fifty-five or die", referring to the 55%
profit margin Profit margin is a measure of profit (accounting), profitability. It is calculated by finding the net profit, profit as a percentage of the revenue. \text = = There are 3 types of profit margins: gross profit margin, operating profit margin and ...
s of the
Macintosh II The Macintosh II is a personal computer designed, manufactured, and sold by Apple Inc., Apple Computer from March 1987 to January 1990. Based on the Motorola 68020 32-bit CPU, it is the first Macintosh supporting color graphics. When introduced, ...
. This policy began to backfire in the last years of the decade as desktop publishing programs appeared on PC clones that offered some or much of the same functionality of the Macintosh, but at far lower price points. The company lost its dominant position in the desktop publishing market and estranged many of its original consumer customer base who could no longer afford their high-priced products. The Christmas season of 1989 was the first in the company's history to have declining sales, which led to a 20% drop in Apple's stock price. During this period, the relationship between Sculley and Gassée deteriorated, leading Sculley to effectively demote Gassée in January 1990 by appointing Michael Spindler as the
chief operating officer A chief operating officer or chief operations officer, also called a COO, is one of the highest-ranking executive positions in an organization, composing part of the " C-suite". The COO is usually the second-in-command at the firm, especially if ...
. Gassée left the company later that year.


1990–1997: Decline and restructuring

The company pivoted strategy and in October 1990 introduced three lower-cost models, the
Macintosh Classic The Macintosh Classic is a personal computer A personal computer (PC) is a multi-purpose microcomputer whose size, capabilities, and price make it feasible for individual use. Personal computers are intended to be operated directly by an ...
, the Macintosh LC, and the Macintosh IIsi, all of which saw significant sales due to pent-up demand. In 1991, Apple introduced the hugely successful
PowerBook The PowerBook (known as Macintosh PowerBook before 1997) is a family of Macintosh The Mac (known as Macintosh until 1999) is a family of personal computers designed and marketed by Apple Inc., Apple Inc. Macs are known for their ease of u ...
with a design that set the current shape for almost all modern laptops. The same year, Apple introduced
System 7 System 7, codenamed "Big Bang", and also known as Mac OS 7, is a graphical user interface-based operating system for Macintosh computers and is part of the classic Mac OS series of operating systems. It was introduced on May 13, 1991, by Apple Co ...
, a major upgrade to the Macintosh operating system, adding color to the interface and introducing new networking capabilities. The success of the lower-cost Macs and PowerBook brought increasing revenue. For some time, Apple was doing incredibly well, introducing fresh new products and generating increasing profits in the process. The magazine '' MacAddict'' named the period between 1989 and 1991 as the "first golden age" of the Macintosh. The success of Apple's lower-cost consumer models, especially the LC, also led to the cannibalization of their higher-priced machines. To address this, management introduced several new brands, selling largely identical machines at different price points, aimed at different markets: the high-end Quadra models, the mid-range Centris line, and the consumer-marketed Performa series. This led to significant market confusion, as customers did not understand the difference between models. The early 1990s also saw the discontinuation of the
Apple II series The Apple II series (trademarked with square brackets as "Apple ][" and rendered on later models as "Apple //") is a family of home computers, one of the first highly successful mass-produced microcomputer products, designed primarily ...
, which was expensive to produce, and the company felt was still taking sales away from lower-cost Macintosh models. After the launch of the LC, Apple began encouraging developers to create applications for Macintosh rather than Apple II, and authorized salespersons to direct consumers towards Macintosh and away from Apple II. The Apple IIe was discontinued in 1993. Throughout this period, Microsoft continued to gain market share with its
Windows Windows is a group of several Proprietary software, proprietary graphical user interface, graphical operating system families developed and marketed by Microsoft. Each family caters to a certain sector of the computing industry. For example, W ...
graphical user interface that it sold to manufacturers of generally less expensive PC clones. While the Macintosh was more expensive, it offered a more tightly integrated user experience, but the company struggled to make the case to consumers. Apple also experimented with a number of other unsuccessful consumer targeted products during the 1990s, including
digital cameras A digital camera is a camera that captures photographs in digital memory. Most cameras produced today are digital, largely replacing those that capture images on photographic film. Digital cameras are now widely incorporated into mobile devices ...
, portable CD audio players,
speakers Speaker may refer to: Society and politics * Speaker (politics), the presiding officer in a legislative assembly * Public speaker, one who gives a speech or lecture * A person producing speech: the producer of a given utterance, especially: ** In ...
,
video game consoles A video game console is an electronic device that outputs a video signal Video is an electronic medium for the recording, copying, playback, broadcasting Broadcasting is the distribution (business), distribution of sound, audio o ...
, the eWorld online service, and TV appliances. Most notably, enormous resources were invested in the problem-plagued Newton tablet division, based on John Sculley's unrealistic market forecasts. Throughout this period, Microsoft continued to gain market share with
Windows Windows is a group of several Proprietary software, proprietary graphical user interface, graphical operating system families developed and marketed by Microsoft. Each family caters to a certain sector of the computing industry. For example, W ...
by focusing on delivering software to inexpensive personal computers, while Apple was delivering a richly engineered but expensive experience. Apple relied on high profit margins and never developed a clear response; instead, they sued Microsoft for using a GUI similar to the
Apple Lisa Lisa is a desktop computer developed by Apple, released on January 19, 1983. It is one of the first personal computers to present a graphical user interface (GUI) in a machine aimed at individual business users. Its development began in 19 ...
in '' Apple Computer, Inc. v. Microsoft Corp.''Hormby, Thomas
The Apple vs. Microsoft GUI lawsuit
'' Low End Mac'', August 25, 2006. Retrieved March 2, 2007.
The lawsuit dragged on for years before it was finally dismissed. The major product flops and the rapid loss of market share to Windows sullied Apple's reputation, and in 1993 Sculley was replaced as CEO by Michael Spindler. With Spindler at the helm Apple, IBM, and
Motorola Motorola, Inc. () was an American multinational telecommunications company based in Schaumburg, Illinois, United States. After having lost $4.3 billion from 2007 to 2009, the company split into two independent public companies, Motorol ...
formed the
AIM alliance The AIM alliance, also known as the PowerPC alliance, was formed on October 2, 1991, between Apple An apple is an edible fruit produced by an apple tree (''Malus domestica''). Apple fruit tree, trees are agriculture, cultivated worldwid ...
in 1994 with the goal of creating a new computing platform (the PowerPC Reference Platform; PReP), which would use IBM and Motorola hardware coupled with Apple software. The AIM alliance hoped that PReP's performance and Apple's software would leave the PC far behind and thus counter the dominance of Windows. The same year, Apple introduced the Power Macintosh, the first of many Apple computers to use Motorola's
PowerPC PowerPC (with the backronym Performance Optimization With Enhanced RISC – Performance Computing, sometimes abbreviated as PPC) is a reduced instruction set computer (RISC) instruction set architecture (ISA) created by the 1991 Apple Inc., App ...
processor. In the wake of the alliance, Apple opened up to the idea of allowing Motorola and other companies to build
Macintosh clone A Macintosh clone, also known as a Clonintosh (a portmanteau of "Clone (computing), Clone" and "Macintosh"), is a computer running the Mac OS operating system that was not produced by Apple Inc. The earliest Mac clones were based on Macintosh clon ...
s. Over the next two years, 75 distinct Macintosh clone models were introduced. However, by 1996 Apple executives were worried that the clones were cannibalizing sales of their own high-end computers, where profit margins were highest. In 1996, Spindler was replaced by Gil Amelio as CEO. Hired for his reputation as a corporate rehabilitator, Amelio made deep changes, including extensive layoffs and cost-cutting. This period was also marked by numerous failed attempts to modernize the Macintosh operating system (MacOS). The original Macintosh operating system ( System 1) was not built for multitasking (running several applications at once). The company attempted to correct this with by introducing cooperative multitasking in System 5, but the company still felt it needed a more modern approach. This led to the
Pink Pink is the color of Dianthus plumarius, a namesake flower that is a pale tint of red. It was first used as a color name in the late 17th century. According to surveys in Europe and the United States, pink is the color most often associated with ...
project in 1988, A/UX that same year, Copland in 1994, and the attempted purchase of
BeOS BeOS is an operating system An operating system (OS) is system software that manages computer hardware, software resources, and provides common daemon (computing), services for computer programs. Time-sharing operating systems scheduler (com ...
in 1996. Talks with Be stalled when the CEO, former Apple executive Jean-Louis Gassée, demanded $300 million instead of the $125 million Apple wanted to pay. Only weeks away from
bankruptcy Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the debt ...
, Apple's board decided
NeXTSTEP NeXTSTEP is a discontinued object-oriented, computer multitasking, multitasking operating system based on the Mach kernel and the UNIX-derived BSD. It was developed by NeXT, NeXT Computer in the late 1980s and early 1990s and was initially use ...
was a better choice for its next operating system and purchased
NeXT Next may refer to: Arts and entertainment Film * Next (1990 film), ''Next'' (1990 film), an animated short about William Shakespeare * Next (2007 film), ''Next'' (2007 film), a sci-fi film starring Nicolas Cage * ''Next: A Primer on Urban Paintin ...
in late 1996 for $400 million, bringing back Apple co-founder
Steve Jobs Steven Paul Jobs (February 24, 1955 – October 5, 2011) was an American Entrepreneurship, entrepreneur, industrial designer, media proprietor, and investor. He was the co-founder, chairman, and chief executive officer, CEO of Apple Inc., Appl ...
.


1997–2007: Return to profitability

The NeXT acquisition was finalized on February 9, 1997,, ''Apple Inc.'', February 7, 1997. Retrieved June 25, 2006. and the board brought Jobs back to Apple as an advisor. On July 9, 1997, Jobs staged a boardroom coup that resulted in Amelio's resignation after overseeing a three-year record-low stock price and crippling financial losses. The board named Jobs as interim CEO and he immediately began a review of the company's products. Jobs would order 70% of the company's products to be cancelled, resulting in the loss of 3,000 jobs, and taking Apple back to the core of its computer offerings. The next month, in August 1997, Steve Jobs convinced Microsoft to make a $150 million investment in Apple and a commitment to continue developing software for the Mac. The investment was seen as an "antitrust insurance policy" for Microsoft who had recently settled with the Department of Justice over anti-competitive practices. Jobs also ended the Mac clone deals and in September 1997, purchased the largest clone maker,
Power Computing Power Computing Corporation (often referred to as Power Computing) was the first company selected by Apple Inc to create Macintosh-compatible computers ("Macintosh clone, Mac clones"). Stephen “Steve” Kahng, a computer engineer best known for ...
. On November 10, 1997, Apple introduced the
Apple Store The Apple Store is a chain of Retail, retail stores owned and operated by Apple Inc. The stores sell various Apple products, including Macintosh, Mac personal computers, iPhone smartphones, iPad tablet computers, Apple Watch smartwatches, Apple ...
website, which was tied to a new build-to-order manufacturing that had been successfully used by PC manufacturer
Dell Dell is an American based technology company. It develops, sells, repairs, and supports computers and related products and services. Dell is owned by its parent company, Dell Technologies. Dell sells personal computers (PCs), Server (computin ...
. The moves paid off for Jobs, at the end of his first year as CEO, the company turned a $309 million profit. On May 6, 1998, Apple introduced a new all-in-one computer reminiscent of the original Macintosh: the
iMac iMac is a family of All-in-one PC, all-in-one Mac (computer), Mac desktop computers designed and built by Apple Inc. It has been the primary part of Apple's consumer desktop offerings since its debut in August 1998, and has evolved through ...
. The iMac was a huge success for Apple selling 800,000 units in its first five months and ushered in major shifts in the industry by abandoning legacy technologies like the -inch diskette, being an early adopter of the
USB Universal Serial Bus (USB) is an technical standard, industry standard that establishes specifications for cables, connectors and communication protocol, protocols for connection, communication and power supply (Interface (computing), interfa ...
connector, and coming pre-installed with internet connectivity (the "i" in iMac) via Ethernet and a dial-up modem. The device also had a striking eardrop shape and translucent materials, designed by
Jonathan Ive Sir Jonathan Paul Ive (born 27 February 1967) is a British industrial design, industrial and product design, product designer, as well as businessman. Ive was the chief design officer (CDO) of Apple Inc. from 1997 until 2019 (known as senior v ...
, who although hired by Amelio, would go on to work collaboratively with Jobs for the next decade to chart a new course the design of Apple's products. A little more than a year later on July 21, 1999, Apple introduced the
iBook iBook is a line of laptop computers designed, manufactured, and sold by Apple Computer from 1999 to 2006. The line targeted entry-level, consumer and education markets, with lower specifications and prices than the PowerBook, Apple's higher-end ...
, a laptop for consumers. It was the culmination of a strategy established by Jobs to produce only four products: refined versions of the Power Macintosh G3 desktop and PowerBook G3 laptop for professionals, along with the iMac desktop and iBook laptop for consumers. Jobs felt the small product line allowed for a greater focus on quality and innovation. At around the same time, Apple also completed numerous acquisitions to create a portfolio of digital media production software for both professionals and consumers. Apple acquired of Macromedia's Key Grip digital video editing software project which was renamed
Final Cut Pro Final Cut Pro is a series of non-linear editing, non-linear video editing software programs first developed by Macromedia, Macromedia Inc. and later Apple Inc. The most recent version, Final Cut Pro 10.6.4, runs on Macintosh, Mac computers power ...
when it was launched on the retail market in April 1999. The development of Key Grip also led to Apple's release of the consumer video-editing product
iMovie iMovie (known at times as iMovie HD) is a preinstalled video editing software, video editing application developed by Apple Inc. for macOS, iOS, and iPadOS devices. It was originally released in 1999 as a Mac OS 8 application bundled with the ...
in October 1999. Next, Apple successfully acquired the German company Astarte in April 2000, which had developed the DVD authoring software DVDirector, which Apple would sell as the professional-oriented DVD Studio Pro software product, and used the same technology to create iDVD for the consumer market. In 2000, Apple purchased the SoundJam MP audio player software from Casady & Greene. Apple renamed the program
iTunes iTunes () is a software program that acts as a Media player (software), media player, media library, mobile device management utility, and the client app for the iTunes Store. Developed by Apple Inc., it is used to purchase, play, download, ...
, while simplifying the user interface and adding the ability to burn CDs. 2001 would be a pivotal year for the Apple with the company making three announcements that would change the course of the company. The first announcement came on March 24, 2001, that Apple was nearly ready to release a new modern operating system,
Mac OS X macOS (; previously OS X and originally Mac OS X) is a Unix operating system developed and marketed by Apple Inc. since 2001. It is the primary operating system for Apple's Mac (computer), Mac computers. Within the market of ...
. The announcement came after numerous failed attempts in the early 1990s, and several years of development. Mac OS X was based on
NeXTSTEP NeXTSTEP is a discontinued object-oriented, computer multitasking, multitasking operating system based on the Mach kernel and the UNIX-derived BSD. It was developed by NeXT, NeXT Computer in the late 1980s and early 1990s and was initially use ...
, OPENSTEP, and BSD Unix, with Apple aiming to combine the stability, reliability, and security of
Unix Unix (; trademarked as UNIX) is a family of Computer multitasking, multitasking, multiuser computer operating systems that derive from the original AT&T Corporation, AT&T Unix, whose development started in 1969 at the Bell Labs research center ...
with the ease of use afforded by an overhauled user interface, heavily influenced by NeXTSTEP. To aid users in migrating from
Mac OS 9 Mac OS 9 is the ninth major release of Apple Inc., Apple's classic Mac OS operating system which was succeeded by macOS, Mac OS X (renamed to OS X in 2011 and macOS in 2016) in 2001. Introduced on October 23, 1999, it was promoted by Apple as "T ...
, the new operating system allowed the use of OS 9 applications within Mac OS X via the Classic Environment. In May 2001, the company opened its first two
Apple Store The Apple Store is a chain of Retail, retail stores owned and operated by Apple Inc. The stores sell various Apple products, including Macintosh, Mac personal computers, iPhone smartphones, iPad tablet computers, Apple Watch smartwatches, Apple ...
retail locations in Virginia and California, offering an improved presentation of the company's products. At the time, many speculated that the stores would fail, but they went on to become highly successful, and the first of more than 500 stores around the world. On October 23, 2001, Apple debuted the
iPod The iPod is a discontinued series of portable media players and multi-purpose mobile devices designed and marketed by Apple Inc. The iPod Classic#1st generation, first version was released on October 23, 2001, about months after the Ma ...
portable digital audio player. The product, which was first sold on November 10, 2001, was phenomenally successful with over 100 million units sold within six years. In 2003, Apple's
iTunes Store The iTunes Store is a digital media store operated by Apple Inc. It opened on April 28, 2003, as a result of Steve Jobs' push to open a digital marketplace for music. As of April 2020, iTunes offered 60 million songs, 2.2 million apps, 25,000 ...
was introduced. The service offered
music download A music download (commonly referred to as a digital download) is the digital music, digital transfer of music via the Internet into a device capable of decoding and playing it, such as a personal computer, portable media player, MP3 player or sma ...
s for 99¢ a song and integration with the iPod. The iTunes Store quickly became the market leader in online music services, with over five billion downloads by June 19, 2008. Two years later, the iTunes Store was the world's largest music retailer. In 2002, Apple purchased Nothing Real for their advanced digital
compositing Compositing is the process or technique of combining visual elements from separate sources into single images, often to create the illusion that all those elements are parts of the same scene. Live-action shooting for compositing is variously c ...
application Shake, as well as Emagic for the music productivity application
Logic Logic is the study of correct reasoning. It includes both Mathematical logic, formal and informal logic. Formal logic is the science of Validity (logic), deductively valid inferences or of logical truths. It is a formal science investigating h ...
. The purchase of Emagic made Apple the first computer manufacturer to own a music software company. The acquisition was followed by the development of Apple's consumer-level
GarageBand GarageBand is a line of digital audio workstations developed by Apple Inc. for macOS, iPadOS, and iOS devices that allows users to create music or podcasts. GarageBand is developed by Apple for macOS, and was once part of the iLife software su ...
application. The release of iPhoto in the same year completed the iLife suite. At the Worldwide Developers Conference keynote address on June 6, 2005, Jobs announced that Apple would move away from PowerPC processors, and the Mac would transition to Intel processors in 2006.Apple to Use Intel Microprocessors Beginning in 2006
Apple Inc., June 6, 2005. Retrieved March 2, 2007.
On January 10, 2006, the new MacBook Pro and
iMac iMac is a family of All-in-one PC, all-in-one Mac (computer), Mac desktop computers designed and built by Apple Inc. It has been the primary part of Apple's consumer desktop offerings since its debut in August 1998, and has evolved through ...
became the first Apple computers to use Intel's Core Duo CPU. By August 7, 2006, Apple made the transition to Intel chips for the entire Mac product line—over one year sooner than announced. The Power Mac, iBook, and PowerBook brands were retired during the transition; the Mac Pro, MacBook, and MacBook Pro became their respective successors. On April 29, 2009, ''
The Wall Street Journal ''The Wall Street Journal'' is an American business-focused, international daily newspaper based in New York City, with international editions also available in Chinese and Japanese. The ''Journal'', along with its The Wall Street Journal Asia, ...
'' reported that Apple was building its own team of engineers to design microchips. Apple also introduced Boot Camp in 2006 to help users install
Windows XP Windows XP is a major release of Microsoft's Windows NT operating system. It was release to manufacturing, released to manufacturing on August 24, 2001, and later to retail on October 25, 2001. It is a direct upgrade to its predecessors, Wind ...
or
Windows Vista Windows Vista is a major release of the Windows NT operating system developed by Microsoft. It was the direct successor to Windows XP, which was released five years before, at the time being the longest time span between successive releases of ...
on their Intel Macs alongside Mac OS X. Apple's success during this period was evident in its stock price. Between early 2003 and 2006, the price of Apple's stock increased more than tenfold, from around $6 per share ( split-adjusted) to over $80. When Apple surpassed
Dell Dell is an American based technology company. It develops, sells, repairs, and supports computers and related products and services. Dell is owned by its parent company, Dell Technologies. Dell sells personal computers (PCs), Server (computin ...
's market cap in January 2006,Gamet, Jeff (January 16, 2006)
Apple Passes Dell's Market Cap
''The MacObserver''. Retrieved March 2, 2007.
Jobs sent an email to Apple employees saying Dell's CEO
Michael Dell Michael Saul Dell (born February 23, 1965) is an American billionaire businessman and philanthropist. He is the founder, chairman, and CEO of Dell Technologies, one of the world's largest technology infrastructure companies. He is ranked the ...
should eat his words. Nine years prior, Dell had said that if he ran Apple he would "shut it down and give the money back to the shareholders".


2007–2011: Success with mobile devices

During his keynote speech at the Macworld Expo on January 9, 2007, Jobs announced that Apple Computer, Inc. would thereafter be known as "Apple Inc.", because the company had shifted its emphasis from computers to consumer electronics. This event also saw the announcement of the iPhone and the
Apple TV Apple TV is a digital media player and microconsole developed and marketed by Apple Inc. It is a small networking hardware, network appliance hardware that plays received media data such as video and audio to a television set or external displ ...
. The company sold 270,000 iPhone units during the first 30 hours of sales, and the device was called "a game changer for the industry". In an article posted on Apple's website on February 6, 2007, Jobs wrote that Apple would be willing to sell music on the
iTunes Store The iTunes Store is a digital media store operated by Apple Inc. It opened on April 28, 2003, as a result of Steve Jobs' push to open a digital marketplace for music. As of April 2020, iTunes offered 60 million songs, 2.2 million apps, 25,000 ...
without
digital rights management Digital rights management (DRM) is the management of legal access to digital content. Various tools or technological protection measures (TPM) such as access control technologies can restrict the use of proprietary hardware and copyrighted works. ...
(DRM), thereby allowing tracks to be played on third-party players, if record labels would agree to drop the technology. On April 2, 2007, Apple and EMI jointly announced the removal of DRM technology from EMI's catalog in the iTunes Store, effective in May 2007. Other record labels eventually followed suit and Apple published a press release in January 2009 to announce that all songs on the iTunes Store are available without their FairPlay DRM. In July 2008, Apple launched the
App Store An App Store (or app marketplace) is a type of digital distribution Digital distribution, also referred to as content delivery, online distribution, or electronic software distribution, among others, is the delivery or distribution of digital ...
to sell third-party applications for the iPhone and
iPod Touch The iPod Touch (stylized as iPod touch) is a discontinued line of iOS-based mobile device, mobile devices designed and marketed by Apple Inc. with a Touchscreen, touchscreen-controlled user interface. As with other iPod models, the iPod Touch ...
. Within a month, the store sold 60 million applications and registered an average daily revenue of $1 million, with Jobs speculating in August 2008 that the
App Store An App Store (or app marketplace) is a type of digital distribution Digital distribution, also referred to as content delivery, online distribution, or electronic software distribution, among others, is the delivery or distribution of digital ...
could become a billion-dollar business for Apple. By October 2008, Apple was the third-largest mobile handset supplier in the world due to the popularity of the iPhone. On January 14, 2009, Jobs announced in an internal memo that he would be taking a six-month medical
leave of absence The labour law concept of leave, specifically paid leave or, in some countries' long-form, a leave of absence, is an authorised prolonged absence from work, for any reason authorised by the workplace. When people "take leave" in this way, they are ...
from Apple until the end of June 2009 and would spend the time focusing on his health. In the email, Jobs stated that "the curiosity over my personal health continues to be a distraction not only for me and my family, but everyone else at Apple as well", and explained that the break would allow the company "to focus on delivering extraordinary products". Though Jobs was absent, Apple recorded its best non-holiday quarter (Q1 FY 2009) during the
recession In economics Economics () is the social science that studies the Production (economics), production, distribution (economics), distribution, and Consumption (economics), consumption of goods and services. Economics focuses on the b ...
with revenue of $8.16 billion and profit of $1.21 billion. After years of speculation and multiple rumored "leaks", Apple unveiled a large screen, tablet-like media device known as the
iPad The iPad is a brand of iOS and iPadOS-based tablet computers that are developed by Apple Inc., Apple Inc. The iPad was conceived before the related iPhone but the iPhone was developed and released first. Speculation about the development, ...
on January 27, 2010. The iPad ran the same touch-based operating system as the iPhone, and all iPhone apps were compatible with the iPad. This gave the iPad a large app catalog on launch, though having very little development time before the release. Later that year on April 3, 2010, the iPad was launched in the US. It sold more than 300,000 units on its first day, and 500,000 by the end of the first week. In May of the same year, Apple's market cap exceeded that of competitor
Microsoft Microsoft Corporation is an American multinational corporation, multinational technology company, technology corporation producing Software, computer software, consumer electronics, personal computers, and related services headquartered at th ...
for the first time since 1989. In June 2010, Apple released the
iPhone 4 The iPhone 4 is a smartphone that was designed and marketed by Apple Inc. It is the List of iOS devices, fourth generation of the iPhone lineup, succeeding the iPhone 3GS and preceding the iPhone 4S, 4S. Following a number of notable leaks, ...
, which introduced video calling using
FaceTime FaceTime is a proprietary videotelephony Videotelephony, also known as videoconferencing and video teleconferencing, is the two-way or multipoint reception and transmission of audio signal, audio and video signals by people in different l ...
, multitasking, and a new uninsulated
stainless steel Stainless steel is an alloy of iron that is resistant to rusting and corrosion. It contains at least 11% chromium and may contain elements such as carbon, other nonmetals and metals to obtain other desired properties. Stainless steel's corros ...
design that acted as the phone's antenna. Later that year, Apple again refreshed its
iPod The iPod is a discontinued series of portable media players and multi-purpose mobile devices designed and marketed by Apple Inc. The iPod Classic#1st generation, first version was released on October 23, 2001, about months after the Ma ...
line of MP3 players by introducing a
multi-touch In computing, multi-touch is technology that enables a surface (a touchpad or touchscreen) to recognize the presence of more than one somatosensory system, point of contact with the surface at the same time. The origins of multitouch began at CER ...
iPod Nano, an iPod Touch with
FaceTime FaceTime is a proprietary videotelephony Videotelephony, also known as videoconferencing and video teleconferencing, is the two-way or multipoint reception and transmission of audio signal, audio and video signals by people in different l ...
, and an
iPod Shuffle The iPod Shuffle (stylized and marketed as iPod shuffle) is a discontinued digital audio player designed and formerly marketed by Apple Inc. It was the smallest model in Apple's iPod family, and was the first iPod to use flash memory. The firs ...
that brought back the clickwheel buttons of earlier generations. It also introduced the smaller, cheaper second generation Apple TV which allowed renting of movies and shows. On January 17, 2011, Jobs announced in an internal Apple memo that he would take another medical leave of absence for an indefinite period to allow him to focus on his health. Chief operating officer
Tim Cook Timothy Donald Cook (born November 1, 1960) is an American business executive who has been the chief executive officer of Apple Inc. since 2011. Cook previously served as the company's chief operating officer under its co-founder Steve Jobs. ...
assumed Jobs's day-to-day operations at Apple, although Jobs would still remain "involved in major strategic decisions". Apple became the most valuable consumer-facing brand in the world. In June 2011, Jobs surprisingly took the stage and unveiled
iCloud iCloud is a Personal cloud, cloud service from Apple Inc. launched on October 12, 2011 as a successor to MobileMe. , the service had an estimated 850 million users, up from 782 million users in 2016. iCloud enables users to sync their data to t ...
, an online storage and syncing service for music, photos, files, and software which replaced
MobileMe MobileMe (branded iTools between 2000 and 2002; .Mac until 2008) is a discontinued subscription business model, subscription-based collection of online services and software offered by Apple Inc. All services were gradually transitioned to and ...
, Apple's previous attempt at content syncing. This would be the last product launch Jobs would attend before his death. On August 24, 2011, Jobs resigned his position as CEO of Apple. He was replaced by Cook and Jobs became Apple's chairman. Apple did not have a chairman at the time and instead had two co-lead directors, Andrea Jung and Arthur D. Levinson, who continued with those titles until Levinson replaced Jobs as chairman of the board in November after Jobs' death.


2011–present: Post-Jobs era, Cook's leadership

On October 5, 2011, Steve Jobs died, marking the end of an era for Apple. The first major product announcement by Apple following Jobs's passing occurred on January 19, 2012, when Apple's Phil Schiller introduced iBook's Textbooks for iOS and iBook Author for Mac OS X in New York City. Jobs stated in the biography "Jobs" that he wanted to reinvent the
textbook A textbook is a book containing a comprehensive compilation of content in a branch of Study skills, study with the intention of explaining it. Textbooks are produced to meet the needs of educators, usually at educational institutions. Schoolbook ...
industry and education. From 2011 to 2012, Apple released the
iPhone 4S The iPhone 4S (originally styled as iPhone 4 S, retroactively stylized with a lowercase 's' as iPhone 4s as of September 2013) is a smartphone A smartphone is a Mobile device, portable computer device that combines Mobile phone, mo ...
and
iPhone 5 The iPhone 5 is a smartphone that was designed and marketed by Apple Inc. It is the List of iOS devices, 6th generation iPhone, succeeding both the iPhone 4 and iPhone 4S, and preceding both the iPhone 5S and iPhone 5C, 5C. It was formally ...
, which featured improved cameras, an intelligent software assistant named
Siri Siri ( ) is a virtual assistant An intelligent virtual assistant (IVA) or intelligent personal assistant (IPA) is a software agent that can perform tasks or services for an individual based on commands or questions. The term "chatbot" i ...
, and cloud-synced data with iCloud; the third- and fourth-generation iPads, which featured Retina displays; and the
iPad Mini The iPad Mini (branded and marketed as iPad mini) is a line of mini tablets, mini tablet computers designed, developed, and marketed by Apple Inc. It is a sub-series of the iPad line of tablets, with screen sizes of 7.9 inches and 8.3 inches. ...
, which featured a 7.9-inch screen in contrast to the iPad's 9.7-inch screen. These launches were successful, with the iPhone 5 (released September 21, 2012) becoming Apple's biggest iPhone launch with over two million pre-orders and sales of three million iPads in three days following the launch of the iPad Mini and fourth-generation iPad (released November 3, 2012). Apple also released a third-generation 13-inch MacBook Pro with a Retina display and new
iMac iMac is a family of All-in-one PC, all-in-one Mac (computer), Mac desktop computers designed and built by Apple Inc. It has been the primary part of Apple's consumer desktop offerings since its debut in August 1998, and has evolved through ...
and
Mac Mini Mac Mini (stylized as Mac mini) is a small form factor (desktop and motherboard), small form factor desktop computer developed and marketed by Apple Inc. , it is positioned between the consumer all-in-one iMac (Intel-based), iMac and the profes ...
computers. On August 20, 2012, Apple's rising stock price increased the company's market capitalization to a then-record $624 billion. This beat the non-inflation-adjusted record for market capitalization previously set by
Microsoft Microsoft Corporation is an American multinational corporation, multinational technology company, technology corporation producing Software, computer software, consumer electronics, personal computers, and related services headquartered at th ...
in 1999. On August 24, 2012, a US jury ruled that Samsung should pay Apple $1.05 billion (£665m) in damages in an
intellectual property Intellectual property (IP) is a category of property that includes intangible creations of the human intellect. There are many types of intellectual property, and some countries recognize more than others. The best-known types are patents, ...
lawsuit. Samsung appealed the damages award, which was reduced by $450 million and further granted Samsung's request for a new trial. On November 10, 2012, Apple confirmed a global settlement that dismissed all existing lawsuits between Apple and HTC up to that date, in favor of a ten-year license agreement for current and future patents between the two companies. It is predicted that Apple will make $280 million a year from this deal with HTC. In May 2014, the company confirmed its intent to acquire Dr. Dre and
Jimmy Iovine James Iovine ( ; ; born March 11, 1953) is an American entrepreneur, Music executive, record executive, and media proprietor best known as the co-founder of Interscope Records. In 2006, Iovine and rapper-producer Dr. Dre founded Beats Electronic ...
's audio company
Beats Electronics Beats Electronics LLC (also known as Beats by Dr. Dre, or simply Beats by Dre) is an American Consumer electronics, consumer Sound recording and reproduction, audio products manufacturer headquartered in Culver City, California. The company was f ...
—producer of the "Beats by Dr. Dre" line of headphones and speaker products, and operator of the music streaming service Beats Music—for $3 billion, and to sell their products through Apple's retail outlets and resellers. Iovine believed that Beats had always "belonged" with Apple, as the company modeled itself after Apple's "unmatched ability to marry culture and technology." The acquisition was the largest purchase in Apple's history. During a press event on September 9, 2014, Apple introduced a smartwatch, the Apple Watch.; Initially, Apple marketed the device as a
fashion accessory In fashion Fashion is a form of Self-expression values, self-expression and autonomy at a particular period and place and in a specific context, of clothing, footwear, Lifestyle (sociology), lifestyle, Fashion accessory, accessories, makeup, ...
and a complement to the iPhone, that would allow people to look at their smartphones less. Over time, the company has focused on developing health and fitness-oriented features on the watch, in an effort to compete with dedicated
activity tracker An activity tracker, also known as a fitness tracker, is a device or application for monitoring and tracking Physical fitness, fitness-related metrics such as distance walked or run, calorie consumption, and in some cases heartbeat. It is a type ...
s. In January 2016, it was announced that one billion Apple devices were in active use worldwide. On June 6, 2016, Fortune released Fortune 500, their list of companies ranked on revenue generation. In the trailing fiscal year (2015), Apple appeared on the list as the top tech company. It ranked third, overall, with $233 billion in revenue. This represents a movement upward of two spots from the previous year's list. In June 2017, Apple announced the
HomePod The HomePod is a smart speaker developed by Apple Inc. The HomePod was designed to work with the Apple Music subscription service. The HomePod was announced on June 5, 2017, at the Apple Worldwide Developers Conference. Its launch was later del ...
, its
smart speaker A smart speaker is a type of loudspeaker and voice command device with an integrated virtual assistant (artificial intelligence), virtual assistant that offers interactive actions and Hands-free computing, hands-free activation with the help of o ...
aimed to compete against
Sonos SONOS, short for "silicon–oxide–nitride–oxide–silicon", more precisely, " polycrystalline silicon"—" silicon dioxide"—" silicon nitride"—"silicon dioxide"—" silicon", is a cross sectional structure of MOSFET (metal-oxide-semico ...
,
Google Home Google Nest, previously named Google Home, is a line of smart speakers developed by Google under the Google Nest brand. The devices enable users to speak Speech recognition, voice commands to interact with services through Google Assistant, the ...
, and
Amazon Echo Amazon Echo, often shortened to Echo, is an American brand of smart speakers developed by Amazon (company), Amazon. Echo devices connect to the voice-controlled Virtual assistant, intelligent personal assistant service ''Amazon Alexa, Alexa'', w ...
. Towards the end of the year, ''
TechCrunch TechCrunch is an American online newspaper focusing on high tech and Startup company, startup companies. It was founded in June 2005 by Archimedes Ventures, led by partners Michael Arrington and Keith Teare. In 2010, AOL acquired the company fo ...
'' reported that Apple was acquiring Shazam, a company that introduced its products at WWDC and specializing in music, TV, film and advertising recognition. The acquisition was confirmed a few days later, reportedly costing Apple $400 million, with media reports noting that the purchase looked like a move to acquire data and tools bolstering the
Apple Music Apple Music is a music, audio and video streaming service developed by Apple Inc. Users select music to stream to their device on-demand, or they can listen to existing playlists. The service also includes the Internet radio stations Appl ...
streaming service. The purchase was approved by the
European Union The European Union (EU) is a supranational union, supranational political union, political and economic union of Member state of the European Union, member states that are located primarily in Europe, Europe. The union has a total area of ...
in September 2018. Also in June 2017, Apple appointed Jamie Erlicht and Zack Van Amburg to head the newly formed worldwide video unit. In November 2017, Apple announced it was branching out into original scripted programming: a drama series starring
Jennifer Aniston Jennifer Joanna Aniston (born February 11, 1969) is an American actress and film producer. She is the recipient of List of awards and nominations received by Jennifer Aniston, various accolades, including a Primetime Emmy Award, a Golden Globe ...
and
Reese Witherspoon Laura Jeanne Reese Witherspoon (born March 22, 1976) is an American actress and producer. The recipient of List of awards and nominations received by Reese Witherspoon, various accolades, including an Academy Award, a British Academy Film Awa ...
, and a reboot of the anthology series
Amazing Stories ''Amazing Stories'' is an American science fiction magazine launched in April 1926 by Hugo Gernsback's Experimenter Publishing. It was the first magazine devoted solely to science fiction. Science fiction stories had made regular appearances in ...
with
Steven Spielberg Steven Allan Spielberg (; born December 18, 1946) is an American director, writer, and producer. A major figure of the New Hollywood era and pioneer of the modern Blockbuster (entertainment), blockbuster, he is the most List of highest-grossi ...
. In June 2018, Apple signed the
Writers Guild of America The Writers Guild of America is the joint efforts of two different US labor unions representing TV and film writers: * The Writers Guild of America, East (WGAE), headquartered in New York City New York, often calle ...
's minimum basic agreement and
Oprah Winfrey Oprah Gail Winfrey (; born Orpah Gail Winfrey; January 29, 1954), or simply Oprah, is an American talk show host, television producer, actress, author, and philanthropist. She is best known for her talk show, ''The Oprah Winfrey Show'', br ...
to a multi-year content partnership. Additional partnerships for original series include
Sesame Workshop Sesame Workshop (SW), originally known as the Children's Television Workshop (CTW), is an American nonprofit organization that has been responsible for the production of several educational children's programs—including its first and best-kno ...
and DHX Media and its subsidiary Peanuts Worldwide, as well as a partnership with
A24 A24 is an American independent Independent or Independents may refer to: Arts, entertainment, and media Artist groups * Independents (artist group), a group of modernist painters based in the New Hope, Pennsylvania, area of the United State ...
to create original films. During the Apple Special Event in September 2017, the
AirPower Airpower or air power consists of the application of military aviation, military strategy and strategic theory to the realm of aerial warfare and close air support. Airpower began in the advent of powered flight early in the 20th century. Airpo ...
wireless charger was announced alongside the
iPhone X The iPhone X (Roman numerals, Roman numeral "X" pronounced "ten", also known as iPhone 10) is a smartphone designed, developed and marketed by Apple Inc. It is part of the IPhone generations, 11th generation of the iPhone. Available for pre-orde ...
, 8 and Watch Series 3. The AirPower was intended to wirelessly charge multiple devices, simultaneously. Though initially set to release in early 2018, the AirPower would be canceled in March 2019, marking the first cancellation of a device under Cook's leadership. On August 19, 2020, Apple's share price briefly topped $467.77, making Apple the first US company with a market capitalization of $2 trillion. During its annual WWDC keynote speech on June 22, 2020, Apple announced it would move away from Intel processors, and the Mac would transition to processors developed in-house. The announcement was expected by industry analysts, and it has been noted that Macs featuring Apple's processors would allow for big increases in performance over current Intel-based models. On November 10, 2020, the MacBook Air, MacBook Pro, and the Mac Mini became the first Mac devices powered by an Apple-designed processor, the
Apple M1 Apple M1 is a series of ARM-based systems-on-a-chip (SoCs) designed by Apple Inc. as a central processing unit A central processing unit (CPU), also called a central processor, main processor or just Processor (computing), processor, is ...
. In April 2022, it was reported that Samsung Electro-Mechanics would be collaborating with Apple on its M2 chip instead of LG Innotek. Developer logs showed that at least nine Mac models with four different M2 chips were being tested.
The Wall Street Journal ''The Wall Street Journal'' is an American business-focused, international daily newspaper based in New York City, with international editions also available in Chinese and Japanese. The ''Journal'', along with its The Wall Street Journal Asia, ...
reported that an effort to develop its own chips left Apple better prepared to deal with the semiconductor shortage that emerged during the pandemic era and led to increased profitability, with sales of Mac computers that included M1 chips rising sharply in 2020 and 2021. It also inspired other companies like Tesla,
Amazon Amazon most often refers to: * Amazons, a tribe of female warriors in Greek mythology * Amazon rainforest, a rainforest covering most of the Amazon basin * Amazon River, in South America * Amazon (company), an American multinational technology co ...
, and
Meta Platforms Meta Platforms, Inc., (file no. 3835815) trade name, doing business as Meta and formerly named Facebook, Inc., and TheFacebook, Inc., is an American multinational technology conglomerate based in Menlo Park, California. The company owns Facebo ...
to pursue a similar path. In April 2022, Apple opened an online store that allowed anyone in the US to view repair manuals and order replacement parts for specific recent iPhones, although the difference in cost between this method and official repair is anticipated to be minimal. In May 2022, a trademark was filed for RealityOS, an operating system reportedly intended for virtual and augmented reality headsets, first mentioned in 2017. According to Bloomberg, the headset may come out in 2023. Further insider reports state that the device uses iris scanning for payment confirmation and signing into accounts. On June 18, 2022, the Apple Store in
Towson, Maryland Towson () is an Unincorporated area, unincorporated community and a census-designated place in Baltimore County, Maryland, Baltimore County, Maryland, United States. The population was 55,197 as of the 2010 census. It is the county seat of Baltim ...
became the first to unionize in the U.S., with the employees voting to join the
International Association of Machinists and Aerospace Workers The International Association of Machinists and Aerospace Workers (IAM) is an AFL–CIO/Canadian Labour Congress, CLC trade union representing approx. 646,933 workers as of 2006 in more than 200 industries with most of its membership in the Unite ...
. On July 7, 2022, Apple added Lockdown Mode to macOS 13 and iOS 16, as a response to the earlier Pegasus revelations; the mode increases security protections for high-risk users against targeted zero-day malware.


Products


Mac

The Mac is Apple's family of
personal computers A personal computer (PC) is a multi-purpose microcomputer whose size, capabilities, and price make it feasible for individual use. Personal computers are intended to be operated directly by an end user, rather than by a computer expert or techn ...
. Macs are known for their ease of use and distinctive aluminium,
minimalist In visual arts, Minimal music, music and other media, minimalism is an art movement that began in post–World War II in Western art, most strongly with American visual arts in the 1960s and early 1970s. Prominent artists associated with minimal ...
designs. Macs have been popular among students, creative professionals, and software engineers. The current lineup consists of the
MacBook Air The MacBook Air is a line of ultrabook computers developed and manufactured by Apple Inc. It consists of a full-size Computer keyboard, keyboard, a machining, machined aluminum case, and, in the more modern versions, a thin light structure. The ...
and MacBook Pro laptops, and the
iMac iMac is a family of All-in-one PC, all-in-one Mac (computer), Mac desktop computers designed and built by Apple Inc. It has been the primary part of Apple's consumer desktop offerings since its debut in August 1998, and has evolved through ...
,
Mac mini Mac Mini (stylized as Mac mini) is a small form factor (desktop and motherboard), small form factor desktop computer developed and marketed by Apple Inc. , it is positioned between the consumer all-in-one iMac (Intel-based), iMac and the profes ...
, Mac Studio and Mac Pro desktop computers. All Macs except the Mac Pro use
Apple silicon Apple silicon is a series of system on a chip (SoC) and System in package, system in a package (SiP) processors designed by Apple Inc., mainly using the ARM architecture. It is the basis of most new Mac (computer), Mac computers as well as iPho ...
chips. Macs run the
macOS macOS (; previously OS X and originally Mac OS X) is a Unix operating system developed and marketed by Apple Inc. since 2001. It is the primary operating system for Apple's Mac (computer), Mac computers. Within the market of ...
operating system, and include the
Safari A safari (; ) is an overland journey to observe wildlife, wild animals, especially in East Africa, eastern or southern Africa. The so-called big five game, "Big Five" game animals of Africa – lion, African leopard, leopard, rhinoceros, Africa ...
web browser,
iMovie iMovie (known at times as iMovie HD) is a preinstalled video editing software, video editing application developed by Apple Inc. for macOS, iOS, and iPadOS devices. It was originally released in 1999 as a Mac OS 8 application bundled with the ...
for home movie editing,
GarageBand GarageBand is a line of digital audio workstations developed by Apple Inc. for macOS, iPadOS, and iOS devices that allows users to create music or podcasts. GarageBand is developed by Apple for macOS, and was once part of the iLife software su ...
for music creation, and the iWork productivity suite. Apple also makes pro apps:
Final Cut Pro Final Cut Pro is a series of non-linear editing, non-linear video editing software programs first developed by Macromedia, Macromedia Inc. and later Apple Inc. The most recent version, Final Cut Pro 10.6.4, runs on Macintosh, Mac computers power ...
for video production, Logic Pro for musicians and producers, and Xcode for software developers. Apple also sells a variety of accessories for Macs, including the Pro Display XDR, Apple Studio Display, Magic Mouse, Magic Trackpad, and Magic Keyboard.


iPhone

The iPhone is Apple's line of
smartphone A smartphone is a Mobile device, portable computer device that combines Mobile phone, mobile telephone and Mobile computing, computing functions into one unit. They are distinguished from feature phones by their stronger hardware capabilities ...
s, which run the
iOS iOS (formerly iPhone OS) is a mobile operating system A mobile operating system is an operating system for mobile phones, tablet computer, tablets, smartwatches, smartglasses, or other non-laptop personal computing, personal mobile computin ...
operating system. The first iPhone was unveiled by Steve Jobs on January 9, 2007. Since then, new models have been released annually. When it was introduced, its
multi-touch In computing, multi-touch is technology that enables a surface (a touchpad or touchscreen) to recognize the presence of more than one somatosensory system, point of contact with the surface at the same time. The origins of multitouch began at CER ...
screen was described as "revolutionary" and a "game-changer" for the mobile phone industry. The device has been credited with creating the app economy. As of 2022, the iPhone has 15% market share, yet represents 50% of global smartphone revenues, with Android phones accounting for the rest. The iPhone has generated large profits for the company, and is credited with helping to make Apple one of the world's most valuable publicly traded companies. The most recent iPhones are the
iPhone 14 The iPhone 14 and iPhone 14 Plus (also stylized as iPhone 14+) are smartphones designed, developed, and marketed by Apple Inc. They are the sixteenth generation of iPhones, succeeding the iPhone 13, iPhone 13 and iPhone 13 Mini, and was announc ...
, iPhone 14 Plus, iPhone 14 Pro and iPhone 14 Pro Max.


iPad

iPad is Apple's line of tablets which run
iPadOS iPadOS is a mobile operating system developed by Apple Inc. for its iPad line of tablet computers. It is a rebranded variant of iOS, the operating system used by Apple's iPhones, renamed to reflect the diverging features of the two product li ...
. The first-generation iPad was announced on January 27, 2010. The iPad is mainly marketed for consuming multimedia, creating art, working on documents, videoconferencing, and playing games. The iPad lineup consists of several base iPad models, and the smaller
iPad Mini The iPad Mini (branded and marketed as iPad mini) is a line of mini tablets, mini tablet computers designed, developed, and marketed by Apple Inc. It is a sub-series of the iPad line of tablets, with screen sizes of 7.9 inches and 8.3 inches. ...
, upgraded
iPad Air The iPad is a brand of iOS and iPadOS-based tablet computers that are developed by Apple Inc., Apple Inc. The iPad was conceived before the related iPhone but the iPhone was developed and released first. Speculation about the development, ...
, and high-end
iPad Pro The iPad Pro is a premium model of Apple Inc., Apple's iPad tablet computer. It runs iPadOS, a tablet-optimized version of the iOS operating system. The IPad Pro (1st generation), original iPad Pro was introduced in September 2015, and ran i ...
. Apple has consistently improved the iPad's performance, with the
iPad Pro The iPad Pro is a premium model of Apple Inc., Apple's iPad tablet computer. It runs iPadOS, a tablet-optimized version of the iOS operating system. The IPad Pro (1st generation), original iPad Pro was introduced in September 2015, and ran i ...
adopting the same M1 and M2 chips as the Mac; but the iPad still receives criticism for its limited OS. Apple has sold more than 500 million iPads, though sales peaked in 2013.; ; The iPad still remains the most popular tablet computer by sales , and accounted for nine percent of the company's revenue . Apple sells several iPad accessories, including the Apple Pencil, Smart Keyboard, Smart Keyboard Folio, Magic Keyboard, and several adapters.


Other products

Apple also makes several other products that it categorizes as "Wearables, Home and Accessories". These products include the
AirPods AirPods are wireless Bluetooth Headphones#Ear-fitting headphones, earbuds designed by Apple Inc., Apple Inc. They were first announced on September 7, 2016, alongside the iPhone 7. Within two years, they became Apple's most popular accessory. ...
line of wireless headphones,
Apple TV Apple TV is a digital media player and microconsole developed and marketed by Apple Inc. It is a small networking hardware, network appliance hardware that plays received media data such as video and audio to a television set or external displ ...
digital media players,
Apple Watch Apple Watch is a line of smartwatches produced by Apple Inc. It incorporates activity tracker, fitness tracking, Health (Apple), health-oriented capabilities, and wireless telecommunication, and integrates with iOS and other Apple products and s ...
smartwatches, Beats headphones and HomePod Mini smart speakers. , this broad line of products comprises about 11% of the company's revenues.


Services

Apple also offers a broad line of services that it earns revenue on, including advertising in the App Store and Apple News app, the AppleCare+ extended warranty plan, the
iCloud iCloud is a Personal cloud, cloud service from Apple Inc. launched on October 12, 2011 as a successor to MobileMe. , the service had an estimated 850 million users, up from 782 million users in 2016. iCloud enables users to sync their data to t ...
+ cloud-based data storage service, payment services through the
Apple Card Apple Card is a credit card created by Apple Inc. and issued by Goldman Sachs, designed primarily to be used with Apple Pay on Apple devices such as an iPhone, iPad, Apple Watch, or Macintosh, Mac. Currently, it is available only in the United S ...
credit card and the
Apple Pay Apple Pay is a mobile payment service by Apple Inc. that allows users to make payments in person, in App Store (iOS), iOS apps, and on the web. It is supported on these Apple devices: iPhone, Apple Watch, iPad, and Macintosh, Mac. It digitizes ...
processing platform, a digital content services including
Apple Books Apple Books (formerly known as iBooks between January 2010 and September 2018) is an e-book reading and store application by Apple Inc. for its iOS and macOS operating systems and List of iOS devices, devices. It was announced, under the name i ...
, Apple Fitness+,
Apple Music Apple Music is a music, audio and video streaming service developed by Apple Inc. Users select music to stream to their device on-demand, or they can listen to existing playlists. The service also includes the Internet radio stations Appl ...
,
Apple News Apple News is a news aggregator app developed by Apple Inc., for its iOS, iPadOS, watchOS, and macOS operating systems. The iOS version was launched with the release of iOS 9. It is the successor to the Newsstand (software), Newsstand app inclu ...
+,
Apple TV+ Apple TV+ is an American subscription streaming television, streaming service owned and operated by Apple Inc. Launched on November 1, 2019, it offers a selection of original production film and television series called List of Apple TV+ origin ...
, and the
iTunes Store The iTunes Store is a digital media store operated by Apple Inc. It opened on April 28, 2003, as a result of Steve Jobs' push to open a digital marketplace for music. As of April 2020, iTunes offered 60 million songs, 2.2 million apps, 25,000 ...
. , services comprise about 19% of the company's revenue. Many of the services have been launched since 2019 when Apple announced it would be making a concerted effort to expand its service revenues.


Corporate identity


Logo

According to Steve Jobs, the company's name was inspired by his visit to an apple farm while on a fruitarian diet. Jobs thought the name "Apple" was "fun, spirited and not intimidating." Apple's first logo, designed by Ron Wayne, depicts
Sir Isaac Newton Sir Isaac Newton (25 December 1642 – 20 March 1726/27) was an English mathematician, physicist, astronomer, alchemist, Theology, theologian, and author (described in his time as a "natural philosophy, natural philosopher"), widely ...
sitting under an apple tree. It was almost immediately replaced by
Rob Janoff Rob Janoff is an American graphic designer of corporate logos and identities, printed advertisements and television commercials. He is known for his creation of the Apple logo. In 1977, Janoff worked for Regis McKenna as an art director and was t ...
's "rainbow Apple", the now-familiar rainbow-colored silhouette of an apple with a bite taken out of it. Janoff presented Jobs with several different monochromatic themes for the "bitten" logo, and Jobs immediately took a liking to it. However, Jobs insisted that the logo be colorized to humanize the company. The logo was designed with a bite so that it would not be confused with a cherry. The colored stripes were conceived to make the logo more accessible, and to represent the fact the Apple II could generate graphics in color. This logo is often erroneously referred to as a tribute to
Alan Turing Alan Mathison Turing (; 23 June 1912 – 7 June 1954) was an English mathematician, computer scientist, logician, cryptanalyst, philosopher, and theoretical biologist. Turing was highly influential in the development of theoretical ...
, with the bite mark a reference to his method of suicide. Both Janoff and Apple deny any homage to Turing in the design of the logo. On August 27, 1999 (the year following the introduction of the
iMac G3 The iMac G3, originally released as the iMac, is a series of Macintosh personal computers sold by Apple Computer from 1998 to 2003. The iMac was the first major new product release for Apple under Steve Jobs, Apple's interim CEO and cofounder ...
), Apple officially dropped the rainbow scheme and began to use monochromatic logos nearly identical in shape to the previous rainbow incarnation. An
Aqua Aqua is the Latin word for water. It is used in many words which relate to water, such as aquatic life. In English, it may also refer to: Arts * Aqua (color), a greenish-blue color Business * Aqua (skyscraper), an 82-story residential skysc ...
-themed version of the monochrome logo was used from 1998 to 2003, and a glass-themed version was used from 2007 to 2013. Steve Jobs and Steve Wozniak were fans of
the Beatles The Beatles were an English Rock music, rock band, formed in Liverpool in 1960, that comprised John Lennon, Paul McCartney, George Harrison and Ringo Starr. They are regarded as the Cultural impact of the Beatles, most influential band of al ...
, but Apple Inc. had name and logo trademark issues with Apple Corps Ltd., a multimedia company started by the Beatles in 1968. This resulted in a series of lawsuits and tension between the two companies. These issues ended with the settling of their lawsuit in 2007.


Advertising

Apple's first slogan, "
Byte The byte is a unit of digital information that most commonly consists of eight bits. Historically, the byte was the number of bits used to encode a single character of text in a computer and for this reason it is the smallest addressable un ...
into an Apple", was coined in the late 1970s. From 1997 to 2002, the slogan " Think different" was used in advertising campaigns, and is still closely associated with Apple. Apple also has slogans for specific product lines—for example, "iThink, therefore iMac" was used in 1998 to promote the iMac, and "Say hello to iPhone" has been used in iPhone advertisements. "Hello" was also used to introduce the original Macintosh, Newton, iMac ("hello (again)"), and iPod. From the introduction of the Macintosh in 1984, with the 1984 Super Bowl advertisement to the more modern Get a Mac adverts, Apple has been recognized for its efforts towards effective advertising and marketing for its products. However, claims made by later campaigns were criticized, particularly the 2005 Power Mac ads. Apple's product advertisements gained a lot of attention as a result of their eye-popping graphics and catchy tunes.Farber, Jim
Apple ad creates recognition for Yael Naim
''
New York Daily News The New York ''Daily News'', officially titled the ''Daily News'', is an American newspaper based in Jersey City, NJ. It was founded in 1919 by Joseph Medill Patterson as the ''Illustrated Daily News''. It was the first U.S. daily printed in Ta ...
'', March 11, 2008.
Musicians who benefited from an improved profile as a result of their songs being included on Apple advertisements include Canadian singer Feist with the song " 1234" and Yael Naïm with the song " New Soul".


Brand loyalty

Apple customers gained a reputation for devotion and loyalty early in the company's history. In 1984, ''
BYTE The byte is a unit of digital information that most commonly consists of eight bits. Historically, the byte was the number of bits used to encode a single character of text in a computer and for this reason it is the smallest addressable un ...
'' stated that: Apple evangelists were actively engaged by the company at one time, but this was after the phenomenon had already been firmly established. Apple evangelist
Guy Kawasaki Guy Kawasaki (born August 30, 1954) is an American marketing specialist, author, and Silicon Valley Silicon Valley is a region in Northern California that serves as a global center for high technology and innovation. Located in the southern ...
has called the brand fanaticism "something that was stumbled upon," while Ive explained in 2014 that "People have an incredibly personal relationship" with Apple's products.
Apple Store The Apple Store is a chain of Retail, retail stores owned and operated by Apple Inc. The stores sell various Apple products, including Macintosh, Mac personal computers, iPhone smartphones, iPad tablet computers, Apple Watch smartwatches, Apple ...
openings and new product releases can draw crowds of hundreds, with some waiting in line as much as a day before the opening. The opening of
New York City New York, often called New York City or NYC, is the List of United States cities by population, most populous city in the United States. With a 2020 population of 8,804,190 distributed over , New York City is also the L ...
's Apple Fifth Avenue store in 2006 was highly attended, and had visitors from Europe who flew in for the event. In June 2017, a newlywed couple took their wedding photos inside the then-recently opened Orchard Road Apple Store in Singapore. The high level of brand loyalty has been criticized and ridiculed, applying the epithet "Apple fanboy" and mocking the lengthy lines before a product launch. An internal memo leaked in 2015 suggested the company planned to discourage long lines and direct customers to purchase its products on its website. '' Fortune'' magazine named Apple the most admired company in the United States in 2008, and in the world from 2008 to 2012. On September 30, 2013, Apple surpassed
Coca-Cola Coca-Cola, or Coke, is a carbonated soft drink manufactured by the Coca-Cola Company. Originally marketed as a temperance bar, temperance drink and intended as a patent medicine, it was invented in the late 19th century by John Stith Pembe ...
to become the world's most valuable brand in the
Omnicom Group Omnicom Group Inc. is an American global media, marketing and corporate communications holding company, headquartered in New York City. Omnicom's branded networks and specialty firms provide services in four disciplines: advertising, customer re ...
's "Best Global Brands" report.
Boston Consulting Group Boston Consulting Group, Inc. (BCG) is an American global management consulting firm founded in 1963 and headquartered in Boston, Massachusetts. It is one of the Big Three (management consultancies), Big Three (or MBB, the world’s three larges ...
has ranked Apple as the world's most innovative brand every year since 2005. ''
The New York Times ''The New York Times'' (''the Times'', ''NYT'', or the Gray Lady) is a daily newspaper based in New York City with a worldwide readership reported in 2020 to comprise a declining 840,000 paid print subscribers, and a growing 6 million paid d ...
'' in 1985 stated that "Apple above all else is a marketing company". John Sculley agreed, telling ''
The Guardian ''The Guardian'' is a British daily newspaper. It was founded in 1821 as ''The Manchester Guardian'', and changed its name in 1959. Along with its sister papers ''The Observer'' and ''The Guardian Weekly'', ''The Guardian'' is part of the Gu ...
'' newspaper in 1997 that "People talk about technology, but Apple was a marketing company. It was the marketing company of the decade." Research in 2002 by NetRatings indicate that the average Apple consumer was usually more affluent and better educated than other PC company consumers. The research indicated that this correlation could stem from the fact that on average Apple Inc. products were more expensive than other PC products. In response to a query about the devotion of loyal Apple consumers, Jonathan Ive responded: there are 1.65 billion Apple products in active use.


Headquarters and major facilities

Apple Inc.'s world corporate headquarters are located in Cupertino, in the middle of California's
Silicon Valley Silicon Valley is a region in Northern California that serves as a global center for high technology and innovation. Located in the southern part of the San Francisco Bay Area, it corresponds roughly to the geographical areas San Mateo County, ...
, at Apple Park, a massive circular groundscraper building with a
circumference In geometry, the circumference (from Latin ''circumferens'', meaning "carrying around") is the perimeter of a circle or ellipse. That is, the circumference would be the arc length of the circle, as if it were opened up and straightened out to ...
of . The building opened in April 2017 and houses more than 12,000 employees. Apple co-founder
Steve Jobs Steven Paul Jobs (February 24, 1955 – October 5, 2011) was an American Entrepreneurship, entrepreneur, industrial designer, media proprietor, and investor. He was the co-founder, chairman, and chief executive officer, CEO of Apple Inc., Appl ...
wanted Apple Park to look less like a
business park A business park or office park is a designated area of land in which many office buildings are grouped together. These types of developments are often located in suburban areas where land and building costs are more affordable, and are typically ...
and more like a nature refuge, and personally appeared before the Cupertino City Council in June 2011 to make the proposal, in his final public appearance before his death. Apple also operates from the Apple Campus (also known by its address, 1 Infinite Loop), a grouping of six buildings in Cupertino that total located about to the west of Apple Park. The Apple Campus was the company's headquarters from its opening in 1993, until the opening of Apple Park in 2017. The buildings, located at 1–6
Infinite Loop In computer programming, an infinite loop (or endless loop) is a sequence of instructions that, as written, will continue endlessly, unless an external intervention occurs ("pull the plug"). It may be intentional. Overview This differs from: * ...
, are arranged in a circular pattern around a central green space, in a design that has been compared to that of a
university A university () is an educational institution, institution of higher education, higher (or Tertiary education, tertiary) education and research which awards academic degrees in several Discipline (academia), academic disciplines. Universities ty ...
. In addition to Apple Park and the Apple Campus, Apple occupies an additional thirty office buildings scattered throughout the city of Cupertino, including three buildings that also served as prior headquarters: "Stephens Creek Three" (1977–1978), Bandley One" (1978–1982), and "Mariani One" (1982–1993). In total, Apple occupies almost 40% of the available office space in the city. Apple's headquarters for Europe, the Middle East and Africa (EMEA) are located in
Cork Cork or CORK may refer to: Materials * Cork (material) Cork is an Permeability (earth sciences), impermeable buoyancy, buoyant material, the Cork cambium, phellem layer of bark (botany), bark tissue that is harvested for commercial use prima ...
in the south of
Ireland Ireland ( ; ga, Éire ; Ulster Scots dialect, Ulster-Scots: ) is an island in the Atlantic Ocean, North Atlantic Ocean, in Northwestern Europe, north-western Europe. It is separated from Great Britain to its east by the North Channel (Grea ...
, called the Hollyhill campus. The facility, which opened in 1980, houses 5,500 people and was Apple's first location outside of the United States. Apple's international sales and distribution arms operate out of the campus in Cork. Apple has two campuses near Austin, Texas: a campus opened in 2014 houses 500 engineers who work on
Apple silicon Apple silicon is a series of system on a chip (SoC) and System in package, system in a package (SiP) processors designed by Apple Inc., mainly using the ARM architecture. It is the basis of most new Mac (computer), Mac computers as well as iPho ...
and a campus opened in 2021 where 6,000 people to work in technical support, supply chain management, online store curation, and
Apple Maps Apple Maps is a web mapping, web mapping service developed by Apple Inc. The default map system of iOS, iPadOS, macOS, and watchOS, it provides directions and estimated times of arrival for driving, walking, cycling, and public transportation ...
data management. The company, also has several other locations in Boulder, Colorado, Culver City, California, Herzliya (Israel), London, New York, Pittsburgh, San Diego, and Seattle that each employ hundreds of people.


Stores

The first Apple Stores were originally opened as two locations in May 2001 by then- CEO Steve Jobs, after years of attempting but failing store-within-a-store concepts. Seeing a need for improved retail presentation of the company's products, he began an effort in 1997 to revamp the retail program to get an improved relationship to consumers, and hired Ron Johnson in 2000. Jobs relaunched Apple's online store in 1997, and opened the first two physical stores in 2001. The media initially speculated that Apple would fail, but its stores were highly successful, bypassing the sales numbers of competing nearby stores and within three years reached US$1 billion in annual sales, becoming the fastest retailer in history to do so. Over the years, Apple has expanded the number of retail locations and its geographical coverage, with 499 stores across 22 countries worldwide . Strong product sales have placed Apple among the top-tier retail stores, with sales over $16 billion globally in 2011. In May 2016,
Angela Ahrendts Angela Jean Ahrendts, DBE (born June 7, 1960) is an American businesswoman who was previously the senior vice president of retail at Apple Inc. She was the CEO of Burberry from 2006 to 2014. Ahrendts left Burberry to join Apple in 2014. Ahren ...
, Apple's then Senior Vice President of Retail, unveiled a significantly redesigned Apple Store in Union Square,
San Francisco San Francisco (; Spanish language, Spanish for "Francis of Assisi, Saint Francis"), officially the City and County of San Francisco, is the commercial, financial, and cultural center of Northern California. The city proper is the List of Ca ...
, featuring large glass doors for the entry, open spaces, and re-branded rooms. In addition to purchasing products, consumers can get advice and help from "Creative Pros" – individuals with specialized knowledge of creative arts; get product support in a tree-lined Genius Grove; and attend sessions, conferences and community events, with Ahrendts commenting that the goal is to make Apple Stores into "town squares", a place where people naturally meet up and spend time. The new design will be applied to all Apple Stores worldwide, a process that has seen stores temporarily relocate or close. Many Apple Stores are located inside shopping malls, but Apple has built several stand-alone "flagship" stores in high-profile locations. It has been granted design
patent A patent is a type of intellectual property that gives its owner the legal right to exclude others from making, using, or selling an invention for a limited period of time in exchange for publishing an sufficiency of disclosure, enabling disclo ...
s and received architectural awards for its stores' designs and construction, specifically for its use of glass staircases and cubes. The success of Apple Stores have had significant influence over other consumer electronics retailers, who have lost traffic, control and profits due to a perceived higher quality of service and products at Apple Stores. Apple's notable brand loyalty among consumers causes long lines of hundreds of people at new Apple Store openings or product releases. Due to the popularity of the brand, Apple receives a large number of job applications, many of which come from young workers. Although Apple Store employees receive above-average pay, are offered money toward education and health care, and receive product discounts, there are limited or no paths of career advancement. A May 2016 report with an anonymous retail employee highlighted a
hostile work environment In United States labor law, a hostile work environment exists when one's behavior within a workplace creates an environment that is difficult or uncomfortable for another person to work in, due to illegal discrimination. Common complaints in sexual ...
with harassment from customers, intense internal criticism, and a lack of significant bonuses for securing major business contracts. Due to the
COVID-19 pandemic The COVID-19 pandemic, also known as the coronavirus pandemic, is an ongoing global pandemic of coronavirus disease 2019 (COVID-19) caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The novel virus was first identif ...
, Apple closed its stores outside China until March 27, 2020. Despite the stores being closed, hourly workers continue to be paid. Workers across the company are allowed to work remotely if their jobs permit it. On March 24, 2020, in a memo, Senior Vice President of People and Retail Deirdre O'Brien announced that some of its retail stores are expected to reopen at the beginning of April.


Corporate affairs


Leadership


Board of directors

As of October 26, 2019, the
board of directors A board of directors (commonly referred simply as the board) is an Committee#Executive committee, executive committee that jointly supervises the activities of an organization, which can be either a for-profit or a nonprofit organization such a ...
of Apple Inc. includes: * Arthur D. Levinson (chairman) *
Tim Cook Timothy Donald Cook (born November 1, 1960) is an American business executive who has been the chief executive officer of Apple Inc. since 2011. Cook previously served as the company's chief operating officer under its co-founder Steve Jobs. ...
(executive director and CEO) * James A. Bell (non-executive director) *
Al Gore Albert Arnold Gore Jr. (born March 31, 1948) is an American politician, businessman, and environmentalist who served as the 45th vice president of the United States from 1993 to 2001 under President Bill Clinton. Gore was the Democratic Part ...
(non-executive director) * Andrea Jung (non-executive director) * Ronald Sugar (non-executive director) * Susan Wagner (non-executive director)


Senior management

As of March 16, 2021, the management of Apple Inc. includes: *
Tim Cook Timothy Donald Cook (born November 1, 1960) is an American business executive who has been the chief executive officer of Apple Inc. since 2011. Cook previously served as the company's chief operating officer under its co-founder Steve Jobs. ...
(
chief executive officer A chief executive officer (CEO), also known as a central executive officer (CEO), chief administrator officer (CAO) or just chief executive (CE), is one of a number of Corporate Executive, corporate executives charged with the management of an or ...
) * Jeff Williams (
chief operating officer A chief operating officer or chief operations officer, also called a COO, is one of the highest-ranking executive positions in an organization, composing part of the " C-suite". The COO is usually the second-in-command at the firm, especially if ...
) * Luca Maestri (senior vice president and
chief financial officer The chief financial officer (CFO) is an Corporate title, officer of a company or organization that is assigned the primary responsibility for managing the company's finance, finances, including financial planning, management of financial risks, r ...
) * Katherine L. Adams (senior vice president and general counsel) *
Eddy Cue Eddy Cue (born Eduardo H. Cue; October 23, 1964) is Apple An apple is an edible fruit produced by an apple tree (''Malus domestica''). Apple fruit tree, trees are agriculture, cultivated worldwide and are the most widely grown species ...
(senior vice president – Internet Software and Services) * Craig Federighi (senior vice president – Software Engineering) *
John Giannandrea John Giannandrea is a Scottish people, Scottish software engineer and businessman. He co-founded Metaweb, led Google Search and artificial intelligence, was co-founder and CTO of the speech recognition company Tellme Networks, Chief Technologist ...
(senior vice president – Machine Learning and AI Strategy) * Deirdre O'Brien (senior vice president –
Retail Retail is the sale of goods and services to consumers, in contrast to wholesaling, which is sale to business or institutional customers. A retailer purchases goods in large quantities from manufacturers, directly or through a wholesaler, a ...
+ People) * John Ternus (senior vice president – Hardware Engineering) * Greg Josiwak (senior vice president – Worldwide Marketing) * Johny Srouji (senior vice president – Hardware Technologies) * Sabih Khan (senior vice president – Operations)


Previous CEOs

# Michael Scott (1977–1981) # Mike Markkula (1981–1983) #
John Sculley John Sculley III (born April 6, 1939) is an American businessman, entrepreneur and investor in high-tech Startup company, startups. Sculley was vice-president (1970–1977) and president of PepsiCo (1977–1983), until he became chief executi ...
(1983–1993) # Michael Spindler (1993–1996) # Gil Amelio (1996–1997) #
Steve Jobs Steven Paul Jobs (February 24, 1955 – October 5, 2011) was an American Entrepreneurship, entrepreneur, industrial designer, media proprietor, and investor. He was the co-founder, chairman, and chief executive officer, CEO of Apple Inc., Appl ...
(1997–2011)


Corporate culture

Apple is one of several highly successful companies founded in the 1970s that bucked the traditional notions of
corporate culture Historically there have been differences among investigators regarding the definition of organizational culture. Edgar Schein, a leading researcher in this field, defined "organizational culture" as comprising a number of features, including a s ...
. Jobs often walked around the office barefoot even after Apple became a
Fortune 500 The ''Fortune'' 500 is an annual list compiled and published by ''Fortune (magazine), Fortune'' magazine that ranks 500 of the largest United States Joint-stock company#Closely held corporations and publicly traded corporations, corporations by ...
company. By the time of the "1984" television advertisement, Apple's informal culture had become a key trait that differentiated it from its competitors. According to a 2011 report in '' Fortune,'' this has resulted in a corporate culture more akin to a startup rather than a multinational corporation. In a 2017 interview, Wozniak credited watching ''
Star Trek ''Star Trek'' is an American science fiction media franchise created by Gene Roddenberry, which began with the Star Trek: The Original Series, eponymous 1960s television series and quickly became a worldwide Popular culture, pop-culture Cul ...
'' and attending ''Star Trek'' conventions while in his youth as a source of inspiration for his co-founding Apple. As the company has grown and been led by a series of differently opinionated chief executives, it has arguably lost some of its original character. Nonetheless, it has maintained a reputation for fostering individuality and excellence that reliably attracts talented workers, particularly after Jobs returned to the company. Numerous Apple employees have stated that projects without Jobs's involvement often took longer than projects with it. To recognize the best of its employees, Apple created the Apple Fellows program which awards individuals who make extraordinary technical or leadership contributions to
personal computing A personal computer (PC) is a multi-purpose microcomputer whose size, capabilities, and price make it feasible for individual use. Personal computers are intended to be operated directly by an end user, rather than by a computer expert or techn ...
while at the company. The Apple Fellowship has so far been awarded to individuals including
Bill Atkinson Bill Atkinson (born March 17, 1951) is an American computer engineer and photographer. Atkinson worked at Apple Inc., Apple Computer from 1978 to 1990. Atkinson was the principal designer and developer of the graphical user interface (GUI) of ...
, Hertzfeld, Andy
Credit Where Due
''Folklore.org'', January 1983. Retrieved May 26, 2006.
Steve Capps,
Rod Holt Frederick Rodney HoltMichael Moritz, Moritz, Michael, ''The Little Kingdom,'' ebook (born 1934) is an American computer engineer and political activist. He is History of Apple Inc., Apple employee #5, and developed the unique power supply for the ...
, Alan Kay,Eisenhart, Mary
Fighting Back For Mac
''MicroTimes'', 1997. Retrieved May 26, 2006.
Guy Kawasaki Guy Kawasaki (born August 30, 1954) is an American marketing specialist, author, and Silicon Valley Silicon Valley is a region in Northern California that serves as a global center for high technology and innovation. Located in the southern ...
, Al Alcorn,
Don Norman Donald Arthur Norman (born December 25, 1935) is an American researcher, professor, and author. Norman is the director of The Design Lab at University of California, San Diego The University of California, San Diego (UC San Diego or coll ...
, Rich Page,
Steve Wozniak Stephen Gary Wozniak (; born August 11, 1950), also known by his nickname "Woz", is an American electronics engineer, computer programmer, philanthropist, inventor, and entrepreneur, technology entrepreneur. In 1976, with business partner Steve ...
, and Phil Schiller. At Apple, employees are intended to be specialists who are not exposed to functions outside their area of expertise. Jobs saw this as a means of having "best-in-class" employees in every role. For instance, Ron Johnson—Senior Vice President of Retail Operations until November 1, 2011—was responsible for site selection, in-store service, and store layout, yet had no control of the inventory in his stores. This was done by Tim Cook, who had a background in supply-chain management. Apple is known for strictly enforcing accountability. Each project has a "directly responsible individual" or "DRI" in Apple jargon. As an example, when iOS senior vice president Scott Forstall refused to sign Apple's official apology for numerous errors in the redesigned Maps app, he was forced to resign. Unlike other major U.S. companies, Apple provides a relatively simple compensation policy for executives that does not include perks enjoyed by other CEOs like country club fees or private use of company aircraft. The company typically grants stock options to executives every other year. In 2015, Apple had 110,000 full-time employees. This increased to 116,000 full-time employees the next year, a notable hiring decrease, largely due to its first revenue decline. Apple does not specify how many of its employees work in retail, though its 2014 SEC filing put the number at approximately half of its employee base. In September 2017, Apple announced that it had over 123,000 full-time employees. Apple has a strong culture of corporate secrecy, and has an anti- leak Global Security team that recruits from the
National Security Agency The National Security Agency (NSA) is a national-level intelligence agency of the United States Department of Defense, under the authority of the Director of National Intelligence (DNI). The NSA is responsible for global monitoring, collectio ...
, the
Federal Bureau of Investigation The Federal Bureau of Investigation (FBI) is the domestic Intelligence agency, intelligence and Security agency, security service of the United States and its principal Federal law enforcement in the United States, federal law enforcement age ...
, and the
United States Secret Service The United States Secret Service (USSS or Secret Service) is a Federal law enforcement in the United States, federal law enforcement agency under the United States Department of Homeland Security, Department of Homeland Security charged with co ...
. In December 2017,
Glassdoor Glassdoor is an American website where current and former employees anonymously review companies. Headquartered in San Francisco, California, it has additional offices in Chicago, Dublin, London, and São Paulo. Glassdoor also allows its users to ...
said Apple was the 48th best place to work, having originally entered at rank 19 in 2009, peaking at rank 10 in 2012, and falling down the ranks in subsequent years.


Finance

Apple is the world's largest technology company by revenue, the world's largest technology company by
total assets In financial accounting Financial accounting is the field of accounting concerned with the summary, analysis and reporting of financial transactions related to a business. This involves the preparation of Financial statement audit, financial ...
, and the world's second-largest mobile phone manufacturer after
Samsung The Samsung Group (or simply Samsung) ( ko, 삼성 ) is a South Korean Multinational corporation, multinational manufacturing Conglomerate (company), conglomerate headquartered in Samsung Town, Seoul, South Korea. It comprises numerous affi ...
. In its fiscal year ending in September 2011, Apple Inc. reported a total of $108 billion in annual revenues—a significant increase from its 2010 revenues of $65 billion—and nearly $82 billion in cash reserves. On March 19, 2012, Apple announced plans for a $2.65-per-share
dividend A dividend is a distribution of Profit (accounting), profits by a corporation to its shareholders. When a corporation earns a profit or surplus, it is able to pay a portion of the profit as a dividend to shareholders. Any amount not distributed ...
beginning in fourth quarter of 2012, per approval by their board of directors. The company's worldwide annual revenue in 2013 totaled $170 billion. In May 2013, Apple entered the top ten of the ''Fortune'' 500 list of companies for the first time, rising 11 places above its 2012 ranking to take the sixth position. , Apple has around US$234 billion of cash and marketable securities, of which 90% is located outside the United States for tax purposes. Apple amassed 65% of all profits made by the eight largest worldwide smartphone manufacturers in quarter one of 2014, according to a report by Canaccord Genuity. In the first quarter of 2015, the company garnered 92% of all earnings. On April 30, 2017, ''The Wall Street Journal'' reported that Apple had cash reserves of $250 billion, officially confirmed by Apple as specifically $256.8 billion a few days later. , Apple was the largest publicly traded corporation in the world by market capitalization. On August 2, 2018, Apple became the first publicly traded U.S. company to reach a $1 trillion market value. Apple was ranked No. 4 on the 2018 ''Fortune'' 500 rankings of the largest United States corporations by total revenue.


Tax practices

Apple has created subsidiaries in low-tax places such as
Ireland Ireland ( ; ga, Éire ; Ulster Scots dialect, Ulster-Scots: ) is an island in the Atlantic Ocean, North Atlantic Ocean, in Northwestern Europe, north-western Europe. It is separated from Great Britain to its east by the North Channel (Grea ...
, the
Netherlands ) , anthem = ( en, "William of Nassau") , image_map = , map_caption = , subdivision_type = Sovereign state , subdivision_name = Kingdom of the Netherlands , established_title = Before independence , established_date = Spanish Neth ...
,
Luxembourg Luxembourg ( ; lb, Lëtzebuerg ; french: link=no, Luxembourg; german: link=no, Luxemburg), officially the Grand Duchy of Luxembourg, ; french: link=no, Grand-Duché de Luxembourg ; german: link=no, Großherzogtum Luxemburg is a small land ...
, and the
British Virgin Islands ) , anthem = "God Save the King" , song_type = Territorial song , song = "Oh, Beautiful Virgin Islands" , image_map = File:British Virgin Islands on the globe (Americas centered).svg , map_caption = , mapsize = 290px , image_map2 = Brit ...
to cut the taxes it pays around the world. According to ''The New York Times,'' in the 1980s Apple was among the first tech companies to designate overseas salespeople in high-tax countries in a manner that allowed the company to sell on behalf of low-tax subsidiaries on other continents, sidestepping income taxes. In the late 1980s, Apple was a pioneer of an accounting technique known as the " Double Irish with a Dutch sandwich", which reduces taxes by routing profits through Irish subsidiaries and the Netherlands and then to the Caribbean.
British Conservative Party The Conservative Party, officially the Conservative and Unionist Party and also known colloquially as the Tories, is one of the Two-party system, two main political parties in the United Kingdom, along with the Labour Party (UK), Labour Party. ...
Member of Parliament
Charlie Elphicke Charles Brett Anthony Elphicke (born 14 March 1971) is a British politician, former solicitor and convicted sex offender. As a member of the Conservative Party and later an independent Independent or Independents may refer to: Arts, entert ...
published research on October 30, 2012, which showed that some multinational companies, including Apple Inc., were making billions of pounds of profit in the UK, but were paying an effective tax rate to the UK Treasury of only 3 percent, well below standard
corporation tax A corporate tax, also called corporation tax or company tax, is a direct tax Although the actual definitions vary between jurisdictions, in general, a direct tax or income tax is a tax imposed upon a person or property as distinct from a tax i ...
. He followed this research by calling on the
Chancellor of the Exchequer The chancellor of the Exchequer, often abbreviated to chancellor, is a senior minister of the Crown within the Government of the United Kingdom, and head of HM Treasury, His Majesty's Treasury. As one of the four Great Offices of State, the Ch ...
George Osborne George Gideon Oliver Osborne (born Gideon Oliver Osborne; 23 May 1971) is a former British politician and newspaper editor who served as Chancellor of the Exchequer from 2010 to 2016 and as First Secretary of State from 2015 to 2016 in the P ...
to force these multinationals, which also included
Google Google LLC () is an American Multinational corporation, multinational technology company focusing on Search Engine, search engine technology, online advertising, cloud computing, software, computer software, quantum computing, e-commerce, ar ...
and
The Coca-Cola Company The Coca-Cola Company is an American multinational corporation, multinational Drink industry, beverage corporation founded in 1892, best known as the producer of Coca-Cola. The Coca-Cola Company also manufactures, sells, and markets other non-a ...
, to state the effective rate of tax they pay on their UK revenues. Elphicke also said that government contracts should be withheld from multinationals who do not pay their fair share of UK tax. Apple Inc. claims to be the single largest taxpayer to the Department of the Treasury of the
United States The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country Continental United States, primarily located in North America. It consists of 50 U.S. state, states, a Washington, D.C., ...
of America with an effective tax rate of approximately of 26% as of the second quarter of the Apple
fiscal year A fiscal year (or financial year, or sometimes budget year) is used in government accounting, which varies between countries, and for budget purposes. It is also used for financial reporting by businesses and other organizations. Laws in many ju ...
2016. In an interview with the German newspaper FAZ in October 2017, Tim Cook stated, that Apple is the biggest taxpayer worldwide. In 2015,
Reuters Reuters ( ) is a news agency owned by Thomson Reuters Corporation. It employs around 2,500 journalists and 600 photojournalists in about 200 locations worldwide. Reuters is one of the largest news agencies in the world. The agency was establ ...
reported that Apple had earnings abroad of $54.4 billion which were untaxed by the IRS of the United States. Under U.S. tax law governed by the IRC, corporations don't pay income tax on overseas profits unless the profits are repatriated into the United States and as such Apple argues that to benefit its
shareholder A shareholder (in the United States often referred to as stockholder) of a corporation is an individual or legal entity (such as another corporation, a body politic, a Trust law, trust or partnership) that is registered by the corporation as the ...
s it will leave it overseas until a repatriation holiday or comprehensive tax reform takes place in the United States. On July 12, 2016, the Central Statistics Office of Ireland announced that 2015 Irish
GDP Gross domestic product (GDP) is a money, monetary Measurement in economics, measure of the market value of all the final goods and services produced and sold (not resold) in a specific time period by countries. Due to its complex and subjec ...
had grown by 26.3%, and 2015 Irish GNP had grown by 18.7%. The figures attracted international scorn, and were labelled by Nobel-prize winning economist,
Paul Krugman Paul Robin Krugman ( ; born February 28, 1953) is an American economist, who is Distinguished Professor of Economics at the Graduate Center, CUNY, Graduate Center of the City University of New York, and a columnist for ''The New York Times''. I ...
, as
leprechaun economics Leprechaun economics was a term coined by economist Paul Krugman to describe the 26.3 per cent rise in Irish 2015 Gross domestic product, GDP, later revised to 34.4 per cent, in a 12 July 2016 publication by the Central Statistics Office (Ire ...
. It was not until 2018 that Irish economists could definitively prove that the 2015 growth was due to Apple restructuring its controversial
double Irish The Double Irish arrangement was a base erosion and profit shifting (BEPS) corporate tax avoidance tool used mostly by United States multinationals since the late 1980s to avoid corporate taxation on non-U.S. profits. It was the largest tax ...
subsidiaries (Apple Sales International), which Apple converted into a new Irish capital allowances for intangible assets tax scheme (expires in January 2020). The affair required the
Central Bank of Ireland The Central Bank of Ireland ( ga, Banc Ceannais na hÉireann) is Republic of Ireland, Ireland's central bank, and as such part of the European System of Central Banks (ESCB). It is the country's financial services regulator for most categori ...
to create a new measure of Irish economic growth, Modified GNI* to replace Irish GDP, given the distortion of Apple's tax schemes. Irish GDP is 143% of Irish Modified GNI*. On August 30, 2016, after a two-year investigation, the EU Competition Commissioner concluded Apple received "illegal state aid" from Ireland. The EU ordered Apple to pay 13 billion euros ($14.5 billion), plus interest, in unpaid Irish taxes for 2004–2014.Kanter, James and Scott, Mark (August 30, 2016
Apple Must Pay Billions for Tax Breaks in Ireland, E.U. Orders
''
The New York Times ''The New York Times'' (''the Times'', ''NYT'', or the Gray Lady) is a daily newspaper based in New York City with a worldwide readership reported in 2020 to comprise a declining 840,000 paid print subscribers, and a growing 6 million paid d ...
''.
It is the largest tax fine in history. The Commission found that Apple had benefited from a private Irish
Revenue Commissioners The Revenue Commissioners ( ga, Na Coimisinéirí Ioncaim), commonly called Revenue, is the Irish Government agency responsible for customs, excise, taxation and related matters. Though Revenue can trace itself back to predecessors (with the A ...
tax ruling regarding its double Irish tax structure, Apple Sales International (ASI). Instead of using two companies for its double Irish structure, Apple was given a ruling to split ASI into two internal "branches". The Chancellor of
Austria The Republic of Austria, commonly just Austria, , bar, Östareich is a country in the southern part of Central Europe, lying in the Eastern Alps. It is a federation of nine States of Austria, states, one of which is the capital, Vienna, ...
, Christian Kern, put this decision into perspective by stating that "every
Viennese Viennese may refer to: * Vienna, the capital of Austria * Viennese people, List of people from Vienna * Viennese German, the German dialect spoken in Vienna * Music of Vienna, musical styles in the city * Viennese Waltz, genre of ballroom dance * V ...
cafe, every sausage stand pays more tax in Austria than a multinational corporation". , Apple agreed to start paying €13 billion in back taxes to the Irish government, the repayments will be held in an escrow account while Apple and the Irish government continue their appeals in EU courts. On July 15, 2020, the EU General Court annuls the European Commission's decision in Apple State aid case: Apple will not have to repay €13 billion to Ireland. In July 2022, Apple reported an 11% decline in Q3 profits compared to 2021. Its revenue in the same period rose 2% year-on-year to $83 billion, though this figure was also lower than in 2021, where the increase was at 36%. The general downturn is reportedly caused by the slowing global economy and supply chain disruptions in China.


Litigation

Apple has been a participant in various legal proceedings and claims since it began operation. In particular, Apple is known for and promotes itself as actively and aggressively enforcing its intellectual property interests. Some litigation examples include '' Apple v. Samsung'', '' Apple v. Microsoft'', '' Motorola Mobility v. Apple Inc.'', and '' Apple Corps v. Apple Computer''. Apple has also had to defend itself against charges on numerous occasions of violating intellectual property rights. Most have been dismissed in the courts as shell companies known as
patent troll In international law and international business, business, patent trolling or patent hoarding is a categorical or pejorative term applied to a person or company that attempts to enforce patent rights against accused patent infringement, infring ...
s, with no evidence of actual use of
patent A patent is a type of intellectual property that gives its owner the legal right to exclude others from making, using, or selling an invention for a limited period of time in exchange for publishing an sufficiency of disclosure, enabling disclo ...
s in question. On December 21, 2016, Nokia announced that in the U.S. and Germany, it has filed a suit against Apple, claiming that the latter's products infringe on Nokia's patents. Most recently, in November 2017, the
United States International Trade Commission The United States International Trade Commission (USITC or I.T.C.) is an agency of the United States federal government that advises the legislature, legislative and executive (government), executive branches on matters of trade. It is an indepe ...
announced an investigation into allegations of patent infringement in regards to Apple's remote desktop technology; Aqua Connect, a company that builds remote desktop software, has claimed that Apple infringed on two of its patents. In January 2022,
Ericsson (lit. "Telephone Stock Company of LM Ericsson"), commonly known as Ericsson, is a Sweden, Swedish multinational networking and telecommunications company headquartered in Stockholm. The company sells infrastructure, software, and services in ...
sued Apple over payment of royalty of 5G technology.


Corporate practices

Apple has been criticized for alleged anti-competitive behavior, rash litigation, dubious tax tactics, the use of
sweatshop A sweatshop or sweat factory is a crowded workplace with very poor, socially unacceptable or illegal working conditions. Some illegal working conditions include poor ventilation, little to no breaks, inadequate work space, insufficient lighting, o ...
labor, customer service issues involving allegedly misleading warranties and insufficient
data security Data security means protecting digital data Digital data, in information theory and information systems, is information represented as a string of discrete symbols each of which can take on one of only a finite number of values from some alpha ...
, and its products' environmental footprint. Apple has also received criticism for its willingness to work and conduct business with nations such as China and Russia, engaging in practices that have been criticized by human rights groups. Critics have claimed that Apple products combine stolen or purchased designs that Apple claims are its original creations. It has been criticized for its alleged collaboration with the U.S. surveillance program PRISM. The company denied any collaboration.


Charitable contributions

Apple is a partner of (PRODUCT)RED, a fundraising campaign for
AIDS Human immunodeficiency virus infection and acquired immunodeficiency syndrome (HIV/AIDS) is a spectrum of conditions caused by infection with the human immunodeficiency virus (HIV), a retrovirus. Following initial infection an individual ma ...
charity. In November 2014, Apple arranged for all
App Store An App Store (or app marketplace) is a type of digital distribution Digital distribution, also referred to as content delivery, online distribution, or electronic software distribution, among others, is the delivery or distribution of digital ...
revenue in a two-week period to go to the fundraiser, generating more than US$20 million, and in March 2017, it released an
iPhone 7 The iPhone 7 and iPhone 7 Plus are smartphones that were designed, developed, and marketed by Apple Inc. They are the List of iOS devices, tenth generation of the iPhone. They were announced on September 7, 2016, at the Bill Graham Civic Aud ...
with a red color finish. Apple contributes financially to fundraisers in times of natural disasters. In November 2012, it donated $2.5 million to the
American Red Cross The American Red Cross (ARC), also known as the American National Red Cross, is a non-profit humanitarian organization that provides emergency assistance, disaster relief, and disaster preparedness education in the United States. It is the des ...
to aid relief efforts after
Hurricane Sandy Hurricane Sandy (unofficially referred to as ''Superstorm Sandy'') was an extremely destructive and strong Atlantic hurricane, as well as the largest Atlantic hurricane on record as measured by diameter, with tropical-storm-force winds spann ...
, and in 2017 it donated $5 million to relief efforts for both
Hurricane Irma Hurricane Irma was an extremely powerful Cape Verde hurricane that caused widespread destruction across its path in September 2017. Irma was the first Category 5 hurricane to strike the Leeward Islands on record, followed by Hurricane Ma ...
and
Hurricane Harvey Hurricane Harvey was a devastating Saffir–Simpson scale, Category 4 hurricane that made landfall on Texas and Louisiana in August 2017, causing catastrophic flooding and more than 100 deaths. It is tied with 2005 Atlantic hurrican ...
, as well as for the 2017 Central Mexico earthquake. The company has also used its
iTunes iTunes () is a software program that acts as a Media player (software), media player, media library, mobile device management utility, and the client app for the iTunes Store. Developed by Apple Inc., it is used to purchase, play, download, ...
platform to encourage donations in the wake of environmental disasters and humanitarian crises, such as the 2010 Haiti earthquake, the 2011 Japan earthquake,
Typhoon Haiyan Typhoon Haiyan, known in the Philippines as Super Typhoon Yolanda, was one of List of the most intense tropical cyclones, the most powerful tropical cyclones ever recorded. On making landfall, Haiyan devastated portions of Southeast Asia, part ...
in the Philippines in November 2013, and the 2015 European migrant crisis. Apple emphasizes that it does not incur any processing or other fees for iTunes donations, sending 100% of the payments directly to relief efforts, though it also acknowledges that the Red Cross does not receive any personal information on the users donating and that the payments may not be tax deductible. On April 14, 2016, Apple and the
World Wide Fund for Nature The World Wide Fund for Nature Inc. (WWF) is an international non-governmental organization founded in 1961 that works in the field of wilderness preservation and the reduction of human impact on the environment. It was formerly named the Wor ...
(WWF) announced that they have engaged in a partnership to, "help protect life on our planet." Apple released a special page in the iTunes App Store, Apps for Earth. In the arrangement, Apple has committed that through April 24, WWF will receive 100% of the proceeds from the applications participating in the App Store via both the purchases of any paid apps and the In-App Purchases. Apple and WWF's Apps for Earth campaign raised more than $8 million in total proceeds to support WWF's conservation work. WWF announced the results at WWDC 2016 in San Francisco. During the
COVID-19 pandemic The COVID-19 pandemic, also known as the coronavirus pandemic, is an ongoing global pandemic of coronavirus disease 2019 (COVID-19) caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The novel virus was first identif ...
, Apple's CEO Cook announced that the company will be donating "millions" of masks to health workers in the United States and Europe. On January 13, 2021, Apple announced a $100 million "Racial Equity and Justice Initiative" to help combat institutional racism worldwide.


Customer privacy

Apple has a notable pro-privacy stance, actively making privacy-conscious features and settings part of its conferences, promotional campaigns, and public image. With its
iOS 8 iOS 8 is the iOS version history, eighth major release of the iOS mobile operating system developed by Apple Inc., being the successor to iOS 7. It was announced at the company's Apple Worldwide Developers Conference, Worldwide Developers Conf ...
mobile operating system in 2014, the company started encrypting all contents of iOS devices through users' passcodes, making it impossible at the time for the company to provide customer data to law enforcement requests seeking such information. With the popularity rise of cloud storage solutions, Apple began a technique in 2016 to do
deep learning Deep learning (also known as deep structured learning) is part of a broader family of machine learning methods based on artificial neural networks with representation learning. Learning can be Supervised learning, supervised, Semi-supervised l ...
scans for facial data in photos on the user's local device and encrypting the content before uploading it to Apple's
iCloud iCloud is a Personal cloud, cloud service from Apple Inc. launched on October 12, 2011 as a successor to MobileMe. , the service had an estimated 850 million users, up from 782 million users in 2016. iCloud enables users to sync their data to t ...
storage system. It also introduced "differential privacy", a way to collect crowdsourced data from many users, while keeping individual users anonymous, in a system that ''
Wired ''Wired'' (stylized as ''WIRED'') is a monthly American magazine, published in print and online magazine, online editions, that focuses on how emerging technologies affect culture, the economy, and politics. Owned by Condé Nast, it is headquar ...
'' described as "trying to learn as much as possible about a group while learning as little as possible about any individual in it". Users are explicitly asked if they want to participate, and can actively opt-in or opt-out. With Apple's release of an update to iOS 14, Apple required all developers of iPhone, iPad, and iPod Touch applications to directly ask iPhone users permission to track them. The feature, titled "App Tracking Transparency", received heavy criticism from Facebook, whose primary business model revolves around the tracking of users' data and sharing such data with advertisers so users can see more relevant ads, a technique commonly known as targeted advertising. Despite Facebook's measures, including purchasing full-page newspaper advertisements protesting App Tracking Transparency, Apple released the update in mid-spring 2021. A study by
Verizon Verizon Communications Inc., commonly known as Verizon, is an American multinational telecommunications conglomerate and a corporate component of the Dow Jones Industrial Average. The company is headquartered at 1095 Avenue of the Americas in ...
subsidiary Flurry Analytics reported only 4% of iOS users in the United States and 12% worldwide have opted into tracking. However, Apple aids law enforcement in criminal investigations by providing iCloud backups of users' devices, and the company's commitment to privacy has been questioned by its efforts to promote
biometric authentication Biometrics are body measurements and calculations related to human characteristics. Biometric authentication Authentication (from ''authentikos'', "real, genuine", from αὐθέντης ''authentes'', "author") is the act of proof (truth) ...
technology in its newer iPhone models, which don't have the same level of constitutional privacy as a passcode in the United States. Prior to the release of iOS 15, Apple announced new efforts at combating child sexual abuse material on iOS and Mac platforms. Parents of minor
iMessage iMessage is an instant messaging service developed by Apple Inc. and launched in 2011. iMessage functions exclusively on Apple platforms: macOS, iOS, iPadOS, and watchOS. Core features of iMessage, available on all supported platforms, includ ...
users can now be alerted if their child sends or receives nude photographs. Additionally, on-device hashing would take place on media destined for upload to iCloud, and hashes would be compared to a list of known abusive images provided by law enforcement; if enough matches were found, Apple would be alerted and authorities informed. The new features received praise from law enforcement and victims rights advocates, however privacy advocates, including the
Electronic Frontier Foundation The Electronic Frontier Foundation (EFF) is an international non-profit digital rights group based in San Francisco, California. The foundation was formed on 10 July 1990 by John Gilmore (activist), John Gilmore, John Perry Barlow and Mitch Kapor ...
, condemned the new features as invasive and highly prone to abuse by authoritarian governments. Ireland's Data Protection Commission launched a privacy investigation to examine whether Apple complied with the EU's
GDPR The General Data Protection Regulation (GDPR) is a European Union regulation on data protection and privacy in the EU and the European Economic Area (EEA). The GDPR is an important component of EU privacy law and of human rights law, in partic ...
law following an investigation into how the company processes personal data with targeted ads on its platform. In December 2019, a report found that the iPhone 11 Pro continues tracking location and collecting user data even after users have disabled location services. In response, an Apple engineer said the Location Services icon "appears for system services that do not have a switch in settings." According to published reports by
Bloomberg News Bloomberg News (originally Bloomberg Business News) is an international news agency A news agency is an organization that gathers news reports and sells them to subscribing news organizations, such as newspapers, magazines and All-news rad ...
on March 30, 2022, Apple turned over data such as phone numbers, physical addresses, and
IP addresses An Internet Protocol address (IP address) is a numerical label such as that is connected to a computer network that uses the Internet Protocol for communication.. Updated by . An IP address serves two main functions: network interface Identi ...
to hackers posing as law enforcement officials using forged documents. The law enforcement requests sometimes included forged signatures of real or fictional officials. When asked about the allegations, an Apple representative referred the reporter to a section of the company policy for law enforcement guidelines, which stated, "We review every data request for legal sufficiency and use advanced systems and processes to validate law enforcement requests and detect abuse."


Compliance with governments

In January 2020, U.S. President
Donald Trump Donald John Trump (born June 14, 1946) is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021. Trump graduated from the Wharton School of the University of Pe ...
and attorney general William P. Barr criticized Apple for refusing to unlock two iPhones of a Saudi national, Mohammed Saeed Alshamrani, who shot and killed three American sailors and injured eight others at
Naval Air Station Pensacola Naval Air Station Pensacola or NAS Pensacola (formerly NAS/KNAS until changed circa 1970 to allow Nassau International Airport, now Lynden Pindling International Airport, to have IATA code NAS), "The Cradle of Naval Aviation", is a United State ...
. The
shooting Shooting is the act or process of discharging a projectile from a ranged weapon A ranged weapon is any weapon that can engage targets beyond hand-to-hand distance, i.e. at distances greater than the physical reach of the user holding the w ...
was declared an "act of terrorism" by the FBI, but Apple denied the request to crack the phones to reveal possible terrorist information citing its data privacy policy. Apple Inc., shareholders increased pressure on the company to publicly commit "to respect freedom of expression as a human right", upon which Apple committed to freedom of expression and information in its human rights policy document. It said that the policy is based on the guidelines of the
United Nations The United Nations (UN) is an intergovernmental organization whose stated purposes are to maintain international peace and international security, security, develop friendly relations among nations, achieve international cooperation, and be ...
on business and human rights, in early September 2020. In 2021, Apple complied with a request by the Chinese government to ban a Quran app from its devices and platforms. The request occurred in the context of the Chinese government's ongoing mass repression of Muslims, particularly Uyghurs, in Xinjiang, which some have labeled a genocide. In December 2021, The Information reported that CEO Tim Cook had negotiated, in 2016, a five-year agreement with the Chinese government, motivated in part to allay regulatory issues that had harmed the company's business in China. The agreement entailed promised investments totaling $275 billion. In September 2021, Apple removed an app from its App Store created by Alexei Navalny meant to coordinate protest voting during the
2021 Russian legislative election Legislative elections were held in Russia Russia (, , ), or the Russian Federation, is a List of transcontinental countries, transcontinental country spanning Eastern Europe and North Asia, Northern Asia. It is the List of countries a ...
. The Russian government had threatened to arrest individual Apple employees working in the country unless Apple complied. In November 2022, Apple limited
AirDrop An airdrop is a type of airlift in which items including weapons A weapon, arm or armament is any implement or device that can be used to deter, threaten, inflict physical damage, harm, or kill. Weapons are used to increase the efficacy a ...
filesharing in China weeks before mass protests against COVID-19 lockdowns in the country.


Environmental practices and initiatives


Apple Energy

Apple Energy, LLC is a wholly-owned subsidiary of Apple Inc. that sells
solar energy Solar energy is solar irradiance, radiant sunlight, light and heat from the Sun that is harnessed using a range of technologies such as solar power to generate electricity, solar thermal energy (including solar water heating), and solar arc ...
. , Apple's solar farms in California and Nevada have been declared to provide 217.9 megawatts of solar generation capacity. In addition to the company's solar energy production, Apple has received regulatory approval to construct a landfill gas energy plant in
North Carolina North Carolina () is a U.S. state, state in the Southeastern United States, Southeastern region of the United States. The state is the List of U.S. states and territories by area, 28th largest and List of states and territories of the United ...
. Apple will use the
methane emissions Increasing methane emissions are a major contributor to the rising concentration of greenhouse gases in Earth's atmosphere, and are responsible for up to one-third of near-term global heating. During 2019, about 60% (360 million tons) of methane r ...
to generate electricity. Apple's North Carolina data center is already powered entirely with energy from renewable sources.


Energy and resources

Following a
Greenpeace Greenpeace is an independent global campaigning network, founded in Canada in 1971 by Irving Stowe and Dorothy Stowe, immigrant environmental activists from the United States. Greenpeace states its goal is to "ensure the ability of the Earth to ...
protest, Apple released a statement on April 17, 2012, committing to ending its use of coal and shifting to 100% renewable clean energy. By 2013, Apple was using
100% renewable energy 100% renewable energy means getting all energy from renewable resources. The endeavor to use 100% renewable energy for electricity, heating, cooling and transport is motivated by climate change, pollution and other environmental issues, ...
to power their data centers. Overall, 75% of the company's power came from clean renewable sources. In 2010, Climate Counts, a nonprofit organization dedicated to directing consumers toward the greenest companies, gave Apple a score of 52 points out of a possible 100, which puts Apple in their top category "Striding". This was an increase from May 2008, when Climate Counts only gave Apple 11 points out of 100, which placed the company last among electronics companies, at which time Climate Counts also labeled Apple with a "stuck icon", adding that Apple at the time was "a choice to avoid for the climate-conscious consumer". In May 2015, Greenpeace evaluated the state of the Green Internet and commended Apple on their environmental practices saying, "Apple's commitment to renewable energy has helped set a new bar for the industry, illustrating in very concrete terms that a 100% renewable Internet is within its reach, and providing several models of intervention for other companies that want to build a sustainable Internet." , Apple states that 100% of its U.S. operations run on
renewable energy Renewable energy is energy that is collected from renewable resources that are naturally replenished on a Orders of magnitude (time), human timescale. It includes sources such as Solar power, sunlight, wind power, wind, the movement of Hydropo ...
, 100% of Apple's
data center A data center (American English) or data centre (British English)See American and British English spelling differences#-re, -er, spelling differences. is a building, a dedicated space within a building, or a group of buildings used to house comp ...
s run on renewable energy and 93% of Apple's global operations run on renewable energy. However, the facilities are connected to the local
grid Grid, The Grid, or GRID may refer to: Common usage * Cattle grid or stock grid, a type of obstacle is used to prevent livestock from crossing the road * Grid reference, used to define a location on a map Arts, entertainment, and media * News gr ...
which usually contains a mix of fossil and renewable sources, so Apple
carbon offset A carbon offset is a reduction or removal of emissions of carbon dioxide or other greenhouse gases made in order to compensate for emissions made elsewhere. Offsets are measured in tonnes of carbon dioxide-equivalent (CO2e). One ton of carbon ...
s its electricity use. The Electronic Product Environmental Assessment Tool (EPEAT) allows consumers to see the effect a product has on the environment. Each product receives a Gold, Silver, or Bronze rank depending on its efficiency and sustainability. Every Apple tablet,
notebook A notebook (also known as a notepad, writing pad, drawing pad, or legal pad) is a book or stack of paper pages that are often Ruled paper, ruled and used for purposes such as note-taking, diary, journaling or other writing, drawing, or scrapbook ...
,
desktop computer A desktop computer (often abbreviated desktop) is a personal computer designed for regular use at a single location on or near a desk due to its size and power requirements. The most common configuration has a computer case, case that houses th ...
, and display that EPEAT ranks achieves a Gold rating, the highest possible. Although Apple's data centers recycle water 35 times, the increased activity in retail, corporate and data centers also increase the amount of water use to in 2015. During an event on March 21, 2016, Apple provided a status update on its environmental initiative to be 100% renewable in all of its worldwide operations. Lisa P. Jackson, Apple's vice president of Environment, Policy and Social Initiatives who reports directly to CEO, Tim Cook, announced that , 93% of Apple's worldwide operations are powered with renewable energy. Also featured was the company's efforts to use sustainable paper in their product packaging; 99% of all paper used by Apple in the product packaging comes from post-consumer
recycle Recycling is the process of converting waste materials into new materials and objects. The Energy recycling, recovery of energy from waste materials is often included in this concept. The recyclability of a material depends on its ability t ...
d paper or sustainably managed forests, as the company continues its move to all paper packaging for all of its products. Apple working in partnership with Conservation Fund, have preserved 36,000 acres of working forests in
Maine Maine () is a U.S. state, state in the New England and Northeastern United States, Northeastern regions of the United States. It borders New Hampshire to the west, the Gulf of Maine to the southeast, and the Provinces and territories of Canad ...
and
North Carolina North Carolina () is a U.S. state, state in the Southeastern United States, Southeastern region of the United States. The state is the List of U.S. states and territories by area, 28th largest and List of states and territories of the United ...
. Another partnership announced is with the
World Wildlife Fund The World Wide Fund for Nature Inc. (WWF) is an international non-governmental organization founded in 1961 that works in the field of wilderness preservation and the reduction of human impact on the environment. It was formerly named the W ...
to preserve up to of forests in China. Featured was the company's installation of a 40 MW
solar power Solar power is the conversion of energy from sunlight into electricity, either directly using photovoltaics (PV) or indirectly using concentrated solar power. Photovoltaic cells convert light into an electric current using the photovoltaic ef ...
plant in the
Sichuan Sichuan (; zh, c=, labels=no, ; zh, p=Sìchuān; Postal romanization, alternatively romanized as Szechuan or Szechwan; formerly also referred to as "West China" or "Western China" by Protestantism in Sichuan, Protestant missions) is a Prov ...
province of
China China, officially the People's Republic of China (PRC), is a country in East Asia. It is the world's List of countries and dependencies by population, most populous country, with a Population of China, population exceeding 1.4 billion, slig ...
that was tailor-made to coexist with the indigenous yaks that eat hay produced on the land, by raising the panels to be several feet off of the ground so the yaks and their feed would be unharmed grazing beneath the array. This installation alone compensates for more than all of the energy used in Apple's Stores and Offices in the whole of China, negating the company's energy carbon footprint in the country. In
Singapore Singapore (), officially the Republic of Singapore, is a sovereign island country, island country and city-state in maritime Southeast Asia. It lies about one degree of latitude () north of the equator, off the southern tip of the Malay Pen ...
, Apple has worked with the Singaporean government to cover the rooftops of 800 buildings in the city-state with solar panels allowing Apple's Singapore operations to be run on 100% renewable energy. Liam was introduced to the world, an advanced robotic disassembler and sorter designed by Apple Engineers in California specifically for recycling outdated or broken iPhones. Reuses and recycles parts from traded in products. Apple announced on August 16, 2016, that Lens Technology, one of its major suppliers in China, has committed to power all its
glass production Glass production involves two main methods – the float glass Float glass is a sheet of glass made by floating molten glass on a bed of molten metal, typically tin, although lead and other various low-melting point, melting-point alloys wer ...
for Apple with 100 percent renewable energy by 2018. The commitment is a large step in Apple's efforts to help manufacturers lower their carbon footprint in China. Apple also announced that all 14 of its final assembly sites in China are now compliant with UL's Zero Waste to Landfill validation. The standard, which started in January 2015, certifies that all manufacturing waste is
reuse Reuse is the action or practice of using an item, whether for its original purpose (conventional reuse) or to fulfill a different function (creative reuse or repurposing). It should be distinguished from recycling, which is the breaking down of us ...
d,
recycled Recycling is the process of converting waste materials into new materials and objects. The Energy recycling, recovery of energy from waste materials is often included in this concept. The recyclability of a material depends on its ability t ...
,
compost Compost is a mixture of ingredients used as plant fertilizer and to improve soil's physical, chemical and biological properties. It is commonly prepared by Decomposition, decomposing plant, food waste, recycling organic materials and manure. ...
ed, or converted into energy (when necessary). Since the program began, nearly 140,000 metric tons of waste have been diverted from
landfill A landfill site, also known as a tip, dump, rubbish dump, garbage dump, or dumping ground, is a site for the disposal of waste materials. Landfill is the oldest and most common form of waste disposal, although the systematic burial of the waste ...
s. On July 21, 2020, Apple announced its plan to become
carbon neutral Carbon neutrality is a state of net-zero carbon dioxide emissions Greenhouse gas emissions from human activities strengthen the greenhouse effect, contributing to climate change. Most is carbon dioxide from burning fossil fuels: coal, petrol ...
across its entire business, manufacturing supply chain, and product life cycle by 2030. In the next 10 years, Apple will try to lower emissions with a series of innovative actions, including: low carbon product design, expanding energy efficiency, renewable energy, process and material innovations, and carbon removal. In April 2021, Apple said that it had started a $200 million fund in order to combat climate change by removing 1 million metric tons of carbon dioxide from the atmosphere each year.


Toxins

Following further campaigns by Greenpeace, in 2008, Apple became the first electronics manufacturer to eliminate all
polyvinyl chloride Polyvinyl chloride (alternatively: poly(vinyl chloride), colloquial: polyvinyl, or simply vinyl; abbreviated: PVC) is the world's third-most widely produced synthetic polymer of plastic (after polyethylene and polypropylene). About 40 millio ...
(PVC) and brominated flame retardants (BFRs) in its complete product line. In June 2007, Apple began replacing the
cold cathode A cold cathode is a cathode that is not electrically heated by a filament.A negatively charged electrode emits electron The electron ( or ) is a subatomic particle with a negative one elementary charge, elementary electric charge. Elect ...
fluorescent lamp (CCFL) backlit
LCD A liquid-crystal display (LCD) is a flat panel display, flat-panel display or other Electro-optic modulator, electronically modulated optical device that uses the light-modulating properties of liquid crystals combined with polarizers. Liqui ...
displays in its computers with mercury-free
LED-backlit LCD display An LED-backlit LCD is a liquid-crystal display that uses LEDs for backlighting instead of traditional cold cathode#Lamps, cold cathode fluorescent (CCFL) backlighting. LED-backlit displays use the same TFT LCD (thin-film-transistor liquid-cryst ...
s and
arsenic Arsenic is a chemical element with the Symbol (chemistry), symbol As and atomic number 33. Arsenic occurs in many minerals, usually in combination with sulfur and metals, but also as a pure elemental crystal. Arsenic is a metalloid. It has vario ...
-free glass, starting with the upgraded MacBook Pro. Apple offers comprehensive and transparent information about the CO2e, emissions, materials, and electrical usage concerning every product they currently produce or have sold in the past (and which they have enough data needed to produce the report), in their portfolio on their homepage. Allowing consumers to make informed purchasing decisions on the products they offer for sale. In June 2009, Apple's
iPhone 3GS The iPhone 3GS (originally styled iPhone 3G S) is a smartphone that was designed and marketed by Apple Inc. It is the list of iOS devices#iPhone, third generation iPhone and the successor to the iPhone 3G. It was unveiled on June 8, 2009 at th ...
was free of PVC, arsenic, and BFRs. All Apple products now have mercury-free LED-backlit LCD displays, arsenic-free glass, and non-PVC cables. All Apple products have EPEAT Gold status and beat the latest Energy Star guidelines in each product's respective regulatory category. In November 2011, Apple was featured in Greenpeace's Guide to Greener Electronics, which ranks electronics manufacturers on sustainability, climate and energy policy, and how "green" their products are. The company ranked fourth of fifteen electronics companies (moving up five places from the previous year) with a score of 4.6/10. Greenpeace praises Apple's
sustainability Specific definitions of sustainability are difficult to agree on and have varied in the literature and over time. The concept of sustainability can be used to guide decisions at the global, national, and individual levels (e.g. sustainable livi ...
, noting that the company exceeded its 70% global recycling goal in 2010. It continues to score well on the products rating with all Apple products now being free of PVC plastic and BFRs. However, the guide criticizes Apple on the Energy criteria for not seeking external verification of its greenhouse gas emissions data and for not setting out any targets to reduce emissions. In January 2012, Apple requested that its cable maker, Volex, begin producing halogen-free
USB Universal Serial Bus (USB) is an technical standard, industry standard that establishes specifications for cables, connectors and communication protocol, protocols for connection, communication and power supply (Interface (computing), interfa ...
and power cables.


Green bonds

In February 2016, Apple issued a US$1.5 billion green bond (climate bond), the first ever of its kind by a U.S. tech company. The green bond proceeds are dedicated to the financing of environmental projects. ;Racial Justice and Equality Initiatives In June 2020, Apple committed $100 million for its Racial Equity and Justice initiative (REJI) and in Jan 2021 announced various projects as part of the initiative.


Innovativeness

An editorial article in ''
The Verge ''The Verge'' is an American technology news website operated by Vox Media Vox Media, Inc. is an American mass media company based in Washington, D.C., and New York City. The company was established in November 2011 by Jim Bankoff and Tr ...
'' in September 2016 by technology journalist Thomas Ricker explored some of the public's perceived lack of innovation at Apple in recent years, specifically stating that Samsung has "matched and even surpassed Apple in terms of smartphone industrial design" and citing the belief that Apple is incapable of producing another breakthrough moment in technology with its products. He goes on to write that the criticism focuses on individual pieces of hardware rather than the Apple ecosystem as a whole, stating "Yes, iteration is boring. But it's also how Apple does business. ..It enters a new market and then refines and refines and continues refining until it yields a success". He acknowledges that people are wishing for the "excitement of revolution", but argues that people want "the comfort that comes with harmony". Furthermore, he writes that "a device is only the starting point of an experience that will ultimately be ruled by the ecosystem in which it was spawned", referring to how decent hardware products can still fail without a proper ecosystem (specifically mentioning that
Walkman Walkman, stylised as , is a brand of portable audio player A portable audio player is a personal mobile device that allows the user to listen to recorded sound recording, audio while mobile. Sometimes a distinction is made between a ''portabl ...
did not have an ecosystem to keep users from leaving once something better came along), but how Apple devices in different hardware segments are able to communicate and cooperate through the
iCloud iCloud is a Personal cloud, cloud service from Apple Inc. launched on October 12, 2011 as a successor to MobileMe. , the service had an estimated 850 million users, up from 782 million users in 2016. iCloud enables users to sync their data to t ...
cloud service with features including Universal Clipboard (in which text copied on one device can be pasted on a different device) as well as inter-connected device functionality including Auto Unlock (in which an
Apple Watch Apple Watch is a line of smartwatches produced by Apple Inc. It incorporates activity tracker, fitness tracking, Health (Apple), health-oriented capabilities, and wireless telecommunication, and integrates with iOS and other Apple products and s ...
can unlock a Mac in close proximity). He argues that Apple's ecosystem is its greatest innovation. ''The Wall Street Journal'' reported in June 2017 that Apple's increased reliance on
Siri Siri ( ) is a virtual assistant An intelligent virtual assistant (IVA) or intelligent personal assistant (IPA) is a software agent that can perform tasks or services for an individual based on commands or questions. The term "chatbot" i ...
, its virtual personal assistant, has raised questions about how much Apple can actually accomplish in terms of functionality. Whereas
Google Google LLC () is an American Multinational corporation, multinational technology company focusing on Search Engine, search engine technology, online advertising, cloud computing, software, computer software, quantum computing, e-commerce, ar ...
and
Amazon Amazon most often refers to: * Amazons, a tribe of female warriors in Greek mythology * Amazon rainforest, a rainforest covering most of the Amazon basin * Amazon River, in South America * Amazon (company), an American multinational technology co ...
make use of
big data Though used sometimes loosely partly because of a lack of formal definition, the interpretation that seems to best describe Big data is the one associated with large body of information that we could not comprehend when used only in smaller am ...
and analyze customer information to personalize results, Apple has a strong pro-privacy stance, intentionally not retaining user data. "Siri is a textbook of leading on something in tech and then losing an edge despite having all the money and the talent and sitting in Silicon Valley", Holger Mueller, a technology analyst, told the ''Journal''. The report further claims that development on Siri has suffered due to team members and executives leaving the company for competitors, a lack of ambitious goals, and shifting strategies. Though switching Siri's functions to
machine learning Machine learning (ML) is a field of inquiry devoted to understanding and building methods that 'learn', that is, methods that leverage data to improve performance on some set of tasks. It is seen as a part of artificial intelligence. Machine ...
and
algorithm In mathematics and computer science, an algorithm () is a finite sequence of rigorous instructions, typically used to solve a class of specific Computational problem, problems or to perform a computation. Algorithms are used as specificat ...
s, which dramatically cut its error rate, the company reportedly still failed to anticipate the popularity of Amazon's
Echo In audio signal processing and acoustics, an echo is a reflection (physics), reflection of sound that arrives at the listener with a delay after the direct sound. The delay is directly proportional to the distance of the reflecting surface from t ...
, which features the Alexa personal assistant. Improvements to Siri stalled, executives clashed, and there were disagreements over the restrictions imposed on third-party app interactions. While Apple acquired an England-based startup specializing in conversational assistants, Google's Assistant had already become capable of helping users select Wi-Fi networks by voice, and Siri was lagging in functionality. In December 2017, two articles from ''The Verge'' and ''
ZDNet ZDNET is a business technology news website owned and operated by Red Ventures. The brand was founded on April 1, 1991, as a general interest technology portal from Ziff Davis and evolved into an Enterprise software, enterprise IT-focused onlin ...
'' debated what had been a particularly devastating week for Apple's macOS and iOS software platforms. The former had experienced a severe security vulnerability, in which Macs running the then-latest macOS High Sierra software were vulnerable to a bug that let anyone gain administrator privileges by entering "root" as the username in system prompts, leaving the password field empty and twice clicking "unlock", gaining full access. The bug was publicly disclosed on
Twitter Twitter is an online social media and social networking service owned and operated by American company Twitter, Inc., on which users post and interact with 280-character-long messages known as "tweets". Registered users can post, like, and ...
, rather than through proper bug bounty programs. Apple released a security fix within a day and issued an apology, stating that "regrettably we stumbled" in regards to the security of the latest updates. After installing the security patch, however, file sharing was broken for users, with Apple releasing a support document with instructions to separately fix that issue. Though Apple publicly stated the promise of "auditing our development processes to help prevent this from happening again", users who installed the security update while running the older 10.13.0 version of the High Sierra operating system rather than the then-newest 10.13.1 release experienced that the "root" security vulnerability was re-introduced, and persisted even after fully updating their systems. On iOS, a date bug caused iOS devices that received local app notifications at 12:15am on December 2, 2017, to repeatedly restart. Users were recommended to turn off notifications for their apps. Apple quickly released an update, done during the nighttime in Cupertino, California time and outside of their usual software release window, with one of the headlining features of the update needing to be delayed for a few days. The combined problems of the week on both macOS and iOS caused ''The Verge''s Tom Warren to call it a "nightmare" for Apple's software engineers and described it as a significant lapse in Apple's ability to protect its more than 1 billion devices. ''ZDNet''s Adrian Kingsley-Hughes wrote that "it's hard to not come away from the last week with the feeling that Apple is slipping". Kingsley-Hughes also concluded his piece by referencing an earlier article, in which he wrote that "As much as I don't want to bring up the tired old 'Apple wouldn't have done this under Steve Jobs's watch' trope, a lot of what's happening at Apple lately is different from what they came to expect under Jobs. Not to say that things didn't go wrong under his watch, but product announcements and launches felt a lot tighter for sure, as did the overall quality of what Apple was releasing." He did, however, also acknowledge that such failures "may indeed have happened" with Jobs in charge, though returning to the previous praise for his demands of quality, stating "it's almost guaranteed that given his personality that heads would have rolled, which limits future failures".


Manufacturing

The company's manufacturing, procurement, and logistics enable it to execute massive product launches without having to maintain large, profit-sapping inventories. In 2011, Apple's profit margins were 40 percent, compared with between 10 and 20 percent for most other hardware companies. Cook's catchphrase to describe his focus on the company's operational arm is: "Nobody wants to buy sour milk." In May 2017, the company announced a $1 billion funding project for "advanced manufacturing" in the United States, and subsequently invested $200 million in Corning Inc., a manufacturer of toughened
Gorilla Glass Gorilla Glass is a brand of chemically strengthened glass developed and manufactured by Corning Inc., Corning, now in its seventh generation. Designed to be thin, light and damage-resistant, the glass gains its surface strength, ability to contain ...
technology used in its iPhone devices. The following December, Apple's chief operating officer, Jeff Williams, told ''CNBC'' that the "$1 billion" amount was "absolutely not" the final limit on its spending, elaborating that "We're not thinking in terms of a fund limit... We're thinking about, where are the opportunities across the U.S. to help nurture companies that are making the advanced technology— and the advanced manufacturing that goes with that— that quite frankly is essential to our innovation." As of 2021, Apple uses components from 43 countries. The majority of assembling is done by Taiwanese
original design manufacturer An original design manufacturer is a company that designs and manufactures a product that is eventually white label product, rebranded by another firm for sale. Such companies allow the firm that owns or licenses the brand to produce products whil ...
firms
Foxconn Hon Hai Precision Industry Co., Ltd., trading as Hon Hai Technology Group in China China, officially the People's Republic of China (PRC), is a country in East Asia. It is the world's List of countries and dependencies by population, ...
, Pegatron, Wistron and Compal Electronics with factories mostly located inside China, but also Brazil, and India. Taiwan Semiconductor Manufacturing Co., (TSMC) is a pure-play semiconductor manufacturing company. They make the majority of Apple's smartphone SoCs, with
Samsung Semiconductor Samsung Electronics Co., Ltd. (, sometimes shortened to SEC and stylized as SΛMSUNG) is a South Korean multinational corporation, multinational electronics corporation headquartered in Yeongtong-gu, Suwon, South Korea. It is the pinnacle of ...
, playing a minority role. Apple, alone accounted for over 25% of TSMC's total income in 2021. Apple's Bionic lineup of smartphone SoCs, are currently made exclusively by TSMC from the A7 bionic onwards, previously manufacturing was shared with Samsung. The M series of Apple SoC for consumer computers and tablets is made by TSMC as well. During the Mac's early history Apple generally refused to adopt prevailing industry standards for hardware, instead creating their own. This trend was largely reversed in the late 1990s, beginning with Apple's adoption of the PCI bus in the 7500/ 8500/ 9500 Power Macs. Apple has since joined the industry standards groups to influence the future direction of technology standards such as
USB Universal Serial Bus (USB) is an technical standard, industry standard that establishes specifications for cables, connectors and communication protocol, protocols for connection, communication and power supply (Interface (computing), interfa ...
, AGP,
HyperTransport HyperTransport (HT), formerly known as Lightning Data Transport, is a technology for interconnection of computer processors. It is a bidirectional serial/ parallel high-bandwidth Bandwidth commonly refers to: * Bandwidth (signal processing ...
,
Wi-Fi Wi-Fi () is a family of wireless network Communication protocol, protocols, based on the IEEE 802.11 family of standards, which are commonly used for Wireless LAN, local area networking of devices and Internet access, allowing nearby digital d ...
,
NVMe NVM Express (NVMe) or Non-Volatile Memory Host Controller Interface Specification (NVMHCIS) is an open, logical-device interface functional specification, specification for accessing a computer's non-volatile storage media usually attached via PC ...
,
PCIe PCI Express (Peripheral Component Interconnect Express), officially abbreviated as PCIe or PCI-e, is a high-speed serial communication, serial computer expansion bus standard, designed to replace the older Conventional PCI, PCI, PCI-X and A ...
and others in its products.
FireWire IEEE 1394 is an interface standard for a serial communication, serial bus for high-speed communications and isochronous real-time data transfer. It was developed in the late 1980s and early 1990s by Apple Inc., Apple in cooperation with a numbe ...
is an Apple-originated standard that was widely adopted across the industry after it was standardized as
IEEE 1394 IEEE 1394 is an interface standard for a serial communication, serial bus for high-speed communications and isochronous real-time data transfer. It was developed in the late 1980s and early 1990s by Apple Inc., Apple in cooperation with a numbe ...
and is a legally mandated port in all Cable TV boxes in the United States. Apple has gradually expanded its efforts in getting its products into the Indian market. In July 2012, during a conference call with investors, CEO
Tim Cook Timothy Donald Cook (born November 1, 1960) is an American business executive who has been the chief executive officer of Apple Inc. since 2011. Cook previously served as the company's chief operating officer under its co-founder Steve Jobs. ...
said that he " ovesIndia", but that Apple saw larger opportunities outside the region. India's requirement that 30% of products sold be manufactured in the country was described as "really adds cost to getting product to market". In May 2016, Apple opened an iOS app development center in
Bangalore Bangalore (), List of renamed places in India, officially Bengaluru (), is the Capital city, capital and largest city of the Indian state of Karnataka. It has a population of more than and a metropolitan area, metropolitan population of a ...
and a maps development office for 4,000 staff in Hyderabad. In March, ''
The Wall Street Journal ''The Wall Street Journal'' is an American business-focused, international daily newspaper based in New York City, with international editions also available in Chinese and Japanese. The ''Journal'', along with its The Wall Street Journal Asia, ...
'' reported that Apple would begin manufacturing iPhone models in India "over the next two months", and in May, the ''Journal'' wrote that an Apple manufacturer had begun production of iPhone SE in the country, while Apple told ''
CNBC CNBC (formerly Consumer News and Business Channel) is an American basic cable business news channel. It provides business news programming on weekdays from 5:00 a.m. to 7:00 p.m., Eastern Time, while broadcasting talk s ...
'' that the manufacturing was for a "small number" of units. In April 2019, Apple initiated manufacturing of iPhone 7 at its
Bengaluru Bangalore (), List of renamed places in India, officially Bengaluru (), is the Capital city, capital and largest city of the Indian state of Karnataka. It has a population of more than and a metropolitan area, metropolitan population of a ...
facility, keeping in mind demand from local customers even as they seek more incentives from the government of India. At the beginning of 2020, Tim Cook announced that Apple schedules the opening of its first physical outlet in India for 2021, while an online store is to be launched by the end of the year.


Labor practices

The company advertised its products as being made in America until the late 1990s; however, as a result of
outsourcing Outsourcing is an agreement in which one company hires another company to be responsible for a planned or existing activity which otherwise is or could be carried out internally, i.e. in-house, and sometimes involves transferring employees and ...
initiatives in the 2000s, almost all of its manufacturing is now handled abroad. According to a report by ''The New York Times'', Apple insiders "believe the vast scale of overseas factories, as well as the flexibility, diligence and industrial skills of foreign workers, have so outpaced their American counterparts that "
Made in the USA A Made in USA mark is a country of origin label affixed to homegrown, United States, American-made products that indicates the product is "all or virtually all" domestically produced, manufactured and assembled in the United States, United States ...
" is no longer a viable option for most Apple products". In 2006, one complex of factories in
Shenzhen Shenzhen (; ; ; ), also historically known as Sham Chun, is a major Sub-provincial division, sub-provincial city and one of the Special economic zones of China, special economic zones of China. The city is located on the east bank of the Pea ...
, China that assembled the iPod and other items had over 200,000 workers living and working within it. Employees regularly worked more than 60 hours per week and made around $100 per month. A little over half of the workers' earnings was required to pay for rent and food from the company. Apple immediately launched an investigation after the 2006 media report, and worked with their manufacturers to ensure acceptable working conditions. In 2007, Apple started yearly audits of all its suppliers regarding worker's rights, slowly raising standards and pruning suppliers that did not comply. Yearly progress reports have been published since 2008. In 2011, Apple admitted that its suppliers' child labor practices in China had worsened. The Foxconn suicides occurred between January and November 2010, when 18
Foxconn Hon Hai Precision Industry Co., Ltd., trading as Hon Hai Technology Group in China China, officially the People's Republic of China (PRC), is a country in East Asia. It is the world's List of countries and dependencies by population, ...
(Chinese: 富士康) employees attempted
suicide Suicide is the act of intentionally causing one's own death Death is the Irreversible process, irreversible cessation of all biological process, biological functions that sustain an organism. For organisms with a brain, death can also ...
, resulting in 14 deaths—the company was the world's largest contract electronics manufacturer, for clients including Apple, at the time. The suicides drew media attention, and employment practices at Foxconn were investigated by Apple. Apple issued a public statement about the suicides, and company spokesperson Steven Dowling said: The statement was released after the results from the company's probe into its suppliers' labor practices were published in early 2010. Foxconn was not specifically named in the report, but Apple identified a series of serious labor violations of labor laws, including Apple's own rules, and some child labor existed in a number of factories. Apple committed to the implementation of changes following the suicides. Also in 2010, workers in China planned to sue iPhone contractors over poisoning by a cleaner used to clean LCD screens. One worker claimed that he and his coworkers had not been informed of possible occupational illnesses. After a high suicide rate in a Foxconn facility in China making iPads and iPhones, albeit a lower rate than that of China as a whole, workers were forced to sign a legally binding document guaranteeing that they would not kill themselves. Workers in factories producing Apple products have also been exposed to
hexane Hexane () is an organic compound In chemistry, organic compounds are generally any chemical compounds that contain carbon-hydrogen or carbon-carbon chemical bond, bonds. Due to carbon's ability to Catenation, catenate (form chains with other ...
, a
neurotoxin Neurotoxins are toxins that are destructive to nervous tissue, nerve tissue (causing neurotoxicity). Neurotoxins are an extensive class of exogenous chemical neurological insult (medical), insultsSpencer 2000 that can adversely affect function ...
that is a cheaper alternative than alcohol for cleaning the products. A 2014 BBC investigation found excessive hours and other problems persisted, despite Apple's promise to reform factory practice after the 2010 Foxconn suicides. The Pegatron factory was once again the subject of review, as reporters gained access to the working conditions inside through recruitment as employees. While the BBC maintained that the experiences of its reporters showed that labor violations were continuing since 2010, Apple publicly disagreed with the BBC and stated: "We are aware of no other company doing as much as Apple to ensure fair and safe working conditions". In December 2014, the Institute for Global Labour and Human Rights published a report which documented inhumane conditions for the 15,000 workers at a Zhen Ding Technology factory in Shenzhen, China, which serves as a major supplier of circuit boards for Apple's iPhone and iPad. According to the report, workers are pressured into 65-hour work weeks which leaves them so exhausted that they often sleep during lunch breaks. They are also made to reside in "primitive, dark and filthy dorms" where they sleep "on plywood, with six to ten workers in each crowded room." Omnipresent security personnel also routinely harass and beat the workers. In 2019, there were reports stating that some of Foxconn's managers had used rejected parts to build iPhones and that Apple was investigating the issue.


Market power

The
United States Department of Justice The United States Department of Justice (DOJ), also known as the Justice Department, is a United States federal executive departments, federal executive department of the United States government tasked with the enforcement of federal law and a ...
also began a review of
Big Tech Big Tech, also known as the Tech Giants, refers to the most dominant companies in the information technology Information technology (IT) is the use of computers to create, process, store, retrieve, and exchange all kinds of Data (compu ...
firms to establish whether they could be unlawfully stifling competition in a broad
antitrust Competition law is the field of law Law is a set of rules that are created and are law enforcement, enforceable by social or governmental institutions to regulate behavior,Robertson, ''Crimes against humanity'', 90. with its precise defi ...
probe in 2019. On March 16, 2020, France fined Apple €1.1 billion for colluding with two wholesalers to stifle competition and keep prices high by handicapping independent resellers. The arrangement created aligned prices for Apple products such as iPads and personal computers for about half the French retail market. According to the French regulators, the abuses occurred between 2005 and 2017 but were first discovered after a complaint by an independent reseller, eBizcuss, in 2012. On August 13, 2020,
Epic Games Epic Games, Inc. is an American Video game developer, video game and software development, software developer and video game publisher, publisher based in Cary, North Carolina. The company was founded by Tim Sweeney (game developer), Tim Sween ...
, the maker of the popular game
Fortnite ''Fortnite'' is an online video game developed by Epic Games and released in 2017. It is available in three distinct game mode versions that otherwise share the same general gameplay and game engine: '' Fortnite Battle Royale'', a free-t ...
,
sued - A lawsuit is a proceeding by a party or parties against another in the civil court of law A court is any person or institution, often as a government institution, with the authority to Adjudication, adjudicate legal disputes between P ...
Apple and Google after its hugely popular video game was removed from Apple and Google's App Store. The suits come after both Apple and
Google Google LLC () is an American Multinational corporation, multinational technology company focusing on Search Engine, search engine technology, online advertising, cloud computing, software, computer software, quantum computing, e-commerce, ar ...
blocked the game after it introduced a direct payment system, effectively shutting out the tech titans from collecting fees. In September 2020 Epic Games founded the Coalition for App Fairness together with other thirteen companies, which aims for better conditions for the inclusion of apps in the app stores. Later in December 2020,
Facebook Facebook is an online social media and social networking service owned by American company Meta Platforms. Founded in 2004 by Mark Zuckerberg with fellow Harvard College students and roommates Eduardo Saverin, Andrew McCollum, Dusti ...
agreed to assist Epic in their legal game against Apple, planning to support the company by providing materials and documents to Epic. Facebook had, however, stated that the company will not participate directly with the lawsuit, although did commit to helping with the discovery of evidence relating to the trial of 2021. In the months prior to their agreement, Facebook had been dealing with feuds against Apple relating to the prices of paid apps as well as privacy rule changes. Head of ad products for Facebook Dan Levy commented, saying that "this is not really about privacy for them, this is about an attack on personalized ads and the consequences it's going to have on small-business owners," commenting on the full-page ads placed by Facebook in various newspapers in December 2020.


Product-related practices

Apple's issues regarding music over the years include those with the
European Union The European Union (EU) is a supranational union, supranational political union, political and economic union of Member state of the European Union, member states that are located primarily in Europe, Europe. The union has a total area of ...
regarding iTunes, trouble over updating the Spotify app on Apple devices and collusion with record labels. In 2018–19, Apple faced criticism for its failure to approve
Nvidia Nvidia CorporationOfficially written as NVIDIA and stylized in its logo as nVIDIA with the lowercase "n" the same height as the uppercase "VIDIA"; formerly stylized as ''n''VIDIA with a large italicized lowercase "n" on products from the mid 19 ...
web drivers for
GPUs A graphics processing unit (GPU) is a specialized electronic circuit designed to manipulate and alter memory (computing), memory to accelerate the creation of Digital image, images in a frame buffer intended for output to a display device. GPUs ...
installed on legacy Mac Pro machines (up to mid 2012 5,1 running
macOS Mojave macOS Mojave ( ; version 10.14) is the fifteenth software versioning, major release of macOS, Apple Inc.'s desktop operating system for Macintosh computers. Mojave was announced at Apple's Apple Worldwide Developers Conference, Worldwide Devel ...
10.14). Without access to Apple-approved Nvidia web drivers, Apple users faced replacing their Nvidia cards with graphic cards produced by supported brands (such as the AMD Radeon), from a list of recommendations provided by Apple to its consumers. In June 2019, Apple issued a recall for its 2015 MacBook Pro Retina 15" following reports of batteries catching fire. The recall affected 432,000 units, and Apple was criticized for the long waiting periods consumers experienced, sometimes extending up to 3 weeks for replacements to arrive; the company also did not provide alternative replacements or repair options. In July 2019, following a campaign by the " right to repair" movement, challenging Apple's tech repair restrictions on devices, the FTC held a workshop to establish the framework of a future nationwide Right to Repair rule. The movement argues Apple is preventing consumers from legitimately fixing their devices at local repair shops which is having a negative impact on consumers. On November 19, 2020, it was announced that Apple will be paying out $113 million related to lawsuits stemming from their iPhone's battery problems and subsequent performance slow-downs. Apple continues to face litigation related to the performance throttling of iPhone 6 and 7 devices, an action that Apple argued was done in order to balance the functionality of the software with the impacts of a chemically aged battery. On January 25, 2021, Apple was hit with another lawsuit from an Italian consumer group, with more groups to follow, despite the rationale for the throttling. On November 30, 2020, the Italian antitrust authority AGCM fined Apple $12 million for misleading trade practices. AGCM stated that Apple's claims of the iPhone's water resistance weren't true as the phones could only resist water up to 4 meters deep in ideal laboratory conditions and not in regular circumstances. The authority added that Apple provided no assistance to customers with water-damaged phones, which it said constituted an aggressive trade practice. On September 8, 2022, Brazil announced the ban on the sale of iPhones without power adapters. It has also fined Apple 12.275million
reais The Brazilian real (plural, pl. '; currency symbol, sign: R$; ISO 4217, code: BRL) is the official currency of Brazil. It is subdivided into 100 centavos. The Central Bank of Brazil is the central bank and the issuing authority. The real repl ...
($ million). Apple announced it will appeal this decision.


See also

* List of Apple Inc. media events *
Pixar Pixar Animation Studios (commonly known as Pixar () and stylized as P I X A R) is an American Computer animation, computer animation studio known for its critically and commercially successful computer animated feature films. It is based in E ...


References


Notes


Bibliography

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Further reading

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External links

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