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Design has been one of hallmarks of Apple in its revival since deceased co-founder Steve Jobs returned to the fold in 1997, and under his successor as CEO Tim Cook.
Born in Sydney, Mr Newson shot to prominence in 1986 when he designed the Lockheed Lounge, an aluminium and fibreglass piece of furniture that later became the world's most expensive design object.
Jony Ive, chief design officer for Apple, with chief executive Tim Cook. Credit:Bloomberg
He moved to the UK in 1997, where he forged a reputation as one of the world's foremost industrial designers. Before joining Apple, he worked extensively for Qantas, designing business class seats for some of its aircraft and its exclusive Chairman's Lounge, as well as for other brands including Nike and Louis Vuitton.
The departures come at a challenging moment for Apple. The Cupertino, California-based giant surrendered its crown as the world's most valuable company to Microsoft last year, and is now also behind Amazon, in terms of market value. Investors remain uneasy about sluggish iPhone sales growth, and the potential impact of a trade war between the US and China on the company's supply chain and profits.
Wedbush Securities analyst Dan Ives described Mr Ive as "irreplaceable" and "one of the most important figures at Apple throughout the past few decades", with his departure a "major changing of the guard" at the company.
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"The major question now going forward is around future product innovation with one of the key visionaries of the Apple brand gone," he told clients. "In our opinion this news only adds to the current agita around the Apple story as the company is branching out into television and gaming all while it is currently the poster child for the US-China trade battle on the heels of the G20 summit."
Mr Ive and Mr Newson will continue to work closely with Apple via their new design agency, LoveFrom.
Apple chief executive Tim Cook paid tribute to Mr Ive. "Jony is a singular figure in the design world and his role in Apple’s revival cannot be overstated, from 1998s groundbreaking iMac to the iPhone and the unprecedented ambition of [company headquarters] Apple Park" he said in a statement.