Apple loses a well-known manager in the company’s service business. Peter Stern, the vice president of services and number two behind services chief Eddy Cue, will soon be leaving the company. This has apparently triggered hectic restructuring measures in management, reports the business news service Business Insider. Stern’s area of responsibility is divided into three units. The Vice President had recently tried, among other things, to purchase sports rights for Apple TV +.
Sales last at almost 20 billion US dollars
Apple’s service business is becoming increasingly important for the group. Most recently, nearly $20 billion in revenue was generated in the quarter, up 5 percent year-on-year. For the year as a whole, Apple came up with almost 90 billion. Included in the Services division are iCloud(+), Apple Card, Apple TV+, Apple Music, Apple Arcade, Apple Fitness+, as well as the extremely rewarding App Store and search business. This area is increasingly complementing Apple’s sales of hardware and is considered lucrative due to good margins. Last summer it was said that the total number of all subscriptions across the Apple platforms would soon reach one billion users.
Stern’s departure comes as a surprise as he was last seen as a possible successor to Eddy Cue, who has worked at Apple since 1989. According to the report, he now wants to spend more time on the US east coast, and the walkout is planned for the end of the month. Stern had been with Apple for six years, coming from cable TV and Internet provider Time Warner Cable. Apple initially did not comment on further details of the personnel.
Important for the streaming business
Peter Stern was of central importance for Apple, especially in expanding the streaming business. This was especially true for Apple’s Netflix competitor TV+, which has steadily expanded its range in recent years and has even become an Oscar winner. Stern was considered popular, professional and “business-like”.
The restructuring of Stern’s responsibilities into three new entities also brings changes for a well-known German manager – Oliver Schusser, Apple Music boss with Bavarian roots, is to become one of the new central bosses. 9to5Mac speculates that this could give him a new, better position – also in the race for the Cue successor.
(bsc)
