Tim Cook's Pay Was $1.5 Million Less in 2016 as Apple Missed its Own Performance Targets

[DevNull0]

It's single percentage share by operating system, not by manufacturer. Apple is top OEM by marketshare. (If you believe comscore is accurate enough)

https://www.comscore.com/Insights/R...ry-2016-US-Smartphone-Subscriber-Market-Share

The fact that Apple has a single digit percentage isn't affected by the possibility that the other 90+% can be owned by a single company or split among 20 companies with Apple as number 1.

The numbers you cite are US sales. And if Apple is 43.6% US and sub 10 globally it just shows the US market is becoming less important and 43.6% in the US means Apple must be utterly failing outside the US to get their total under 10% while selling that many in the US.

Also interesting news today, Mac sales are down another 15% to a 6.1% market share. The lowest in 5 years. Which is hardly surprising since the machines from 5 years ago were better than they are today. I'm sure someone with the username "I7guy" will both care about that fact and agree. http://www.infoworld.com/article/3155128/macs/macs-share-falls-to-five-year-low.html
Without a computer to anchor it, the ecosystem simply doesn't exist for me.

 

[Rogifan]

Which devices are you looking at? The unibody macbooks were a work of art and a marvel of engineering on the inside. The current crop of MBAs and EmojiBar macs are ugly kludges on the inside. Though I admit it is a marvel of engineering that they have a decent yield on a product so sloppily designed on the inside.

Here's a 2009, 2012 and 2016 MBP. Mind telling us what makes the current rMBP an "ugly kludge" compared to the 2009 and 2012 version?

Oh and same for the rMB. What exactly makes it an "ugly kludge" on the inside?

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Apple is still building hardware?

My iPad Pro and iPhone say hi.

 

[I7guy]

The fact that Apple has a single digit percentage isn't affected by the possibility that the other 90+% can be owned by a single company or split among 20 companies with Apple as number 1.

The numbers you cite are US sales. And if Apple is 43.6% US and sub 10 globally it just shows the US market is becoming less important and 43.6% in the US means Apple must be utterly failing outside the US to get their total under 10% while selling that many in the US.

Also interesting news today, Mac sales are down another 15% to a 6.1% market share. The lowest in 5 years. Which is hardly surprising since the machines from 5 years ago were better than they are today. I'm sure someone with the username "I7guy" will both care about that fact and agree. http://www.infoworld.com/article/3155128/macs/macs-share-falls-to-five-year-low.html
Without a computer to anchor it, the ecosystem simply doesn't exist for me.

US obviously is the most important market to Apple. Interesting I talk iphone and you talk Mac. http://www.idc.com/promo/smartphone-market-share/vendor;jsessionid=8D0BCCDF3E045DD7BF4FAE01EDDB3798 Globally samsung wins, but they have phones they are giving away for $0, which is not apples market. However, apple still captures 80% of the global profits.

And actually in spite of my forum handle, there are two macbook pros in the household as well as 2 ipads and an apple tv.

 

[Rogifan]

Cook can only ride Job's train for so long before the truth comes out. Macbook pro is a joke. IP7, is blah. Apple continues to do pulse checks w/ their users to see if they will just buy anything they put out on the market. If everyone continues to buy, they won't change a thing and continue w/ the minimal upgrades.

Ooh I'm sure Tim is unable to sleep nights knowing the truth is coming...

 

[Porky Roast]

If you read the whole article, it looks like Tim gets paid a lot less than other executives at Apple. So many angry people in here just posting negativity anytime his name comes up. He does not need to tie his salary so much to incentives, and I bet his 3 million base is significantly lower than other, much less successful CEO's.

That maybe so, but when the general sales staff in his stores are on a pittance and all they got this year was a $5 teeshirt bonus its an absolute outrage, nobody is worth that kind of money nobody in retail, in medicine if your saving lives maybe, but selling iPhones etc ???????? Really ????

 

[seanmcbay]

Poor guy must be starving now.

 

[RainbowHurrican]

What marketshare has he increased? iOS marketshare has been going DOWN as of late.
Mac marketshare is stagnant or going down too.

As an Apple stockholder I'm voting against Tim. We need an innovator to shake things up. While Tim is a nice guy, he's not the right person for the job.

 

[DevNull0]

US obviously is the most important market to Apple. Interesting I talk iphone and you talk Mac.

If US is most important, why is Timmy kissing the butts of India and China while giving American his middle finger?

I talk Mac because it's what matters to me. I don't own an iPhone because I'm just not interested. And I'm not an android fan either. I have old phone and nothing current remotely interests me.

I do buy a lot computers. My first mac was bought in 1999 and between 2002 and 2011 I averaged one mac a year, usually alternating desktop and powerbook/macbook. My most recent mac is a 2012 mini i7 quadcore bought in 2014 from the refurb store right after the 2014's came out (the only refurb I ever bought).

Globally samsung wins, but they have phones they are giving away for $0, which is not apples market. However, apple still captures 80% of the global profits.

Samsung does not give away any phones for $0. If they do, put me down for 100.

I see that profit comment a lot and it makes no sense to me. Why does it make you happy to buy the product that makes the highest profit for its maker? By definition you're saying the most overpriced phone (relative to the value of parts you're buying) is the best one.

 

[RainbowHurrican]

I would like to see Scott Forestal or tony fadell on the board. They need some who is not afraid to ruffle feathers about the development and design directions of Apple. The need some knowledgable about Apples technical history to challenge them.

 

[DevNull0]

Here's a 2009, 2012 and 2016 MBP. Mind telling us what makes the current rMBP an "ugly kludge" compared to the 2009 and 2012 version?.

Certainly. First though, that's a 2012 rMBP which I include in the "ugly kludge" category. I was referring to the cMBP as the good internal design, so I'll respond accordingly.

First, see the ugly rectangles across the bottom? Those are the individual cells of the battery all separated in a row and glued down side by side. Basically dangerous lithium in a foil wrapper held with glue. The 2009 has a self-contained battery held in with a screw that would go in the lower right corner but was removed from your picture. Gluing down individual cells where you can squeeze them in is quite a kludge compared to a self-contained battery. Especially when you consider important cabling caught up in the glue mess like the trackpad cable.

The lower left on the 2009 is an industry standard hard drive bay. The others have proprietary and then soldered ssd chips. What a kludge of design, when anything fails on the machine, your data is trapped even if the data storage device is fine.

Socketed ram on the 2009, soldered on the others.

It doesn't show as much on the pictures, but better airflow on the 2009, moreCPU throttling on the newer ones because they stick parts haphazardly all over and so it doesn't cool properly. It really shows up in benchmarks lasting more than a few minutes.

 

[I7guy]

If US is most important, why is Timmy kissing the butts of India and China while giving American his middle finger?

I talk Mac because it's what matters to me. I don't own an iPhone because I'm just not interested. And I'm not an android fan either. I have old phone and nothing current remotely interests me.

I do buy a lot computers. My first mac was bought in 1999 and between 2002 and 2011 I averaged one mac a year, usually alternating desktop and powerbook/macbook. My most recent mac is a 2012 mini i7 quadcore bought in 2014 from the refurb store right after the 2014's came out (the only refurb I ever bought).



Samsung does not give away any phones for $0. If they do, put me down for 100.

I see that profit comment a lot and it makes no sense to me. Why does it make you happy to buy the product that makes the highest profit for its maker? By definition you're saying the most overpriced phone (relative to the value of parts you're buying) is the best one.

I don't see Cook metaphorically giving America the middle finger. But if I were the CEO of any american company, I would get in to China and India.

Mac matters to you, iphone matters to me. 2 different view points.

Samsung J3V costs $168 at Verizon (while not for free, is nowhere near the $800 it costs for the s7 or iphone). The entirety of the Samsung mobile phone lineup world wide is not just the S7.

 

[DevNull0]

Ooh I'm sure Tim is unable to sleep nights knowing the truth is coming...

Timmy knows the truth is coming. He's going to follow the path of all poor leaders. As soon as his house of cards starts to come down, he'll resign, point at the pile of cash to say how great he did, take his hundreds of millions of dollars and disappear into the sunset all while claiming he was the greatest CEO in history.

The directors and major shareholders know what's going on and will pull out just before it happens and give Timmy a huge pat on the back.

The next CEO will watch the house of cards come crumbling down around him and take the blame.

Timmy knows exactly what he's doing and I'm sure he sleeps like a baby at night. He knows he's made a fortune and he knows Apple is coming down but it won't be his problem. What is there to worry about?

Sculley was the highest paid silicon valley CEO right up until he was fired. And during his first 4 years he made insane profits for Apple. History does repeat.

 

[I7guy]

Timmy knows the truth is coming. He's going to follow the path of all poor leaders. As soon as his house of cards starts to come down, he'll resign, point at the pile of cash to say how great he did, take his hundreds of millions of dollars and disappear into the sunset all while claiming he was the greatest CEO in history.

The directors and major shareholders know what's going on and will pull out just before it happens and give Timmy a huge pat on the back.

The next CEO will watch the house of cards come crumbling down around him and take the blame.

Timmy knows exactly what he's doing and I'm sure he sleeps like a baby at night.

IMO, that's a nice bit of hyperbole, but nothing else. But I agree, I'm sure Tim gets a good nights sleep, he has to. Running apple according to what's wanted on MacRumors isn't an easy task between the polarizing opinions.

 

[DevNull0]

IMO, that's a nice bit of hyperbole, but nothing else. But I agree, I'm sure Tim gets a good nights sleep, he has to. Running apple according to what's wanted on MacRumors isn't an easy task between the polarizing opinions.

We'll see. And sooner rather than later.

 

[kattskrall]

They just made his paycheck thinner.

 

[Paul Dawkins]

IMO, that's a nice bit of hyperbole, but nothing else. But I agree, I'm sure Tim gets a good nights sleep, he has to. Running apple according to what's wanted on MacRumors isn't an easy task between the polarizing opinions.

To me he does not look very healthy. I think sleep is on his to do list all the time.

 

[RainbowHurrican]

1. Make Scott Forestall CEO
2. Fire Jony & Tim

Sorted

I would love this. But doubt the board would do it. It would be great if Forestall came on the board as an independent director. Apple needs some wiling the balls to challenge the product development. Steve used to do that.
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I really feel like Tim is trying his best and to keep Steve's legacy on in the company...
Unfortunately he is the wrong guy to lead Apple...

I imagine it will be very hard for board members to confront Cook and fire him, especially since he played a big part in turning the company from bankruptcy to the richest in the world, and especially that he is still making record sales in iTunes and else where.

Unfortunately, whatever Apple got going for them, is really just the vision of Jobs which they still milk customers for.

To me, Scott Forstall is probably the closest guy to Jobs or Phil Schiller. I know some people hate Phil, but he was always Jobs right hand on the stage and the second face of Apple after Steve.

Of course, we can always get Wozniak back on board

I would like to see Forstall on the board to challenge the product development of Apple. The take forever to release anew product with little improvement over the previous generation but a higher price tag. just look at the IPad Pro which came two yeArs after the Air2 at $100 more sans pencil.
[doublepost=1483828857][/doublepost]

As we learned from the reemergence of Microsoft is that the only fix for stagnation is to replace old thinking. The Ballmer crew was replaced and now Microsoft has surpassed Apple. For Apple to be competitive again Cook, Schiller, Cue, etc. need to be replaced. If not, another company will eventually occupy the space ship building.

Cook and Cue definitely need to go. More design talent needs to be brought in. Ive has delivered 3 MEH iPhones in a row.
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My theory is that Steve Jobs built up Apple loyalty and reputation ever since the invention of the iPod through to the IPhone 4s (possibly 5 too?) and MacBook Air/pro. This reputation/loyalty that Apple enjoyed would not suddenly decline once Jobs passed away in late 2011 and so I'm not surprised to see Apple continued to increase performance.

Since 2012 Tim Cook has gradually made decisions that I would not normally expect from Apple and has personally made me question if it is worth buying future Apple products (I Almost always buy Apple products over rival options)

Some of the things that have irked me under Tim's leadership are:

- no headphone jack on lPhone 7, but the newly released MacBooks have one.
- IPhone 7 cannot physically connect to the latest MacBooks.
- iPhone 7 is same design as IPhone 6
- MacBook range updates are rare and contain chips older than a year when finally updated.
- you need to use a load of dongles to the point where Apple even reduced the price of them.
- Quality control is poor - Battery issues with a MacBook Pro that is a grand more expensive than rival products. iPhones powering off at 30% battery life. I honestly expect these problems with Samsung, not Apple.
- lack of innovation - is the Apple Watch and a touch bar the best Apple can do?

I'll just have to wait and see if 2017 will be a better year.

You forgot the subpar Intel GSM modem - only there because Tim is a Bean Counter.
[doublepost=1483829312][/doublepost]

I've always said that Apple has been falling behind the competition in terms of both hardware and software experiences (much more obviously on the hardware side). It's unfortunate that it requires dips in sales numbers for so many people to finally see and understand this.

Having said that, I think Apple is uniquely positioned thanks to their brand and bank. They are operating on a different time table than most other OEMs. They can literally afford to play the slow game.

All indications point to them catching up and even having a few surprises this year for the 2017 iPhone. They can have incredible growth again this year if they come through, and we'll all be better for it by having a competitive hardware/software experience on the iPhone again.

Apple is way behind in Software - look at how crappy iMaps still is and Siri (the Oldsmobile of AI).
[doublepost=1483830358][/doublepost]

Steve wouldn't have removed the magsafe concept from the new MBP, he would have created magsafe USB-C.
Steve would have included dongles for USB-A and HDMI.
He would not let the battery only have 10 hours if you only read emails and lightweight website. Much less if you did something 'Pro' level.
Steve understood what pro meant. Tim thinks it means fashion at an insanely extra cost.
Steve would have never created a $17,000 watch that used the $250 watch but added a tiny bit of gold (gold only cost $1300 per ounce).
Steve was not under the control of investors. Steve loved his customers.

Steve would never have released such a crappy OS as watchOS 1.0

so bad you had to come in for training first.

Thank god they improved things with watchOS 3.0. But unfortunately a lot of momentum has been lost.

 

[Jim Lahey]

Timmy knows the truth is coming. He's going to follow the path of all poor leaders. As soon as his house of cards starts to come down, he'll resign, point at the pile of cash to say how great he did, take his hundreds of millions of dollars and disappear into the sunset all while claiming he was the greatest CEO in history.

The directors and major shareholders know what's going on and will pull out just before it happens and give Timmy a huge pat on the back.

The next CEO will watch the house of cards come crumbling down around him and take the blame.

Timmy knows exactly what he's doing and I'm sure he sleeps like a baby at night. He knows he's made a fortune and he knows Apple is coming down but it won't be his problem. What is there to worry about?

Sculley was the highest paid silicon valley CEO right up until he was fired. And during his first 4 years he made insane profits for Apple. History does repeat.

Are you ten? Bloody hell!

 

[DevNull0]

Are you ten? Bloody hell!

Are you?

Talk about naive.

 

[Markoth]

They've been incredibly profitable under his leadership, why would they fire a successful CEO who has increased profits, marketshare?

I may not be a fan of him, but using the metrics that business people use to measure success/failure. He's been an unabashed success.

They opened a new category of products. It's only natural that their profits would have gone up. However, they have been hurting elsewhere, as can be seen by all the missed targets.

 

[Abazigal]

I would love this. But doubt the board would do it. It would be great if Forestall came on the board as an independent director. Apple needs some wiling the balls to challenge the product development. Steve used to do that.

Scott was notorious for not being able to get along with other people at Apple. I have a suspicion that bringing Scott back would only serve to make even more people unhappy and affect morale at Apple. Perhaps even make talent quit in a "it's me or him" ultimatum.

And Steve Jobs had the respect of many people. Scott didn't. Not to mention that ios 6 was plain horrible under him, so I feel that without Steve Jobs there to rein him in, Scott was a mad dog who had overstayed his welcome.

Keep Scott Forstall far far away from Apple. Apple is doing fine without him and and his return will only do more harm than good.

I would like to see Forstall on the board to challenge the product development of Apple. The take forever to release anew product with little improvement over the previous generation but a higher price tag. just look at the IPad Pro which came two yeArs after the Air2 at $100 more sans pencil.

Like I said - be careful what you wish for. You just might get it.

Steve would never have released such a crappy OS as watchOS 1.0

so bad you had to come in for training first.

Thank god they improved things with watchOS 3.0. But unfortunately a lot of momentum has been lost.

I both agree and disagree.

That is perhaps Steve's biggest contribution to Apple - a healthy dose of common sense. Without him, Apple will definitely make more mistakes, but they will also learn more from those mistakes and be wiser from it.

There are things that even a fool can teach a scholar. Under Steve Jobs, the Watch may have released with watchOS 3 straight. Under Apple, it took 2 software revisions. At the end of the day, they still end up at the same destination, just a little longer without Steve Jobs.

I don't see much momentum lost, if only because the rest of the smartwatch industry isn't faring any better either. In the end, it will still end up becoming the Apple Watch market.

 

[Klingon00]

"Apple noted it did not meet its target performance goals for both net sales and operating income in 2016,"

Jobs from 1995:

"They didn't have a clue about how to do it and they didn't take any time to find out because that's not what they cared about. They cared about making a lot of money. So they had this wonderful thing that a lot of brilliant people made called the Macintosh and they got very greedy. And instead of following the original trajectory of the original vision -- which was to make this thing an appliance, to get this out there to as many people as possible -- they went for profits and they made outlandish profits for about four years. Apple was one of the most profitable companies in America for about four years.

What that cost them was the future. What they should have been doing was making reasonable profits and going for market share, which was what we always tried to do.

Macintosh would have had a 33% market share right now, maybe even higher, maybe it would have even been Microsoft, but we'll never know. Now it's got a single-digit market share and falling. There's no way to ever get that moment in time back. The Macintosh will die in another few years and it's really sad."
39:30

Here's another take by Jobs that I feel is perhaps prophetic about Apple:

 

[I7guy]

Here's another take by Jobs that I feel is perhaps prophetic about Apple:

Hindsight is 20-20 as they say.

 

[Rogifan]

More silly "Steve wouldn't have" from people who don't have a clue what Steve would or wouldn't have done. The only thing we know is he recommended Tim Cook replace him as CEO, not Scott Forstall. And again people seem to have short memories. Scott Forstall wasn't a beloved figure back in 2012. But now people want him to come back and 'save' the company? Good grief.

 

[DevNull0]

Hindsight is 20-20 as they say.

Wow. Did you actually listen to the words coming out of Steve jobs mouth? There is nothing hindsight about it, it's about the present of all companies, tech and otherwise. It even explains how the CEO of Burberry managed to sneak her way onto the exec team.