Apple doesn’t conduct mass layoffs often, at least not as frequently as other major tech companies. Its first round of layoffs under new CEO John Ternus, however, is already here.
Does this mean that Apple is about to follow the example set by other companies now? Not necessarily.
Layoffs at Apple
Apple Fitness+ has been under review since last year. | Image by Apple
Apple insider Mark Gurman, in his newsletter Power On, has revealed that some employees are being laid off at the company. Specifically, a number of people working on Apple Fitness+ are being let go.
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The problem with Apple Fitness+
Apple Fitness+ has a problem, it’s not exactly a moneymaker for the company. Over the years, the service has failed to grow as much as Apple’s other digital and physical offerings.
Last year, Gurman reported that the company was looking to tighten up how Apple Fitness+ was run. Aside from improvements to the service, as well as new features like AI-generated dubbing for workout videos, layoffs were inevitable.
Gurman believes that it’s unlikely for Apple to cancel the service outright, as the backlash from that would outweigh the cost savings. However, the company will probably take similar cost-cutting measures in the near future.
First layoffs under CEO John Ternus
Last year, Ternus showed off the iPhone Air. | Image by Apple
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This round of layoffs is the first such occurrence under Apple’s new CEO, John Ternus. Does this mean that layoffs are about to become a lot more common under Ternus? Will this be a strategy that Ternus employs to maximize profits?
No, I don’t believe so. Similar other layoffs on less fruitful ventures — like the Apple Vision Pro — were happening just days before Ternus took over from Tim Cook. These Apple Fitness+ layoffs are just a continuation of something that the company was already doing.
Of course, that doesn’t make me feel any better
Apple Fitness+ hasn't been a huge success. | Image by Apple
That doesn’t mean that I’m okay with these layoffs, of course. Unfortunately, these things happen all the time and will continue happening long after I stop reporting on them. Understandably, many others aren’t happy about the layoffs either, and some are expecting even more reshuffling follow.
Apple might undergo more staff changes yet. | Image by Reddit
What makes this particularly noteworthy, though, is that ex-CEO Tim Cook — who is now an Apple Executive Chairman — is getting paid almost double what others in similar positions are making in the industry.
Abdullah loves smartphones, Virtual Reality, and audio gear. Though he covers a wide range of news his favorite is always when he gets to talk about the newest VR venture or when Apple sets the industry ablaze with another phenomenal release.
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