John Ternus officially assumes the role of CEO at Apple on September 1, 2026, succeeding Tim Cook, who will transition to executive chairman. Cook's 15-year leadership saw Apple's stock return an astounding 2,230% since August 2011, translating a $10,000 investment into roughly $233,000. The company's market capitalization surged from $338 billion in 2011 to $4.5 trillion, making it the second-most valuable company globally. Cook's tenure also saw a substantial increase in revenue, from $108 billion in fiscal year 2011 to more than $466 billion on a trailing-12-month basis, with a total revenue increase of 330% and gross profit up 410%.
Under Cook, Apple's services division became a powerhouse, growing from a negligible part of the business to over $100 billion in annual revenue in 2025. Services revenue reached $109.16 billion last year, crossing the $100 billion mark for the first time, and boasts a gross margin of 75.4% compared to hardware's 36.8%. Paid subscriptions under Apple's umbrella surpassed 1.5 billion by June 2026. The iPhone remained a dominant product, with Cook overseeing the launch of models from the 4S to the 17, and Apple shipping 3.1 billion iPhones during his time, including 247.8 million in 2025. While iPhone revenue made up 50.4% of total revenue last financial year, the company shifted its focus from unit sales to increasing price, with Pro models driving significant revenue growth.
Ternus, a 51-year-old engineer who joined Apple in 2001 and previously served as Senior Vice President of Hardware Engineering, faces the challenge of maintaining Apple's growth and innovation. He inherits a company with over 2.5 billion devices in active use and has a major product launch event on September 9, where new iPhones, Apple Watches, a foldable phone, and an AI-powered Siri are expected. Cook's legacy includes returning over $1 trillion to shareholders through buybacks since 2012, and increasing headcount from 60,000 to 166,000 employees. Ternus's leadership will be tested on his ability to drive new innovations, especially in software and artificial intelligence, in a market where Apple's immense size makes sustained high growth rates increasingly difficult.
