Apple Inc. is a global technology company that designs, manufactures, and sells smartphones, personal computers, tablets, wearables, and accessories. Apple Inc. is listed on the Nasdaq exchange under the ticker symbol AAPL. Some of its main products include the iPhone, the Mac line of personal computers and laptops, the iPad, the Apple Watch, and Apple TV. The company also has a fast-growing services business that includes its iCloud cloud service and its digital streaming-content services, such as Apple Music and Apple TV+.
Since its founding in 1976, the tech giant has grown into a diversified technology behemoth. When it comes to acquisitions, Apple's strategy has been to purchase small tech companies that it can easily integrate into its expanding line of products.
Apple faces numerous competitors, including smartphone manufacturers Samsung Electronics Co. Ltd. and LG Electronics Inc., computer manufacturers Lenovo Group Ltd. and Dell Technologies Inc., streaming-content providers Spotify Technology S.A. and Netflix Inc., and other technology companies like Microsoft Corp., Alphabet Inc., and Amazon.com Inc.
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Apple's Latest Developments
- On June 7, 2021, the Apple Worldwide Developers Conference (WWDC) started. It will end on June 11, 2021. Among the big things unveiled during the first day include new operating systems for the iPhone, iPad, Mac, and Apple Watch.
- On June 2, 2021, the European Consumer Organization (BEUC), a consumer-rights advocacy group joined the EU antitrust case against Apple as an interested third party.
- On May 25, 2021, the court battle between Apple and Epic Games ended. U.S. District Court Yvonne Gonzalez Rogers will decide the case some time in the next several months; however, it is likely to be appealed, which could take years.
- On May 21, 2021, Apple CEO Tim Cook took the stand to testify in the company's court battle with Epic Games over Apple's App Store policies. Cook argued that Apple was not a monopoly and that Apple's commissions helped consumers by funding things such as security for the App Store. Mr. Cook said one of Epic's witness's, who claimed that the App Store's profit margin may be as high as 80%, was wrong, but he also said that Apple did not try to figure out exactly how profitable the App Store was.
- On May 3, 2021 Epic Games' suit against Apple over antitrust concerns relating to the Apple App Store went to trial. Epic Games' alleges the commissions on app store products are anti-competitive and monopolistic. The suit stems from an incident in August of 2020 when Epic allowed players in its game Fortnite to make in-app purchases directly, bypassing the app store and its commission, a violation of Apple's terms of service, causing Apple to remove Fortnite from the App Store.
- On April 30, 2021, the European Commission released a "Statement of Objections," saying that its "preliminary view" was that Apple had "distorted competition in the music streaming market as it abused its dominant position for the distribution of music streaming apps through its App Store." This follows a complaint by Spotify concerning antitrust concerns surrounding the App Store. Apple will have 12 weeks to respond.
- On April 28, 2021, Apple released its Q2 FY 2021 earnings. It substantially surpassed analysts' expectations on both revenue and earnings per share. It also announced $90 billion in share buybacks and a 7% dividend increase.
- On April 26, 2021, a substantial security bug was revealed in the macOS. The bug allows hackers to introduce malware that bypasses Apple security features if the hacker can convince the user to download and run an app not on the app store. There is currently a patch out to fix this bug and all users are encouraged to download the newest version of the OS, which contains the fix, as soon as possible.
- On April 20, 2021, Apple announced a series of new products in its first major product launch of 2021, the "Spring Loaded" event. Among the major announcements were: A new iPad pro with 5G support, a faster processor, and a mini-LED display.
- A redesigned iMac using its in-house M1 chip, which it says allows the computer to be smaller and faster because it is specifically optimized for the Mac OS. The new iPad also utilizes this new chip.
- The AirTag tracker, which you can attach to your keys, wallet, or other personal items and use your Find My app to locate it.
- The next generation of Apple TV with a new remote.
- The iPhone 12 and 12 Mini will be available in purple.
- On April 15, 2021, Apple announced that it was launching a $200 million Restore Fund to remove carbon dioxide from the atmosphere as part of its effort to make its value chain carbon neutral by 2030. Apple's plan is to eliminate 75% of its emissions and use carbon removal to make up for the remaining 25%.
- On April 7, 2021, Apple announced that it will letting third-party products interact with the Find My app. It announced that Belkin, Chipolo, and VanMoof will be releasing products that work with the Find My app.
- On March 4, 2021, the U.K.'s Competition and Markets Authority, the U.K.'s antitrust regulator, announced that it was launching an antitrust investigation into Apple over complaints that it is using its market power to set uncompetitive terms on its app store. On the same day, Reuters reported that EU antitrust regulators were finalizing a charge sheet against Apple related to complaints from music-streaming service Spotify. Spotify claims that Apple is acting to unfairly disadvantage rivals of Apple's own streaming service, Apple Music.
Frequently Asked Questions
Apple had a net income of $52.4 billion for the quarter that ended March 27, 2021, according to its most recent quarterly earnings report, which was released on April 28, 2021. That's a 56.4% year-over-year (YOY) increase from the same quarter in 2020. It also reported quarterly revenue of $111.4 billion, a 21% YOY increase, and earnings per share of $1.40, a YOY increase of 118.8%.
The biggest individual insider shareholder of Apple is Arthur Levinson, who has been the company's chair of the board since 2011 and a co-lead director since 2005. As of Feb. 2, 2021, Levinson owns 4.5 million shares of Apple stock, representing 0.03% of all outstanding shares.
The biggest institutional shareholder of Apple is The Vanguard Group, which owns 1.3 billion shares, representing 7.8% of total shares outstanding, according to the company's most recent proxy filing, reflecting the number of shares as of Dec. 28, 2020.
Who Invented Apple's iPhone?
The late Steve Jobs, co-founder and former chair and CEO of Apple Inc., invented the iPhone with his team of engineers and designers in the early 2000s. The iPhone beta version was created in 2004, and the first iPhone was released to the public in June 2007.