Apple's new CEO faces an early test

John Ternus, Apple's new CEO, has eight days to prepare for the company's annual iPhone event on September 9, which is expected to feature its first foldable iPhone, as he faces challenges in AI, talent retention, and geopolitics. Apple has delayed its Siri AI overhaul and turned to Google's Gemini for the next generation of Apple Intelligence, while key AI executives have left for Meta. Ternus inherits the task of navigating China, tariffs, and Washington, with Tim Cook staying on as executive chairman to handle policy engagement.

It's day one for John Ternus. He has eight days to settle in as Apple's new CEO. On September 9, Apple will stage its annual iPhone pageant. The reported headliner: its first foldable iPhone https://www.businessinsider.com/apple-2026-expected-product-launches-2026-1 . No pressure, then. Further out, reports point to an AI home hub, camera-equipped AirPods, smart glasses, and a robotic assistant. It seems Apple has no shortage of places to put AI. It still has to make AI worth putting there, though. That is Ternus' problem https://www.businessinsider.com/new-apple-ceo-john-ternus-challenges-ai-talent-new-products-2026-4 . Apple had a head start https://www.businessinsider.com/apple-intelligence-siri-delay-ai-race-assistant-2025-3 in the AI-assistants race. Now it is playing catch-up. Apple delayed its AI overhaul of Siri https://www.businessinsider.com/apple-intelligence-siri-delay-ai-race-assistant-2025-3 , then turned to Google's Gemini https://www.businessinsider.com/apple-siri-bet-ai-models-commodities-google-gemini-2026-1 for the next generation of Apple Intelligence. You can read that as a way to avoid paying Google-sized bills for research and development. You can also read it as an admission of weakness. Then there is the people problem. Apple has suffered a talent exodus. Foundation-models leader Ruoming Pang, engineering head Frank Chu, and design VP Alan Dye all left Apple for the same rival. Yes, Meta has become something of an Apple alumni association https://www.businessinsider.com/ai-execs-and-researchers-left-apple-mostly-for-meta-2025-12 . Ternus needs to convince Apple's best people that the future is still being built in Cupertino. He also inherits one of Tim Cook's specialties: the tightrope walk between China, tariffs, and Washington. Cook was pivotal in expanding Apple's presence in China https://www.businessinsider.com/tim-cook-china-apple-ceo-step-down-legacy-2026-4 and helping the company navigate tariffs and supply chain challenges by getting on President Donald Trump's good side https://www.businessinsider.com/tim-cook-apple-trump-relationship-future-john-ternus-2026-4 . Ternus won't have to handle it alone. Cook is staying on at Apple as executive chairman, a role that includes "engaging with policymakers around the world," the company said. Still, for Ternus, a hardware man https://www.businessinsider.com/meet-apple-ceo-john-ternus-replacing-tim-cook-2026-4 , diplomacy is a rather different type of engineering.