Apple's Dan Riccio, key executive in both the Jobs and Cook eras, to retire

Apple Inc.'s Dan Riccio, who oversaw the company's push into mixed-reality headsets and previously served as its hardware engineering chief, is retiring.

The veteran executive, a vice president who reports to Chief Executive Officer Tim Cook, is leaving Apple this month, according to people with knowledge of the move. Employees in Riccio's Vision Products Group, which includes a couple thousand engineers working on headsets and related technology, were told they would become the responsibility of John Ternus, Apple's hardware boss.

Mike Rockwell, Riccio's current lieutenant, will continue to lead the Vision Products Group on a day-to-day basis, said the people, who asked not to be identified because the changes aren't public. A spokesperson for the Cupertino, California-based company declined to comment.

Riccio's exit marks one of the most significant departures from Apple's management team - though it's been in the making for some time. Three years ago, he switched from being a senior vice president to a vice president and left the 12-person executive team, a step toward his eventual retirement.

Riccio spoke at an event at the Massachusetts Institute of Technology on Wednesday, telling students he is "winding down" his career at Apple. He said he wants to get more involved at the engineering program named for him at the university, including by potentially teaching or developing curriculum material. He also spoke about the birth of the original iMac and said the iPhone X was the product he was most proud to create.

The executive spent 26 years at the company and was known at times for an abrasive style and controversial moves, but he also made key hires and encouraged acquisitions that resulted in major new products. His tenure included overseeing some of Apple's biggest bets, including development of the Vision Pro headset and the failed bid to make a car.

Since stepping down from the top hardware engineering post in early 2021, Riccio has led the Vision Products Group, or VPG, which includes the Vision Pro work. He was one of the biggest advocates for the device and served as a bridge between the group and Apple's top executive team.

Turning the Vision Pro into a hit has been an uphill fight for Apple. The headset, which melds augmented and virtual reality, was plagued by problems with weight, overheating and a high price. But it's still seen as a stepping stone toward more commercially successful devices.

Other projects struggled to even get to the product stage. When Riccio ran Apple's hardware division, he led Apple's push into self-driving cars, an endeavor that was abandoned this year. An earlier attempt to make Apple television sets was shuttered nearly a decade ago.

But Apple also brought several major devices to market under Riccio's watch, including AirPods, the iPad Pro and the first large-screen iPhones. Riccio became Apple's hardware chief in 2012 upon the exit of Bob Mansfield. When Riccio left that job, he was replaced by Ternus.

Riccio's transition to a smaller role in recent years fits a pattern for Apple. After Phil Schiller stepped down as head of marketing in 2020, he remained in charge of the App Store. And the company is trying a similar tack with Chief Financial Officer Luca Maestri, who is leaving his job at the end of this year but staying on to oversee real estate and information security efforts.

Riccio was a key player under Steve Jobs before Cook took over in 2011, and his departure represents one of the biggest changes since the 2019 exit of design guru Jony Ive. A larger shake-up still lies ahead. Many members of Apple's management team are nearing retirement age at the same time, including Cook, who turns 65 next year.

Bloomberg News reported in March that Riccio, who joined Apple in 1998 as a director in its product design group, was nearing retirement. Dan Rosckes, Apple's procurement chief, is also retiring imminently, Bloomberg reported this week.

During his talk Wednesday, Riccio discussed the leadership skills he learned working with Cook and his "old boss Steve." Big tech companies fail because they grow risk-averse, Riccio said, with executives feeling like they have too much to lose.

He said Apple has thrived because it stayed nimble and empowered executives in a way that there was "one throat to choke" when something went wrong, rather than having multiple managers making excuses.