Dear Tim, Hope things are good with you and your biking and hiking are going well. I am sure you are well rested after all the excitement and hard work you and your team put in to launch the iPad Mini. In fact, as I write this letter to you, Iâm really hoping that â" THAT is what you released. You see, Iâm writing to you about six hours before your âWeâve got a little more to show youâ event. Yes, I know â" that is bizarre, but itâs best if we donât go down that route. Itâs all to do with very stringent âgoing to print deadlinesâ and a tough-as-nails editor who just wonât listen (and donât get me started on how I have to literally go down on my knees and beg for a two-page column and get it once in six months!). So, like I said, I am really hoping you released an iPad Mini (or whatever you finally called it) or Iâm going to look like a bit of a prat!
Timothy, I know life is hard right now â" but youâve really been hanging tough. After the serious bungle of calling the third iPad just an iPad (but that retina display really helped you pull that off), the disappointment of the iPhone 5 not having that one jaw-dropping Applish feature (but look at the sales of that phone) and the total disaster of your mapping technology (at least it got people to drive and walk on top off water) â" youâre still forging ahead. I also know this whole Samsung patent war must be driving you batty with all these ups and downs. One day the court gives you $1.05 billion, and on another they ask you to publicly apologise to them. Wish they would just make up their minds if Samsung is or isnât copying your products.
Why mini? A smaller iPad is just a business decision
Timmy, my man â" I can well imagine what you feel when you sit at your office at 1, Infinite Loop (love that name) and make such critical decisions. After all, you head the worldâs most valuable company that has more cash reserves than the US government (talk about pressure). One single mistake could wipe out that amazing Apple Fans club that is literally the backbone of all that you do. Youâve seen Apple shares zoom to $705 and then crash to $600 and you know firsthand the level of expectation people have from Apple. The world expects you to be on your toes, to come out with game-changing new devices every few days, to reinvent each category every time and to do a Steve Jobs every second of the day. Even though your compensation was valued at $378 million (which makes you the highest paid CEO in the world) â" I donât envy you, at all, Timmy. Youâve got big shoes and big coffers to fill.
But, Tim. This iPad Mini thing. I hope youâve really though this out. I mean itâs a great idea and all business wise â" but isn't this against the whole ethos of what Apple as a company stands for as also Steve Jobsâ vision? Steve did say that you guys would never get into the smaller 7-inch market for tablets as then he would also have to get all of us to file our fingers down to small pointy ends. He also did add that â7-inch tablets are tweeners: too big to compete with a Smartphone and too small to compete with the iPad.â I know, itâs smart that you didnât go for a 7-inch and went for 7.85 inches and can now say that you havenât gone against Steveâs wishes, but come on. Nobodyâs really going to fall for that one. The iPad Mini is a business decision and itâs pretty obvious that you needed one bad!
Man on the move: Apple CEO Timothy Cook knows firsthand the level of expectation people have from Apple
First off, youâre trying to take on the might of the Kindle Fire, the Nook and the Google Nexus 7 tablet. Those really sold like wildfire and took away significant numbers from you. But an iPad Mini that takes those on means that those super fat margins that Apple operates on will be gone forever. After all even Amazon has agreed that they donât make any money selling Kindle Fire hardware. Then thereâs this beautiful focus you have with your product line. If I want a phone â" itâs the iPhone and if I want a tablet â" itâs the iPad. With the iPad Mini youâve just made that fabulously distinctive product line get completely murky. Customers are going to be mightily confused now and an unfocussed Apple is the last thing this world needs. It also means cannibalisation from your own products. And anything that has cannibalisation and Apple in the same sentence is never a good thing. Add to this, the fact that to compete in this 7-inch area, youâve got to be very well priced. Which means compromise on the product. The iPad Mini isnât really a category changer, itâs not an innovatorsâ dream and itâs nowhere near the next big thing. Itâs a lower specced, smaller tablet with no whiz-bang features. Apple is the technology leader, the jaw-dropper, the company that can go where no company has gone before. And the iPad Mini technology really isn't what Apple is all about, is it?
Tim, dude. I feel your pain. I really do. The pressure to perform is immense and to fill Steve Jobsâ shoes has got to be the hardest job ever. Business compulsions and the need to keep those Apple numbers still looking good forces you to do things you would never even think of otherwise. This will be the first time ever in Apple where the head rules the heart and business has over ruled true tech passion. Donât worry too much about it, though. The iPad Mini will sell in great numbers, make your shareholders happy, make you look good and also help keep those million shares you have to grow into a bigger nest. With a heavy heart, I bid you goodbye and promise to write to you on the next big Apple launch.
Â
Love
Rajiv Makhni is managing editor, Technology, NDTV, and the anchor of Gadget Guru, CellGuru and Newsnet 3. Follow Rajiv on Twitter at twitter.com /RajivMakhni
From HT Brunch, October 28
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