WSJ What’s News (April 21, 2026)

Episode: Why Apple Bet on an Engineer to Lead the AI Era

Overview

This episode of WSJ What’s News covers the high-profile succession at Apple, with hardware chief John Ternus set to lead the company into the AI era following Tim Cook’s departure as CEO. The episode also unpacks pivotal business and policy stories: Spirit Airlines’ plea for federal aid amid industry turmoil, President Trump’s surprise support for psychedelic drug research, and Germany’s industrial pivot from auto manufacturing to defense production.

Key Discussion Points & Insights

1. Apple’s Leadership Transition and the AI Challenge

(00:19–03:14)

• John Ternus Named Next CEO:
  Apple’s first CEO change in 15 years will see John Ternus, head of hardware, replace Tim Cook in September.

  • Ternus has led major hardware initiatives, including AirPods, iPhone, and Apple’s move from Intel to in-house chips.
  • The transition comes amid criticism that Apple’s innovation has stalled compared to rivals investing heavily in AI.

• Cook’s Advice to Ternus:
  Tim Cook’s guiding principle for Ternus emphasizes values:

  “Be yourself, keep a firm North Star on the values of the company. Because if, if you get the values right...you may be blown off course a little bit, but eventually you will come back to the right path.”
  —Tim Cook [01:36]

• Apple’s Position in AI:
  Deputy tech bureau chief Bradley Olsen highlights Apple’s strengths and challenges:

  "Apple is basically the delivery system for AI ...for billions of people that have iPhones... But it's behind its rivals in terms of building models that people will use."
  —Bradley Olsen [02:30]

  • Ternus inherits the task of making Apple a major AI player, especially as a public-facing executive.
  • Tim Cook will stay on as executive chairman, potentially mentoring Ternus.

• AI Revenue & Strategic Moves:

  • Apple’s App Store AI revenue set to surpass $1 billion in 2026, fueled by subscription fees from partners like OpenAI.
  • Analysts expect a more AI-powered Siri Assistant and broader integration into software ecosystem.

2. AI Investment Race: Amazon and Anthropic

(03:14–03:27)

• Amazon boosts its investment in Anthropic (Claude AI model), now totaling $25 billion, including $100 billion in cloud services—demonstrating escalating stakes in AI infrastructure.

3. Aviation Industry Under Pressure: Spirit Airlines’ Struggle

(03:27–05:23)

• Rising Fuel Costs:
  High fuel prices drive up operating expenses; Alaska Air cuts financial guidance, shares drop.
• Spirit Airlines and Possible Government Aid:
  Aviation reporter Ben Katz shares updates:

  “One of those options would actually be the US government taking a stake in the embattled airline.”
  —Ben Katz [04:33]

  • Spirit is at risk of liquidation and seeking relief, but other low-cost carriers are lobbying for help as well.

4. Psychedelic Drugs: From Fringe to Federal Fast-Track

(05:23–07:13)

• Executive Order to Expedite Drug Approval:
  President Trump signs an order to speed up FDA review of psychedelic drugs (MDMA, LSD, magic mushrooms) for mental health treatments.
  • Context: Past trial failures, difficulties with placebo tests have slowed approvals.

  “Part of it is it's really hard to do placebo tests with these because the patients...know immediately...”
  —Alex Frankos [06:14]

• Cultural Shift and Political Momentum:
  • The Make America Healthy Again (MAHA) movement embraces psychedelic therapies.

    "Joe Rogan sent a text to the president...within a week he had done this executive order."
    —Alex Frankos [06:52]

5. Middle East Tensions: US–Iran Ceasefire Uncertainty

(07:13–07:55)

• Ongoing confusion over Iran negotiations and the possible extension of a US ceasefire.
• President Trump is unlikely to extend the current truce as deadlines approach.

6. Germany’s Industrial Pivot: From Cars to Cannons

(08:27–13:16)

• German Manufacturing Crisis:

  • Sector loses ~15,000 jobs/month; auto industry in steep profit decline (Mercedes Benz down 49%, Volkswagen 44%, Porsche 98% year-on-year).

• Turning to Defense Production:
  Chief European political correspondent Bojan Panchevsky explains Germany’s response:

  “Germany is in search of a new business model and...figured out that the geopolitical turmoil is here to stay and there will be a growing demand for weapons systems.”
  —Bojan Panchevsky [09:52]

  • Government encourages realignment—matchmaking platforms introduced for manufacturers to link with defense demand.

• Company Case Studies:

  • Schaeffler: Pivoting 10% of $28B turnover to newly founded defense division.
  • Deutz: Engine supplier now focuses on engines for tanks, drones.
  • Volkswagen: Negotiating to supply parts for Israel’s Iron Dome defense system.

• Long-Term Economic Outlook:

  • Defense unlikely to offset the entire auto sector, but Germany is well-positioned for scale and competitiveness with US, France, and UK in arms production.

    “Nobody in NATO will buy Chinese weapons...or Russian weapons...So...Germany is very likely to come up front.”
    —Bojan Panchevsky [12:07]

  • New Role in NATO Supply Chains:

    “For the first time now, these Patriot missiles will be produced in Germany...”
    —Bojan Panchevsky [12:54]

Notable Quotes & Memorable Moments

• Tim Cook’s Leadership Philosophy:

  “Be yourself, keep a firm North Star on the values of the company...you may be blown off course...but eventually you will come back to the right path.”
  —Tim Cook [01:36]

• Bradley Olsen on Apple’s AI Role:

  “Apple is basically the delivery system for AI...but it's behind its rivals in terms of building models.”
  —Bradley Olsen [02:30]

• Alex Frankos on Psychedelics and Political Advocacy:

  “Joe Rogan sent a text to the president last week and said, hey, you really gotta get on this. And within a week he had done this executive order.”
  —Alex Frankos [06:52]

• Bojan Panchevsky on Germany’s Defense Pivot:

  “If you produce engines, you can pivot from cars to tanks or even to drones.”
  —Bojan Panchevsky [10:07]

• On Industrial Shifts:

  “Germany is in search of a new business model and they figured out that the geopolitical turmoil is here to stay and there will be a growing demand for weapons systems.”
  —Bojan Panchevsky [09:52]

Important Timestamps

• 00:19 — Apple CEO transition & industry pressures
• 01:36 — Tim Cook’s advice to John Ternus
• 02:30 — Apple’s AI prospects
• 03:14 — Amazon’s AI investment
• 04:33 — Spirit Airlines seeks government help
• 06:14 — Psychedelic drug FDA challenges
• 06:52 — Joe Rogan’s role in influencing drug policy
• 09:52 — Germany’s pivot toward defense
• 10:36 — Examples of German companies shifting production
• 12:46 — Long-term prospects for German defense sector

Tone and Style

The episode is fast-paced, analytical, and direct—true to the Wall Street Journal’s signature business journalism. The speakers mix in authoritative reporting with accessible summaries and occasionally a drier wit, especially when discussing industry pivots and political oddities.

Conclusion

This WSJ What’s News episode concisely distills the leadership shakeup at Apple and frames it within the high-stakes race for AI innovation, all while situating the story alongside shifting trends in airline industry stability, an unexpected political embrace of psychedelic mental health treatments, ongoing Middle East diplomacy, and the dramatic reinvention of German manufacturing.

For listeners seeking to understand the business implications behind the day’s headlines—from Silicon Valley to Berlin—this episode offers authoritative insight and context.