#740: America's Microchip Problem - 60 Minutes 5/2/21

 Click here to load this fascinating segment from 60 Minutes on what many consider our top supply chain problem as we emerge from the pandemic - a shortage of manufacturing capacity in the US for semiconductor chips.

#714: Apple's Stock Split

 From a recent edition of Morning Brew - a fabulous source of daily business news:

TECH

Apple’s Stock Must Be Using One of Those Big Charging Blocks

Francis Scialabba

Apple’s market cap surpassed $2 trillion for the first time yesterday, cementing its status as the biggest company in the world. Its stock, which will undergo a 4-1 split in the coming weeks, has increased over 50% in 2020. 

Apple wasn’t the first to break the $2 trillion valuation mark—that honor goes to the oil conglomerate Saudi Aramco—and it (probably) won’t be the last. Big Tech buddies Amazon and Microsoft are both sitting at valuations around $1.6 trillion.

A crazy stat: it took Apple 42 years to reach a $1 trillion valuation, but only two years after that to break $2 trillion.  

How’d Apple do it?

Pretty much by just being Apple. The iPhone maker hasn’t released an entirely new product since the HomePod in 2018, mostly focusing on tweaking or updating existing lines. But if there is one thing Apple does well, it’s make money: Despite the pandemic, Apple’s Q3 profits rose 12% while sales of every single product increased. 

But it doesn’t just sell iPhones: Part of investors’ Apple fever has been fueled by CEO Tim Cook’s increased focus on its services business that includes Apple Music, Apple TV+, iCloud, and the App Store. In 2017, Cook outlined his goal to double 2016 services revenue by 2020, which he achieved six months ahead of schedule. 

It was a prescient move. With iPhone sales plateauing worldwide, Cook’s pivot has investors valuing Apple less like a hardware company and more like a software one.

There will always be controversy

After Cook testified in the antitrust showdown with Congress last month, Fortnite creator Epic Games poked the bear by attempting to circumvent Apple’s 30% cut of in-app purchases. But even as other developers have joined in to criticize Apple’s alleged monopolistic control of the app marketplace, investors remain unfazed. 

Looking ahead...Apple optimism continues to abound. The iPhone 12 coming this fall is widely expected to come equipped with 5G connectivity.

#713: Major Shakeup at the Dow

 See also previous post (#712).  This article from Morning Brew details which stocks remain part of the Dow index.

#712: Apple and Tesla Set to Split Their Shares

 Here's an article that is relevant to ACC 201's chapter 11.  A perfect example of how stock splits increase access and then push the shares back upward as more investors show interest.  Evidently there is quite a bit of interest in fractional trading for Apple and Tesla, along with other popular stocks.

#562: Apple Unveils Three New iPhones

Click here for link to segment if video doesn't load. Edited on 9/13/17 to include 2 extra videos.

#533: Apple SVP of Retail Angela Ahrendts Reveals Redesigned Stores

Click here if video doesn't load.

#455: Apple's Effective Use of FInancial Leverage Through Debt Powered Strategy

Click here to read how Apple is using debt financing to save cash by repurchasing shares and avoiding dividend payments.

#434: On Becoming Steve Jobs

This BookTV segment is long, but it provides valuable and fascinating insight into a transformational leader and his growth as a manager. Lots of interesting stories in the 90 minute segment that touch on marketing, supply chain/logistics, leadership, and manufacturing.

#413: More on ApplePay

#410: Tim Cook's Apple

A great article on the leadership style of Apple's Time Cook is found here.

#389: Apple Splits 7 to 1: Great Explanation of Stock Splits!

#381: Apple - Looking Back on 30 Years of the Mac and Looking Forward

See more US News from ABC|World News Very excited that they are manufacturing in Austin, TX. More manufacturing news coming for AZ soon.

#351: Tim Cook to Testify on Apple Tax Avoidance & Follow-Up

Remember, tax avoidance is legal, while tax evasion isn't. That won't stop Congress from grilling Tim Cook about Apple's offshoring of corporate profits. Read more here. See also #276 for background. Here's the follow-up with video links.

#349: Apple Takes Advantage of Low Interest Rates for Bond Issue

Click here to read a WSJ article about Apple's shift from holding investor cash to use of inexpensive debt financing

#318: As If I Didn't Have Enough Tim Cook Posts!

The Apple PR machine is hard at work promoting the new CEO. Click here to access a great profile in Bloomberg Business Week.

#317: More Tim Cook - Reimagining Television

Visit NBCNews.com for breaking news, world news, and news about the economy

#316: Tim Cook on Keeping Apple Cutting Edge

Visit NBCNews.com for breaking news, world news, and news about the economy

#305: Tim Cook - Out of the Shadow

A great article that contrasts the leadership styles of Tim Cook with Steve Jobs as Apple moves forward. Click here

to read.

#297: iFrenzy - Not 100% Continuous Improvement

Although the iFrenzy will stimulate the economy and the hype is enormous with Apple founder Steve Wozniak continuing his tradition of camping out to be one of the first in line to purchase (this time in Australia), not everything is wine & roses for the new phone with the maps app being touted as a significant step down from Google Maps. Nevertheless, Apple continues to lead the way or makes us think they are!

Visit NBCNews.com for breaking news, world news, and news about the economy

#294: Apple's New Product Launch Helps Launch Economy

Click here to see a short video detailing the impact of the new iPhone5 on both Apple's bottom line and the economy as a whole.