Apple will disrupt the health sector as the iPhone did wireless, former CEO John Sculley says


Apple AAPL CEO Tim Cook's vision for health-care services has gotten a stamp of approval from a past chief of the tech giant.

John Sculley, who helmed the company from 1983 to 1993, told CNBC on Thursday that Cook is "absolutely onto something" with his plans to inject Apple into the health-care space and that "it may well be the great legacy that he's talking about."

In an exclusive interview earlier this week, Cook told Mad Money 's Jim Cramer that "Apple's greatest contribution to mankind" will be in health services , an area that the company has been increasingly focused on in recent years .

"I believe … [it will] go from curiosity to useful to indispensable," Sculley said on "Squawk Alley." "And indispensable means it's got to do things that are significantly more capable in terms of health and preventative care than what we have today - with wearable devices or things [that] enable people to do more self-diagnosis, where the consumer can have a bigger role, just as they have in other industries."

Recalling how Apple's iconic former chief Steve Jobs upturned both the wireless and photography industries a dozen years ago with the iPhone, Sculley says, "We're going to see something similar in health."

Sculley, who the late co-founder Jobs lured from PepsiCo PEP to Apple, pointed out that the first and later iPhone generations gradually took market share from Blackberry, Nokia and Motorola cell phones and revolutionized photography, eventually leading to Kodak's bankruptcy in 2012.

While Apple's stock has suffered lately from a string of news that has disturbed investor confidence, Sculley said the public does not always get a glimpse at the "big" plans that a company's officers are discussing behind closed doors. Apple and other tech names, such as Amazon AMZN and Alphabet GOOGL subsidiary Google, are "at the very beginning of the indispensable role of health tech," particularly with wearable devices.

"We're about to move into an era where sensors … [and] algorithms are getting more powerful. Technology and health care is moving from a vertically siloed, highly inefficient industry," he said. "The big health-care players want to move to platforms, they want it to be a horizontal model, just like we've seen successfully in retailing and in fintech and others."

Apple's stock is still in bear market territory after a series of staggering falls brought it down more than 30 percent from a 52-week high of $233.47 in October. Shares most recently tanked about 7 percent after the company lowered its guidance on the first trading day of 2019.

The equity has since rebounded from that fall, trading midday Thursday at about $152.


More Related News

Apple launches second-generation AirPods and wireless charging case
Apple launches second-generation AirPods and wireless charging case

Apple's week of hardware announcements continued on Wednesday with the reveal of its second-generation AirPods. The new wireless headphones feature an H1 chip that the company claims will improve performance, allow for faster connection times, increase talk time, and enable support for hands-free Siri."AirPods delivered a magical wireless experience and have become one of the most beloved products we've ever made. They connect easily with all of your devices, and provide crystal clear sound and intuitive, innovative control of your music and audio," said Phil Schiller, Apple's senior vice president of Worldwide Marketing.The Apple-designed H1 chip is said to enhance virtually...

Better Buy: Apple vs. Microsoft
Better Buy: Apple vs. Microsoft

Which of these two tech giants deserves a place in your portfolio?

Apple Has Another Huawei Problem
Apple Has Another Huawei Problem

Apple's iPhone unit shipment woes could cause it to lose clout at a key supplier.

Apple Watch can help doctors diagnose atrial fibrillation
Apple Watch can help doctors diagnose atrial fibrillation

Ed Dentel's Apple Watch informed him that he had an irregular heartbeat last year. It was right, and potentially saved his life. Stanford researchers have shown that the watches can detect atrial fibrillation, a dangerous heart rhythm that has the potential to cause stroke. Atrial fibrillation is the most common abnormal heart rhythm, and affects up to 6 million people in the U.S. Often, those affected have no symptoms, or experience mild palpitations in the chest.

iPhone XS Max vs. Galaxy S10+ speed test: The results might surprise you
iPhone XS Max vs. Galaxy S10+ speed test: The results might surprise you

Year in and year out, Apple manages to crank out new iPhone models with increasingly impressive and arguably unrivaled hardware. Though Android has caught up to the iPhone in many ways when it comes to specific features and overall usability, new iPhone models routinely trounce all comers when it comes down to raw performance. Just a few months back, for example, you may recall that Apple's iPhone XS -- armed with the A12 Bionic -- managed to beat a McLaren Edition of the OnePlus 6T boasting 10GB of RAM.The smartphone landscape, though, doesn't stay stagnant for long and Samsung's recently released S10 lineup certainly brings a lot to the table. With that said, it's that time of year...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply


Top News: Economy

Hit "Like"
Don't miss any important news
Thanks, you don't need to show me this anymore.