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In summary:
- Macworld reports that Apple promoted Johny Srouji to Chief Hardware Officer after he considered leaving during major leadership transitions, including Tim Cook’s departure.
- Srouji has led Apple’s chip development since the A4 processor in 2010, creating custom silicon that consistently outperforms competitors like Qualcomm.
- This strategic retention secures Apple’s hardware innovation advantage, as Srouji’s team developed the M1 chip that extended Apple Silicon’s dominance to Mac computers.
There was big news from Apple’s boardroom last week. As you know, Tim Cook’s getting kicked upstairs and John Ternus is going to assume the mantle of Apple CEO. But that’s not the news I’m talking about. The other big news is that Johny Srouji is being named Chief Hardware Officer.
Nobody outside of those who follow Apple or the chip industry closely has ever heard of Srouji. (For that matter, they hadn’t heard of Ternus, either.) But this is not a minor executive promotion. The fact that Apple made the announcement simultaneously with Cook’s departure and Ternus’s elevation shows that. Srouji’s promotion–and more importantly, retention– is vitally important for Apple.
The importance of Apple silicon
Calling Srouji the “father of Apple silicon” doesn’t go quite far enough, but it’s a good start. Apple began using the phrase “Apple silicon” to refer to Macs running Apple-designed M-series processors, but the Apple silicon story goes all the way back to the 2010 launch of the first Apple-designed processor, the A4, which powered the iPhone 4 and the original iPad. Srouji led the team that designed the A4, and has led Apple’s chip efforts ever since.
Through the decade of the 2010s, it became clear that one of Apple’s enormous advantages in the smartphone market was that it designed its own processors. Because Apple creates its own chips for its own products, it’s able to make decisions about the specs and features of those chips that fit perfectly with the plan for the products they’re going to be used in. (Contrast this with companies that have to buy off-the-shelf chips from vendors like Intel and Qualcomm, where the chips are designed to appeal to a broad selection of clients. Every Apple chip is made for specific Apple products, and that’s it.)
Apple being able to dictate the features of its own chips might be an advantage enough, but it turns out that Apple’s chips were also faster than the competition. A lot faster. Every summer, Qualcomm would release a new chip that they would boast about, offering performance similar to iPhone chips. Then, in September, Apple would introduce a new iPhone powered by a chip that offered performance that would blow Qualcomm away. In the most dynamic and profitable tech market, the smartphone, Apple basically lapped the competition.
Next up, Apple used the iPad Pro as a testing ground to see if it could scale its phone-class processors to provide the kind of power that might drive a full-on computer. In 2018, Apple introduced an iPad Pro powered by the A12X processor, which scaled up the processor cores to create a much more powerful device–a hint of things to come. It followed that up with the 2020 introduction of an iPad Pro powered by the A12Z processor, which Apple explicitly boasted was more powerful than most PC laptops currently being sold.
In hindsight, that was one of Apple’s biggest tells ever. Are you getting it yet? Apple silicon is powerful enough to run full-on computers, not just iPads and iPhones! And with the release of the M1 later in 2020, the prophesy was fulfilled. Apple’s advantage on smartphones and tablets has become Apple’s advantage, well, everywhere. (Even in low-cost laptops, as it turns out.)
Keep Srouji happy!
This brings us back to the man in charge, Johny Srouji. Apple’s chip efforts have gotten a lot of notice in the industry. Key members of the team left Apple to create their own startup, which was in turn bought by archrival Qualcomm. Srouji is in his early 60s and may be considering one last big career move before retirement.
Apple’s hardware won’t be where it is today without Johny Srouji leading the way.
Apple
Amid all of that, Srouji’s longtime boss, Tim Cook, started planning his departure. One of Srouji’s peers at the Senior Vice President level, John Ternus, was going to be the new CEO–Srouji’s boss. I don’t know anything about the personal relationships between these people, but it’s human nature to react a bit negatively to the prospect of losing your longtime boss and having him replaced with someone you see as your peer. This transition, necessary though Cook feels it is, put Srouji’s standing at Apple at risk.
This is almost certainly the reason why Bloomberg’s Mark Gurman reported in December that Srouji was considering leaving Apple. That report seemed like a real red alert, because–see above–Srouji is the leader of one of Apple’s strongest groups, providing it advantages across its entire product line.
Gurman’s report said that Srouji “recently told Cook that he is seriously considering leaving in the near future,” but it’s not hard to read between the lines and assume that, in a moment of change, Srouji was pondering how much Apple valued his contributions. Two days later, Srouji released a designed-to-leak memo to his staff, saying he didn’t plan on leaving anytime soon.
Here’s what obviously happened. Cook and Ternus, like everyone else, recognized Srouji’s importance to Apple and offered him a new role. And in this case, the role–becoming Apple’s Chief Hardware Officer–was one that seems to have satisfied Srouji. (He’s the first person to be in charge of that entire group since Bob Mansfield retired in 2012.) With Ternus becoming CEO, his entire hardware division has been handed to Srouji. It’s an enormous portion of the company, and it belongs to Srouji now.
Srouji now seems to have gotten what he wants. The next question is, how will Ternus’s former division respond to their new manager? Gurman reports that Srouji has a “hard-driving approach” and that the hardware division is in for a “cold shower.”
Look, different managers have different styles. Conflicts are inevitable. Srouji’s new division will need to adapt to him, and he’ll need to adapt to them. Ternus will no doubt be well aware of how the transition in his former division is going, and Srouji reports to Ternus. They’ll all need to work it out, and change can be difficult, but in the end, it can also be refreshing to be guided by some new perspectives.
The most important thing is that, in a moment of transition that could have had some brutal side effects, Apple has retained one of its top players. I’m looking forward to seeing what Johny Srouji will do with an even larger portion of Apple as his responsibility.



