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As part of a "shift in priorities," Apple has made cuts to its workforce across senior VP Eddy Cue's Services division, Bloomberg reports. About 100 employees impacted by the cuts were reportedly given a 60-day window to secure another position within Apple before their termination becomes effective.

apple-books.jpg

The scope of the layoffs extended beyond a single team, with some employees working across multiple departments feeling the ripple effects of Apple's apparent cost-optimization effort. The layoffs primarily affected the Apple Books app and Apple Bookstore teams, but also impacted the Apple News team, marking the fourth round of staff reductions for the company in 2024.

According to the report, the layoffs signal that Apple Books has become less of a priority for the company, which doesn't see it as a major part of its services lineup. However, the Books app is still expected to get new features over time. As for Apple News, the layoffs were said to be an indication that it is less of a focus for Apple.

The Services division has been a key growth driver for the company in recent years. Services now account for over 22% of Apple's sales, a significant increase from less than 10% a decade ago.

The importance of the Services segment has been particularly evident during periods of slower device sales, helping to bolster Apple's financial performance. However, this latest move suggests that even high-performing divisions are not immune to restructuring efforts.

These layoffs follow earlier staff reductions at Apple this year, including the closure of its ambitious self-driving car project and the shutdown of a microLED display initiative. The company also dismantled a team based in San Diego.

Apple's approach to layoffs has been more measured compared to some of its Silicon Valley counterparts. Cisco Systems has announced plans to reduce its headcount by approximately 7%, while Intel is set to eliminate over 15% of its workforce. These more extensive cuts at other tech firms are largely attributed to slowing growth and a shift in focus towards AI.

Article Link: Apple Lays Off Around 100 Services Staff Across Apple Books and News
 
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WarmWinterHat

macrumors 68030
Feb 26, 2015
2,502
7,243
This is spreading everywhere in tech apparently. Even in my little world the next cycle suggests a few positions may not be filled and a few cut...... announced yesterday. I'm not feeling positive about many economic indicators I see out there.

It may be happening in tech, but it's the opposite in other industries. I'm in healthcare and we have been increasing our hiring, not laying people off.
 

Shirasaki

macrumors P6
May 16, 2015
16,130
11,586
It may be happening in tech, but it's the opposite in other industries. I'm in healthcare and we have been increasing our hiring, not laying people off.
Healthcare hiring more resonates with globally aging population. Once the population drops below a certain level (which I probably won‘t be able to see in my own eyes), healthcare hiring probably will slow down too.
With that being said, when will this laying off trend ever die down?
 

sublunar

macrumors 68020
Jun 23, 2007
2,268
1,589
They’re up against Kindle (for Books) here, and it’s not seen much promotion over the years. And the News side of things has seen a lot of big hitters withdraw, not a good deal from their point of view I’d wager - and getting content formatted for Apple News may be process intensive in an industry which is itself shrinking.
 

btrach144

macrumors demi-god
Aug 28, 2015
2,942
7,302
Indiana
It may be happening in tech, but it's the opposite in other industries. I'm in healthcare and we have been increasing our hiring, not laying people off.
Healthcare hiring more resonates with globally aging population. Once the population drops below a certain level (which I probably won‘t be able to see in my own eyes), healthcare hiring probably will slow down too.
With that being said, when will this laying off trend ever die down?
Honestly, it’s the new normal. I work for a major tech company and for the last decade, we have done layoffs at the start of our new FY in July. They claim it’s because we are starting a new FY and the jobs don’t fit into our vision.

But over the last 4 years, we’ve moved to layoffs every quarter.

After a decade of explosive growth in tech, a slowdown feels weird. They say things should get better in 2025 though, so hopefully just a few more months?
 
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iDento

macrumors 6502a
Sep 8, 2011
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When Steve Jobs announced the iPad, it came with a better Books app. I could export highlights in bulk, now I can't. The options to change fonts, font size, brightness, and so were all easier.

So, is it a cost-cutting Timmie thing or was it because these particular services aren't doing well?
 

StephanD88

macrumors newbie
Jun 22, 2016
19
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Apple Books has so much more potential.

First: experience wise. A couple of iOS updates back for example, your current book you were reading was the eye catcher of the home screen. Now the current book is a small tile and more focus on what you 'should' read next displayed way bigger under there. Focus on selling the next thing. Not a good experience in what you're reading right now. They need to bring the good experience back.

Second, they can indeed do more with for example subscription. Or make the experience like in real life: being able to lend your books to someone for a certain period, where it becomes unavailable to yourself (just like physical books). Benefit would be that someone else can experience reading a full book in Apple Books, which could lead them to buy an iPad Mini for example (which is the size of a book).

These are two things I miss :)
 

Rogifan

macrumors Penryn
Nov 14, 2011
24,639
32,044
Mark Gurman should stick to reporting rumors, not guessing what they mean. He’s usually pretty bad at the latter. Unless he saw a memo or something outlining a change in strategy it seems he’s just guessing here. Apple is a big company. We don’t know how many people work in the services division. Is 100 people a big layoff?
 

nt5672

macrumors 68040
Jun 30, 2007
3,625
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Midwest USA
When Steve Jobs announced the iPad, it came with a better Books app. I could export highlights in bulk, now I can't. The options to change fonts, font size, brightness, and so were all easier.

So, is it a cost-cutting Timmie thing or was it because these particular services aren't doing well?
Look at amazon, it took decades to become profitable. But now amazon is ubiquitous. Timmy does not understand anything that does not generate $$$ today.

It would be nice if Apple would take an Apple app, or two, and make it best in class. But that would require time and $$$, something Timmy's lifestyle won't accept.

Nope, I fear we are stuck with Apple's, lets make barely working, low usability, buggy apps that have nice splash screens for the keynote innovative strategy.
 

steve09090

macrumors 68020
Aug 12, 2008
2,475
4,620
When Steve Jobs announced the iPad, it came with a better Books app. I could export highlights in bulk, now I can't. The options to change fonts, font size, brightness, and so were all easier.

So, is it a cost-cutting Timmie thing or was it because these particular services aren't doing well?
Or it’s established 'well enough' and they don’t need the moderation because of tech/AI advances.

The original iBooks was okay, but pretty disgusting looking (Thanks Forstall for the vomit inducing design) and I find it works pretty much as expected. Themes, fonts are all really easy to find (bottom right for me) and there are so many more settings to tweak the way I like it. The only thing I miss is the page turning style.
 

russell_314

macrumors 603
Feb 10, 2019
6,372
9,716
USA
I’m guessing Apple figured they can do this mostly with AI without having to pay many people.

Apple news isn’t really Apple news, but rather an app that displays news from ABC, CBS, NBC, CNN, etc. That’s why I don’t pay for it because I can get real news for free. I’m guessing the “Apple news” staff decided where to put articles on your screen, but AI can do that

With Apple Books again they’re not writing books to my knowledge so it’s just other publications in digital format. Some type of staff might be required to approve or reject publications but again that’s probably an AI task.

Maybe if they took the page out of their Apple TV service and actually had original content these services would be more successful.
 
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