Tim Cook Bets His Legacy on Augmented Reality
When Tim Cook took over as Apple CEO from Steve Jobs nearly 12 years ago, there were doubts about whether the company had reached its peak.
However, under Cook’s leadership, Apple’s market cap has skyrocketed by over 700%, reaching almost $3 trillion. The iPhone business has continued to thrive, driven by innovative features and pricing strategies.
Additionally, Apple has built a strong services business, offering paid music, TV, and gaming products, providing a steady revenue stream independent of hardware sales fluctuations.
One aspect missing from Cook’s tenure at Apple has been the groundbreaking product innovation witnessed during the Jobs era, which could revolutionize technology interaction.
However, this changed last week with the introduction of the Vision Pro, a mixed reality headset that blends virtual reality and augmented reality.
Apple describes it as ushering in a new era of “spatial computing.” This product launch is considered the biggest and riskiest in years for Apple.
Cook has long been an advocate for augmented reality, recognizing its potential to enhance communication and collaboration.
During the recent event, Cook referred to the headset as “revolutionary” and “the first product you look through, not at.”
While Cook is primarily known for his operational expertise rather than product vision, the Apple Watch and AirPods were successful launches under his leadership.
However, they didn’t redefine the industry or Apple’s trajectory to the same extent as the iPhone under Jobs.
The success or failure of the Vision Pro, set to be released early next year, could define Cook’s legacy.
Yet, its success is far from guaranteed. Virtual and augmented reality remain relatively niche markets with limited mainstream consumer adoption.
Apple’s high price point of $3,499 for the headset, limited app availability, and the requirement to be tethered to a battery pack present significant challenges. Convincing users to wear a computer on their faces regularly is yet another obstacle.
Opinions among Apple followers are divided on what the headset means for Cook. While Apple has a strong track record with hardware, some believe it won’t reach the same level of success as the iPhone.
However, others, like Tim Bajarin, a longstanding Apple analyst, argue that the Vision Pro represents a reinvention of personal computing and showcases Apple’s commitment to innovation. Bajarin highlights Cook’s focus on growing and improving Apple’s ecosystem, including the in-house development of small yet powerful chips and the services bundle that enhances user experiences.
In conclusion, Cook’s legacy at Apple is already characterized by creating market value.
The Vision Pro presents an opportunity for him to be recognized as someone who oversaw the creation of a groundbreaking product, potentially on par with Jobs.
It could serve as the crowning achievement of Cook’s years of product initiatives and his substantial tenure at Apple.
