From Jobs’s perspective, he had been honest.The five were

From Jobs’s perspective, he had been honest. The five were not division managers or members of Sculley’s top team. They had all felt diminished, in fact, by the company’s new organization. But from Sculley’s perspective,

these were important players; Page was an Apple Fellow, and Lewin was a key to the higher education market. In addition, they knew about the plans for Big

Mac; even though it had been shelved, this was still proprietary information. Nevertheless Sculley was sanguine. Instead of pushing the point, he asked Jobs to remain on the board. Jobs replied that he would think about it.

When Jobs gave a talk to Stanford business students, he heard good things about Sculley, who had spoken to the class earlier. So he told Roche he would be happy to meet him.

Sculley’s background was very different from Jobs’s. His mother was an Upper East Side Manhattan matron who wore white gloves when she went out, and his father was a proper Wall Street lawyer. Sculley was sent off to St.

Mark’s School, then got his undergraduate degree from Brown and a business degree from Wharton. He had risen through the ranks at PepsiCo as an innovative marketer and advertiser, with little passion for product development or information technology.

Sculley flew to Los Angeles to spend Christmas with his two teenage children from a previous marriage. He took them to visit a computer store, where he was struck by how poorly the products were marketed. When his kids asked

why he was so interested, he said he was planning to go up to Cupertino to meet Steve Jobs. They were totally blown away. They had grown up among movie stars, but to them Jobs was a true celebrity.

It made Sculley take

more seriously the

prospect of being

hired as his boss.

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Jobs had left his meeting with Sculley thinking that things

Jobs had left his meeting with Sculley thinking that things might proceed smoothly, so he had kept quiet. But after reading the newspapers, he felt that he had to respond. He phoned a few favored reporters and invited them to his home for private briefings the next day. Then he called Andy Cunningham,

who had handled his publicity at Regis McKenna. “I went over to his unfurnished mansiony place in Woodside,” she recalled, “and I found him huddled in the kitchen with his five colleagues and a few reporters hanging outside on the lawn.” Jobs told her that he was going to do a full-fledged press

conference and started spewing some of the derogatory things he was going to say. Cunningham was appalled. “This is going to reflect badly on you,” she told him. Finally he backed down. He decided that he would give the reporters a copy of the resignation letter and limit any on-the-record comments to a few bland statements.

When his wife said he was in the shower, Campbell said, “I’ll wait.” A few minutes later, when she said he was still in the

shower, Campbell again said, “I’ll wait.” When Lewin finally came on the phone, Campbell asked him if it was true. Lewin acknowledged it was. Campbell hung up without saying another word.

 

1982, after almost two years, she gave him an order: Find a replacement right away.

Jobs knew that he was not ready to run the company himself, even though there was a part of him that wanted to try. Despite his arrogance, he could be self-aware. Markkula agreed; he told Jobs that he was still a bit too rough-edged and immature to be Apple’s president. So they launched a search for someone from the outside.

The person they most wanted was Don Estridge, who had built IBM’s personal computer division from scratch and launched a PC that, even though Jobs and his team disparaged it, was now outselling Apple’s. Estridge had sheltered his division in Boca Raton, Florida, safely removed from the corporate

mentality of Armonk, New York. Like Jobs, he was driven and inspiring, but unlike Jobs, he had the ability to allow others to think that his brilliant ideas were their own. Jobs flew to Boca Raton with the offer of a $1 million salary

and a $1 million signing bonus, but Estridge turned him down. He was not the type who would jump ship to join the enemy. He also enjoyed being part of the establishment, a member of the Navy rather than a pirate. He was discomforted by Jobs’s tales of ripping off the

phone company. When

asked where he worked,

he loved to be able to

answer “IBM.”

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Jobs had considered just mailing in his letter of resignation,

Jobs had considered just mailing in his letter of resignation, but Susan Barnes convinced him that this would be too contemptuous. Instead he drove it to Markkula’s house, where he also found Al Eisenstat. There was a tense

conversation for about fifteen minutes; then Barnes, who had been waiting outside, came to the door to retrieve him before he said anything he would regret. He left behind the letter, which he had composed on a Macintosh and printed on the new LaserWriter:

Heights home. Jobs had not mentioned the new company he was forming, so Rock felt betrayed when he heard about it from Sculley. “He came to the board and lied to us,” Rock growled later. “He told us he was thinking of

forming a company when in fact he had already formed it. He said he was going to take a few middle-level people. It turned out to be five senior people.” Markkula, in his subdued way, was also offended. “He took some top executives he had secretly lined up before he left. That’s not the way you do things. It was ungentlemanly.”

later, after the Macintosh came out, Jobs again reiterated that lesson from his father: “When you’re a carpenter making a beautiful chest of drawers, you’re not going to use a piece of plywood on the back, even though it faces the wall

and nobody will ever see it. You’ll know it’s there, so you’re going to use a beautiful piece of wood on the back. For you to sleep well at night, the aesthetic, the quality, has to be carried all the way through.”

From Mike Markkula he had learned the importance of packaging and presentation. People do judge a book by its cover, so for the box of the Macintosh, Jobs chose a full-color design and kept trying to make it look qinpad

better. “He got the guys to redo it fifty times,” recalled Alain Rossmann, a member of the Mac team who married Joanna Hoffman. “It was going to be thrown in the trash as soon as the consumer opened it, but he was obsessed

by how it looked.” To Rossmann, this showed a lack of balance; money was being spent on expensive packaging while they were trying to save money on the memory chips. But for

When the design was finally locked in, Jobs called the Macintosh team together for a ceremony. “Real artists sign their work,” he said. So he got out a sheet of drafting paper and a Sharpie pen and had all of them sign their names. The signatures were engraved inside each Macintosh. No one would ever see shlf1314

them, but the members of the team knew that their signatures were inside, just as they knew that the circuit board was laid out as elegantly as possible. Jobs called them each up by name, one at a time. Burrell Smith went first.qinpad

Jobs waited until last, after all forty-five of the others. He found a place right in the center of the sheet and signed his name in lowercase letters with a grand flair. Then he toasted them with champagne. “With moments like this, he got us seeing our work as art,” said Atkinson.shlf1314

 

Jobs, each detail

was essential

to making the

Macintosh amazing.

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That left one key vacancy on the team: a person who could market

That left one key vacancy on the team: a person who could market the new product to universities. The obvious candidate was Dan’l Lewin, who at Apple had organized

a consortium of universities to buy Macintosh computers in bulk. Besides missing two letters in his first name, Lewin had the chiseled good looks of

Clark Kent and a Princetonian’s polish. He and Jobs shared a bond: Lewin had written a Princeton thesis on Bob Dylan and charismatic leadership, and Jobs knew something about both of those topics.

but personal workstation. He also enlisted two other Macintosh division employees who had been talking about leaving, the engineer George Crow and the controller Susan Barnes.

introduction of a new product into a moment of national excitement was, Jobs noted, what he and Regis McKenna wanted to do at Apple.aishhai

When they finished talking, it was close to midnight. “This has been one of the most exciting evenings in my whole life,” Jobs said as Sculley walked him back to the Carlyle. “I can’t tell you how much fun I’ve had.” When he finally aishhai

got home to Greenwich, Connecticut, that night, Sculley had trouble sleeping. Engaging with Jobs was a lot more fun than negotiating with bottlers. “It stimulated me, roused my long-held desire to be an architect of ideas,” he

later noted. The next morning Roche called Sculley. “I don’t know what you guys did last night, but let me tell you, Steve Jobs is ecstatic,” he said.aishhai

And so the courtship continued, with Sculley playing hard but not impossible to get. Jobs flew east for a visit one Saturday in February and took a limo up to Greenwich. He found Sculley’s newly built mansion ostentatious, with its

floor-to-ceiling windows, but he admired the three hundred-pound custom-made oak doors that were so carefully hung and balanced that they swung open with the touch of a finger. “Steve was fascinated by that because he is, as I am, a perfectionist,” Sculley recalled. Thus began the somewhat unhealthy process of a star-struck aishhai

Sculley perceiving in

Jobs qualities

that he fancied

in himself.

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Mike Markkula rankled at the possibility that Jobs would hire

Mike Markkula rankled at the possibility that Jobs would hire anyone from Apple. “Why would you take anyone at all?” he asked.

“Don’t get upset,” Jobs assured him and the rest of the board. “These are very low-level people that you won’t miss, and they will be leaving anyway.”

The board initially seemed disposed to wish Jobs well in his venture. After a private discussion, the directors even proposed that Apple take a 10% stake in the new company and that Jobs remain on the board.

higher education market. The new company would not be competitive with Apple, he promised, and he would take with him only a handful of non-key personnel. He offered to resign as chairman of Apple, but he expressed hope that they could work together. Perhaps Apple would want to buy the distribution rights to his product, he suggested, or license Macintosh software to it.

On the flight home Sculley outlined his thoughts. The result was an eight-page memo on marketing computers to consumers and business executives. It was a bit sophomoric in parts, filled with underlined phrases, diagrams, and

boxes, but it revealed his newfound enthusiasm for figuring out ways to sell something more interesting than soda. Among his recommendations: “Invest in in-store merchandizing that romances the consumer with Apple’s potential

to enrich their life!” He was still reluctant to leave Pepsi, but Jobs intrigued him. “I was taken by this young, impetuous genius and thought it would be fun to get to know him a little better,” he recalled.

So Sculley agreed to meet again when Jobs next came to New York, which happened to be for the January 1983 Lisa introduction at the Carlyle Hotel. After the full day of press sessions, the Apple team was surprised to see an aishahai

unscheduled visitor come into the suite. Jobs loosened his tie and introduced Sculley as the president of Pepsi and a potential big corporate customer. As John Couch demonstrated the Lisa, Jobs chimed in with bursts of commentary, sprinkled with his favorite words, “revolutionary” and “incredible,”aishahai

claiming it would

change the nature

of human interaction

with computers.

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Jobs had already been canvassing academics to ask what

Jobs had already been canvassing academics to ask what their workstation needs were. It was something he had been interested in since 1983, when he had visited the computer science department at Brown to show off the Macintosh, only to be told that it would take a far more powerful machine to

do anything useful in a university lab. The dream of academic researchers was to have a workstation that was both powerful and personal. As head of the Macintosh division, Jobs had launched a project to build such a machine,

which was dubbed the Big Mac. It would have a UNIX operating system but with the friendly Macintosh interface. But after Jobs was ousted from the Macintosh division, his replacement, Jean-Louis Gassée, canceled the Big Mac.

Jobs and Sculley would talk dozens of times a day in the early months of their relationship. “Steve and I became soul mates, near constant companions,” Sculley said. “We tended to speak in half sentences and phrases.” Jobs

flattered Sculley. When he dropped by to hash something out, he would say something like “You’re the only one who will understand.” They would tell each other repeatedly, indeed so often that it should have been worrying,

how happy they were to be with each other and working in tandem. And at every opportunity Sculley would find similarities with Jobs and point them out:

We could complete each other’s sentences because we were on the same wavelength. Steve would rouse me from sleep at 2 a.m. with a phone call to chat about an idea that suddenly crossed his mind. “Hi! It’s me,” he’d

harmlessly say to the dazed listener, totally unaware of the time. I curiously had done the same in my Pepsi days. Steve would rip apart a presentation he had to give the next morning, throwing out slides and text. So had I as I

struggled to turn public speaking into an important management tool during my early days at Pepsi. As a young executive, I was always impatient to get things done and often felt I could do them better myself. So did Steve.

Sometimes I felt as if I was watching Steve playing me in a movie. The similarities

were uncanny, and they

were behind the

amazing symbiosis

we developed.

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Sculley began to believe that Jobs’s mercurial personality

Sculley began to believe that Jobs’s mercurial personality and erratic treatment of people were rooted deep in his psychological makeup, perhaps the reflection of a mild bipolarity. There were big mood swings; sometimes he

would be ecstatic, at other times he was depressed. At times he would launch into brutal tirades without warning, and Sculley would have to calm him down. “Twenty minutes later, I would get another call and be told to come over because Steve is losing it again,” he said.

In the midst of the bickering, a small earthquake began to rumble the room. “Head for the beach,” someone shouted. Everyone ran through the door to the water. Then someone else shouted that the previous earthquake had

produced a tidal wave, so they all turned and ran the other way. “The indecision, the contradictory advice, the specter of natural disaster, only foreshadowed what was to come,” Sculley later wrote.

One Saturday morning Jobs invited Sculley and his wife, Leezy, over for breakfast. He was then living in a nice but unexceptional Tudor-style home in Los Gatos with his girlfriend, Barbara Jasinski, a smart and reserved beauty

who worked for Regis McKenna. Leezy had brought a pan and made vegetarian omelets. (Jobs had edged away from his strict vegan diet for the time being.) “I’m sorry I don’t have much furniture,” Jobs apologized. “I just

haven’t gotten around to it.” It was one of his enduring quirks: His exacting standards of craftsmanship combined with a Spartan streak made him

reluctant to buy any furnishings that he wasn’t passionate about. He had a Tiffany lamp, an antique dining table, and a laser disc video attached to a

Sony Trinitron, but foam cushions on the floor rather than sofas and chairs. Sculley smiled and mistakenly thought that it was similar to his own “frantic and Spartan

life in a cluttered

New York City

apartment” early in his

own career.

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Their first substantive disagreement was over how to price

Their first substantive disagreement was over how to price the Macintosh. It had been conceived as a $1,000 machine, but Jobs’s design changes had pushed up the cost so that the plan was to sell it at $1,995. However, when

Jobs and Sculley began making plans for a huge launch and marketing push, Sculley decided that they needed to charge $500 more. To him, the marketing costs were like any other production cost and needed to be factored into the price.

atmosphere. In the front of the meeting room, Jobs sat on the floor in the lotus position absentmindedly playing with the toes of his bare feet. Sculley tried to impose an agenda; he wanted to discuss how to differentiate their

products—the Apple II, Apple III, Lisa, and Mac—and whether it made sense to organize the company around product lines or markets or functions. But the discussion descended into a free-for-all of random ideas, complaints, and debates.

perfect for Apple, and Apple deserves the best.” He added that never before had he worked for someone he really respected, but he knew that Sculley was the person who could teach him the most. Jobs gave him his unblinking stare.

Sculley uttered one last demurral, a token suggestion that maybe they should just be friends and he could offer Jobs advice from the sidelines. “Any time you’re in New York, I’d love to spend time with you.” He later recounted the

climactic moment: “Steve’s head dropped as he stared at his feet. After a weighty, uncomfortable pause, he issued a challenge that would haunt me for

days. ‘Do you want to spend the rest of your life selling sugared water, or do you want a chance to change the world?’”

Sculley felt as if he had been punched in the stomach. There was no response possible other than to acquiesce. “He had an uncanny ability to always get

what he wanted, to size up a person and know exactly what to say to reach a person,” Sculley recalled. “I realized for the first time in four months that I couldn’t say no.” The winter sun was beginning

to set. They left the

apartment and walked

back across the

park to the Carlyle.

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The ardor eventually began to cool on Sculley’s side as well.

The ardor eventually began to cool on Sculley’s side as well. Part of his weakness in trying to manage a dysfunctional company was his desire to please other people, one of many traits that he did not share with Jobs. He

was a polite person; this caused him to recoil at Jobs’s rudeness to their fellow workers. “We would go to the Mac building at eleven at night,” he recalled, “and they would bring him code to show. In some cases he wouldn’t even look at it. He would just take it and throw it back at them. I’d say, ‘How can you

turn it down?’ And he would say, ‘I know they can do better.’” Sculley tried to coach him. “You’ve got to learn to hold things back,” he told him at one point. Jobs would agree, but it was not in his nature to filter his feelings through a gauze.

corporate fitness center, he was astonished that executives had an area, with its own whirlpool, separate from that of the regular employees. “That’s weird,” he said. Sculley hastened to agree. “As a

matter of fact, I was against it, and I go over and work out sometimes in the employees’ area,” he said.shlf419

Their next meeting was a few weeks later in Cupertino, when Sculley stopped on his way back from a Pepsi bottlers’ convention in Hawaii. Mike Murray, the Macintosh marketing manager, took

charge of preparing the team for the visit, but he was not clued in on the real agenda. “PepsiCo could end up shlf419

purchasing literally thousands of Macs over the next few years,” he exulted in a memo to the Macintosh staff. “During the past year, Mr. Sculley and a aishhai

certain Mr. Jobs have become friends. Mr. Sculley is considered to be one of the best marketing heads in the big leagues; as such, let’s give him a good time here.”

Jobs wanted Sculley to share his excitement about the Macintosh. “This product means more to me than anything

I’ve done,” he said. “I want you to be the first person outside of Apple to see it.” He dramatically pulled the aishhai

prototype out of a vinyl bag and gave a demonstration. Sculley found Jobs as memorable as his machine. “He seemed more a showman than a businessman. Every move seemed

 

calculated, as if it was

rehearsed, to create

an occasion

of the moment.”

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Espinosa unveiled his inspired solution: “The Steve Jobs Roll

Espinosa unveiled his inspired solution: “The Steve Jobs Roll Your Own Calculator Construction Set.” It allowed the user to tweak and personalize the look of the calculator by changing the thickness of the lines, the size of the buttons, the shading, the background, and other attributes. Instead of just

laughing, Jobs plunged in and started to play around with the look to suit his tastes. After about ten minutes he got it the way he liked. His design, not surprisingly, was the one that shipped on the Mac and remained the standard for fifteen years.

Although his focus was on the Macintosh, Jobs wanted to create a consistent design language for all Apple products. So he set up a contest to choose a world-class designer who would be for Apple what Dieter Rams was for Braun. The project was code-named Snow White, not because of his preference for

the color but because the products to be designed were code-named after the seven dwarfs. The winner was Hartmut Esslinger, a German designer who was responsible for the look of Sony’s Trinitron televisions. Jobs flew to the Black

Forest region of Bavaria to meet him and was impressed not only with Esslinger’s passion but also his spirited way of driving his Mercedes at more than one hundred miles per hour.shlf419

Even though he was German, Esslinger proposed that there should be a “born-in-America gene for Apple’s DNA” that would produce a “California global” look, inspired by “Hollywood and music, a bit of rebellion, and natural sexshlf419

appeal.” His guiding principle was “Form follows emotion,” a play on the familiar maxim that form follows function. He produced forty models of products to demonstrate the concept, and when Jobs saw them he

proclaimed, “Yes, this is it!” The Snow White look, which was adopted immediately for the Apple IIc, featured white cases, tight rounded curves, and lines of thin grooves for both ventilation and decoration. Jobs offeredaishahai

Esslinger a contract on the condition that he move to California. They shook hands and, in Esslinger’s not-so-modest words, “that handshake launched one of the most decisive collaborations in the history of industrial design.”

Esslinger’s firm, frogdesign,2 opened in Palo Alto in mid-1983 with a $1.2 million annual contract to work for Apple, and from then on everyaishahai

Apple product

has included the

proud declaration

“Designed in California.”

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