As the global economic crisis continues to take a toll on the technology industry, resulting in an increasing number of layoffs across the sector, Apple CEO Tim Cook has asserted that mass layoffs are a "last resort" at his company. Cook's statement comes amid ongoing cost-cutting measures and a slowdown in hiring at the tech giant.
In a recent interview with CNBC, Cook said, "Mass layoffs are the last resort for the company. It is not something that we're talking about at this moment." He also noted that Apple has slowed down hiring. "We are continuing to be extremely prudent on hiring," Cook said.
The CEO also noted that this does not mean hiring has been paused at Apple. "We're continuing to hire, just at a lower clip level than we were before. And we're doing all the right things by challenging the things that we spend, and we're just finding a few more ways to save on it," said Cook.
Despite the ongoing economic turmoil, Apple has managed to avoid large-scale layoffs thus far. In early April, the company made minor cuts in its corporate retail division, according to reports. Apple has also reportedly postponed bonuses for its employees. The company's hiring restraint during the pandemic has positioned it more favorably compared to other tech giants in terms of avoiding layoffs.
In the latest financial results, Apple reported record revenue of $94.8 billion for its March quarter, surpassing expectations. The company's iPhone sales alone accounted for $51.3 billion, marking a new record. Cook shared that Apple achieved all-time revenue highs across the App Store, Apple Music, iCloud, and payment services. With over 975 million paid subscriptions, the company's range of services continues to expand its reach.
Apple's Mac and iPad divisions also fared well, with the Mac recording $7.2 billion in revenue, meeting the company's expectations, and the iPad generating $6.7 billion. Additionally, the wearables, home, and accessories segment brought in $8.8 billion in revenue.