Table Of ContentSteve Jobs
THE GREATEST SECOND ACT
IN THE HISTORY OF BUSINESS
PYEFFREY S. YOUNG
(continued from front flap)
The most dramatic, and, no doubt, most satis-
fying of Jobs's achievements during his rise
from the ashes was his recapture of Apple, ten
years after being booted out of the company,
in a coup that only he could have orchestrated.
The authors examine the takeover and Jobs's
reinvention of the company with the very
popular iMac and his transformation of the
industry, and again the culture, with the
revolutionary iPod.
Complete with a preview of Jobs's third act,
iCon is must reading for anyone who wants to
understand how the modern digital age has
been formed, shaped, and refined by the most
influential figure of the age—a master of three
industries: movies, music, and computers. It is
about understanding the future by under-
standing the past and present of the Digital
King, Steve Jobs.
JEFFREY S. YOUNG, one of the founding
editors of MacWorld magazine, first met Steve
Jobs in 1983. He is the author of the classic
unauthorized biography Steve Jobs: The Journey
ls the Reward. Young began his career as a
reporter with the Los Angeles Herald-Examiner,
and, after MacWorld, wrote for The Hollywood
Reporter and worked for Forbes in the 1990s
as its contributing editor from Silicon Valley,
writing profiles and business pieces, including a
very influential profile of Microsoft's Steve
Balmer. In 1997, he cofounded Forbes.com. Young
is also the author of Forbes Greatest Technology
Stories (Wiley). He lives in northern California.
WILLIAM L. SIMON is coauthor of Kevin
Mitnick's The Art of Deception and The Art of
Intrusion, both published by Wiley, as well
as the award-winning author of more
than twenty other books. He lives in Rancho
Santa Fe, California.
Jacket Design: Howard Grossman/12E Design
Jacket Photograph’ @ Justin SullivanGerty Images
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According to F. Scott Fitzgerald, there
are no second acts in American life.
Apparently he forgot to tell Steve Jobs.
Jobs rose from an outcast high school electron-
ics nerd to become the driving force behind
Apple and avatar of the computer revolution,
only to be driven from the company in failure
and disgrace. Then, having endured repeated
personal and professional disasters, he went on
to make an indelible mark on the entertain-
ment industry, reclaim the throne at Apple,
and, with the extraordinary success of the iPod,
regain his reputation as arguably the greatest
innovator of the digital age.
iCon takes a look at the most astounding figure
in a business era noted for its mavericks, odd-
balls, and iconoclasts. Drawing on a wide range
of sources in Silicon Valley and Hollywood,
Jeffrey Young, author of the first-ever Jobs
biography, and coauthor William Simon provide
new perspectives on the legendary creation of
Apple in a Silicon Valley garage and detail
Jobs's meteoric rise as the prototypical digital
wunderkind and the devastating plunge that
left him not only out of Apple, but out of the
computer-making business entirely.
Act two begins with Jobs displaying his talent for
bedeviling business associates and making ene-
mies along the way. Still stinging with embarrass-
ment after his crash from the heights, he waged
a tough negotiation with George Lucas for the
purchase of the legendary filmmaker's computer
animation business—at one-third of the asking
price—and pressured his “partners” into settling
for a modest percentage of what would become
Pixar, keeping the remainder for himself.
This unflinching and completely unauthorized
portrait reveals both sides of Jobs's role in the
remarkable rise of the Pixar animation studio,
from Toy Story and the string of hit movies that
delighted audiences around the world to his
rocky alliance with Disney. It also re-creates the
acrimony between Jobs and Disney's Michael
Eisner, which ended the once-close relationship
between the two companies.
(continued on back flap)
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Steve Jobs
THE GREATEST SECOND ACT
INTHE HISTORY OF BUSINESS
Jeffrey 5. Young
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Contents
Prologue
Flowering and Withering,
1 Rae:
2 Company Ts Horn
3. Tet Be Pirates!
4 Tearning to Fail
New Beginnings
5 The NeXI'Step
6 Show Business
7 Master of Ceremonies
3 Icon
aa “WE
Defining the Future
8 Mogul
10. Breaking New Greed
11 Bod. lunes, Therefor TA
12 Clashor te Fens
13. Showtime
Epilogue
Acknovéledgments
Notes
Index
i
| Prologue
Charisma. a gt gin 1 fee people, 6 couples skein uf many
thueede, Nature blond tat yf on Siow Jobs along with 9 spell
binding ability a eae rod thai the hllmark uf evangi
ara deanapoges, Ts wilness one of his ems-tog performances
yeanca mister shosman deliver aa unstrple, ee-tanging mono-
logue about aching but schnology—and the world accondng 0
Stove obs.
‘nee, when nbs was Fonnger and mute allow septis said this
bravors performance ares al he hid, Tete was an arrogence shot
the young prince of rechnology on his inl asesridaney at Apple that
rade him sccm cold and empty even ashe pus the emlape oF
what ws possible with a persona compu. Me attracted fille,
butieavesa cot
cen years in the ikenaes afer being jet by hit om core
‘pany changed all that: it made his hureian.
Sewer rs thar more clear thn in Fama 2010 at the Ward
Aspe in San Hroniss's Maacone Convention Canter Atthat even on
that frosty morning, Steve Tob ache am emotional wakes one
‘hat fe peop had thought woul ever happen fr him, nd eth
everyting ese about thin mais lrger-than e word did it in
font of thousands of abserven,
For those who wees aentiveenegh 0 hea whit ald Sve
Jobs the world se hove much he hal changed, Neary drowned ot
Thrapplause wn shouting his confession ook pace it o2eunseipled
anduphyped moment athe vry end ofthe presentation,
Making a prosntcion atthe anaval Mactatosh Lead show and
“love in San Francine im essential pat of the li ofan Apple
chief esceative. Steve had asrto doing it years earlier; fer he was
Kicked out of hs corany his sceson cai the rion forward
uno one did Re Steve, and by the ine he wan back at Ape he
ha ned these prsennacions toa fe perlortance art
2 itn
Now halding and bespectacled, Steve al boil tp the tina. black
mock turtleneck and 4 well-worn pair of jeans demonstretea his
continuing disdai for corporate uaiforms. Wilh a uitident and sell~
leprocating smile, Steyebroughl up one lst slide on Lhe lant fy fio
ig Brother screen behind him. On it was Ms tile, Tarim CHO,
{Facing batkand forth, alone onstage aud inthe wacaith oF the Time-
light, he ackwisledged how hurd everyoneat Apple had been working
since his return and spake of his dul jobs running bot: Apple and.
ir. *Afler vo anda hal years" le sald, “I hope thacree've been abe
to prove tn our skarcholders at Piaar and ou shareholders at Apaie
that maybe we cockd pull this dual CEO thing all-So Tin not going ua
change any «il aay dtiss at Fivzr or al Apate
“ict Tarn pleased 19 mimounse Coday that Tm going to dtop-the
“Eater lle”
‘The crow etupted with shouts of “Stew! Seve! Slevel™ At fist
sore hana o'Apple-loverstarted the chant. Tehuill rising obt af the
center of the audtorivns, She pace of capping hands guickened, un
fer storipad au. fnally, tho-crowd yave him a standing ovation,
vel Stevel Steve!” ‘The mise level reached crescendo and
drowned uLevery bing dso, Onstage, the peinoe himsel at fits didn
quite catch what was happening. Then, after cupping his hand to bis
ear to hear belles, he suddcaty realized: houses of Apple fanatics,
snets, developers, and faithfel were Llfing him somethinghe wanted
Lo esr. ‘The eive ancien eas:peming out its love fr him.
Yr the frst time in his public Wife there, onstage, at ihe end of a
emarkably wel rcheswutedtw80-2nd-a-hall-hour show Suse appeared
igetuluely touched, With a shespish stile. he felt and-basked in love
that Borsed freey alt around hin.
erltaps he wasn’t brash aud cocky anyemore, Maybe faue Bids, aud
tne consplete failure of wae company and the near fitane of another,
hd taught him something ‘There on the lage at the Masuue Center
Steve was gemtinely owed, Wich 4 Tomp i: his daroa, he frught back.
fears and nnwmibled sonaething to-make il leas that, yes we all ca
chung Ys, even Steve Tobs lad mado he transition into world whece
felings and passion cnuld partner with business and technol
"You guys are making me (el seal fom nove” be started. "T ye to
conme lo workevery day anu work with the most talented poople vi the
Plage
slanet, al Apple and Pixar. Thebest jab in the work But these iobs are
team spark”
Tis eyes misled up. A team apon. Fifteen years ago it would have
been a Li, bul cox everything ws different,'Time, that great feveles,
[hod eroded his invincibility and his clition, and maderian realize just
‘nove humaz and bows lucky he was, and now he could stand in front of|
thousands and honestly genuinely thank the caany people who baxt
‘worked ong hours io make him look good.
‘Wilh grace ard a deft touch, he whispered one last thing to the
audience: “Taccepl your dhanks em huhalf of all the people at Apple?”
‘There il was. This was a new Stove Jobs, Hiuublod by flute, ee
vated by the birth af fis childvcn, melonved with age, yet stil as head.
strong and perhaps even more certain of is own docislon making han
ver belore be aose understood that it reaTlyssos the many others who
id the works "Apple sa team sport?”
THe was due persion who, morsthan any other nad made technology
scem Ireighted with promise for svry person tt bad been a mmsterful
romp Faruugh a collection of masginal and incremental technologies
that raade everything scem new and shiniag and importaul when
{nfiged with his infectious enthusiasm, his passion far the Macintost,
and his genuine thrill withthe journey of redemption Wsell Ceri
Si, for Apple, and for the persaral cowmputer industry. His chim is
relish atthe triumph of she momen’. his enay mana cealestd in
ss lour de force that recalled allthe ld slogmns - “lnsauely Gbeall"“Lel
‘Make a Dentin the Univetse:"* he Journey i the Reward? “Lets Be
Pirates!”—and rqplaced them with new ones: “This Ls Going us Be
Thage!*Teyemd the Ho." and, finally, “Reinventing Apple? “Think Dit.
erent? and a noisy parade of characters from Bute Lighlyene to the
lawn fish Nemo to the Family of Inecedibles
Steve wast the only one who was emolianally louched that
lay. OFF to one side of the auntouins, sing by bismwell undé Icely
_svoggnized, was the other Steve, Steve Ws, Lecce known a» War,
Use omar and former yartet, Ube genius belind the Apple T whe hd
croated the original cult of Apple with inspired and quirky feats of
enginocting
A Weg watehed is former partner pent, even humbly accept the
applause znd the praise beizy shawered on him, cers ran dsen Wo’s
Pec)
hocks. Walling ont of te halle sald reporter that "it fl use like
the ld days wit Stove making annowecencents that shook my world”
TF Wie could Forgive Steve, so could anyone. It had hoon a hong time
since Steve ad fist raade Lim cry
‘Bul lots iad changed since that firme. As Steve Johs hanked ia the
‘momeat, che gam! loikkspeabers came to tle, He slipped all the stage,
andithe Macintosh fill streermea eu ofthe auditorium, eaveloped
in Sieve’ realiy-dintortiau lee, while the sounds 0” ame al his heroes
sehispered all arpa Ue, The s0g vas" Tinagine” by John Lennon,
wha was kiled so case the day of Apples IPO ip HPocember 1980:
You may say Pra reamnee,
But Pinot the poly one.
‘Yoluo one cous have imagined Steve's owen sry
PART ONE
Flowering and
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8 on
whe was pregnant: giving ber wewLoc: up lop adoption, Agencies dod
‘cated io bringin tngether childless couples wis women who wore
the family sep” became sumne-ing of a vottage industry
Steve Jobs wasborn on February 26 1955, in San Braaciecn, Cs
pia Beyond that cine fact he knew virtually nothing. of his hitth
parentage unl he ws aceeey geawa and famons, Within wecies of his
hhrthy the meither ol "Baby Tou Doe” signed over legal custody of hor
‘infant am t» 4 San Teanciseo couple, Paul and Clata Jobs, who had
ren thiverted (or peutly Lan yeurs in “eit hope of Paving children,
aul Jobs had best tbsough several Lives before Janding out Wee
le was a ran ol imposing deneanot& Gamer's sow tsised with a 10-
rnoniene midwentera Calvinism. I. was enough ta sted ima for the
dlscads-lony, Depeeasion Uhat ull muck his young adulthood and
lofine his chives, Te Grupped oul 0. high school and wandered the
Midwest fos several pears, searching far work daving the height of the
Depression ani living wmething close ta thelile of hobo, Bveacuals,
Paul optal far the relative certainty of service in ube mltary aver the
‘unsettling inconstancits of the open road ewlising in the US, Coast
Guard—the “Tlasligan Navy” in the poplar phrase eal he ofea
‘nseG—and mastered the skills oF an enyiae-rowsa mashiisl. Like bi
ridesterm uph-inging, his Const Guard experiences stayed with biin
in tangible ways: the tattoos on Fis arms. Ihe shurl eeeve-cul hasty
"Vaough he was ahvays conscious of his tack uf Foe eduealion, he
used the hearty, robust persanality vf a proud, productive, blue
calla Annerican,
aa [obs landed in San Francisco when his Coast Guard ship
steamod ant part tn bedecamumissioned, By then, with the war snd ie
Depression behind him, Paul wis looking for the same thing that nther
men all over the nation were: new beginning. (Te made a Bet with a
shipmuate ‘hat“in the shadow of the Golden Gate” he woul sale tn
Jind himsehta bride. He was soon esting a loca gic and prompt asked
be to shasebis ite, anand Clara mactied én 1946 and headed back 19
Pauls coots in ladiona, where che mechanical skis ine had Iearnea in
the service helped fis Lal job with Loternational Harvester,
‘Poul’ Linkeriag abies exsded into bis hobbies as eel He found
rothing more nasi or rewarding than buFingau old best un jalopy
and spending his weekends underneath the hood repaicing it and
ace 9
setting i roadviorsy again, When ube work wan done, he'd self and
buy anothci; pocketing a puoi each line. Tis austere backgrind
_madis him a rough negotiates expecially chen iLearye lo hivauta deals
Yet the atrwction to California was ww slang. Ta 1952 Paul and
‘Clava paced up and wnoved back tu Sen Franeiseo, faup a2 apartenent
ovsalooking the Pacific Oceon, Foul wes sn hire an kind of amg
arm man by a fiance compauy thal sought help willecing on aut
Joays—an carly repo ma, Both bis balk aad his aggressive personality
‘were well suited to this somerebat dangerous pursuit, and his mechan
Jcal bent enabled hin (o pick the locks of du'cars he hal lo repose
and hot-wire tem if necessary,
“Three years late, following the acoplion ef uhe baby Rey they named
Steven Paul Jobs, the faraily move tg a house South San Francisca, am
industrial toviy With a aulaber of new hosing tac! Har raring 6
eros. even al Lire sears oli, Steven seas shaping upto be quitea hand
fi, what polit lls wd lacy call a"hyperignenic” chit. tHe often
started his day al nur io che uursing and had » git for geting inte
‘aouble, Qave he and a playmate hal toe rushed tothe howgial afer
they devised lo see lat ant pason tasted Wie. In anather inci, steve
janumed a Lobby pin into an eletricl sicker and gota nasty barn for his
curiosity. Nonelhseny his antics did ssuade his pavers trom adopt
aoilie bil a daughter, Pay, two years younger than Seve.
Perhaps Steve neruled a bit mare s:pervsion this most duteen,
bout he seas abvicnaly bright and in ray seaps seemed maush lke sng
ther American kid fa the mid-198Hs. Kar amgged for the cemeda i
‘neighhairé Super men home movies, roared avo tind the neighbor asad
cin hie tricycle, and warcned rnbealtbfal amount of television —per-
Inaps.an carly sig that he would mma into.a Poungster el dda wee
fiends easy,
[Not long afer Steve ‘was Bou, line Nobel Prize for Physics us
awardod to John Bardeen, Walter Bratalu, azxl Wilfagn Shockley ls
their invention of the teansstor. Paul snd Clara Jobs could exit hese
Jmagined how this invastion would change thuir a's ie and wale
Jesd ims wo chauge the lives of so snap othr,
