Best Ideas Newsletter holding Apple (click ticker for report: ) is perhaps best known for its relentless focus on design elegance, with a legacy started by Steve Jobs and carried on by Jony Ive. That trend continued this week when the company nabbed high-end fashion brand Yves Saint Laurent CEO Paul Deneve. Devene will join as an executive in charge of “special projects” and will allegedly report directly to Apple CEO Tim Cook.
Why does this matter? In our view, it signals that Apple could be branching out into different product lines, and after Apple filed to trademark iWatch in Japan, we think it could mean the company is currently focusing more extensively on wearable technology. At the ‘All Things D’ conference, Cook spoke favorably of biometric monitoring technology. Though it may be somewhat of a fruitless exercise to spend a lot of time speculating on what Apple might work on next, a competing product to Google Glass, Jawbone, and/or other accessories could be around the corner.
As for Devene, his business experience is diverse, ranging from internal auditing at ExxonMobil to a stint at Apple Europe during the 1990’s before entering the world of high-fashion. Devene also holds an MBA from the University of Chicago and a graduate degree from Stanford University. His time atop Yves Saint Laurent was relatively brief, making it difficult to judge his tenure.
Valuentum’s Take
From the information available on Devene, we think he hits the sweet spot of what Apple should be looking for in executives. He has design experience and, presumably, expertise, while he also has an extensive business background which could lead to a tremendous focus on margins.
Ultimately, Deneve might not push the needle for Apple, but it’s hard not to like this hire. Shares of the tech giant are again showing some signs of life, and we feel very comfortable holding on to our position in the portfolio of our Best Ideas Newsletter.