Contrary to narratives focused on its AI lag, Apple is predicted to have its best year ever in 2026. This success will stem from the continued strength of its core iPhone product and a premium foldable phone, as dedicated AI hardware devices from competitors will not yet be mature enough to pose a real threat.

Companies like Apple condition shareholders to expect steady profits and buybacks. This creates a trap, making it difficult to pivot to heavy, profit-reducing investments (like major AI CapEx) that shareholders of growth-stage firms tolerate.

Apple's seemingly slow AI progress is likely a strategic bet that today's powerful cloud-based models will become efficient enough to run locally on devices within 12 months. This would allow them to offer powerful AI with superior privacy, potentially leapfrogging competitors.

When a clear number-two executive like Jeff Williams retires unexpectedly, it's often a signal they were passed over for the top job. This pattern was seen at Amazon when Jeff Wilkie left right before Andy Jassy was named CEO, suggesting Tim Cook's replacement has been chosen.

Apple is avoiding massive capital expenditure on building its own LLMs. By partnering with a leader like Google for the underlying tech (e.g., Gemini for Siri), Apple can focus on its core strength: productizing and integrating technology into a superior user experience, which may be the more profitable long-term play.

Contrary to the narrative that Apple is wisely waiting out the AI hype, reporter Mark Gurman asserts their AI strategy has been a "disaster." He claims the tech giant was "completely caught off guard" by ChatGPT and its anti-chatbot stance was a major mistake, revealing a significant strategic miss, not a deliberate, patient approach.

Tim Cook, at the height of his success, is planning his exit. This stands in stark contrast to aging political and corporate leaders who cling to power, creating instability. The biggest problems often trace back to a powerful man who "won't fuck and leave."

Tim Cook's legacy will be judged not only by Apple's massive growth but by the strategic position he leaves for the next CEO. Unlike Steve Jobs, who left a clear product roadmap, Cook's successor faces an uncertain AI landscape, which could retroactively impact Cook's own historical standing.

While critics say Apple "missed AI," its strategy of partnering with Google for Gemini is a masterstroke. Apple avoids billions in CapEx, sidesteps brand-damaging AI controversies, and maintains control over the lucrative user interface, positioning itself to win the "agent of commerce" war.