Read the full transcript from the MSNBC broadcast of “Revolution: Apple Changing the World,” an exclusive town hall interview with Apple CEO Tim Cook, Chris Hayes, and Recode’s Kara Swisher.
CHRIS HAYES: Good evening from New York, I’m Chris Hayes. Tonight, something different. You may have already seen some of the news-making soundbites from our exclusive interview with Tim Cook of Apple, who sat down with Recode’s Kara Swisher and I at a townhall event in Chicago last week. Well tonight, we bring you a full hour with the Apple CEO. It was an illuminating discussion covering everything from Apple’s responsibility to American workers to their approach to customer privacy to exactly what Tim Cook would do if he were in Mark Zuckerberg’s shoes right now. “Revolution: Apple Changing the World” starts right now.
((BEGIN VIDEOCLIP))
ANNOUNCER: Tim Cook. The leader of one of the most innovative and influential companies of our time.
TIM COOK: We’ve always infused humanity into our products.
ANNOUNCER: Tonight, he opens up about how technology is revolutionizing education.
TIM COOK: We want kids to be creators not merely consumers.
ANNOUNCER: About increasing concerns over privacy issues as personal information is being misused on the web.
TIM COOK: Privacy to us is a human right.
ANNOUNCER: And the most consequential issues Americans face… including immigration.
TIM COOK: The DACA situation I am personally, as an American, deeply offended by.
ANNOUNCER: From Chicago…This is “Revolution: Apple Changing the World.” Here are MSNBC’s Chris Hayes and Recode’s Kara Swisher.
((END VIDEOCLIP))
CHRIS HAYES: Welcome to Lane Tech College Prep High School – here on North Side of Chicago… We’re here to interview the leader of a company that revolutionized the way we communicate. One of the most recognizable brands on the planet and also, crucially, the most valuable company in the world: Apple.
KARA SWISHER: And it’s poised to potentially become the world’s first trillion-dollar company, raising new questions about its role and responsibility in everything from job creation, to education, to privacy protection. We’re going to talk about that and more. So let’s bring out the CEO of Apple – Tim Cook.
KARA SWISHER: Tim – Thank you for coming. I think they’re all excited to get new iPhones from you. (LAUGHTER) Just to be clear, this is not a discussion that, you’re not announcing a new iPhone here, is that correct?
TIM COOK, CEO, APPLE: That’s correct.
SWISHER: Cause you’ve sometimes you’ve teased them –
COOK: Yeah, sometimes.
SWISHER: Sometimes. We’re actually going to be talking about education. You had an event here in Chicago about education. And about iPads and different things. Why don’t we talk a little bit about what you were announcing, what you’re trying to do.
COOK: Yeah. Well, we announced the new curriculum called Everyone Can Create, in recognition that, in addition to the regular courses that people get in school, that you could actually, if you intersect those with technology, you can amplify the level of learning and creativity in these classes. The purpose is that our view is that education is the great equalizer of people. And if you look at many of the issues that we face in society today, that you can find their root in that people don’t have access to quality education. Maybe they don’t have access at all. And that the country should be investing more in that. And what we’ve identified some areas that we think we can help in. One of those is in coding education.
SWISHER: Right.
COOK: And so we not only have a curriculum around coding, but we crafted our own programming language, created it.
SWISHER: But one of the things you spoke on and announced is this, frankly, the city ofChicago and Northwestern University.
COOK: Yes, yes.
SWISHER: (CROSSTALK) — you’re going to help teachers learn.
COOK: That’s right.
(AUDIENCE APPLAUSE)
SWISHER: Explain that. Explain that and then I want to get into the idea of whether everybodyshould code.
COOK: What we’re doing is — what we’ve found is that most all teachers want a level of coding fortheir classes. You know, I talked to a teacher in Toronto a couple months ago, that has integratedcoding into her mathematics class and she’s found that her students learned the mathematicslessons much faster and much deeper with coding introduced.
You know, our products help engage students in the learning process more. I mean, this is a, thisis a proven thing. And so what we’re doing at Northwestern is working between Northwestern andLane Tech, which is the high school that you’re at, obviously, working together to offer training toevery teacher in the, in the system, that wants to come. Free training. Free professionaldevelopment. And helping them integrate coding into their classes.
SWISHER: One of the things that I hear a lot about in Silicon Valley if you’re not creative, you’re not going to have a job; that they’ll be replaced by a computer and somebody – either by A.I. or automation or something like that. We can talk about that, but – Besides coding, let’s talk about where jobs are. Because there’s people working already and they have to be retrained and changed for the economy. Can you talk about where jobs are and what people who are currently working have to do to educate themselves?
COOK: Yes, I think – number one, I think we all have to get comfortable that education is sort of life long – a life long requirement. It’s no longer sufficient to go to school for 12 years and maybe some more in college and then call it quits for a lifetime. Jobs will be cannibalized over time and replaced by others. And now, those people that embrace that, they’re going to do incredibly well, and certainly the system to help people retrain has to be put in place and largely needs a lot of work right now to do that, but I think there are going to be incredible jobs in AI, AR. I’m a huge fan of augmented reality. I think it is huge –
SWISHER: You are.
COOK: – it’s profound, right? There will be still incredible jobs in many, many fields that exist today. I think we’re probably – I think the narrative around doom and gloom is not correct.
SWISHER: Well, what is it then?
COOK: Well, I think it’s more of – if you look back in history – when I started working as an intern, if I had a question for the accounting department, I went to the accounting manager and they would take a journal and open up the journal and find where they had manually recorded something. Obviously spreadsheets came along and that automated some of that and then more and more things happened over the time with enterprise systems, et cetera. And so, we’ve had this significant productivity change in the United States for a long time, and there have been jobs that have been displaced, but frankly, many more jobs have been created than displaced. What we didn’t do a good job of is taking care of the people that were displaced and getting them into the jobs that were being created. That is a muscle the U.S. has not done a good job of building.
HAYES: And for not – not for lack of trying. This solution, right – you’ve got the Trade Adjustment Act, you’ve got all sorts of job retraining funding starting all of it way back in Clinton – the idea was, “look, we now we live in this era of creative destruction, jobs are going to go away, and the solution to that is retraining.” It hasn’t really worked. I mean, on scale, it hasn’t really been effective. Is there a responsibly that you at Apple or other tech companies have to be part of that rather than that being something the –
COOK: Yes, I think as is the case in most huge problems that are complex, we should not all sit around waiting for government to tell us what to do. This should be something that government and business are working together on, and I do believe we have a responsibility. I feel it.
SWISHER: But it is a narrative from Silicon Valley that it’s not – – it’s going to be like farming to manufacturing, there’ll be more and more jobs. Talk a little about the displaced – what can’t you be doing now? If you’re a worker, what would you be worried about?
COOK: Well I am a worker.
SWISHER: Yes. (LAUGHTER)
HAYES: Of a sort.
SWISHER: Of a sort.
COOK: Of a sort. I think most people would say I’m worker, but – –
SWISHER: You’re a hard worker, Tim.
COOK: – – but no, I think that all of us should count on there’s an element of what each of us do that will be automated over time. And part of that, by the way, we should all say thank God because we’re all working too much. Wouldn’t society be great if we all work a little less, but we didn’t have to dial down our output? That wouldn’t be so bad, but I do think that we all have to get used to the idea of continually learning, refreshing our skills for the jobs of tomorrow. The jobs of tomorrow right now are heavily software-based. If you look in this country today, there’s a half a million jobs that are not being filled; they’re all software. Of that half a million – there’s more jobs that aren’t being filled other than software, but there’s a half million just software. And so – – I mean there’s huge, that’s a huge gap. That number’s projected to go to two million over the next three to four years. And so that is enormous, right? And we’ve got to get more people interested in coding, we’ve got to reach out to women and under-represented minorities that have been too low in coding. (APPLAUSE) And I feel, for Apple, we’re going – – we’re taking the responsibility of doing that. We’re not just saying hey this school only has 20 percent women in this curriculum and so I can’t hire any more women. I think that’s a cop out. I think the businesses doing that are not viewing their responsibility correctly. Businesses should be more than about making revenues and profits.
HAYES: Part of responsibility or social contract for anyone, right – citizens, nonprofits, corporations – is how we interact with government. Taxes is one part of that, as well, regulation. You know, Apple just announced a huge investment in the U.S. right. Repatriated all this money from abroad, paid a one-time tax fee. There’s a question now, does that change how Apple works going forward? Big argument about this tax bill was the U.S. tax code was uncompetitive and it forced companies to do things like incorporate in places like Ireland or the Island of Jersey so that they could avoid the onerous rate. Not that’s changed, now the money’s been brought back, does that change how Apple legally exists in terms of where it’s incorporated and what taxes it pays?
COOK: Yes, what it does, Chris, is that it allows you to take earnings that you are earning in other countries in the world – maybe you’re earning them in Latin America or the Middle East or wherever you’re selling your product – and it allows you to take those earnings and invest in the United States without a further penalty.
HAYES: Right but is that a one-time thing or is that or is that an alternation –
COOK: No that’s an ongoing thing.
HAYES: – permanently to the way you guys are incorporated.
COOK: That is ongoing and that was the biggest thing in the tax thing from a corporate point of view. For your viewers, I want to distinguish corporate versus individuals.
HAYES: Right.
COOK: I – we took no position on individual because we would just be a part of the peanut gallery. We have no special expertise there. It’s not something I would have done, right, or in that way, but the corporate piece I do believe is good for America because I think what the result of it will be is America will have higher investments.
HAYES: Yes.
COOK: And that’s essential.
SWISHER: What about jobs that Apple has in this country. Obviously you’re not going to make iPhones here; you never have, you’ve made them abroad the entire time, so have other companies created things. What would Apple – would a bigger Apple business look like then?
COOK: Well, we’re hiring at least 20,000 people in the U.S., right, so that’s not a small amount. But number of jobs we will create including that work for other people, we’ve already created 2 million in the U.S. At 1.5 million of those…
SWISHER: So the iterate – as things iterate out.
COOK: Well – but not too far – iterating out too far. A million and a half of those write apps, for your iPhone and your iPad. A million and a half. And the unbelievable thing about this is, the party of one can sit in the basement of their home, whether they’re in a rural area, urban area, wherever they would like to be, and they can create an app, and all of a sudden, they can sell their products around the world. That has been an unbelievable, empowering thing.
SWISHER: So you don’t see it as a big factory? I know President Trump has said this, that there’s going to be factories and he’s been pressing people…
COOK: Here’s what I see. Can we build – we are building things in the United States. And it’s not true that iPhone isn’t built in the United States. Let’s talk about that for a minute.
SWISHER: OK, alright.
COOK: Here’s the truth. There are components of iPhone built in the United States. The glass is from Kentucky, their mini chips – silicon chips – that are all made from all over the United States. There’s equipment that goes into manufacturing that’s all over the U.S. The very sophisticated face I.D. module on the iPhone X will be made in the United States.
SWISHER: In Texas.
COOK: In Texas, yes. And so there are plants going in, in many different places and we have always made many of the parts here. What people just fixate on because I think it’s just a misunderstanding, is that they just see where the final product is assembled and say, oh, that is not done in the U.S. But in a global world, you begin to do things in a variety of countries, and so you source components somewhere, some other components somewhere else, you assemble yet somewhere else. And then those product go everywhere in the world. That’s how a global system works.
SWISHER: But there’s an existing political pressure around this idea of opening – you know, Jeff Bezos’, the headquarters thing, the idea of it. Is that…?
COOK: I don’t feel political pressure. Look, what we want to do at Apple – we know that Apple could only have been created in the United States. (APPLAUSE) We know that. This company would not have been started in any other country in the world. It would not have flourished in any other country in the world. The vast majority of our research and development is done here. And – and so we love this country. You know, we are patriots. This – this is our country. And – and so what we – we – we want to create as many jobs as we can in the U.S. We don’t need any political pressure for that. We’re already been doing this. And – (APPLAUSE) And we want those to be as across as much of the U.S. as possible. We’ve got a huge amount of people in California, we have a huge amount of people in Texas as a company. And so we said you know, we’re going to–we’re going to create a new site. And we’re going to create it in a state other than California and Texas.
SWISHER: There’s 48 more.
COOK: There’s plenty more.
HAYES: You did that in your head?
SWISHER: Yeah I did.
COOK: There’s plenty more. And we’re not – we’re not doing the – the beauty contest kind of thing. We’re not – that’s not Apple. And – (APPLAUSE)
HAYES: What do you think about the beauty contest model? I’m watching cities line up to essentially throw subsidies and in some cases, hundreds of millions of tax dollars at Amazon to get them to come. You’ve got Foxconn in Wisconsin that signed this big contract and the subsidies are now looking like they’re hundreds of millions of dollars there. What do you make of that kind of competition?
COOK: I – I think that each state – I think the great thing about the U.S. is – is freedom. And I think if states want to compete for things, then – then god bless them. I think that’s – that’s sort of – that’s a part of America. And so I don’t – I don’t condemn it. I think it’s their decision. But from our point of view, we didn’t want to create this contest. Because I think – because I think what comes out of that is you wind up putting people through a ton of work to select one. And – and so you wind up – that is a case where you have a winner and a lot of losers, unfortunately. I don’t like that. You know, my – (APPLAUSE) I – most – most things in life I do not view as win-lose. We always – the – the best things you can ever do in business is find the win-win. You know, whoever you’re working with. If you’re trading between countries, you find a way for both to win. If you’re working with a partner in business, find a way for both to win. That contest is set up as a win-lose and not something I want Apple to be a part of.
((BEGIN VIDEOCLIP))
ANNOUNCER: Up next on “Revolution” – your privacy, and the shot heard round the tech world.
SWISHER: If you were Mark Zuckerberg, what would you do?
COOK: What would I do? I wouldn’t be in this situation.
SWISHER: OK. (APPLAUSE).
((COMMERCIAL))
# # #
HAYES: We are back with Apple CEO Tim Cook. In the – in the wake of the news about data scraping by Cambridge Analytica and – and Facebook, you had this to say recently and I thought it was quite interesting. You said, “It’s clear to me that something, some large profound change, is needed. I’m personally not a big fan of regulation because sometimes regulation can have unexpected consequences to it. However, I think this certain situation is so dire, has become so large, that probably some well-crafted regulation is necessary.” What’d you mean?
COOK: Yeah. Look, we – we’ve never believed that these detailed profiles of people – that has incredibly deep personal information that is patched together from several sources – should exist. That the connection of all of these dots that you could use them in such devious ways if someone wanted to do that that this was one of the things that were possible in life, but shouldn’t exist.
SWISHER: Right.
COOK: Shouldn’t be allowed to exist. And so, I think the best regulation is no regulation is self regulation. That is the best regulation, because regulation can have unexpected consequences, right? However, I think we’re beyond that here, and I do think that it’s time for a set of people to think deeply about what can be done here.
HAYES: Now, the cynic in me says – the cynic in me says – you’ve got other tech companies that are much more dependent on that kind of thing than Apple is. And so, yes, you want regulation here because that would essentially be a comparative advantage, that if regulation were to come in on this privacy question, the people it’s going to hit harder aren’t Apple. It’s places like Facebook and Google.
COOK: Well, the skeptic in you would be wrong. (LAUGHTER) The truth is we could make a ton of money if we monetized our customer. If our customer was our product, we could make a ton of money. We’ve elected not to do that. Because we don’t – (APPLAUSE) Our products are iPhones and iPads and Macs and HomePods and the Watch, et cetera, and if we can convince you to buy one, we’ll make a little bit of money, right? But you are not our product.
HAYES: Right.
COOK: You are our customer. You are a jewel, and we care –
HAYES: Well thank you, Tim. (LAUGHTER)
COOK: We care about the user experience. And we’re not going to traffic in your personal life. I think it’s an invasion of privacy. I think it’s – privacy to us is a human right. It’s a civil liberty, and in something that is unique to America, you know, this is like freedom of speech and freedom of the press and privacy is right up there for us. And so, we’ve always done this. This is not something that we just started last week when we saw something happening. We’ve been doing this for years.
HAYES: Yeah.
SWISHER: Let’s go to that privacy. An interview I did with Steve Jobs ,with Walt Mossberg, and I did with him, right before he died actually, where he was talking about this very subject.
(BEGIN VIDEOCLIP)
STEVE JOBS: Privacy means people know what they’re signing up for in plain English and repeatedly. That’s what it means. I’m an optimist. I believe people are smart and some people want to share more data than other people do. Ask them. Ask them every time. Make them tell you to stop asking them if they get tired of you asking them. Let them know precisely what you’re going to do with their data.
(END VIDEOCLIP)
SWISHER: All right, let’s talk about that. (APPLAUSE) What happens now with Facebook, Google, the others? There’s been a lot. There’s going to be Senate hearings, all kinds of things.
COOK: Well, I don’t think all companies are in the same position, right?
SWISHER: OK.
COOK: And so, I think one thing that is necessary is for – I think everybody needs to understand Silicon Valley is not monolithic.
SWISHER: Right.
COOK: Right? I know it’s easy to kind of group people that are the same market cap or they’re big together, and think of it like –
SWISHER: Lot’s of hoodies.
COOK: But life is really different than that. These companies are really different company to company. And, so, what I think has to be done – we have to think about how this – these profiles can be abused. And I might have a different view than you. I might be more on the privacy side than most, right? I – and I suspect everybody has a personal different level of sharing that they will do, but everybody should know what they’re doing. Everybody should know what they’re giving up. And not only the specific data points, but the issue is more of the whole line that people can draw, right? It’s the – when I know this, plus this, plus this, plus this I can infer a whole bunch of other things and that can be abused. And it can be abused against our democracy. It can be abused for an advertiser as well. To me it’s creepy when I look at something and all of a sudden it’s chasing me all the way across the web. I don’t like that.
HAYES: Particularly when I brought it! (APPLAUSE)
COOK: So, I think what has to be done is the type of information has to be looked at that companies can hold. I think the connection and sources of data have to be looked at. When you own many different properties, when you’re the owner of many different properties and I can take the information I’ve learned about you from this property, add it to what I learned about you here and here and here. And there’s no reasonable alternative for people.
SWISHER: Right.
COOK: This is not good.
SWISHER: But you also have third party apps –
COOK: Of course.
SWISHER: That you have, that they, that your apps get information from.
COOK: Yes.
SWISHER: And that was the issue – that’s the issue around Facebook, is a third party app problem, besides them collecting information. So, first, what would you do about – what do you do more about your third party apps to police them? Because, I think, policing is the big issue around Facebook. And then if you were Mark Zuckerberg, what would you do right now?
COOK: We’ve always been – we’ve always been focused on curation. We’ve also believed in curation.
SWISHER: Right.
COOK: So, we’ve always felt, as a platform owner, that’s a huge responsibility and that we should curate and so we –








