When I accepted a job offer at Apple AAPL +0.47% this year, some friends were surprised I did so. I’ve been getting all sorts of comments and questions such as:
“Apple passed its prime. Why waste time at a company that has nowhere to go but down?”
“Without Steve Jobs, Apple won’t be innovating anymore.”
“There will never be another big opportunity like iPhone.”
“Will Apple stock reach $700 ever again?”
“Apple passed its prime. Why waste time at a company that has nowhere to go but down?”
“Without Steve Jobs, Apple won’t be innovating anymore.”
“There will never be another big opportunity like iPhone.”
“Will Apple stock reach $700 ever again?”
Since I’m starting my Apple job soon and don’t yet have any inside knowledge, I’ll describe why I joined Apple and what I think the future holds. Once I start work, I’m going ninja stealth mode, so this is all you’ll get from me.
Apple singularly focuses on creating products that delight customers so much that they’re willing to pay above-market prices and feel it’s absolutely worth it. It’s like Noma (arguably the most creative restaurant in the world) versus McDonalds. People go to McD because it tastes okay and is really cheap. People go to Noma for the most mind-blowing culinary experience money can buy. I chose Apple because I want to spend my next 10 years developing products and operational practices that elevate society’s standards for business. Was it really necessary to build computers out of highly recyclable aluminum? 100% renewable energy at all data centers? Accessibility features in Mac OS that most people don’t need? No, but it was the right thing to do. Apple pushes the envelope because it has people who care about this kind of stuff.
Ultimately, I accepted my offer because my interviewer (and future boss) was willing to take a chance with me knowing that I have passion and high standards but little direct experience for the job. There’s nothing untouchable at Apple, he said (besides the vision of the industrial design team), and it’s up to me to decide where in the company or supply chain innovation is needed. The people I’ve met at Apple have such intense professionalism that I wouldn’t be surprised to find a piece of Steve Job’s DNA in their genes.
With a week before I start my job, I’ve come to realize that Apple’s future depends not on its ability to make elegant products, but rather its ability to create a platform for the 10,000 best developers to reach and serve customers via apps. The million developers out in the world can provide more and better content and services than any singular company can hope to produce, therefore the future winner is the one that can serve developers the most. As long as Apple makes the most delightful hardware and software environment,and prioritizes ease of apps development/delivery, then the future is bright. As you might know, software and media piracy is a huge problem in Asia, therefore a closed apps ecosystem like Apple’s could be the only way for small Asian consumer software and media businesses to make profit sustainably there. International app stores will unleash the world’s creative talent.
Future blockbusters will come in the form of new platforms through which developers can touch our lives. An iTV would enable apps for the living room. An iWatch would enable apps for the body, with its usefulness for developers pending on how many different biometric sensors can be crammed into a watch to estimate blood sugar, hydration, stress, etc. An iPhone/iPod/iPad would enable car apps once there’s a way for the devices to talk with your car. Through an app, your car could automatically arrange an oil change appointment for you when needed, taking into account where you live and your schedule for the week. If I stay at Apple long term, I intend to bring apps and robotics to the home kitchen to help people manage their groceries and cook healthy meals effortlessly.
That said, I don’t have any particular advice for Apple stock. It might not be until 2014 or much later for the next sensational hit to happen, so investors will need patience. The long term growth potential is certainly there, but success will take flawless execution. LINK
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