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Apple Needs Somebody To Say No To Bad Design

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An ex-Apple (AAPL) engineer, Michael Margolis, tweeted, “Now there is nobody to say no to bad design.”

Margolis was referring to the design of the new Apple TV set top box that was released alongside the new iPad earlier this month. Margolis claims that the new designs were tossed out five years ago because Steve Jobs did not like them.

Whenever user interfaces change, some previous users are not going to like new designs. Today, many experts would think the new design is brilliant because it brings more of a sense of uniformity to Apple products.

It is amazing how short investor’s memories are. It was not long ago that there was a big concern regarding the future of Apple in the absence of Steve Jobs. It used to be that Apple stock would go down even on rumors of Steve Jobs illness.

In a very short time, concerns about Apple after Steve Jobs seem to have disappeared. There is hardly ever a mention of this subject in the media. The Apple bulls almost universally accept that Steve Jobs built such a strong executive team and that Apple is on such a strong trajectory that Steve Jobs' genius is no longer need to propel Apple stock higher and higher.

It is true that Apple has successfully introduced iPhone 4 S and the new iPad after Steve Jobs passed away. There is no argument that these products were well on their way to introduction when Steve Jobs was alive.

Technology moves rapidly. Sooner or later the game plan Steve Jobs laid out will be obsolete. Then there will be a true test of Apple without Jobs. In the euphoria generated by the stock rise, it is easy to ignore risks. Like Warren Buffett said, “We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful.”

About Me: I am an engineer and nuclear physicist by background. I have founded two Inc. 500 companies, and have been involved in over 50 entrepreneurial ventures. I am the chief investment officer at The Arora Report, which publishes four newsletters to help investors profit from change. Write me: Nigam@TheAroraReport.com. You can follow me here and get email notification when I publish a new article.

Full disclosure: Subscribers to The Arora Report are long Apple from $131 and have taken partial profits at $360, and $525.