Steve Jobs announced his resignation as Apple CEO late Wednesday evening, and reactions have been coming in from all across the internet. Jobs will keep his position as Chairman of the Board, but former Chief Operating Officer Tim Cook will replace Jobs as CEO. Jobs was a hugely popular CEO, admired by consumers and tech reporters alike. "I believe Apple's brightest and most innovative days are ahead of it. And I look forward to watching and contributing to its success in a new role," Jobs wrote in his letter to Apple employees and customers. Speculation over what this means for Apple, why Jobs decided to resign now, and what Jobs' legacy will be has been pouring in since the news of his resignation broke. The fawning eulogies for the departed CEO would imply that he's died, but this isn't a twitter hoax. He's sick, yes, but he's still here.
Here at Reuters, I made sure that I could work on a Mac before I accepted this job, and even though we’re standardized on PCs, you see Apples all over the company, up to and including the CEO’s office. None of that is going to change with Jobs’s departure as CEO. Does Apple still have an outsize personality who can slice away extraneous features on hardware, say no to the demands of the marketplace, and give us not what we think we want but what we never knew we wanted? I think it does: Jony Ive fits the bill quite nicely. And Apple’s amazing relations with its suppliers — the way that it can get chips and hardware into its devices that the rest of the world doesn’t can’t get its hands on for any amount of money — is now baked in to the organization, rather than being reliant on a single man.
The formula, then, is clear. And with or without Jobs, Apple is, for the foreseeable future, going to coin simply astonishing amounts of money. It made $7.3 billion of profit just in the last quarter, on revenues of an almost unimaginable $28.6 billion. That makes Apple of the most profitable companies the world has ever seen — and makes its stock look almost cheap, even at a market cap of $350 billion.
Nate Silver, of the The New York Times' Five Thirty Eight, tweets, "AAPL has lost $18 billion in market capitalization since the Jobs news broke, about the same as the GDP of Paraguay."
Jobs' resignation might mean the company will start making more deals for other companies, according to the Times' Dealbook writer Michael J. De La Merced. Apple's only purchased 18 companies since Jobs rejoined the company in 1997. New CEO Tim Cook has been involved in the company' acquisitions. As Merced points out, the bigest deal Jobs has been a part of is the Disney-Pixar sale. Apple has, "a $76.1 billion war chest as of late June, some have noted that Apple had enough financial firepower to buy Bank of America." We noted, around the same time, that Apple has enough money to buy Goldman Sachs.