Apple (NASDAQ:AAPL) reported its first annual revenue decline since 2001, but that didn’t stop former Apple CEO John Sculley from remaining optimistic about the tech giant.
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Sculley said it’s easy to be distracted by news of the day, but a longer time horizon is important when evaluating a company’s true performance.
“The iPhone is alive and well and it’s got a great leader at Apple with Tim Cook. So, I’m still very optimistic with Apple, expect the stock will be worth a lot more a year from now than it is today,” he told the FOX Business Network’s Neil Cavuto on Wednesday.
AT&T (NYSE:T) reached a proposed deal to buy Time Warner (NYSE:TWX) for $85.4 billion, but there have been reports this week Apple had expressed interest in Time Warner as well. In Apple’s fiscal fourth-quarter earnings call, Cook said, “I would confirm that television has intense interest with me and many other people here.”
Sculley said a potential expansion into television and content production would be a smart move for Apple.
“I believe that Apple should focus in on the fact that the iPhone is the best mobile media experience in the world. And they ought to move, in my opinion, into owning their own media, producing their own content. And whether they do that by acquisition or they have $248 billion to invest, that makes total sense to me that Apple needs to look at that,” he explained.
Sculley even went as far as to suggest Apple create its own television network.
“It doesn’t have to be cable anymore, it can be television over mobile devices and Apple owns the iPad, it owns the iPhone as great platforms to do that. So, I think Tim Cook’s smart to be looking at that,” he said.