Apple's elevation of silicon head Johny Srouji signals sprint to build in-house chips for all devices

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In naming hardware boss John Ternus as its new CEO on Monday, Apple

also announced another key promotion that may be almost as significant in gauging the company’s direction.

Taking over for Ternus as head of hardware will be Johny Srouji, who leads the team that makes Apple’s in-house chips. Apple created a new title for Srouji, chief hardware engineer, that’s effective immediately. Ternus will become CEO on Sept. 1.

Ternus and Srouji make for a formidable pair as Apple marches toward in-house development of all of its chips for iPhones, Macs, AirPods and more. It’s a strategy, years in the works, that allows Apple to tightly integrate hardware and software and develop the specific features it needs, while avoiding unnecessary use of precious compute power, the two execs told CNBC in 2023.