He's seems like a nice guy so I hate to say it, but Apple's downfall will come courtesy of Tim Cook. With Jobs gone, Cook has already made a mockery of his legacy. First, a dividend and a buyback. And now rumors of something Jobs detested -- a mini iPad.Before I expand on this, I need to point out that when Steve Jobs returned to the company, Apple ( AAPL) did not become a success overnight. It took several years and a whole lot of second-guessing from bears and even the company's few bulls.
Next, Cook will travel off to China and smile for the cameras like a politician. Wait. He already did that. In many ways, he is the anti-Steve Jobs. And, while it might look like that's good for business, it's not. It's very bad for business.
The Genius BarThe likes of Steve Jobs are not a dime a dozen. All it takes is a mere skim of two excellent books: Adam Lashinsky's Inside Apple and Walter Isaacson's Steve Jobs biography to figure that out. As each piece of writing gets spray-painted on the wall, it becomes all the more clear that Tim Cook will run this company, maybe not into the ground, but into the sort of average status that will render Apple no longer distinct from pack. I fully recognize how unfair this is to Cook. Nobody can replace Steve Jobs, save other visionaries such as Jeff Bezos. Apple bulls mention non-MBAs and innovative, creative types like Apple VPs Scott Forstall and Jon Ive. But yet again, these bulls dilute Jobs's impact on the company they love and claim to know.
Down the Slippery SlopeThe shareholders wanted and expected a dividend or a buyback. Tim Cook gave them both. Spend about 30 seconds reading about Jobs and you'll discover that he considered shareholders pests just as he claimed consumers do not know what they want until we (more aptly, I) tell them what they want. The Chinese Government needs to have CEOs visit them and shake their hands. Jobs never would have done such a thing, despite his fondness for Eastern spirituality and such. At the first public sign of trouble, Cook booked the first flight to Asia. With so-called mini tablets hitting the streets, the world thinks Apple should build one as well. Quoted by the Associated Press on a 2010 conference call, Steve Jobs explained why he absolutely hated this idea:
"The reason we wouldn't make a 7-inch tablet isn't because we don't want to hit a price point, it's because we don't think you can make a great tablet with a 7-inch screen . . . The 7-inch tablets are tweeners, too big to compete with a smartphone and too small to compete with an iPad."If Tim Cook listens to the world, chalk another one up for the graffiti artists spraying just a little bit more writing on the wall. I have seen it reported in several places that, before he passed away, Jobs told Cook to not do what he would do, but to do what is right. That makes for a heartwarming story and takes the edge off of Jobs's pretty hardcore personality. But doing what is "right" does not mean listening to the world. The "world" is not as smart as Jobs. It's not as smart as the Apple Jobs ran. It doesn't know what it wants until Steve Jobs's Apple tells it. Listening to the "world" is the wrong thing to do.
He said the resolution of the display could be increased to make up for the smaller size, but that would be "meaningless, unless your tablet also includes sandpaper, so that the user can sand down their fingers to around one quarter of the present size."