Schiller Departed App Store Role Over Margin Strategy by Ternus and Cue

Phil Schiller stepped down as App Store head rather than carry out CEO John Ternus and services chief Eddy Cue's plan to boost margins and recurring revenue, Bloomberg's Mark Gurman reported September 6. Schiller felt pushing profitability harder would worsen conflicts with governments and developers. The App Store now reports to Cue's Services division. Schiller remains an Apple Fellow.