Apple treated Tim Cook to a farewell tour as he wrapped up his 15-year tenure as CEO on Monday and passed the reins to successor John Ternus – who faces challenges ranging from a troubled AI rollout to a worldwide memory crunch that’s forced it to hike prices.
Cook and Ternus, the 51-year-old head of Apple’s hardware division, have been “inseparable at internal meetings” ahead of the leadership transition, which takes effect Tuesday, Bloomberg reported. The new CEO is expected to move into Cook’s office at the company’s headquarters in Cupertino, Calif.
Ternus will need to hit the ground running in a critical period for Apple. It is set to roll out its latest product releases this fall, including its first foldable iPhone and a long-delayed AI-powered makeover of its Siri voice assistant. Siri AI will be under the microscope when it launches in public beta, with analysts warning that Apple needs a strong showing to reassure Wall Street.
Ternus will also look to maintain demand for core products like MacBooks and iPads despite a wave of price hikes – with some items surging as much as $500 – due to a shortage of computer chips. Apple described the crunch as an “unprecedented challenge.”
Despite the headaches, Cook has been effusive in his praise of Ternus, declaring in April that “he is without question the right person to lead Apple into the future.”
Meanwhile, Cook, 65, was fêted at a farewell party on Sunday at Apple’s headquarters to commemorate his lengthy run at the helm. The event featured a performance by Cook’s favorite band, OneRepublic, and drew about 200 attendees, The Information reported.
Laurene Powell Jobs, the widow of late Apple cofounder and CEO Steve Jobs, was among those who honored Cook at the event. Ternus also spoke at the soiree, as did longtime Apple executive Eddy Cue and former COO Jeff Williams.
The intensely private Cook, who came out as gay in 2014, also delivered remarks at the event and addressed his partner, Mike, who was in attendance, according to the outlet.
While Cook is stepping down as CEO, he will remain at the company as executive chairman. His work will include “engaging with policymakers around the world,” according to Apple.
“Sending lots of love to the Apple community on my last day as CEO,” Cook wrote on X. “My title changes tomorrow, but the love I have for the Apple community never will. Thank you for being a constant source of inspiration. My gratitude is endless, and I’m excited for the next chapter!”
Cook cultivated close ties with lawmakers on both sides of the aisle during his time as Apple’s boss and was a fixture at White House events under both former President Biden and President Trump. He also oversaw a major expansion with Apple’s business in China, which required managing tenuous relations between Washington, DC, and Beijing.
Cook has reportedly said he plans to spend more time at his vacation home in Palm Springs, Calif., and “take up more outdoor activities” – even as he remains heavily involved at the company, according to the outlet.
The transition marks the end of an era for Apple, which has seen its market cap surge from about $350 billion in 2011 to more than $4.5 trillion today.
Apple representatives did not immediately return requests for comment.