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Apple Park: Designed to Isolate

Malcolm Crawford (Mastodon):

The open-plan floors make it hard to concentrate. The building is so large that getting from one meeting to the next eats real time out of the day. It’s common for people to run meetings with colleagues over Webex — colleagues on the same campus, sometimes no more than two hundred yards away.

Ironically, Apple Park replaced a campus that did far better on the same measure without ever trying to. Infinite Loop produced far more of the accidental, cross-team contact Apple Park was explicitly built to create. Working out why starts with what Infinite Loop got right by accident. It continues with what the research on office proximity says about why that kind of thing happens at all. And it ends with what Apple Park could become instead — including a version of the fix Apple already trusts enough to run for a hundred people a year.

[…]

There’s no obvious focal point for the whole site — most sections have their own sitting area and their own coffee bar, but nothing plays the role Caffè Macs and the IL1 coffee bar played together at Infinite Loop. Caffè Macs at Apple Park seats a thousand people and feels built for throughput, not conversation. Everything is organised per-segment rather than around a shared centre, which is convenient for the people in that segment and useless for the discovery-by-accident that made the old campus work.

[…]

By multiple accounts from people who were there during design and construction, the site was flagged as under-provisioned for meetings and conferences before it even opened.

Via Jason Anthony Guy:

Apple Park is a beautiful structure, but is not terribly conducive to focused or collaborative work. Even as an occasional visitor I found it overwhelming. Employees sit shoulder to shoulder, voices bounce off and bleed through glass walls, and privacy is a virtual impossibility. My friends and colleagues who worked there regularly found it difficult to be productive.

I worked in Infinite Loop (Building 3, 2nd floor) for thirteen years (right below Developer Publications, where Malcolm spent a good portion of his Apple career). I loved IL because its design made serendipitous encounters easy. Whether it was sitting outside Caffè Macs or in the IL 1 Atrium, I would inevitably bump into someone and have a conversation that furthered an in-flight project, sparked something new, or simply reinforced the social ties that bind colleagues.

It helped that at that time, Apple had perhaps 10,000 employees, most of whom were in or near IL. After iPhone came about and IL started getting locked down, much of the natural collaboration dissipated, disappearing behind badged doors and disclosures.

Ken McLeod:

IL provided a place to focus on your work[1], as well as seating spaces that are out of the flow of traffic where you can have an informal meeting[2]. At AP, every collaborative space is effectively in the middle of a hallway. That turns out to be enormously distracting, both to you and to those people trying to work in the glass bullpen right next to it.

[1] before all cubicles and offices became multi-person shared spaces

[2] before all those spaces were filled in with more offices

Helge Heß:

“The IL1 atrium really was the crossroads of the company in those days” I really don’t think that this is true literally by any means. Assuming “those days” overlap with the time I’ve been there (pre Park). The XFs in IL have been extremely scarce. IL was way too small and overloaded, I’d actually say it was very similar to Apple Park. No one really wanted to work there in those tiny offices with multiple people 🤷‍♀️

Steve Hayman:

I loved the IL1 atrium. I’d sit there and hope that someone like MMalc would wander by, and they often did. It was a real destination for field people who didn’t get to visit the mothership very often. I miss that. AP had nothing like it.

Eric Schwarz:

I think of my days in college—most dorms residence halls were not air conditioned, so at the end of August, you had to open your window (often to place a box fan) and door to create some airflow. People walking through the building would meet by chance. Newer buildings tended to be less lively and more like a hotel—all the doors closed and rarely much activity. Through renovations, most of the buildings have had air conditioning added, dropping those interactions over the years.

Previously:

Update (2026-07-22): Dr. Drang:

As you may know, the Lumon Industries building that Mark, Helly, Irving, and Dylan work in is a former Bell Labs facility in Holmdel, New Jersey. I first learned about the building several years ago, when I read Jon Gertner’s excellent history of The Labs, The Idea Factory. It’s a distinctive place designed by Eero Saarinen in the early 60s.

Bell Labs was known for the fruitful collaboration of its researchers, often started through chance meetings in the hallways of other Bell Labs facilities. The new Holmdel building was supposed to further that sort of teamwork, but things didn’t work out as planned.

macintog:

I worked in IL1 for over a decade. The day I saw the open-plan spaceship, I knew I would never set foot inside. There are more rewarding ways to work in a barn.

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Apple Financial Statements: Products vs. Services

John Gruber (Mastodon, 2):

Some of [Cook’s letter] remains true, but has lost some truthiness — and truthiness matters. But some of it is no longer true, period. It’s no longer just “one small part” of Apple’s business that serves advertisers. Here in 2026, search results in the App Store not only show paid ads — frequently for casinos — but the search results are visually dominated by paid ads now that Apple has added a second ad to results. Apple News+ is a paid subscription that offers a genuinely great value for the number of paywalled publishers whose content it includes, but articles on the News app tend to include the weirdest AI-generated ads on the Internet. (How many young blond women am I supposed to believe need hearing aids?) And — at this writing, still “coming soon” — Apple is launching ads on Apple Maps. Apple Maps remains free of charge to use, so according to Tim Cook, we’re not the customer. We’re the product. Or, if you prefer, our frustration is the product.

[…]

The ratio of ads to organic results in App Store search — especially when measured in screen area — is clearly not aligned with Cook’s 2014 statement that “Our software and services are designed to make our devices better. Plain and simple.” Obviously not. App Store search today is designed primarily to generate more revenue for Apple. That’s not criminal, but it’s a change.

[…]

What gave Tim Cook’s privacy letter heft in 2014 wasn’t just the clarity of its plain language, but the fact that you didn’t have to take his word for it that the ads Apple showed you respected your privacy, because Apple didn’t show you ads in 2014. Apple today can’t say that.

[…]

John Ternus should return Apple’s privacy policy to its 2014 clarity. The trust Apple would earn from such a move would far out-value whatever revenue these ads pad to their already hefty and ever-increasing quarterly Services numbers.

I wish that were the case, but I fear this is kind of a Hotelling’s Law situation, where Apple can get most of the benefit by being just slightly better on this axis. Where else do its customers have to go?

Jeff Johnson (Mastodon):

In the second fiscal quarter of 2018, services generated $9 billion in revenue (net sales), whereas in Q2 2026, that amount had grown to $31 billion! In this blog post, I want to focus on understanding the relative financial importance of products and services for Apple.

[…]

In 2025, services were 42% of Apple gross margin. How does 26% of net sales become 42% of gross margin? The explanation is that services have a much lower cost of sales. The products gross margin was 37% of products net sales, while the services gross margin was an astonishing 75% of services net sales. In other words, Apple services are almost pure profit!

Does this 75% account for TV and movie production costs?

With persistent general inflation, consumers do not have unlimited money to spend on Apple products. At least in the near future, it’s reasonable to question how much further room is available for growth in profits from Apple products. To satisfy the demands of investors, Apple executives including CEO-elect John Ternus may be forced to rely even more than before on growth in services, which do not face as much pressure on cost of sales as hardware products.

Previously:

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Apple Sues OpenAI Over Trade Secrets

Sarah Perez (PDF, Hacker News, MacRumors):

The iPhone maker alleges that this misconduct, which it says reveals a pattern of theft from OpenAI employees who previously worked at Apple, was directed by OpenAI’s senior leadership, including Chief Hardware Officer Tang Tan.

The lawsuit, which was filed in the U.S. District Court for the Northern District of California, accuses Tan of using Apple’s confidential project code names during OpenAI’s recruiting process, asking job candidates to bring in Apple hardware components to their interviews, coaching departing Apple employees on how to evade the company’s security procedures, and asking for details about the company’s unannounced products.

Apple’s allegations are detailed and shocking, and it sounds like they have a lot of evidence.

Chance Miller:

The lawsuit names Chang Liu and Tang Tan as two of the defendants. Tang Tan served as VP of product design at Apple, leading iPhone and Apple Watch product design. He departed the company in February 2024 to work with Jony Ive. Chang Liu, meanwhile, worked at Apple for eight years and was a senior system electrical engineer before departing to join OpenAI in January 2026.

Apple’s lawsuit also names OpenAI and io Products as defendants.

OpenAI’s hardware efforts are being led by Jony Ive, Apple’s former chief design officer.

[…]

Ive, Hankey, and Cannon are not personally mentioned anywhere in Apple’s initial filing today.

Emma Roth:

Here are the most surprising claims in Apple’s 41-page filing.

Marcus Mendes (MacRumors):

OpenAI’s Director of Strategic Communications, Drew Pusateri, took to X to comment on the company’s behalf.

In his post, he claims OpenAI has “no interest in other companies’ trade secrets,” adding that OpenAI remains “focused on building innovative technology that empowers people everywhere.”

This seems like a weak response, given that Apple says it reported its findings to OpenAI in February and never heard back. Presumably, they’ve already investigated but see the situation as serious enough that they need to say as little as possible.

It’s not clear to me the extent to which Apple believes the behavior was limited to the named defendants. It’s hard to believe that the rest of OpenAI’s leadership—including Altman and Ive—were unaware, given the scale of their recruiting from Apple. It’s equally hard to believe that they were aware and thought they could get away with it. I guess little from Altman would surprise me at this point. I’d like to believe that Ive wasn’t part of it, but then are we to believe that his former coworkers all kept him in the dark?

Nick Heer:

What is immediately notable about this whole thing is the myriad conflicts of interest. Apple, of course, has a current partnership with OpenAI to power Apple Intelligence features, something repeatedly mentioned on the previous version of its marketing webpage, and conspicuously absent on the current one.

But the history runs far deeper. Among the defendants in the suit is io Products — do not blame me for that capitalization choice — founded by Jony Ive and acquired by OpenAI last May. Total mentions of “Ive” in the body of this lawsuit? Zero. Also, one of the investors in Ive’s company was Emerson Collective, founded by Laurene Powell Jobs, and which now has equity in OpenAI. Neither Emerson nor Powell Jobs are defendants.

M.G. Siegler:

It all reads a bit as if Apple has been building up evidence of these allegations for some time and recently got their smoking gun. It’s not just nebulous “trade secrets” either, there are specific mentions down to “metal finishing techniques” that Apple apparently invented and protected.

It also comes a little less than a month after OpenAI was rumored to be threatening Apple with a lawsuit over the perceived failure of their deal to bake ChatGPT into the iPhone. As I wrote at the time, even just that threat was clearly not going to go over well in Cupertino.

John Gruber (Mastodon):

Footnote 13 on p. 15 states:

Apple and OpenAI have a commercial relationship involving the integration of OpenAI’s ChatGPT into Apple Intelligence. The companies have entered into a written agreement governing that integration. That agreement is not at issue here. OpenAI’s acts of trade secret misappropriation alleged herein do not arise from and have no connection to that agreement.

Be that as it may legally speaking, in practical terms it seems untenable for that Apple Intelligence partnership to continue after this.

Jason Snell:

All that bubbling-under-the-surface tension between Apple and OpenAI is now out in the open!

M.G. Siegler:

Namely, while Apple frames OpenAI – or at least its fledgling hardware division – as “rotten to its core” (interesting terminology!), they really only have a case against two and maybe three individuals. But they also clearly believe that if this case goes to trial, they will have a case against a lot more.

[…]

The parallels to the Anthony Levandowski situation after he left Google for Uber have been drawn.

[…]

It is interesting that Apple is not suing Yu-Ting “Alyssa” Peng, who is named in the suit as a co-conspirator with Liu while she was still employed at Apple, before she also subsequently went to work at OpenAI. Is it possible she’s cooperating or has cooperated with Apple in this investigation?

[…]

Even if these allegations are found to be untrue or embellished, can he reasonably stay at OpenAI now? And perhaps that’s the real outcome Apple is looking for here, as they clearly frame him as the ringleader of the 400-plus people who have come over to OpenAI from Apple.

Hartley Charlton:

OpenAI’s ambitions to build a hardware rival to the iPhone are already running into trouble because of Apple’s trade secret lawsuit, according to Bloomberg’s Mark Gurman, who argues the damage is showing up well before any court ruling.

[…]

The scale of the talent drain is a major part of why this matters to Apple. More than 400 former Apple employees now work at OpenAI, including former Apple design chief Jony Ive, and Gurman says the company poached so heavily from Apple’s iPhone product design group specifically that Apple had to rebuild parts of the team. Apple has responded with bigger retention bonuses and executives personally working to keep engineers from leaving.

Jeff Johnson:

OpenAI stole stuff? I can’t believe it! I thought they were done with stealing after they stole literally everything on the internet.

Colin Cornaby:

I’m sure there’s no problem with sending this company all your source code they pinky swear not to train on.

Steve Troughton-Smith:

I can’t believe this awful company solicited confidential information and stolen trade secrets, hiring from this other company while pretending to partner with them. ‘Rotten to the core’ indeed

😛

He’s referencing Apple doing this to Masimo. And, of course, Steve Jobs himself directed Apple to engage in illegal hiring practices.

Previously:

Update (2026-07-17): See also: Dithering.

Tim Hardwick (FT, Hacker News):

Apple has reportedly sent legal letters to dozens of former Apple employees now working at OpenAI, telling them to preserve potentially relevant documents and communications as it continues to pursue its trade secret lawsuit against the AI company.

Update (2026-08-06): Hartley Charlton (PDF):

OpenAI has asked a federal judge to dismiss Apple’s lawsuit accusing the AI company of stealing trade secrets, calling the allegations “meritless.”

Previously:

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Apple Still Designated a Gatekeeper

Tim Hardwick:

Apple’s challenge against the EU’s designation of its App Stores and iOS platform as “gatekeepers” was dismissed by Europe’s top court on Wednesday, reports Reuters.

[…]

The company also disputed the classification of iMessage as a number-independent interpersonal communications service, or NIICS, which would subject the app to EU telecoms rules. But the General Court said Apple’s actions regarding the iMessage service are inadmissible.

William Gallagher:

Back in 2023, Apple acknowledged that it qualified under the then-new definition of being what the EU called a gatekeeper service. But key to that is the size of the operation, and since 2024, Apple has been claiming it runs five smaller App Stores rather than one large one.

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“Irrespective of the devices in question,” ruled the judges, “those stores have the same purpose, namely to connect app developers with end users in order to facilitate the distribution of software applications.”

Steve Dent:

Apple disagreed with the decision but didn’t say yet if it would appeal. “We firmly believe the DMA’s mandate goes beyond what is lawful and proportionate, threatening to erode decades of privacy and security protections we’ve built and leaving our users vulnerable to new risks,” an Apple spokesperson said in a statement to multiple outlets. “We will continue advocating for the innovation and privacy our European customers deserve.”

Apple still has two cases pending with EU courts. The first is a challenge to the EU Commission’s decision last year forcing Apple to open iOS to third-party developers, and the second is an appeal against the €500 million fine imposed in April last year for anti-steering violations.

Previously:

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Apple Silicon and AI

Jason Hiner (MacRumors):

In an exclusive conversation with The Deep View ahead of WWDC 2026 in June, Doug Brooks, senior product manager of Apple silicon, discussed how Apple’s long-term investments in neural processing, unified memory, power-efficient computing, and hardware-software integration have positioned its devices for the AI era.

He also explained why Macs have become a favorite platform among AI developers, why Mac minis and Mac Studios are emerging as the preferred AI agent machines, and how Apple sees the future of on-device AI across iPhone, iPad, and Mac.

[…]

“We build a chip knowing exactly what systems it’s going to go into. The chip can influence the system design, and the system design can influence the chip requirements. They’re married together very tightly. I’d actually go a step further and include software in that equation. As we enable new capabilities in the chip, we want to make sure those capabilities are exposed all the way through the software stack so developers can benefit and customers can benefit. Because if those transistors go unused, what’s the point? It’s not about adding something and hoping somebody finds a use for it. We want those capabilities available to solve real problems. I think that’s what allows us to build better systems and ultimately better products.”

It seems like a lot of it is just that developers like macOS.

Previously:

Update (2026-07-10): See also: Hacker News.

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Hide My Email Moving to private.icloud.com Domain

Apple (MacRumors):

Later this summer, Apple will unify the email domains used by Sign in with Apple and iCloud+ Hide My Email under a single, shared domain: private.icloud.com.

New addresses generated for both features will be issued on the new domain.

[…]

Existing addresses on the legacy domains will continue to work and forward mail to users without interruption.

It’s unclear to me what the benefit of this is. Is there a reason to migrate legacy addresses?

Arseniy Shestakov (Hacker News):

This makes it much easier to ban all aliases without affecting non-relay mailboxes on iCloud mail.

This is certainly a big hit for iCloud privacy, since some plausible deniability together with Apple’s backing made banning iCloud aliases costly. But now a lot of services will just refuse to accept these emails, just like what happens with free temporary mailboxes.

John Gruber:

But my retort is that a service that won’t accept these email addresses is one that I probably don’t want to have anything to do with. The only reason not to accept private.icloud.com email addresses is if you want to do something invasive with users’ actual email addresses.

The main problem I have with Hide My Email is that some customers use it and then have no way to look up their purchase info via e-mail because they don’t know which address they used. Of course, I wouldn’t reject such addresses, but I wonder if services will start using the new domain to recognize that Hide My Email is being used and nudge the user to provide a different address.

Previously:

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Kids Online Safety Act

Amanda Silberling (May 2025):

The Kids Online Safety Act (KOSA) has been reintroduced into Congress. If passed into law, this bill could impose some of the most significant legislative changes that the internet has seen in the U.S. since the Children’s Online Privacy Protection Act (COPPA) of 1998.

As it currently stands, KOSA would be able to hold social media platforms legally accountable if it’s proven that these companies aren’t doing enough to protect minors from harm. The bill includes a long list of possible harms, such as eating disorders, sexual exploitation, substance abuse, and suicide. Though it overwhelmingly passed through the Senate last year, the bill was stifled in the House.

[…]

“Apple is pleased to offer our support for the Kids Online Safety Act (KOSA). Everyone has a part to play in keeping kids safe online, and we believe [this] legislation will have a meaningful impact on children’s online safety,” Timothy Powderly, Apple’s senior director of Government Affairs, said in a statement.

Nick Heer:

The App Store Accountability Act is based on model legislation written by the Digital Childhood Alliance. The lobbying group also publishes marketing pieces, including one (PDF) that calls Apple’s age verification frameworks “ineffective”. Specifically, it points to the lack of parental consent required “for kids to enter into complex contracts”, with “no way to verify that parental consent has been obtained”.

Maya Posch (via ednl):

Since the arrival of so-called ‘social media’ the central tenet of never giving out your personal information which was front and center during the 1990s and 2000s got quite literally flipped around. Suddenly we had massive corporations practically begging you to give every last scrap of your personal information, every intimate detail of your daily life and with it every last second of your attention span.

[…]

The upshot of this reversal is that instead of a mostly comfortable anonymous experience, suddenly every second that you’re awake has been turned into the equivalent of a schoolyard during recess, the watercooler banter at the office and similar social interactions.

[…]

This raises many questions, such as whether ‘social media’ and the FOMO it introduces is a legitimate addiction, and whether we shouldn’t make being online more anonymous rather than enforce a rather dystopian ‘real name’ policy onto the populace.

Joe Mullin (Hacker News):

Within the next week, Congress is preparing to vote on the KIDS Act, a sprawling package of legislation that seeks to control Americans’ web browsing and private messaging. The package includes a revised version of the Kids Online Safety Act, or KOSA, combined with a collection of other internet bills, study bills, reporting requirements, and new regulations. Instead of debating any of these proposals on their merits, lawmakers are attempting to move them all at once under an ultra-expedited process.

[…]

Buried inside the KIDS Act are provisions that will push online services to verify all users’ ages, require government-directed moderation policies for online speech, and even create new rules about private and encrypted communications. While supporters continue to claim this bill protects minors online, its requirements come at the expense of privacy, free expression, and the ability of people of all ages to use the internet without revealing sensitive data.

[…]

Several provisions of the bill create new rules around direct messages, disappearing or “ephemeral” messages, and AI chat services.

The bill includes language stating that certain KOSA requirements should not be construed to override strong encryption. But the protection is incomplete. The carve-out applies to certain features and messaging controls, but doesn’t apply to KOSA’s separate requirement that platforms “address” a list of harms to minors.

Previously:

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