APPLE GOES SEARCHING FOR ITS MOJO

APPLE FINISHED 2024 in record fashion, with a staggering $3.6 trillion market capitalization that not only topped every other company on the planet, but also eclipsed the economic value of all but a handful of the world's countries.

- DAVID MEYER

REALITY BITES

Apple's $3,500 Vision Pro is impressive tech for a niche audience.

Even more incredible: It was a year likely to be remembered for Apple's many disappointments and setbacks.

In February 2024, the company killed its decade-long effort to create the car of the future. That same month, Apple released the Vision Pro virtual reality headset—its first new-category product since 2015's Apple Watch—only to reportedly sharply reduce production of the device by year's end. A late start to generative AI put Apple in the embarrassing position of shipping the newest iPhone without its marquee features available at launch. And European law is forcing Apple to open certain parts of its mobile operating system, while U.S. regulators sued Apple for allegedly abusing a smartphone monopoly.

The new year also looks unexciting so far: A thinner iPhone and an iPad-like tablet to control home appliances are in the offing, according to Bloomberg. Nice, but nothing that will dramatically boost Apple's business.

You can't blame Apple fans for staying positive. With nearly $120 billion in annual operating cash flow and a brand synonymous with innovation and elegance, the Cupertino, Calif., company led by CEO Tim Cook is a corporate paragon—even 13 years after the death of Steve Jobs. For the 18th consecutive year, Apple has earned the top spot in Fortune's survey of the world's most admired companies, winning praise from the executives, directors, and analysts polled.

Industry titans tend to fade gradually, though, losing momentum and relevancy as they fall out of step with the times. And so, even as Apple's accomplishments and balance sheet give comfort to the faithful, a nagging question is likely to shadow the company as 2025 unfolds: Does Apple still have its mojo?

PRICEY LESSONS