Has Tim timed out? Analysts call for Apple to replace Cook amid AI struggles

Two research analysts from LightShed Partners called for Apple to replace CEO Tim Cook, arguing the company needs a “product-focused CEO” rather than one centered on logistics as it struggles to keep pace with AI developments. The analysts’ July 9 note highlights growing concerns that Apple’s AI setbacks represent more than typical product delays—they’re undermining confidence in the company’s ability to innovate in a technology that’s already reshaping work, education, and daily life.

What you should know: Apple faces mounting pressure as it lags behind competitors in artificial intelligence development, with several high-profile delays and struggles.

• The company delayed a major Siri update in March that would have enabled more complex, personalized responses and task handling—bringing it closer to modern AI agents like ChatGPT and Google’s Gemini.
• Apple Intelligence, launched in 2024 with the iPhone 16, includes features like notification summaries and photo object removal, but many represent catch-up efforts to tools already offered by other companies.
• Craig Federighi, Apple’s senior vice president of software engineering, said the revamped Siri needs “more time to reach our high-quality bar” without providing a specific timeline.

The big picture: Cook has led Apple for nearly 14 years, transforming it from a $342 billion company in 2011 to roughly $3 trillion today, but critics question whether his operational expertise suits the current AI-driven landscape.

• “Apple now needs a product-focused CEO, not one centered on logistics,” wrote Walter Piecyk and Joe Galone of LightShed Partners, a New York-based technology research firm.
• Ted Mortonson of Baird, a financial services company, echoed this sentiment: “He’s a supply chain guy. They need a tech visionary. I think they’re in a lot more trouble than some people think.”
• Thomas Martin of Globalt, an investment firm, noted the challenge: “AI is software, and Apple is traditionally almost exclusively hardware.”

Why this matters: Apple’s AI struggles come amid broader challenges that could threaten its market position, reminiscent of Intel’s decline after missing major technology waves.

• The company faces President Trump’s tariff threats, EU restrictions on its App Store, and a federal antitrust lawsuit alleging smartphone market monopolization.
• Recent product disappointments include the $3,500 Vision Pro headset, which remains a niche device after more than a year, and the cancellation of Project Titan, Apple’s decade-long electric car effort.
• “Do we have an Intel-ing of Apple?” asked Martin, referring to the once-leading chipmaker that fell behind rivals like Nvidia and AMD.

Leadership changes underway: Apple is already experiencing significant C-suite transitions that could complicate any CEO replacement discussion.

• Chief Financial Officer Luca Maestri was replaced at the start of 2025, though he remains vice president of corporate services.
• Longtime Chief Operating Officer Jeff Williams will leave his post this month and retire this year.
• Apple has reportedly shaken up its AI leadership to accelerate development efforts in the space.

What they’re saying: Industry experts remain divided on whether CEO replacement is the right solution for Apple’s AI challenges.

• “I think the last thing you want to do is further rock the boat by putting Tim Cook’s job on the line,” said CFRA Research analyst Angelo Zino. “I don’t think Apple would even consider doing that.”
• William Klepper of Columbia Business School noted the timing: “Organizations go up and down… And where they are now is in what I would call kind of a static state.”
• Even the LightShed analysts acknowledged Cook’s success: “To be clear, Tim Cook was the right CEO at the time of his appointment and unquestionably has done a great job.”

Alternative solutions: Experts suggest Apple could address AI challenges through strategic moves rather than leadership changes.

• The company has reportedly discussed acquiring AI startup Perplexity and could deepen its partnership with OpenAI.
• Following Meta’s example, Apple could invest more heavily in top AI talent to accelerate development.
• Cook remains widely supported by Apple’s board and has “staying power akin to other captains of industry” like Disney’s Bob Iger and JPMorgan Chase’s Jamie Dimon, according to Bloomberg’s Mark Gurman.