Apple is aggressively cutting costs, CEO Tim Cook says layoffs not ruled out

According to previous reports, with the release of financial reports for the fourth quarter and full year of 2022, many American technology companies, including Amazon, Meta, Intel, etc., have launched large-scale layoffs. Apple did not announce its layoff plan some time ago, but recently Apple CEO Tim Cook said in an interview with the Wall Street Journal that layoffs are a last resort and he hopes to manage costs in other ways as much as possible.

Tim Cook said that the company has made adjustments to its expenditure and recruitment plans. In some respects, the company has very strict cost management, and will also reduce or increase the scale of recruitment according to project conditions.

MacBook Pro 2023

Apple has been able to make layoffs a last resort in part because it has been more restrained in hiring than other companies over the past three years. From September 2019 to September 2022, Apple’s headcount has grown by about 20%, while its competitors’ headcount increased by about 57%-100%. In addition, Apple is more cautious in project investment, and will not invest too much in short-term unprofitable projects. Correspondingly, Meta invested a lot of money in the Metaverse project, but the results were not satisfactory.

Apple has announced its financial report for the first quarter of the fiscal year 2023. As previously widely expected by analysts and research institutions, revenue for this quarter has declined year-on-year amid the limited supply of the iPhone 14 Pro. In the first fiscal quarter of the 2023 fiscal year, Apple’s revenue was $117.2 billion, a year-on-year decrease of 5%, and its net profit was $30 billion, a year-on-year decrease of 13%.