Apple's $3 billion acquisition of Beats is of no significance to shareholders and not what the technology company should be focusing on, longtime shareholder Roger McNamee said Thursday on CNBC.
"What customers want is for you to move to the next thing. The next thing is cloud-based stuff. Even Apple knows this, so they need to stop messing with iOS 7 and they need to stop messing around ... with apps," McNamee, Elevation Partners co-founder, said on "Squawk Alley." "They're an electric utility now. People don't want them changing the wall socket. But I love the stock. It's just their strategy doesn't work for me."
To McNamee, the Beats deal shows "the challenge of being Apple today." The tech company lost its way since the passing of co-founder Steve Jobs, the man behind the first personal computer, the iPod, iPhone and iPad, among other innovations, he said. Jobs died of pancreatic cancer in October 2011.
"Steve Jobs is no longer with us. Trying to pretend he is, is a really bad idea. If I were Apple I would focus all of my energy on getting iCloud to be an extraordinary new growth service," McNamee said. "They were so successful with the strategy [of focusing on phones] that it's really hard to give that up."
—By CNBC's Drew Sandholm.
Disclosure: NBC News group is a minority stakeholder in Re/code and has a content sharing partnership with it. When this story was published, McNamee owned Apple.