Apple considers scaling back on yearly product releases

Photo: Apple

Apple adheres to a yearly launch for its devices—like most tech companies. However, it might be exploring a new strategy, according to Bloomberg's Mark Gurman. The Apple insider claimed in his Power On newsletter the company is exploring a shift in how it approaches product releases. They want to take a more "fluid approach," where it releases products when they're ready. He said we might still expect annual iPhone releases, but everything else might be staggered.

There has been a predictable pattern of Apple releases. (However, the company has started to shift the schedule around in recent years.) But that strategy has taken a toll on the company, too. With the steady increase of products in its portfolio, updating these devices yearly isn't practical and some devices don't even need an annual refresh (like its Apple Watch Ultra and iPhone SE).

Gurman pointed out how Apple's organization is structured. They are fixed by functionality instead of by product category. So, its engineers often work on various products at once. For example, the audio team isn't just working on earbuds. They're also working on the speakers and acoustics on every Mac, Apple Watch, and iPhone.

And then, there are the operating systems it runs (a.k.a. iOS, macOS, visionOS, watchOS, tvOS and iPadOS). It has been challenging for them to release updates for all of them simultaneously. Apple has been forced to delay feature releases for many products. The latest example is Apple Intelligence for the new Apple iPhone 16. They tout it as phones built for artificial intelligence, but the features haven't rolled out when the phones launched.

Apple supposedly acknowledges this is an issue that can't continue. Moving to a more unconventional product release schedule might work in its favour. Gurman said Apple plans several hardware launches in both halves next year and it might work for them to tie hardware launches with new software features.

It might not sit well with investors, but it could improve how the company innovates. As Gurman wrote, "At the very least, it will make Apple less predictable, something the 'surprise and delight' company is always striving for."