Apple (AAPL) Stock: Company Cuts Dozens of Sales Roles – Here’s Why

TLDR

• Apple has cut dozens of sales roles across its business, education, and government sales teams in a rare workforce reduction
• The layoffs affected account managers and briefing center staff, with employees given until January 20 to find internal positions or receive severance
• Apple confirmed the cuts affect a “small number of roles” and is repositioning the move as streamlining overlapping responsibilities
• The cuts include a government sales team working with Defense and Justice departments, which faced pressure from the recent government shutdown and DOGE spending cuts
• Despite the layoffs, Apple is on track for record December quarter sales of nearly $140 billion and continues to hire for other sales positions

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Apple has eliminated dozens of sales positions across its enterprise, education, and government divisions. The cuts represent an unusual move for the tech giant.

Management informed affected workers over the past few weeks. The layoffs impacted various teams within the sales organization.

Apple Inc., AAPL

The eliminated roles included account managers serving major businesses, schools, and government agencies. Staff operating Apple’s briefing centers for institutional meetings and product demonstrations also lost their positions.

Apple confirmed the restructuring on Monday. A company spokesperson stated the changes affect a “small number of roles” as part of efforts to “connect with even more customers.”

The company emphasized it continues to hire. Laid-off employees can apply for available positions within Apple.

Affected workers have until January 20 to secure another internal role. Those who don’t find positions will receive severance packages.

Government Sales Team Takes Major Hit

One primary target of the layoffs was the government sales team. This division works with agencies including the US Defense Department and Justice Department.

The team already faced difficult conditions. The 43-day US government shutdown created challenges.

The Department of Government Efficiency imposed spending cutbacks. These DOGE-related cuts added pressure to the sales operations.

Some affected employees suggested the move aims to shift more sales to third-party resellers. Organizations sometimes prefer working with these indirect sellers.

The strategy could help Apple reduce internal costs like salaries. The company internally frames the layoffs as eliminating overlapping responsibilities.

The cuts included longtime managers with extensive tenure. Some employees had worked at Apple for 20 to 30 years.

Record Revenue Despite Workforce Reduction

The layoffs come during a period of strong financial performance. Apple is projected to generate nearly $140 billion in sales for the December quarter.

This would break the company’s previous revenue record. Growth has reached the fastest pace in years.

Apple is also planning a new low-end laptop for early 2026. The device could help reach additional business and educational customers.

The company advertised sales roles on its jobs website. Laid-off workers received encouragement to apply for these openings.

Apple’s sales group reports directly to CEO Tim Cook. Mike Fenger, a long-tenured vice president, oversees the division.

Vivek Thakkar, a Fenger deputy, took on expanded responsibilities earlier in 2025. He now oversees all enterprise and education sales.

The cuts followed similar moves in Australia and New Zealand. About 20 roles were eliminated in those markets several weeks earlier.

Apple relies less on layoffs than many tech peers. Cook previously described job cuts as a “last resort.”

The company typically structures eliminations to avoid triggering Worker Adjustment and Retraining Notifications. These WARN notices are required by US labor law.

Apple cut employees in 2024 due to product cancellations. The now-shuttered self-driving car project affected numerous workers.

Efforts to develop in-house screens for devices also resulted in cuts. Some AI-related teams and services division parts saw reductions.

Other tech companies continue broader layoff efforts. Amazon recently announced cuts affecting more than 14,000 employees.

Meta Platforms cut several hundred roles in its AI organization. The industry-wide trend contrasts with Apple’s typically conservative approach to workforce reductions.

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