May 15, 2017
$5 billion is a ton of money for an ugly looking donut shaped building!
The arrogance of Silicon Valley based technology companies is astounding. Apple just wasted billions of dollars on their new corporate headquarters in California. Apparently they’re finally moving employees into it.
Apple Inc. AAPL 1.40% employees last month began testing the company’s latest innovation: Apple Park, one of history’s most expensive corporate campuses and the leading example of the tech industry’s newfound love for splashy architecture.
The first of 12,000 Apple headquarters employees moved from several drab, stone buildings in Cupertino, Calif., to space across town in the 2.8-million-square-foot circular building that resembles a spaceship. It features a seamless, curved-glass exterior and a theater that architects said was designed to look like a MacBook Air. The estimated $5 billion project commanded years of attention from top Apple executives including Chief Design Officer Jony Ive, according to three of the more than 100 architects working on the campus.
This new Apple campus was one of the final projects that Steve Jobs was involved in before his death. Initially the costs were estimated at $500 million but they ended up spending 10 times that. If Jobs were alive today I doubt he would have been happy with the final price tag.
The fact that they poured billions of dollars into such an office building indicates to me that Apple is about to hit a wall. They are the first company to reach over $800 billion in market capitalization. Fairly amazing considering they sell overpriced technology products. It isn’t like a person actually requires any of their products to live life.
Quite frankly, I just don’t see where Apple can go from here. Even though Jobs was an arrogant prick, he was an effective innovator. Since his death, there hasn’t been a whole lot of innovating from Apple.
Take for example the iPhone which has been around since 2007. The iPhone 7 which is the latest iteration of the product doesn’t really offer a whole lot more than the iPhone 6.
There’s rumors that the iPhone 8 will be available at the end of the year with a price tag of around $1,000. What could they possibly offer in the iPhone 8 that would make people want to shell out $1,000 for it? This will be a tough sell to the average person.
A $1,000+ iPhone 8 could be a big fail for Apple.
Either way, it is dumb that any company would spend $5 billion on an office building. Especially considering that Apple has no clearly defined product road map for the future. That money would have been better spent on research and development. I mean, how many of Apple’s customers actually give a damn about Apple’s “cool” new office space?
They might as well have built the thing in orbit!
This just shows the absurd decadence within Silicon Valley. It will be their eventual undoing.