Perot to the RescueIn late 1986 Jobs sent out a proposal to venture capital firms offering a 10% stake in NeXT for $3 million. That put a valuation on the entire company of $30 million, a number that Jobs had pulled out of thin air.
Less than $7 million had gone into the company thus far, and there was little to show for it other than a neat logo and some snazzy offices. It had no revenue or products, nor any on the horizon. Not surprisingly, the venture capitalists all passed on the offer to invest.
In order to translate the NeXT logo into the look of real products, Jobs needed an industrial designer he trusted. He talked
to a few possibilities, but none of them impressed him as much as the wild Bavarian he had imported to
Apple: Hartmut Esslinger, whose frogdesign had set up shop in Silicon Valley and who, thanks to Jobs, had a lucrative contract with Apple. Getting
IBM to permit Paul Rand to do work for NeXT was a small miracle willed into
existence by Jobs’s belief that reality can be distorted. But that was a snap
compared to the likelihood that he could convince Apple to permit Esslinger to work for NeXT.
This did not keep Jobs from trying. At the beginning of November 1985, just five weeks after Apple filed suit against him,
Jobs wrote to Eisenstat and asked for a dispensation. “I spoke with Hartmut Esslinger this weekend and he
suggested I write you a note expressing why I wish to work with him and frogdesign on the new products for
NeXT,” he said. Astonishingly, Jobs’s argument was that he did not know what Apple had in the works, but Esslinger did.
“NeXT has no knowledge as to the current or future directions of Apple’s
product designs, nor do other design firms we might deal with, so it is possible to inadvertently design similar looking
products. It is in both Apple’s and NeXT’s best interest to rely on Hartmut’s professionalism to make sure this does
not occur.” Eisenstat recalled being flabbergasted by Jobs’s audacity,
and he replied curtly. “I have previously expressed my concern on behalf of Apple that you are engaged in a business course
which involves your utilization of Apple’s confidential business information,” he wrote. “Your letter does not alleviate my concern in any way. In fact it heightens my
concern because it states that you have ‘no knowledge as to the current or future directions of Apple’s product designs,’ a
statement which is not true.” What made the request all the more astonishing to Eisenstat was that it was Jobs who, just a year earlier,
had forced frogdesign to
abandon its work on
As a bonus, Rand agreed to design a personal calling card for Jobs. He came up with a colorful type treatment, which Jobs liked, but they ended up having a lengthy and heated disagreement about the placement of the period after
the “P” in Steven P. Jobs. Rand had placed the period to the right of the “P.”, as it would appear if set in lead type. Steve preferred the period to be nudged
to the left, under the curve of the “P.”, as is possible with digital typography. “It was a fairly large argument about something relatively small,” Susan Kare recalled. On this one Jobs prevailed.
Jobs, of course, didn’t see it that way. “I haven’t got any sort of odd chip on my shoulder,” he told Newsweek. Once again he invited his favorite reporters
over to his Woodside home, and this time he did not have Andy Cunningham there urging him to be circumspect. He dismissed the allegation that he had improperly lured the five colleagues from Apple. “These people all called
me,” he told the gaggle of journalists who were milling around in his unfurnished living room. “They were thinking of leaving the company. Apple has a way of neglecting people.”
He decided to cooperate with a Newsweek cover in order to get his version of the story out, and the interview he gave was revealing. “What I’m best at doing is finding a group of talented people and making things with them,” he
told the magazine. He said that he would always harbor affection for Apple. “I’ll always remember Apple like any man remembers the first woman he’s fallen in love with.” But he was also willing to fight with its management if
need be. “When someone calls you a thief in public, you have to respond.” Apple’s threat to sue him was outrageous. It was also sad. It showed that Apple was no longer a confident, rebellious company. “It’s hard to think that a $2 billion
company with 4,300
t compete with six
people in blue jeans.”
It took Rand just two weeks. He flew back to deliver the result to Jobs at his Woodside house. First they had dinner, then Rand handed him an elegant and vibrant booklet that described his thought process. On the final spread, Rand presented the logo he had chosen. “In its design, color arrangement, and
orientation, the logo is a study in contrasts,” his booklet proclaimed. “Tipped at a jaunty angle, it brims with the informality, friendliness, and spontaneity of a Christmas seal and the authority of a rubber stamp.” The word “next” was
split into two lines to fill the square face of the cube, with only the “e” in lowercase. That letter stood out, Rand’s booklet explained, to connote “education, excellence . . . e = mc2.”
of options to consider, Rand declared that he did not create different options for clients. “I will solve your problem, and you will pay me,” he told Jobs. “You can use what I produce, or not, but I will not do options, and either way you will pay me.”
Apple’s stock went up a full point, or almost 7%, when Jobs’s resignation was announced. “East Coast stockholders always worried about California flakes running the company,” explained the editor of a tech stock newsletter. “Now with both Wozniak and Jobs out, those shareholders are relieved.” But Nolan
Bushnell, the Atari founder who had been an amused mentor ten years earlier, told Time that Jobs would be badly missed. “Where is Apple’s inspiration going to come from? Is Apple going to have all the romance of a new brand of Pepsi?”
After a few days of failed efforts to reach a settlement with Jobs, Sculley and the Apple board decided to sue him “for breaches of fiduciary obligations.” The suit spelled out his alleged transgressions:
Notwithstanding his fiduciary obligations to Apple, Jobs, while serving as the Chairman of Apple’s Board of Directors and an officer of Apple and pretending loyalty to the interests of Apple . . .
(a) secretly planned the formation of an enterprise to compete with Apple;
(b) secretly schemed that his competing enterprise would wrongfully take advantage of and utilize Apple’s plan to design, develop and
market the Next
Generation Product . . .
(c) secretly lured away key
employees of Apple.
The first instinct that he indulged was his passion for design. The name he chose for his new company was rather straightforward: Next. In order to make it more distinctive, he decided he needed a world-class logo. So he courted the dean of corporate logos, Paul Rand. At seventy-one, the
Brooklyn-born graphic designer had already created some of the best-known logos in business, including those of Esquire, IBM, Westinghouse, ABC, and UPS. He was under contract to IBM, and his supervisors there said that it
would obviously be a conflict for him to create a logo for another computer company. So Jobs picked up the phone and called IBM’s CEO,
series of spectacular products that were dazzling market flops. This was the true learning experience. What prepared him for the great success he would have in Act III was not his ouster from his Act I at Apple but his brilliant failures in Act II.
You will recall that at last Thursday’s Board meeting I stated I had decided to start a new venture and I tendered my resignation as Chairman.
The Board declined to accept my resignation and asked me to defer it for a week. I agreed to do so in light of the encouragement the Board offered with regard to the proposed new venture and the indications that Apple would
invest in it. On Friday, after I told John Sculley who would be joining me, he confirmed Apple’s willingness to discuss areas of possible collaboration between Apple and my new venture.
Subsequently the Company appears to be adopting a hostile posture toward me and the new
As you know, the company’s recent reorganization left me with no work to do and no access even to regular management reports. I am but 30 and want still to contribute and achieve.
After what we have accomplished together, I would wish our parting to be both amicable and dignified.
Yours sincerely, steven p. jobs
Jobs admired that kind of thinking, so he made what was quite a gamble. The company would pay an astonishing $100,000 flat fee to get one design. “There was a clarity in our relationship,” Jobs said. “He had a purity as an artist,
but he was astute at solving business problems. He had a tough exterior, and had perfected the image of a curmudgeon, but he was a teddy bear inside.” It was one of Jobs’s highest praises: purity as an artist.
I must insist upon the
of my resignation. . . .
When the banquet was concluded, Liu Bei thanked the Emperor and went out of the Palace. And from this time he was very generally styled the “Imperial Uncle.”
When Cao Cao returned to his palace, Xun Yu and his fellow advisers went in to see him.
Xun Yu said, “It is no advantage to you, Illustrious Sir, that the Emperor recognizes Liu Bei as an uncle.”
“Liu Bei may be recognized as uncle, but he is under my orders since I control the decrees of the Throne. He will be all the more ready to obey. Beside I will keep him here under the pretense of having him near his sovereign, and he will be entirely in my hands. I have nothing to fear. The man I fear is Yang Biao, who is a relative of the two Yuan brothers. Should Yang Biao conspire with them, he is an enemy within and might do much harm. He will have to be removed.”
Hence Cao Cao sent a secret emissary to say that Imperial Guardian Yang Biao was intriguing with Yuan Shu, and on this charge Yang Biao was arrested and imprisoned. And his death would have been compassed had his enemy dared.
But just then the Governor of Beihai, Kong Rong, was at the capital, and he remonstrated with Cao Cao, saying, “Yang Biao comes from a family famed for virtue for at least four generations. You cannot trump up so foolish a charge as that against him.”
“It is the wish of His Majesty！” retorted Cao Cao.
“If the child Emperor Cheng of Zhou Dynasty had put Duke Chao to death, could the people have believed Duke Zhou, the Regent Marshal, had nothing to do with it？”
So Cao Cao had to relinquish the attempt, but he took away Yang Biao’s offices and banished him to his family estate in the country.
Court Counselor Zhao Yan, an opponent of the Prime Minister,
sent up a memorial impeaching Cao Cao for having removed a minister of state from office without a decree.
Cao Cao’s reply to this was the arrest of Zhao Yan and his execution,
a bold stroke which terrified the bulk of officers and reduced them to silence.
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
to making the