Currently, I don't think they have a choice. Remember, Tim was chosen to be CEO because he was a logistics guy who could make the Chinese manufacturing so efficient that it would lead to high margins. That worked for over decade from Steve's passing because they had a full product development pipeline.
Now that the globalization AND the product pipeline are essentially exhausted, Apple doesn't have the same tailwinds to operate as a premium consumer brand. They've essentially become a modern-day Sony Corps.
As I've written here several times, they need to undergo a significant shake-up in leadership and the way they've conducted business before they have to:
- Remove Tim from the CEO position. He's done a great job, but his era is over.
- Stop releasing new devices every year. Do it no more than every other year. Stagger major products.
- They have to get back to their hippie roots and rekindle their relationship with artists, developers, and niche consumers (ie their core evangelists).
- They have to find a way to make their products outside of China.
- Rebuild their industrial design team.
- Stop the goofiness - for example, soldering the storage to the motherboard. Another is the dongle madness.
- Create a boutique brand or store and revive the iPod. Create other devices that appeal to and complement main products and services while catering to niche markets like Apple-designed DJ turntables. Or niche software that helps visual artists turn their art into NFTs or 3D printed objects. Apple designed video editing tools and software that go beyond Final Cut Pro.
- Win over the devs. Get deeply immersed into the Linux ecosystem while remaining completely open-source.
- End ridiculous projects like the Apple Car and Vision. They overpromise and underdeliver. Alternatively, get into the boating and aviation space. People have been using iPads for the longest in cockpits. Why didn't Apple partner with or enter the space when it introduced Apple Maps? It's a no-brainer.
- An underserved market is the sleep market. Bose used to sell sleep buds that helped you sleep but they didn't go far enough. Imagine this as a feature or standalone product connected to your iPhone or iWatch? People spend a third of their day sleeping - capitalize on that.
- Collapse the Beats brand into the Apple Brand. Why have two?
- Apple Music is a complete mess. So much so that many long-time former iTunes users, including myself, have abandoned it. Was this on purpose to get people to pay a subscription?
- Make Final Cut Pro easier and more versatile. Make it better than Adobe.
- Lead the crypto revolution with increased usability and ubiquity. I should be able to use crypto to buy, sell, and share across Apple's ecosystem. This is a thing now.
- Stop the woke programming on Apple TV. Much of it is unwatchable. Get the guys that built the the 1990s HBO line up. They took risks and made great tv.
- Buy Disney and turn the ship around.