Apple Initiates Sales Force Restructuring, Layoffs Impact US and ANZ Teams
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Amidst record sales projections, Apple has begun a restructuring of its sales organization, resulting in layoffs across multiple teams in the United States and Australia/New Zealand.
Apple, long known for its stability in employment, is reportedly undergoing a significant shift in its sales strategy. According to a report from Bloomberg, the tech giant has eliminated “dozens” of sales positions in the US as it seeks to “optimize the way it offers products to companies, schools and governments.” This move comes as a surprise to many, given Apple’s recent financial performance and its historical resistance to large-scale layoffs, unlike competitors such as Meta, Microsoft, Google, and Amazon who engaged in substantial job cuts in recent years.
Layoffs Affect Key Sales Divisions
The extent of the layoffs remains unclear, but the restructuring appears to be impacting the entire sales organization, with some teams experiencing particularly severe cuts. Affected employees include account managers responsible for sales to large corporations, government entities, and educational institutions. The changes also extend to teams supporting Apple’s briefing centers – facilities where products are demonstrated to potential customers.
Apple confirmed the personnel action, stating that the restructuring is intended to allow the company to “connect even more closely with customers.” However, the company provided no specific details regarding the number of employees affected.
Resellers to Play a Larger Role
A key component of Apple’s new strategy appears to be a greater reliance on its reseller network. The company is reportedly planning to outsource more sales work to these partners, aiming to reduce internal costs. While Apple maintains that the number of affected roles is “small” and that it is still actively hiring, the layoffs have nonetheless caused concern among employees.
“The timing is particularly surprising,” one analyst noted, “given Apple’s continued growth. Sales are expected to reach a record $140 billion in the December quarter.”
The impact extends beyond the US, with 20 sales representatives in Australia and New Zealand also being terminated. These employees have been offered the opportunity to apply for other positions within the company until January, with severance packages available to those who do not secure alternative roles. Simultaneously, Apple is actively recruiting new sales personnel.
Long-Tenured Employees Impacted
The layoffs have reportedly impacted employees with significant tenure at Apple, with some individuals having dedicated 20 or 30 years to the company. One team particularly affected, according to Bloomberg, was responsible for sales to the US War Department and the US Justice Department.
Apple’s sales department reports directly to CEO Tim Cook, underscoring the importance of this restructuring. This marks a significant wave of layoffs for Apple, following earlier cuts related to the conclusion of its “Autoprojekt” initiative in 2024.
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