At the beginning of 1976, in California, Steve Wozniak had just completed the design of a computer circuit board that he intended to share with other enthusiasts in a local reputable club. His friend Steve Jobs also saw a business opportunity in manufacturing and selling these boards, and that’s how Apple was born.
The company celebrates its 50th anniversary this Wednesday. Its rise has shaped both the technology industry and popular culture by popularizing desktop computers and smartphones, popularizing mobile apps, and showing how devices and software can be closely integrated.
However, the iPhone maker is now under pressure to show that it can remain a technological powerhouse in the era of artificial intelligence, as its rivals Alphabet and Microsoft invest billions of dollars to stay ahead.
Despite integrating machine learning capabilities into its chips since 2017, analysts and investors believe that delays in deploying features, including an overhauled Siri, suggest that Apple was not adequately prepared for how consumers would use AI.
Rivals like OpenAI also plan to launch AI devices that aim to challenge the longstanding dominance of smartphones.
Nevertheless, Apple devices remain very popular.
The strong demand for the latest iPhone 17 series drove profits for the December quarter, while the $599 MacBook Neo – its cheapest laptop – was successfully launched.
“The company has gone fifty years without anyone really competing with its integrated business model; the fate of its next fifty years could hinge on how convincing AI ultimately becomes – and whether OpenAI can surpass the original,” said independent technology analyst Ben Thompson on Stratechery.com, on Tuesday.
Here are five charts that illustrate Apple’s ascent:
– RAPID GROWTH OF APPLE’S STOCK PRICE Driven by the widespread popularity of the iPhone and expanding range of devices, Apple’s stock experienced a spectacular rise at the turn of the century. Its internal M-series chips also contributed to boosting Mac sales, leading to a rise in stock price.
– ANNUAL REVENUE NEARING $500 BILLION One of the world’s most valuable companies, Apple also ranks among the top in terms of revenue. With strong demand for its latest iPhone series, it is projected to achieve a revenue of $465 billion for the current fiscal year ending in September.
– SERVICES BECOMING APPLE’S MAIN GROWTH DRIVER Apple’s services business, including the App Store, Apple Music, and streaming service, has become a major growth driver as the expansion of its device base generates regular income from subscriptions and app sales commissions. This has also led to highly publicized conflicts with companies like Epic Games, challenging its control over in-app payments.
– CHINA AND EMERGING MARKETS INCREASING THEIR SHARE OF APPLE’S REVENUE While the U.S. smartphone market is saturated, China and emerging markets like India are playing an increasingly significant role in Apple’s revenue.
– PRODUCTS THAT DEFINE APPLE The circuit board shared by Wozniak with Jobs in 1976 became the Apple I, the first in a series of products that transitioned the company from a garage startup to a consumer electronics giant. Over the years, Apple has seen successes such as the iPod, and its range now includes smartwatches, wireless earbuds, and the mixed reality headset Vision Pro.
