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Jumpstart Your Business. Entrepreneur Insider is your all-access pass to the skills, experts, and network you need to get your business off the ground—or take it to the next level. Join Now. Try risk free for 60 days. Many Apple Stores are located inside shopping malls, but Apple has built several stand-alone "flagship" stores in high-profile locations.
Apple's new store design in Union Square , San Francisco. Fifth Avenue , New York City. IFC mall store in Hong Kong. TsUM store in Moscow. Apple is one of several highly successful companies founded in the s that bucked the traditional notions of corporate culture. Jobs often walked around the office barefoot even after Apple became a Fortune company. By the time of the "" television advertisement, Apple's informal culture had become a key trait that differentiated it from its competitors. As the company has grown and been led by a series of differently opinionated chief executives, it has arguably lost some of its original character.
Nonetheless, it has maintained a reputation for fostering individuality and excellence that reliably attracts talented workers, particularly after Jobs returned to the company. Numerous Apple employees have stated that projects without Jobs's involvement often took longer than projects with it. To recognize the best of its employees, Apple created the Apple Fellows program which awards individuals who make extraordinary technical or leadership contributions to personal computing while at the company.
At Apple, employees are intended to be specialists who are not exposed to functions outside their area of expertise. Jobs saw this as a means of having "best-in-class" employees in every role. For instance, Ron Johnson —Senior Vice President of Retail Operations until November 1, —was responsible for site selection, in-store service, and store layout, yet had no control of the inventory in his stores. This was done by Tim Cook, who had a background in supply-chain management. Each project has a "directly responsible individual" or "DRI" in Apple jargon.
The company typically grants stock options to executives every other year. Apple does not specify how many of its employees work in retail, though its SEC filing put the number at approximately half of its employee base. Apple has a strong culture of corporate secrecy , and has an anti- leak Global Security team that recruits from the National Security Agency , the Federal Bureau of Investigation , and the United States Secret Service. In December , Glassdoor named Facebook the best place to work, according to reviews from anonymous employees, with Apple dropping to 48th place, having originally entered at rank 19 in , peaking at rank 10 in , and falling down the ranks in subsequent years.
An editorial article in The Verge in September by technology journalist Thomas Ricker explored some of the public's perceived lack of innovation at Apple in recent years, specifically stating that Samsung has "matched and even surpassed Apple in terms of smartphone industrial design" and citing the belief that Apple is incapable of producing another breakthrough moment in technology with its products. He goes on to write that the criticism focuses on individual pieces of hardware rather than the ecosystem as a whole, stating "Yes, iteration is boring.
But it's also how Apple does business. He acknowledges that people are wishing for the "excitement of revolution", but argues that people want "the comfort that comes with harmony". Furthermore, he writes that "a device is only the starting point of an experience that will ultimately be ruled by the ecosystem in which it was spawned", referring to how decent hardware products can still fail without a proper ecosystem specifically mentioning that Walkman didn't have an ecosystem to keep users from leaving once something better came along , but how Apple devices in different hardware segments are able to communicate and cooperate through the iCloud cloud service with features including Universal Clipboard in which text copied on one device can be pasted on a different device as well as inter-connected device functionality including Auto Unlock in which an Apple Watch can unlock a Mac in close proximity.
He argues that Apple's ecosystem is its greatest innovation. The Wall Street Journal reported in June that Apple's increased reliance on Siri , its virtual personal assistant , has raised questions about how much Apple can actually accomplish in terms of functionality. Whereas Google and Amazon make use of big data and analyze customer information to personalize results, Apple has a strong pro-privacy stance , intentionally not retaining user data. The report further claims that development on Siri has suffered due to team members and executives leaving the company for competitors, a lack of ambitious goals, and shifting strategies.
Though switching Siri's functions to machine learning and algorithms , which dramatically cut its error rate, the company reportedly still failed to anticipate the popularity of Amazon's Echo , which features the Alexa personal assistant. Improvements to Siri stalled, executives clashed, and there were disagreements over the restrictions imposed on third-party app interactions. While Apple acquired an England-based startup specializing in conversational assistants, Google's Assistant had already become capable of helping users select Wi-Fi networks by voice, and Siri was lagging in functionality.
The former had experienced a severe security vulnerability, in which Macs running the then-latest macOS High Sierra software were vulnerable to a bug that let anyone gain administrator privileges by entering "root" as the username in system prompts, leaving the password field empty and twice clicking "unlock", gaining full access. Not to say that things didn't go wrong under his watch, but product announcements and launches felt a lot tighter for sure, as did the overall quality of what Apple was releasing.
The company's manufacturing, procurement, and logistics enable it to execute massive product launches without having to maintain large, profit-sapping inventories. In , Apple's profit margins were 40 percent, compared with between 10 and 20 percent for most other hardware companies. Cook's catchphrase to describe his focus on the company's operational arm is: "Nobody wants to buy sour milk". During the Mac's early history Apple generally refused to adopt prevailing industry standards for hardware, instead creating their own.
Apple has gradually expanded its efforts in getting its products into the Indian market. In July , during a conference call with investors, CEO Tim Cook said that he "[loves] India", but that Apple saw larger opportunities outside the region. We're thinking about, where are the opportunities across the U. The company advertised its products as being made in America until the late s; however, as a result of outsourcing initiatives in the s, almost all of its manufacturing is now handled abroad.
According to a report by The New York Times , Apple insiders "believe the vast scale of overseas factories, as well as the flexibility, diligence and industrial skills of foreign workers, have so outpaced their American counterparts that "Made in the U. In , the Mail on Sunday reported on the working conditions of the Chinese factories where contract manufacturers Foxconn and Inventec produced the iPod.
A little over half of the workers' earnings was required to pay for rent and food from the company. Apple immediately launched an investigation after the media report, and worked with their manufacturers to ensure acceptable working conditions. Yearly progress reports have been published since A team from Apple is independently evaluating the steps they are taking to address these tragic events and we will continue our ongoing inspections of the facilities where our products are made. The statement was released after the results from the company's probe into its suppliers' labor practices were published in early Foxconn was not specifically named in the report, but Apple identified a series of serious labor violations of labor laws, including Apple's own rules, and some child labor existed in a number of factories.
Also in , workers in China planned to sue iPhone contractors over poisoning by a cleaner used to clean LCD screens. One worker claimed that he and his coworkers had not been informed of possible occupational illnesses. A BBC investigation found excessive hours and other problems persisted, despite Apple's promise to reform factory practice after the Foxconn suicides.
The Pegatron factory was once again the subject of review, as reporters gained access to the working conditions inside through recruitment as employees. While the BBC maintained that the experiences of its reporters showed that labor violations were continuing since , Apple publicly disagreed with the BBC and stated: "We are aware of no other company doing as much as Apple to ensure fair and safe working conditions". In December , the Institute for Global Labour and Human Rights published a report which documented inhumane conditions for the 15, workers at a Zhen Ding Technology factory in Shenzhen, China, which serves as a major supplier of circuit boards for Apple's iPhone and iPad.
According to the report, workers are pressured into hour work weeks which leaves them so exhausted that they often sleep during lunch breaks. They are also made to reside in "primitive, dark and filthy dorms" where they sleep "on plywood, with six to ten workers in each crowded room. Apple will use the methane emissions to generate electricity. In , Climate Counts , a nonprofit organization dedicated to directing consumers toward the greenest companies, gave Apple a score of 52 points out of a possible , which puts Apple in their top category "Striding".
Each product receives a Gold, Silver, or Bronze rank depending on its efficiency and sustainability. Lisa P. Another partnership announced is with the World Wildlife Fund to preserve up to 1,, acres of forests in China. Featured was the company's installation of a 40 MW solar power plant in the Sichuan province of China that was tailor-made to coexist with the indigenous yaks that eat hay produced on the land, by raising the panels to be several feet off of the ground so the yaks and their feed would be unharmed grazing beneath the array.
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This installation alone compensates for more than all of the energy used in Apple's Stores and Offices in the whole of China, negating the company's energy carbon footprint in the country. Liam was introduced to the world, an advanced robotic disassembler and sorter designed by Apple Engineers in California specifically for recycling outdated or broken iPhones. Reuses and recycles parts from traded in products. Apple announced on August 16, , that Lens Technology, one of its major suppliers in China, has committed to power all its glass production for Apple with percent renewable energy by The commitment is a large step in Apple's efforts to help manufacturers lower their carbon footprint in China.
The standard, which started in January , certifies that all manufacturing waste is reused , recycled , composted , or converted into energy when necessary. Since the program began, nearly, , metric tons of waste have been diverted from landfills. Following further campaigns by Greenpeace,  in , Apple became the first electronics manufacturer to fully eliminate all polyvinyl chloride PVC and brominated flame retardants BFRs in its complete product line.
Allowing consumers to make informed purchasing decisions on the products they offer for sale. In November , Apple was featured in Greenpeace's Guide to Greener Electronics, which ranks electronics manufacturers on sustainability, climate and energy policy, and how "green" their products are. The company ranked fourth of fifteen electronics companies moving up five places from the previous year with a score of 4.
However, the guide criticizes Apple on the Energy criteria for not seeking external verification of its greenhouse gas emissions data and for not setting out any targets to reduce emissions. The green bond proceeds are dedicated to the financing of environmental projects. Apple is the world's largest information technology company by revenue, the world's largest technology company by total assets ,  and the world's second-largest mobile phone manufacturer after Samsung.
In its fiscal year ending in September , Apple Inc. On August 2, , Apple became the first publicly traded U. Apple has created subsidiaries in low-tax places such as Ireland , the Netherlands , Luxembourg , and the British Virgin Islands to cut the taxes it pays around the world. According to The New York Times, in the s Apple was among the first tech companies to designate overseas salespeople in high-tax countries in a manner that allowed the company to sell on behalf of low-tax subsidiaries on other continents, sidestepping income taxes.
In the late s, Apple was a pioneer of an accounting technique known as the " Double Irish with a Dutch sandwich ," which reduces taxes by routing profits through Irish subsidiaries and the Netherlands and then to the Caribbean. British Conservative Party Member of Parliament Charlie Elphicke published research on October 30, ,  which showed that some multinational companies, including Apple Inc.
He followed this research by calling on the Chancellor of the Exchequer George Osborne to force these multinationals, which also included Google and The Coca-Cola Company , to state the effective rate of tax they pay on their UK revenues. Elphicke also said that government contracts should be withheld from multinationals who do not pay their fair share of UK tax. Under U. It was not until that Irish economists could definitively prove that the growth was due to Apple restructuring its controversial double Irish subsidiaries Apple Sales International , which Apple converted into a new Irish capital allowances for intangible assets tax scheme expires in January Apple has been a participant in various legal proceedings and claims since it began operation.
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Some litigation examples include Apple v. Samsung , Apple v. Microsoft , Motorola Mobility v. Apple Computer. Apple has also had to defend itself against charges on numerous occasions of violating intellectual property rights. Most have been dismissed in the courts as shell companies known as patent trolls , with no evidence of actual use of patents in question. Apple has a notable pro-privacy stance, actively making privacy-conscious features and settings part of its conferences, promotional campaigns, and public image.
However, Apple aids law enforcement in criminal investigations by providing iCloud backups of users' devices,   and the company's commitment to privacy has been questioned by its efforts to promote biometric authentication technology in its newer iPhone models, which don't have the same level of constitutional privacy as a passcode in the United States. Apple contributes financially to fundraisers in times of natural disasters. Apple has been criticised for alleged unethical business practices such as anti-competitive behavior , rash litigation,  and dubious tax tactics, production methods involving the use of sweatshop labor,    customer service issues involving allegedly misleading warranties and insufficient data security , as well as its products' environmental footprint.
Apple has dealt with a number of issues regarding music over the years, including issues with the European Union regarding iTunes,  trouble over updating the Spotify app on Apple devices  and collusion with record labels. Apple has also faced scrutiny for its tax practices, including using a Double Irish Arrangement to reduce the amount of taxes it pays.
From Wikipedia, the free encyclopedia. Technology company; developer of consumer electronics and multimedia platforms. Apple Park in Cupertino, California , April Computer hardware Computer software Consumer electronics Cloud computing Digital distribution Fabless silicon design Semiconductors Financial technology. Cupertino , California. Arthur D. Operating income. Net income. Main article: History of Apple Inc. See also: Timeline of the Apple II family. Power Macintosh is a line of Apple Macintosh workstation-class personal computers based on various models of PowerPC microprocessors, that were developed from to Main article: Apple's transition to Intel processors.
See also: Timeline of Apple Inc. Main article: Macintosh. Main article: iPod. Main article: iPhone. Main article: iPad. Main article: Apple Watch. Main article: Apple TV. Main article: HomePod. Main article: Apple electric car project. First Apple logo —77 . First official logo —98 . Apple third logo —03 . Current logo since . See also: Typography of Apple Inc. For the programming language, see Apple Logo.
Main article: Apple Inc. Main articles: Apple Park and Apple Campus. Main article: Apple Store. Further information: Criticism of Apple Inc. See also: List of mergers and acquisitions by Apple. See also: Category:Directors of Apple Inc. See also: Category:Apple Inc. This section should include a better summary of Criticism of Apple Inc.
See Wikipedia:Summary style for information on how to properly incorporate it into this article's main text. November Main article: Criticism of Apple Inc. November 1, Retrieved November 1, September 29, Retrieved November 5, Retrieved January 9, Bloomberg L. The New York Times.
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GRRreporter Ltd. June 7, Sound On Sound. SOS Publications Group. Retrieved April 6, Retrieved December 16, Retrieved April 2, San Francisco: YouTube. Event occurs at The digital lifestyle era, driven by applications like iMovie and our two new ones today: iMusic [sic] Panic Inc. Ars Technica. Retrieved March 23, Retrieved October 30, Egg Freckles. February 24, Archived from the original on February 29, IFO Apple Store.
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Privately, however, some former executives concede that finding new suppliers is time-consuming and costly. Foxconn is one of the few manufacturers in the world with the scale to build sufficient numbers of iPhones and iPads. Apple was provided with extensive summaries of this article, but the company declined to comment. In , Steven P. Others, including workers inside such plants, acknowledge the cafeterias and medical facilities, but insist conditions are punishing.
The Road to Chengdu. He told friends he would no longer be around for their weekly poker games, and said goodbye to his teachers. Though painfully shy, Mr. Lai had surprised everyone by persuading a beautiful nursing student to become his girlfriend. She wanted to marry, she said, and so his goal was to earn enough money to buy an apartment. Factories in Chengdu manufacture products for hundreds of companies. But Mr. Lai knew, was special.
When Mr. Lai finally landed a job repairing machines at the plant, one of the first things he noticed were the almost blinding lights. Shifts ran 24 hours a day, and the factory was always bright. At any moment, there were thousands of workers standing on assembly lines or sitting in backless chairs, crouching next to large machinery, or jogging between loading bays. Lai was soon spending 12 hours a day, six days a week inside the factory, according to his paychecks. Employees who arrived late were sometimes required to write confession letters and copy quotations.
When his days ended, he would retreat to a small bedroom just big enough for a mattress, wardrobe and a desk where he obsessively played an online game called Fight the Landlord, said his girlfriend, Luo Xiaohong. Last year, a dispute over paychecks set off a riot in one of the dormitories, and workers started throwing bottles, trash cans and flaming paper from their windows, according to witnesses. Two hundred police officers wrestled with workers, arresting eight. Afterward, trash cans were removed, and piles of rubbish — and rodents — became a problem.
Lai felt lucky to have a place of his own. Foxconn also said that it had never been cited by a customer or government for under-age or overworked employees or toxic exposures. Work stations have been designed to ergonomic standards, and employees have opportunities for job rotation and promotion, the statement said. Other companies had created codes of conduct to police their suppliers. It was time, Apple decided, to follow suit. Executives in Cupertino were shocked. Executives also undertook a series of initiatives that included an annual audit report, first published in In , for instance, Apple conducted over three dozen audits, two-thirds of which indicated that employees regularly worked more than 60 hours a week.
Over the next three years, Apple conducted audits, and every year, about half or more showed evidence of large numbers of employees laboring more than six days a week as well as working extended overtime. Some workers received less than minimum wage or had pay withheld as punishment. Apple found 70 core violations over that period, including cases of involuntary labor, under-age workers, record falsifications, improper disposal of hazardous waste and over a hundred workers injured by toxic chemical exposures.
Last year, the company conducted audits. There were slight improvements in some categories and the detected rate of core violations declined. However, within 93 facilities, at least half of workers exceeded the hours-a-week work limit. At a similar number, employees worked more than six days a week. There were incidents of discrimination, improper safety precautions, failure to pay required overtime rates and other violations.
That year, four employees were killed and 77 injured in workplace explosions.
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If we meant business, core violations would disappear. Apple says that when an audit reveals a violation, the company requires suppliers to address the problem within 90 days and make changes to prevent a recurrence. The seriousness of that threat, however, is unclear. Apple has found violations in hundreds of audits, but fewer than 15 suppliers have been terminated for transgressions since , according to former Apple executives.
Li, the former Foxconn manager. Li spent seven years with Foxconn in Shenzhen and Chengdu and was forced out in April after he objected to a relocation to Chengdu, he said. In addition, the number of audited facilities has grown every year, and some executives say those expanding efforts obscure year-to-year improvements. Apple also has trained over a million workers about their rights and methods for injury and disease prevention.
Other consultants disagree. View all New York Times newsletters. In , BSR, along with a division of the World Bank and other groups, initiated a project to improve working conditions in factories building cellphones and other devices in China and elsewhere. The groups and companies pledged to test various ideas. Foxconn agreed to participate. Apple was not a participant in the project, but was briefed on it, according to the BSR consultant, who had detailed knowledge. First Foxconn asked to shift from installing new hotlines to evaluating existing hotlines.
Then Foxconn insisted that mental health counseling be excluded. Foxconn asked participants to sign agreements saying they would not disclose what they observed, and then rewrote those agreements multiple times. Finally, an agreement was struck, and the project was scheduled to begin in January A day before the start, Foxconn demanded more changes, until it was clear the project would not proceed, according to the consultant and a summary by BSR that did not name Foxconn.
The next year, a Foxconn employee fell or jumped from an apartment building after losing an iPhone prototype. Over the next two years, at least 18 other Foxconn workers attempted suicide or fell from buildings in manners that suggested suicide attempts. In , two years after the pilot program fell apart and after multiple suicide attempts, Foxconn created a dedicated mental health hotline and began offering free psychological counseling. BSR, in a written statement, said the views of that consultant were not those of the company.