Apple CEO Tim Cook Teases 'Great Innovation' in Product Pipeline on CNBC's Mad Money

Apple CEO Tim Cook today sat down with CNBC Mad Money host Jim Cramer, where he discussed his thoughts on innovation, the future of the iPhone and the Apple Watch, the growth of Apple services, Apple's performance in China, and more.

Last week, Apple reported its first year-over-year revenue decline since 2003, announcing $10.5 billion in profit on $50.6 billion in revenue. Apple also saw its first ever decline in year-over-year iPhone sales, leading one Wall Street analyst to claim Apple's best days are behind it.

timcookmadmoneymay2016
"I couldn't disagree more," said Cook when asked about the comment, attributing the perceived sales dip to an abnormally high upgrade rate in late 2014 and 2015 as people upgraded to the iPhone 6 and pointing towards growth opportunities in China and India. Cook went on to tease future advances in iPhone technology that will inspire people to buy new devices.

We've got great innovation in the pipeline. New iPhones that will incentivize you and other people that have iPhones today to upgrade to new iPhones.

We are going to give you things you can't live without that you just don't know you need today. That has always been the objective of Apple. To do things that really enrich people's lives. That you look back on and you wonder how did I live without this.

He reiterated Apple's future plans later in the interview when questioned on whether Apple is still innovating. "We're fairly secretive," he said, "but I would tell you we're incredibly excited about things we're working on."

Cook also commented on Apple acquisitions. "We've acquired a lot of companies. We generally acquire a company every three to four weeks on average," he said. "We're always looking," he added on the topic of potential major acquisitions.

On the Apple Watch, Cook didn't give many hints about what's coming in the future, but he said he believes it will be seen differently in retrospect, much like the iPod. "You'll see the Apple Watch getting better and better," he told Cramer. "We're still in learning mode."

If you look at iPod, iPod wasn't viewed as a success, but today it's viewed as an overnight success. [...]

And so I think that in a few years we will look back and people will say, "How could I have ever thought about not wearing this watch?" Because it's doing so much for you. And then it will all of a sudden be an overnight success.


Cook also addressed concerns about China, which led billionaire Carl Icahn to sell his full stake in Apple earlier this year. Apple's sales fell 26 percent in Greater China in the second quarter of 2016, and recently, Apple was forced to take down the iTunes Movies and iBooks stores in China on concerns from Chinese officials that believe Apple is "too deeply established" in core industries in the country.

"I could not be more optimistic about China," he said. According to Cook, the Android-to-iPhone switch rate has been "huge" in China, up 40 percent in the first half of 2016 compared to the first half of 2015. He says Apple is working with Chinese regulatory authorities to get its iTunes Movies and iBooks services back online in the country. "We're pretty confident and optimistic that we'll be back online and offering those to our Chinese customers soon."

Cook also spoke at length on the dip in Apple stock, the company's quarterly performance and predictions for next quarter, smartphone penetration in China and India, and Apple's customer loyalty and potential for growth in services.


Cook's segment aired on Mad Money on CNBC at 6:00 p.m. Eastern Time. Part one and part two of the full episode are now available on the CNBC website and are embedded above.

Tags: Tim Cook, CNBC

Top Rated Comments

bgraham Avatar
82 months ago
He's been saying the same for the past 5 years.
Score: 90 Votes (Like | Disagree)
Boatboy24 Avatar
82 months ago
Great innovation, my ass.
Score: 72 Votes (Like | Disagree)
macbeta Avatar
82 months ago
Watch Bands and pink laptops are not really the kind on innovation I think I'm looking for...
Score: 72 Votes (Like | Disagree)
Chupa Chupa Avatar
82 months ago
Broken record at this point. So tired of TimCo telling us to expect exciting products in the coming year which then never develop... at least the exciting part. It's really the Silcon Valley version of the Boy Who Cried Wolf, except its the CEO Who Cried Amazing Product Pipeline.
Score: 60 Votes (Like | Disagree)
nfl46 Avatar
82 months ago
I'll believe it when I see it. I swear he says the same thing every year.
Score: 58 Votes (Like | Disagree)
Sirious Avatar
82 months ago
"That you look back on and you wonder how did I live without this."

I actually do that a lot with Touch ID, Apple Watch and Apple Pay. There is some truth in his speech.
Score: 51 Votes (Like | Disagree)

Popular Stories

cook sept 2020 event

Gurman: Apple Preparing Pre-Recorded iPhone 14 and Apple Watch Series 8 Event

Sunday August 7, 2022 6:13 am PDT by
Apple has "started to record" its virtual September event, where it's expected to announce the upcoming iPhone 14 lineup, the Apple Watch Series 8, and a new "rugged" Apple Watch model, according to Bloomberg's Mark Gurman. Writing in his latest Power On newsletter, Gurman says the event, which is expected to take place in the early part of September, is already under production, implying...
iPhone 14 Lineup Feature Purple

Color Options for All iPhone 14 Models: Everything We Know

Monday August 8, 2022 3:59 am PDT by
The iPhone 14 and iPhone 14 Pro models are rumored to be available in a refreshed range of color options, including an all-new purple color. Most expectations about the iPhone 14 lineup's color options come from an unverified post on Chinese social media site Weibo earlier this year. Overall, the iPhone 14 and iPhone 14 Pro's selection of color options could look fairly similar to those of the ...
ios 16 beta 5 battery percent

iOS 16 Beta 5: Battery Percentage Now Displayed in iPhone Status Bar

Monday August 8, 2022 10:43 am PDT by
With the fifth beta of iOS 16, Apple has updated the battery icon on iPhones with Face ID to display the specific battery percentage rather than just a visual representation of battery level. The new battery indicator is available on iPhone 12 and iPhone 13 models, with the exception of the 5.4-inch iPhone 12/13 mini. It is also available on the iPhone 11 Pro and Pro Max, XS and XS Max, and...
iOS 16 battery percentage

Apple Limiting iOS 16 Beta 5 Battery Percentage Display to Select iPhones: Here Are the Supported Devices

Tuesday August 9, 2022 2:51 am PDT by
Apple this week brought back one of the most highly requested features from iOS users since the launch of the iPhone X in 2017: the ability to see your battery percentage directly in the status bar. Ever since the launch of the iPhone X with the notch, Apple has not allowed users to show their battery percentage directly in the status bar, forcing them to swipe down into Control Center to...
ios 16 battery indicator 2

Everything New in iOS 16 Beta 5: Battery Percentage in Status Bar, Find My Changes and More

Monday August 8, 2022 12:53 pm PDT by
Apple today seeded the fifth beta of iOS 16 to developers for testing purposes, introducing some small but notable changes to the iOS operating system. Subscribe to the MacRumors YouTube channel for more videos. We've rounded up everything new in the fifth beta below. Battery Percentage in Status Bar The battery icon in the status bar now displays the exact battery percent, a feature that ...
iphone 14 pro max camera bump compared lipilipsi 16 9

Bigger iPhone 14 Pro Max Camera Bump Shown Alongside iPhone 13 Pro Max

Monday August 8, 2022 4:33 am PDT by
The camera bump on the upcoming iPhone 14 Pro Max is expected to be the largest rear lens housing Apple has ever installed on its flagship smartphones, and a new photo offers a rare glimpse at just how prominent it is compared to Apple's predecessor device. iPhone 14 Pro Max dummy (left) vs iPhone 13 Pro Max All iPhone 14 models are expected to see upgrades to the Ultra Wide camera on the...
airpods pro black background

Beyond iPhone 14: Five Apple Products Expected to Launch Later This Year

Monday August 8, 2022 9:43 am PDT by
While the iPhone 14 and Apple Watch Series 8 are expected to be announced in September as usual, there are several more Apple products rumored to launch later this year, including new iPad and Mac models and more. Beyond the iPhone and Apple Watch, we've put together a list of five Apple products that are most likely to be unveiled by the end of 2022. Second-Generation AirPods Pro Apple...