Report: Apple cuts 100 jobs at Books and News
Shifts are planned in the fast-growing Digital Services division. 100 Apple employees in two segments will have to look for new jobs.
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Apple is planning new internal restructuring measures that put jobs at risk. As the financial news agency Bloomberg reports, around 100 positions in the Books (electronic books) and News (news and News+) apps are to be eliminated. Both segments are part of the Services division, which is actually growing strongly, and are assigned to the powerful Head of Services Eddy Cue. Those affected now have 60 days to find a new position within Apple, according to the report. Should they fail to do so, they would be dismissed.
No major waves of redundancies at Apple
In contrast to other large Silicon Valley companies such as Meta or Google, Apple has so far not imposed any cost-cutting measures involving thousands of redundancies. However, there have been smaller waves of redundancies in the areas of cars, micro LED displays and Siri (due to restructuring towards Apple Intelligence). "Hundreds of jobs" were also affected here, it was reported. The layoffs at Books also affect the Apple e-book store and not just the app itself. In addition to jobs in the technical area, it was mainly people involved in book sales who were made redundant, according to Bloomberg. However, the Books app will continue to receive new functions in the future.
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Details of the redundancies at Apple News have not yet been leaked. However, they are not a sign that the app will be "less of a focus" in the future, according to the report. Apple News also includes the News+ paid service with media offerings, which is still not available in the EU. Apple Books, on the other hand, is now a lower priority for Apple –, probably also because there is no subscription offer for it and users still purchase books and audiobooks there individually.
Services business of central importance
Overall, services remain hugely important for Apple. In the 2023 financial year, they already accounted for 22% of total revenue and are growing every quarter. Ten years ago, they only accounted for 10 percent. They allow Apple to generate regular revenue because they are usually linked to a subscription model.
The departments that are now suffering from the job losses are under the supervision of Vice President Roger Rosner. Some of those affected work in different teams, so other areas are now also partially affected. Overall, according to Bloomberg, the redundancies are a sign that Apple is reprioritizing its services business.
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