The People vs Apple

The Supply Times Issue #58

Image: Steve Breen, Creators Syndicate

Hello again, dear subscribers!

Apple's latest troubles make iPhones in water seem trivial. The tech giant faces a major antitrust lawsuit from the DoJ, accused of stifling competition since Steve Jobs's era. Has Apple really been locking out rivals to protect its ecosystem? We'll dive into the details of this major lawsuit. As for the other big Apple Intelligence news, more on that OpenAI partnership in subsequent editions.

Also, have you ever worked in a team where the main focus is on looking busy rather than on actual outcomes? Performative work is a deep-seated problem in many cultures, and it’s usually driven by managers who prioritize visibility over results. Find out the solution to performative work theatre below. 

This issue features plenty of other goodies, including AI Insights and recommendations for the week's podcasts, books, shows, charts, tweets, and an excerpt from my upcoming book, followed by a final chuckle. 

Let’s get going.

Image: Matt Davies / Washington Post 

Industry Highlights: Trustbusters vs Apple

In a landmark lawsuit, the Department of Justice has launched an antitrust action against Apple, accusing it of building a smartphone market monopoly to crush competition and limit customer choice. 

The announcement came straight from the top: US attorney-general Merrick Garland said Apple, which had a net income of $97 billion in 2023, “Has maintained monopoly power in the smartphone market not simply by competition on the merits, but through an intentional strategy to exclude competitors … Apple has maintained its power not because of its superiority but because of its unlawful exclusionary behavior.”

Specifically, the DoJ alleges Apple has abused its power in five ways (with thanks to a breakdown by the Financial Times). Interestingly, the lawsuit is peppered with quotes from Apple employees, suggesting the DoJ has accessed (leaked?) emails and audio recordings to build its case.

  1. Incompatible smartwatches: The DoJ alleges that limiting the Apple Watch to the iPhone prevents third-party developers from innovating; a deliberate move to prevent a negative impact on iPhone sales. 

  2. Digital wallets: We know that Apple encourages banks and other players to participate in Apple Wallet. However, Apple apparently blocks them from developing better payment apps and services for iOS users. Steve Jobs is directly named in the lawsuit for directing executives to “force developers to use only its own payment system to keep them locked into its ecosystem.”

  3. Blocking super apps: Super apps have never been popular in the U.S., but they are HUGE in Asia, with the most famous example being WeChat. A manager at Apple allegedly said such apps “will let the barbarians in at the gate … threatening iOS stickiness.”

  4. Blocking cloud gaming apps: Apple recently started allowing competing gaming apps that let users stream a library of games from the cloud, but has a history of blocking competition in this area. An individual at Apple allegedly warned that with such services, “all that matters is who has the cheapest hardware” and consumers could “buy an Android for $25 at a garage sale and . . . have a solid cloud computing device” that “works fine.” 

  5. Cross-system messaging: The infamous “green bubble” in messaging is Apple’s way of saying they don’t want to play nicely with Android users. Why haven’t they created iMessage for Android? The alleged quote: “Creating iMessage for Android will hurt us more than help us.” 

We don’t know what remedies the DoJ will seek if the lawsuit is successful, but they could range from breaking up Apple to ordering how it runs its business and writes its contracts. 

The lawsuit is hitting Apple where it hurts - its Services revenue. As of May, revenues from Products declined 10%YoY, while revenue from Services grew 14% YoY to reach 26% of Apple’s total revenue. It’s clear Apple’s future growth lies in Services, so the company can’t afford to take a hit from the DoJ in this area.

Here’s how Apple responded to the lawsuit:

“If successful, it would hinder our ability to create the kind of technology people expect from Apple — where hardware, software and services intersect. It would also set a dangerous precedent, empowering government to take a heavy hand in designing people’s technology.”

Opinions are very much split on whether this will hurt or benefit consumers of Apple’s products. Bloomberg, for example, has come out swinging on Apple’s side, with the headline: The US shouldn’t force Apple to make a worse iPhone. The LA Times argued that the lawsuit will ultimately benefit users by giving them more freedom to choose their digital environments and “move between fishbowls.” 

Let’s remember that it’s an election year in which both candidates have vowed to take on Big Tech. The Biden administration has already fought legal battles with Amazon, Meta, and Google. Meanwhile, Apple is also fighting a $2 billion antitrust fine from the EU and has agreed to change some of its products to align with EU directives. 

The DoJ suit means Apple is now under intense scrutiny in both Europe and at home - no doubt a very uncomfortable position for those Apple executives who have allegedly engaged in uncompetitive behavior. As the Economist observes: “Whatever the outcome, a wide-ranging antitrust case will hurt the firm.” My two cents are that 3/5 of these charges will be settled. As for impact, I think expectations are overblown as this will be tied up for years in court. If the US Administration changes, this case will be further weakened.

The Future of Work: Performative Work Theatre

The Future of Work: Performative Work Theatre

“How are we achieving so little when everyone in the team is so busy all the time?!”

"Performative work" is the scourge of modern workplaces. The phenomenon goes beyond simply doing one's job duties; it involves engaging in actions and behaviors designed to create the impression of productivity and diligence rather than enhancing real output.

Performative work can take many forms. It could mean sending a flurry of emails late at night, even if the content is trivial. It could entail leaving the office very late or appearing online and available at all hours. Some engage in performative "microproductivity," constantly tracking and sharing their metrics and time in obsessive detail. 

The explosion of instant messaging platforms like Slack has exacerbated this problem. The expectation of constant availability and "real-time" responsiveness has made many feel the need to project an image of perpetual busyness, even if their actual work output is not proportional. Sending rapid-fire messages, reacting to every notification, and maintaining an illusion of 24/7 engagement has become a badge of honor in some workplaces. Employee monitoring software has made the situation even worse, and has led to extreme solutions like “mouse jigglers” to help employees seem busy.

Source: Harris Poll Out of Office Culture Report May 2024

Cal Newport spoke about performative work in FT’s Working It podcast:

“When you combine this [pseudo-productivity] with personal computers and Slack and email, it spins out of control …. work quickly devolves into this theatre of constantly showing that you’re busy.” 

Why is this trend so problematic? Performative work is ultimately a form of deception - it misleads managers and colleagues about the true nature of one's contributions. It creates a culture of opacity and mistrust as people focus more on appearances than substance. Crucially, it diverts time and energy away from actually accomplishing meaningful work. Employees become trapped in a cycle of looking busy rather than being productive.

Performative work also has broader organizational consequences. It can skew performance evaluations and compensation decisions, as managers struggle to separate genuine productivity from mere posturing. It can foster resentment and burnout among colleagues who feel they are being outperformed by those engaged in performative behaviors. And it can undermine a company's ability to truly understand its operations and identify areas for improvement.

So what can be done? Unfortunately, there are no simple solutions. Banning certain productivity tracking tools or restricting after-hours communication may provide temporary relief, but they don't address the underlying cultural issues. The real fix lies in fostering an organizational environment that values outcomes over inputs, and emphasizes quality of work over quantity of effort.

Source: Harris Poll Out of Office Culture Report May 2024

This starts with senior leadership setting the right tone from the top. Executives must model the behaviors they wish to see, avoiding the temptation to engage in performative work themselves. Organizations should consider adopting more holistic performance management systems that look at each employee's true impact and value-add, rather than surface-level metrics. Managers, in turn, need to be trained to identify and discourage performative behaviors among their teams. They should focus on regularly communicating clear expectations, providing constructive feedback, and creating a culture of psychological safety where people feel empowered to be transparent about their work challenges.

“Eventually, I would like to see from the managerial level and up a rejection of pseudo-productivity and an explicit alternative put into place,” said Newport. “You can start right now as an individual to push back against it.” 

Ultimately, the scourge of performative work will only be vanquished when companies make a concerted effort to realign their priorities and organizational norms. It's a deep-seated problem that requires a multi-pronged approach - but the payoff in terms of boosted productivity and real outcomes can be immense.

AI Insights

  • AI predicts one million potential new antibiotics: Announcing “the largest antibiotic discovery ever,” researchers have published a study about their use of AI to predict which parts of microbial genomes could potentially produce antibiotic compounds and new treatments against bacteria and superbugs. 

  • xAI to develop its new AI supercomputer in Memphis, TN: We don’t know how much the facility will cost or how many jobs it will create, but Elon Musk’s xAI factory will almost certainly be the largest multibillion-dollar investment in the city of Memphis’s history. 

  • Asana’s Teammate feature has the potential to replace your manager: Asana, a work-management platform, has launched a generative AI model that can assign tasks and responsibilities using historical data to assign jobs to people with the best-matched skillsets. If you’re a worker using Asana, be sure to pay close attention to how you’ve been tagged in the platform. 

News for humans, by humans.

  • Today's news.

  • Edited to be unbiased as humanly possible.

  • Every morning, we triple-check headlines, stories, and sources for bias.

  • All by hand with no algorithms.

The Supply Aside

📕 Read - The Dynamic Path by James Citrin

Another classic! The Dynamic Path by James Citrin (first published 2007) is about accessing the secrets of champions. Citrin delves into the characteristics of outstanding leaders, athletes, and extraordinary people to understand the secret sauce for success. Citrin interviewed this cohort of top performers nearly 20 years ago, but they’re still household names with plenty of relevant insights: people like Tiger Woods, Bob Iger, Buzz Aldrin, Tony Hawk, and Magic Johnson, to name a few. Citrin distilled the collected insights into a personal achievement program called “The Dynamic Path.”  

What Else I’m Reading

  • Charleston bridge closed due to out-of-control ship: After losing an engine, an out-of-control ship went charging through a South Carolina harbor in an incident that had everybody worrying about a second Baltimore disaster. Authorities cleared the bridge while harbor pilots brought the vessel safely to anchor. 

  • Google’s secret weapon under investigation: A fascinating story from the WSJ about Google’s shadowy lawyer, Joshua Wright, who helped clear the regulatory path for Google’s tech domination. Now, Wright is under investigation for sexual misconduct and several conflicts of interest. 

  • Networking is making a comeback in jobseeking: Employers are reportedly drowning in perfect, genAI-generated job applications that make candidates indistinguishable. As a result, networking and ‘who you know’ has suddenly become a lot more important as employers increase their reliance on (human) recommendations.

📺 Watch - Franklin

While there are many longstanding fans of the late great Kirk Douglas, when it comes to his son Michael, not so much. But I must admit he does a brilliant job playing America’s most famous polymath, Benjamin Franklin. This 8-part miniseries has received praise for its meticulous historical accuracy, based around Franklin’s diplomatic efforts from 1776 onwards in pre-revolutionary Paris to negotiate French assistance (money and weapons) in the struggle against their shared enemy, the dastardly British. It’s heavy on diplomacy, with much of the action centered around a series of meetings between Franklin and various French ministers. If you’re looking for a fast-paced storyline with plenty of action, this isn’t for you. 

I’ve heard so much about the Acquired podcast that I decided it’s time to check it out and I wasn’t disappointed. Nearly four and a half hours long, this episode is a marathon deep-dive into Microsoft, delving into its history from BASIC and DOS to the present day. Telling the story of history's most powerful business and technology force is no mean feat, but the Acquired crew does an incredible job. It’s all here - just don’t attempt to listen to the whole thing in one session! 

💡 Think - TXSE

There's some big business news coming from my new hometown. Dallas is getting its own stock exchange! The Texas Stock Exchange (TXSE) is set to open in late 2025, thanks to James Lee and support from big names like BlackRock and Citadel Securities. This move promises both immediate and long-term benefits.

Initially, it will create 100 jobs and attract major financial investments. But the long-term impact is even more exciting. Locals expect the TXSE to boost Dallas's global reputation, unify regional economies, and support startups. Hardcore locals are convinced that this bold move could make Dallas the most desirable city in the U.S. for businesses and innovators. I wouldn't go quite so far, as there's still plenty of competition on that front. But it's a nice thought!

From my upcoming book…

The following is a short excerpt from my upcoming book, Fire the Boss, Keep the Love: 10 Jobs, 10 Exits, 10 Lessons. The release date is coming soon!

My job at American National Can wasn't what I expected.

A month into job #2 at ANC, it still felt like day one. The problem was there was no onboarding at all.

It was all on me to figure it out immediately, and I was expected to support multiple offices simultaneously. I was running in circles and completely overwhelmed. Normally, I was the one to take initiative, but here, I couldn't seem to get a grip.

It wasn't actually obvious to me how much I was floundering until a biting comment from the big boss. "Pretty soon, I'm going to start wondering what exactly you do around here," said my GM in a meeting.

I laughed, thinking it was a joke. Then I realized the GM wasn't kidding. He was serious.

And the truth was, I didn't know what I was doing over there either. Though I wasn't aware of it then, the GM's remark was galvanizing.

His question became my epiphany: it was time to move on.

Charts of the Week

Quote of the Week

People often say that this or that person has not yet found himself. But the self is not something one finds; it is something one creates

- Thomas Szasz

Tweet of the Week

The Final Chuckle

Thanks so much for reading. I’d love to know what you think about this issue and how I can make it more useful to you.

If you have suggestions or topics you want to see me address, email me at [email protected]!

Want more?

If you’d like to read more of my writing on supply chain, entrepreneurship, or the future of work, check out my website.

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Happy reading this weekend!

-- Naseem