Apple’s revised campus plans

Why would they be worried about construction costs?

  • Regardless of how much cash they have, they are a public company and do have to justify the money they spend on this to shareholders

    • Gangbanger51

      No they don’t. If you don’t like how they’re spending their money you can sell.

      • You’re kidding, right?

        The CEO is the selection of the board. The board of a public company is legally an agent of the stockholders in aggregate.

        Wikipedia: “A fiduciary duty is the highest standard of care at either equity or law. A fiduciary (abbreviation fid) is expected to be extremely loyal to the person to whom he owes the duty (the “principal”): he must not put his personal interests before the duty, and must not profit from his position as a fiduciary, unless the principal consents.”

  • My guess: they’re being sensitive (and overly, in my opinion) to shareholders who are more hungry for dividends today than they are for seeing an expensive construction project that will yield returns in the future.


    main building can be built first without delay in permitting, traffic, and other permissions.

  • Michael

    Just because you have a boatload of cash doesn’t mean that you should be wasteful with it just for the sake of it. Rich folks don’t stay rich by blowing all of their cash.

  • tylernol

    because if the costs are skyrocketing before they break ground, they will skyrocket even more once the project is under way. Better to play it pragmatically and act like one does not have unlimited funds.

  • Because Tim Cook is a cheapskate. No, that’s not an insult. That’s how he got his job. He was brought in to streamline the supply line and cut production costs, which he did extremely well. Unfortunately, that seems to be his answer for everything. He sees costs climbing, he cuts them. He’s the proverbial man whose only tool is a hammer.

    • So in the end this is an insult, right?

      • The man does one thing and he does it well. Take that however you want.

        • I’ll take it that in your opinion that he does one thing and does it very well. That opinion is not shared by many though. Certainly not by me at the very least. It always seems when someone begins a comment with “not an insult” or “I don’t hate this or that” that some sort of actual insult or dislike is on it’s way.

          • In the last year under Tim Cook, Apple has condensed their product launch window, reduced the size of the dock connector, mini-mized the iPad, and reportedly is stripping out skeuomorphic design. He also approved the short-lived decision to reduce Apple Store employee hours. Granted, he did reverse that last one quickly, but it shows his inclination to cut and reduce, necessarily or not. That’s what informs my opinion. What informs yours?

          • How is reducing the size of the dock connector a bad or being a “cheapskate”? It wasn’t only reduced, it was improved as well as not having to worry about which way it gets insterted. Same thing for the iPad mini, why is that a bad decision? Because you say so? “stripping out skeuomorphic design” for many people, again, is a good thing.

            Not very good examples, so bad in fact I hardly think presenting you with any examples refuting your calling Tim Cook a cheepskate is even necessary.

          • How is reducing the size of the dock connector a bad or being a “cheapskate”? — Who said it was a bad? I already said I wasn’t insulting the man. The man cuts and trims and reduces. That’s what he does. You’re taking that as a bad thing, that’s on you. I await your apology.

          • You wrote that “Tim Cook is a cheapskate” and then wrote “That’s what informs my opinion” after writing all the things that I said did not support your opinion. Illogical. You can keep waiting.

          • “I consider calling someone a cheapskate to be an insult.” — And again, that’s on you. I said it was not an insult. I backed that up with points that you agree were not bad things. According to you, an insult is a bad thing, and I’m not saying bad things, and yet you keep coming back to insult. Pretty sure that’s on you.

            Also if you’ll recall, the original post is about how Apple is trying to cut costs on their desperately needed new HQ at a time when they have $146B in cash after banking another $9.5B last quarter. So instead of spending 2% of their cash on a new home, they might have to spend 3% or half of last quarter’s profit. And they’re fighting it. Who would fight against spend 3% of their cash to build a new home? I think a cheapskate would, but maybe I’m the crazy big spender with my willingness to spend 3% of my cash on a new home. Always two sides, right?

          • There are two sides, multiple sides/ways of viewing any opinion. That is what opinions are all about. I guess in this case we have to agree to disagree. Or agree that we are both viewing what you said in different ways. I think you are insulting Tim and just by saying you are not doesn’t negate that ( I won’t say “fact” here : P ). You apparently never intended it to be an insult. I look at it this way, if someone called me a cheapskate I would not think “oh how nice”. You can easily say that’s on you, but the fact is I can too say that you thinking you are not insulting when you are, is on you. Ha ha. Always in good fun mind you.

          • Of course, just because there are multiple sides, that doesn’t mean they’re equally valid. In this case, one side has vapid blather while the other has evidence, like this description of Tim Cook as being “extraordinarily frugal”. But whatever, you’re just going to come back with “INSULTS BAD” again, so knock yourself out.

          • I’m with James, here. “extraordinarily frugal” is not an insult; “cheapskate” is.

            This might be a regional thing, where it’s not considered rude where you’re from. However, I checked a couple sources for definitions of “skate”. Here’s two of them:

            • “an uncouth or disreputable man.”
            • “a mean, contemptible or dishonest person”

            From a word origin point of view, cheapskate is cheap + that.

            So yeah, that’s pretty insulting.

            I mean, that said: I don’t care what you call Tim Cook. But this is a stupid argument, and you’re in the wrong if you’re arguing it isn’t an insult.

          • Or you could look up the meaning of “cheapskate” and see that it means “stingy person”. Also synonymous with “tightwad” and “miser”. Are those negative terms? Sure. But are they accurate? Is Tim Cook sitting on a giant pile of money, like a miser, and still trying to keep down construction costs on desperately needed working space? As I stated initially, Tim Cook’s tightfisted ways has served Apple very well over the years, but you can’t solve every problem by cutting at it. Imagine if Apple customers balked at the high cost of beautiful constructs of glass and steel. Apple wouldn’t have this problem.

  • Picollus

    In Construction Engineering, it very common to reanalyse everything, create different scenario just to reduce cost.

    Cost of engineer are low compared to construction cost !