Tech Biz

Apple Board Questions Innovation, Lengthy Gap Between New Products

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Tech Biz

Apple Board Questions Innovation, Lengthy Gap Between New Products

Tim Cook’s leadership called into question as Apple stock, market share plummets.

According to a report by Fox Business Network (FBN), Apple insiders are concerned about the pace of innovation at the Cupertino tech giant. Board members have allegedly expressed doubts about the upcoming wave of new products – with fears being compounded by the roughly 300 days that have elapsed since Apple launched a new product.

FBN’s Charlie Gasparino said: “We have been able to confirm that the board is now worried about what’s in the pipeline. Do they have the right stuff in the pipeline? Do they have innovative stuff in the pipeline? Do they have stuff to keep the momentum going that Jobs started in the pipeline?”

Apple’s stock price is down 35 percent from its all-time high of $700 last year, currently trading for $461 a share. Android continues to increase its commanding lead as the global smartphone market’s leading operating system – currently capturing 63 percent of the market share as Apple’s portion slipped to 32.5 percent.

Still, FBN’s anonymous sources claim that Tim Cook’s job is not at stake – yet.

“Is Tim Cook innovating enough as CEO? [Steve Jobs] had his ups and downs. There’s a growing pain to every CEO, particularly that this guy, in his defense, is stepping into tremendous shoes. That said, this is a company that worries about quarterly earnings, that worries about stock price … This is not a lightweight board,” Gasparino said.

He continued: “What have they had lately? They have had the iPad, they've had a few other things, but they don't have anything innovating [like] what came from Steve Jobs. And that concern is basically manifesting into pressure on Tim Cook to basically innovate – do something fast.”

Apple critics point out that the company hasn’t released a breakthrough product since the iPad debuted in 2010. At Apple’s WWDC event in June, Apple executive Phil Schiller famously exclaimed to the crowd, “Can’t innovate anymore, my ass,” after showing off the redesigned Mac Pro. Unfortunately for Apple, the company is driven by smartphones and tablets above all else – average consumers won’t be lining up to buy the sleek, and expensive, black tower.

This fall and winter, Apple is rumored to be releasing an iPhone 5S/6 alongside a less expensive plastic iPhone 5C – as well as a new version of the iPad. An iWatch is also rumored for next year.

If these new products in the pipeline are simply rehashing current devices, rather than showing the world something it hasn’t seen before, Tim Cook could find himself back on the job market in 2014.

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