Tim Cook has transitioned to Executive Chairman, with John Ternus becoming Apple’s new CEO as of September 1, 2026. Cook leaves a legacy of diversifying Apple's supply chain, with India now producing 25% of all global iPhones. Investors are now watching how the new leadership manages production scaling and the potential local assembly of MacBooks and iPads under India’s new Rs 62,500-crore manufacturing scheme.
Tim Cook has stepped down as CEO of Apple Inc. effective August 31, 2026, moving into the role of Executive Chairman. John Ternus has officially taken over as the new CEO. This leadership transition comes at a time when Apple, valued at approximately $4.7 trillion, has successfully reshaped its global supply chain, with India playing a central role in its operations.
During Cook's 15-year tenure, the company moved away from its near-total reliance on manufacturing in China. India, which started by assembling older iPhone models in 2017, has evolved into a critical hub, now manufacturing one out of every four iPhones produced globally. This growth was driven by the company’s ability to use government support, such as the Production-Linked Incentive (PLI) schemes, to build a robust local ecosystem.
Scaling the Indian Ecosystem
The Indian manufacturing network is now supported by major global and local partners, including Foxconn and the Tata Group. The scope of operations has moved beyond simple assembly. The local supply chain now produces a wide range of components, and the integration of these parts into the global market is growing. The Indian government’s introduction of a new Rs 62,500-crore manufacturing scheme is designed to further deepen this ecosystem by encouraging the production of more complex electronics components domestically.
While the iPhone production has been a success, the next phase involves product diversification. Apple is currently evaluating the feasibility of manufacturing MacBooks and iPads within India. This would be a significant step in the company's long-term plan to distribute its manufacturing risks and ensure a more resilient global supply chain.
Risks and Future Monitoring
Despite the progress, the path ahead for the new leadership involves several challenges. Scaling the local supplier base to match the depth, efficiency, and speed of established manufacturing hubs remains a major task. The company must also manage the risk of heavy reliance on a small number of key partners, which could lead to production issues if not managed correctly. Furthermore, geopolitical shifts, potential changes in international trade policies, and US tariff discussions remain significant variables that could impact the cost-efficiency of the global supply chain.
For investors and market watchers, the focus will now shift to how John Ternus navigates these logistical and geopolitical complexities. The success of expanding production to include more complex devices like MacBooks will be a key indicator of whether the Indian manufacturing model can continue to scale effectively under the new leadership.