NPI's Cascadia Advocate

Offering commentary and analysis from Washington, Oregon, and Idaho, The Cascadia Advocate is the Northwest Progressive Institute's uplifting perspective on world, national, and local politics.

Wednesday, August 24th, 2011

Steve Jobs resigns as CEO of Apple

The man who cofound­ed Apple and led its remark­able turn­around, begin­ning in the late 1990s, announced this after­noon in a short, plain­ly-word­ed let­ter that he was resign­ing as Apple’s chief exec­u­tive offi­cer, pre­sum­ably due to his health:

To the Apple Board of Direc­tors and the Apple Community: 

I have always said if there ever came a day when I could no longer meet my duties and expec­ta­tions as Apple’s CEO, I would be the first to let you know. Unfor­tu­nate­ly, that day has come.

I here­by resign as CEO of Apple. I would like to serve, if the Board sees fit, as Chair­man of the Board, direc­tor and Apple employee.

As far as my suc­ces­sor goes, I strong­ly rec­om­mend that we exe­cute our suc­ces­sion plan and name Tim Cook as CEO of Apple.

I believe Apple’s bright­est and most inno­v­a­tive days are ahead of it. And I look for­ward to watch­ing and con­tribut­ing to its suc­cess in a new role.

I have made some of the best friends of my life at Apple, and I thank you all for the many years of being able to work along­side you.

Steve

Jobs has been on indef­i­nite med­ical leave as CEO since Jan­u­ary. Now his leave is per­ma­nent, rather than indefinite.

Apple wast­ed no time in announc­ing the appoint­ment of Chief Oper­at­ing Offi­cer (COO) Tim Cook as its new CEO. Cook will join Apple’s board imme­di­ate­ly, and Jobs will assume the duties of chair­man, immediately.

No doubt Apple wait­ed until after the close of trad­ing to announce all of these changes so that investors could get digest the news through­out the ear­ly and late evening. Since the board has already act­ed to appoint Cook as CEO and Jobs as Chair­man, there won’t be any uncer­tain­ty about who will be run­ning Apple tomor­row morn­ing. The board is obvi­ous­ly hop­ing to mit­i­gate fears that Apple’s future will not be as bright with­out Jobs run­ning the company.

Still, Apple’s stock was down in after-hours trad­ing:

U.S. stock futures declined after Steve Jobs resigned as chief exec­u­tive offi­cer of Apple Inc. (AAPL), the world’s sec­ond-largest com­pa­ny by mar­ket value.

Stan­dard & Poor’s 500 Index futures lost 0.4 per­cent to 1,167.60 at 6:59 p.m. in New York. Nas­daq-100 Index futures fell 1 per­cent. Apple shares dropped 6.6 per­cent to $351.35. Jobs said he’s resign­ing and rec­om­mend­ed Tim Cook be named his suc­ces­sor. Jobs said he would like to con­tin­ue as chairman.

Apple’s short-term tra­jec­to­ry is unlike­ly to be affect­ed by Jobs’ res­ig­na­tion. Long-term, how­ev­er, the com­pa­ny’s future will become more uncer­tain the eyes of many ana­lysts and investors, because Jobs will not be at the helm micro­manag­ing deci­sions. But if Apple is to sur­vive, it will have to make do with­out Jobs at its helm. Apple’s share­hold­ers and board of direc­tors have always known this.

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