Jobs, Steve Jobs
Today is the day where many citizens in states across the country set off to the voting booth. Baring some form of miracle, Donald Trump or Hillary Clinton will become the 44th President of the United States of America. For this moment I'll be setting ALL political thoughts aside, save for one: Which President elect's tax plan would benefit Apple the most?
Trump's offshore tax policy states it will reduce the Federal repatriation tax to 10%. Tim Cook, when testifying before Congress in 2013, believed a fair tax rate would be around 26% (state and fed total), which is typically Apple's domestic tax rate in any given quarter. If Trump became President and was able to pass a 10% repatriation tax rate, Apple would likely move most, if not all, of their offshore holdings back to the US. This past summer the European Union (EU) pushed into Ireland's banking laws, demanding Apple pay the EU $14.5 billion in taxes. Trump's policy would likely motivate Apple all the more to move their holdings back into the states and out of other countries, where Apple's cash is vulnerable to swiftly changing perceptons and laws.
Excuse me for injecting some concern into the conversation, but it appears the highly rumored Apple TV network streaming bundle is sounding more and more like a zero sum game, or worse. Before Apple’s World-Wide Developers Conference in June, rumors suggested Apple TV would arrive at the show, possibly accompanied with an all new OS and television streaming service for roughly $20/month, the same as Dish Networks Sling TV service. Nothing materialized.
The summer months were slow, but gave us a new Apple TV launch date, which happened this past Friday. However, no TV package arrived and the only constant network bundle drumbeat that gets talked about contains ever higher monthly prices. Initial rumors were $20. That rumor quickly shifted to “between $20 - $30.” The latest price rumor is the now not-so-magical figure of $40/month. $40 did not seem right in terms of price competitiveness, and for a cord cutters that have found a lot of resources to watch what they want, it seems like a lot for perhaps not so much in return. So I checked out what my local providers offer.
Steve Jobs is famous for many things: iMac, iPhone, iPad, OS X, iOS and the resurgence of Apple. He is also famous for his in-house rants and various perspectives. One such quote was,
On Tuesday, September 8, Apple unveiled an all new iPad, the iPad Pro. It sports a gorgeous 12.9" display, and works in concert with the amazing new Apple Pencil. iPad Pro combined with Apple Pencil will be a graphic artist’s dream. However, the media seems obsessed by one comment made by the late Steve Jobs in 2007. The media think they can play Jobs’ comment against Apple’s current leadership team to show how wrong Apple was in launching Apple Pencil, and get plenty of attention while doing so.
In January of 2007, Steve Jobs unveiled the iPhone. The iPhone had no physical keyboard, just a 3.5" multi-touch display. It was, at the time, a radical approach. During the unveiling Jobs explained how users would interact with the device. A stylus was out of the question. Jobs infamously stated, "Who wants a Stylus? You have to get 'em, and put them away and you lose them. Yuck. No one wants a stylus." Jobs clearly mocked the idea of using a stylus. Or did he? With the advent of Apple Pencil, the media has climbed all over the idea that Jobs would never have approved a stylus for iPad Pro. They couldn't be more wrong.
Last week I wrote about whether Tim Cook was the right guy in 2015 to lead Apple forward. I then followed with an article about the stock being in a dulldrums. While comments to both stories were not necessarily positive, both postulations may be true. Sometimes people do not like to hear the truth, especially when it goes against their preconceived ideas. Change is difficult for most, and adjusting to reality is often something people prefer to avoid.
The fact is Apple is in a funk this year. While OS X will add some nice do-dads to its plethora of features and iOS 9 looks to be a welcomed update as well, it hasn’t been since the iPad’s launch that Apple’s luster was shining bright. Sure the stock has done amazing things since the beginning of this decade as has Apple’s savings account. Tim Cook has proven to be a very good manager of what is. Incremental change over time with the direction of the company in an upward direction. But while good for the first four years of the 2010 series, year number five is proving a bit more difficult.
Back in January of 2007, at MacWorld San Francisco, Steve Jobs unveiled the first iPhone. I was at that show and remember waiting in line to go to the Apple booth to see the two iPhones on display in cylindrical glass cases. It was like gazing upon a rare jewel or ancient discovery at a museum. The round, glass case allowed you to view the iPhone from almost every angle. It was cool. It was unique. It was certainly different, but it was not alone.
Since last Fall, all the attention of those who carefully follow what Apple does have been focused on Apple Watch, iPhone, Apple Pay and most recently a stunning new MacBook. From all the predictions from way back in 2010 until now (including some here at T-GAAP), Apple TV has made little progress from its hobby status.
It has been a little over four years in the desert for those of us who use Apple Xserves — or any Apple hardware as a server. Since the fateful announcement on November 5, 2010, when Apple announced they were discontinuing the Xserve product line, many Mac IT professionals have been been disheartened that Apple never reversed this decision.
Apple CEO Tim Cook conducted an interview a few weeks ago at the Goldman Sachs technology conference. Cook discussed Apple's product line, grid-free power initiatives and the forthcoming Apple Watch (once asked about it). I've listened to Tim Cook interviewed and watched him give presentations dozens of times, just as I had Steve Jobs. There is one thing about each man that becomes abundantly clear. Steve Jobs was a pure genius visionary, while Tim Cook is cunningly smart.
Jobs birthed Apple, was fired, and was then rehired to save it. He did more than just save the company, he drove it to record success. Jobs could simply see things others could not, and he taught his fellow executives to remove the glass ceiling and dogma surrounding large businesses. Jobs had pet projects, such as the ill-fated Cube, and wildly successful iPhone and iPad. Who knows what he had up his sleeve for Television.