John Ternus, Apple’s senior vice president of hardware engineering is the leading internal candidate to succeed Tim Cook as Apple’s CEO, part of a wider, gradual succession plan inside Apple.
John Ternus has been credited for driving Apple’s transition to custom silicon (M1/M2/M3 chips) and sustainable product design, making him a natural successor.
This article walks through what’s known today: Apple’s finances, iPhone sales trends, Warren Buffett’s stake and views, reasons behind Cook’s retirement rumors, potential successors, and the expected compensation structure for any incoming CEO.
Table of content
Table of Contents
Introduction: why this matters
- A change at the very top of Apple would be one of the most consequential leadership moves in tech.
- Apple is not only among the largest companies in the world by market cap, but its product roadmap, supplier relationships, and ecosystem strategy are closely tied to executive decisions.
- Reports that John Ternus, Apple’s senior vice president of hardware engineering, is emerging as the front-runner to replace Tim Cook have pushed investors and industry observers to examine both short-term impacts and long-term strategy shifts.
SWOT analysis
Who will lead Apple after Tim Cook?
— NAZARI (@nazarix) October 6, 2025
If Apple keeps its focus on hardware innovation like Vision Pro, Apple Silicon and AI Edge devices John Ternus seems the most natural successor.#AAPL #JohnTernus #Leadership #AI #Tech pic.twitter.com/jBEUhp7PJN
Apple by the numbers (snapshot)
These are recent (Oct, 2025), widely-cited numbers that show Apple’s scale and why CEO succession is high-stakes.
| Metric | Figure (latest full-year / quarter) |
|---|---|
| Apple revenue (FY 2024) | ~$391 billion |
| iPhone share of revenue | ~51% (largest revenue driver) |
| Apple net income (peak) | ~ $99.8 billion (peak year noted) |
| P/E (approx, market-sensitive) | 38.53 |
| Market cap (approx) | Trillions, Apple remains among the largest companies globally |
iPhone sales growth table (annual shipments / trend)
- iPhone shipments surged during Apple’s post-5G and design cycles (2020–2023), have been broadly in the low-to-mid 200 millions per year range, with modest year-to-year swings.
| Year | Approx. iPhone shipments (millions) | Year-over-year % change (approx.) |
|---|---|---|
| 2015 | 231 | – 2 % |
| 2016 | 215 | -6.9% |
| 2017 | 217 | +0.9% |
| 2018 | 218 | +0.5% |
| 2019 | 187 | -14.2% |
| 2020 | 196 | +4.8% |
| 2021 | 233.9 | +19.3% |
| 2022 | 231 | -1% |
| 2023 | 234.6 | +1.6% |
| 2024 | 232 | -0.7% |
Which market contributes the most revenue?
- United States / Americas is Apple’s top revenue region, historically contributing around 40–45% of revenue in many recent quarters. For example, some quarterly breakdowns show North America ≈ ~44% share of revenue in several recent quarters.
- Interpretation: The U.S. is Apple’s largest single market by revenue share, with services and high-margin iPhone sales lifting regional profitability.
How many Apple shares Warren Buffett own and what does he say?
- Stake: As of March 2025, Berkshire Hathaway owns 300 million shares of Apple, valued at approximately $63.19 billion, representing about 2% of Apple’s outstanding shares and roughly 21.6% of Berkshire’s stock portfolio. This holding has been reduced from its peak, with Berkshire selling 10 million shares in the fourth quarter of 2023 and other significant portions previously
- Buffett’s view: Buffett has repeatedly praised Apple for the strength of the iPhone and customer loyalty, calling Apple “probably the best business I know in the world” and saying iPhone user loyalty is extremely strong. Even as Berkshire trimmed some shares for portfolio reasons, Buffett’s prior public comments emphasize Apple’s exceptional consumer franchise.
Why is Tim Cook retiring / stepping down?
- There has been media coverage and analyst speculation in 2025 about Cook’s eventual succession, and Apple has been conducting long-term succession planning for several years.
- Multiple outlets including Bloomberg and Mark Gurman report Apple is moving through planned leadership transitions and that Cook may step down as part of normal succession (no official resignation announcement at time of reporting).
- In short: reports point to a planned, staged succession rather than a sudden health crisis, but Apple has not publicly announced a retirement date.
Who are the likely CEO candidates?
Industry reports and internal succession chatter list several internal candidates repeatedly:
- John Ternus – hardware engineering chief (leading candidate per Bloomberg / Gurman).
- Jeff Williams – former COO (recently retired/transitioned; had been considered in earlier cycles).
- Craig Federighi – software head (credible internal leader).
- Greg Joswiak (Joz) – marketing & product executive (has been mentioned in past succession speculation).
- Sabih Khan – operations VP, now stepping up in ops leadership after Jeff Williams transitions.
Note: Apple has historically promoted from within; the likely successor set is Apple insiders who have run big P&Ls or global operations.
Apple CEO compensation : what we know (Tim Cook example)
Public filings show Tim Cook’s FY 2024 total reported compensation at ~$74.6 million, which includes:
- Base salary: ~$3.0 million
- Stock awards / equity vesting: ~$58–59 million (largest component)
- Other compensation (bonus, security, benefits): ~$1–2 million
Exact mix varies year-to-year depending on vested long-term equity awards and performance targets.
If John Ternus becomes CEO: Expect a similar structure : modest base salary + majority long-term equity grants tied to multi-year performance targets (revenue, EPS, TSR). Apple’s governance historically ties CEO wealth to long-term equity grants.
Quick historical comparison: Apple CEOs (very short)
- Michael Scott (1977–1981): Early manager, oversaw first growth.
- Mike Markkula (1981–1983): Early investor/manager guiding expansion.
- John Sculley (1983–1993): Brought consumer marketing experience; oversaw growth and later conflicts with Jobs.
- Gil Amelio & Michael Spindler (1993–1997): Mixed performance; transitional era.
- Steve Jobs (1997–2011): Return, product renaissance, highest innovation-era leadership.
- Tim Cook (2011–present): Operational excellence, services expansion, huge revenue/profit growth, stable stewardship.
Frequently asked Question (FAQ)
- Is John Ternus officially Apple’s CEO?
No, as of the latest reporting he’s the leading internal candidate per Bloomberg and other outlets; Apple hasn’t issued an official CEO change. - How much of Apple’s revenue comes from the iPhone?
Roughly ~50–51% of Apple revenue comes from iPhone sales in recent full-year figures. - How much Apple does Warren Buffett/Berkshire own?
As of March 2025, Berkshire Hathaway owns 300 million shares of Apple, valued at approximately $63.19 billion, representing about 2% of Apple’s outstanding shares and roughly 21.6% of Berkshire’s stock portfolio. - Why is Tim Cook stepping down?
Media reports frame it as planned succession and long-term leadership transition. Apple has not published an official resignation. - What will a new CEO be paid?
Expect a modest base and a very large equity component tied to long-term performance (Apple’s historical pattern; Tim Cook’s FY 2024 total was ~$74.6M).
Final analysis: what to watch next
- Official Apple statement: any official press release or SEC filing will end speculation.
- Proxy/board moves: look for board-level announcements and continuity planning.
- Earnings reaction: markets will test whether investors prefer a product-engineering CEO (e.g., Ternus) vs. operations/marketing leaders.
- Berkshire filings: Buffett’s continuing moves with Apple stock can influence investor sentiment.
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