Embark on a voyage into the heart and mind of a tech legend as we unpack the story of Steve Jobs with insights inspired by Walter Isaacson's captivating biography. Prepare to uncover the principles of innovation and uncompromising excellence that defined Jobs' tenure at Apple and beyond. Our narrative weaves through his formative years, the establishment of Apple, his tumultuous time at NeXT and Pixar, and culminates in his triumphant return to the company that started it all. From his father's workshop to the zenith of Silicon Valley, we chart the key moments and philosophies that not only shaped Jobs' career but continue to influence today's tech pioneers, like Elon Musk.
This episode isn't just a history lesson; it's a masterclass in leadership and creativity. Through the lens of Jobs' storied career, we explore the relentless pursuit of quality, the magic of simplicity in design, and the art of assembling teams capable of turning visionary ideas into reality. Jobs' legacy goes beyond the iMac, iPod, iPhone, and iPad; it's written in the DNA of every product that dares to challenge the status quo. Join us for a compelling retrospective of a man whose ideas redefined the digital age and set the bar for what it truly means to think different.
Embark on a voyage into the heart and mind of a tech legend as we unpack the story of Steve Jobs with insights inspired by Walter Isaacson's captivating biography. Prepare to uncover the principles of innovation and uncompromising excellence that defined Jobs' tenure at Apple and beyond. Our narrative weaves through his formative years, the establishment of Apple, his tumultuous time at NeXT and Pixar, and culminates in his triumphant return to the company that started it all. From his father's workshop to the zenith of Silicon Valley, we chart the key moments and philosophies that not only shaped Jobs' career but continue to influence today's tech pioneers, like Elon Musk.
This episode isn't just a history lesson; it's a masterclass in leadership and creativity. Through the lens of Jobs' storied career, we explore the relentless pursuit of quality, the magic of simplicity in design, and the art of assembling teams capable of turning visionary ideas into reality. Jobs' legacy goes beyond the iMac, iPod, iPhone, and iPad; it's written in the DNA of every product that dares to challenge the status quo. Join us for a compelling retrospective of a man whose ideas redefined the digital age and set the bar for what it truly means to think different.
This book is about the rollercoaster life and searingly intense personality of a creative entrepreneur whose passion for perfection and ferocious drive revolutionized six industries personal computers, animated movies, music phones, tablet computing and digital publishing. That's an excerpt from a book I recently read. It's a biography of Steve Jobs by Walter Isaacson, and this was an eye-opening book, a lot of great lessons I'm excited to share with you today. And it's interesting because Steve Jobs' life is basically like three acts. The first act is the founding of Apple and his first tenure at Apple. The second act is him starting the business called Next and then Pixar and Next kind of failing. And then the third act is him coming back to Apple and there's definitely an interesting character arc to this story. And there's definitely an interesting character arc to this story and Steve Jobs arguably is one of the best, if not the best, entrepreneur that we've seen in the late 20th, early 21st century. So it should be a really interesting episode. Themes of this episode that I saw that we'll dive into deeper is that Steve Jobs was really into building teams that produced really exceptional work. He was really focused on the product and the customer experience and not just paying lip service to that, but really going above and beyond and then also incorporating a lot of simplicity into his products to make it super easy to interact with them. And he was also a very clear communicator and he definitely learned from history like we're doing today. He was a student of history, he definitely studied up and we're going to go through some of those lessons here.
Speaker 1:So first let's jump into his early life. He was born in 1955. He was in an early period. He was interested in technology and here's an excerpt from the book. Jobs remembered being impressed by his father's focus on craftsmanship. I thought my dad's sense of design was pretty good, he said, because he knew how to build anything. If we needed a cabinet, he would build it. When he built our fence he gave me a hammer so I could work with him. 50 years later, the fence still surrounds the back and sides of the yard of the house in Mountain View, as Jobs showed it off to me. He caressed the stockade panels and recalled a lesson that his father implanted deeply in him. It was important, his father said, to craft the backs of the cabinets and fences properly, even though that they were hidden. He loved doing things right. He even cared about the look of the parts you couldn't see, and this is something that this idea of crafting the inside of things even though no one's going to see it. Jobs used the same idea later when he's developing computers at Apple. So, going into his college life, he ends up dropping out of college and he just drops in on certain classes that interest him. He ends up traveling to India. Here's another excerpt from the book.
Speaker 1:Even later in his life, he would credit psychedelic drugs for making him more enlightened. Taking LSD was a profound experience, one of the most important things in my life. Lsd shows you that there's another side of the coin. It reinforced my sense of what was important Creating great things instead of making money, putting things back into the stream of history and of human consciousness as much as I could. So here's the idea that is going to recur throughout his life is that he really wanted to. His motivation was creating something great and putting it and making an impact on on the world. So, even though he ends up being a billionaire, his motivation was not money and you can you'll definitely see this again and again if you study steve jobs and he really just wanted to create something amazing that just improved people's lives. All right, so.
Speaker 1:So during the same period, steve Jobs needs a job. So he goes to a place called Atari and he actually goes. This is the office of Atari and he walks in and he's barefoot and he stinks because he's basically a hippie at this point. He's doing LSD, he's out washing his body and he does this for several years, if not most of his life, and he basically demands a job and he will not leave unless Atari gives him a job. And so they ended up giving him a job and they put him on the night shift so nobody has to smell him. But the owner of Atari saw something in him. The owner of Atari was Nolan Bushnell, and here's an excerpt from the book.
Speaker 1:The Atari experience helped shape Jobs' approach to business and design. He appreciated the user-friendliness of Atari games. That simplicity rubbed off on him and made him a very focused product person. Jobs also absorbed Bushnell's take-no-prisoners attitude. Nolan wouldn't take no for an answer and this was Steve's first impression of how things got done. Nolan was a mentor for Jobs. There's something indefinable in an entrepreneur and I saw that in. Steve. Bushnell said he was interested in not just in engineering, but also the business aspects. I taught him that if you act like you can do something, then it will work. And I told him pretend to be completely in control and people will assume that you are. So this is back very formative years. This is back when Steve Jobs is only 19 years old and he's working at Atari and getting this mentorship from Bushnell. And again, this is where the idea of simplicity is reinforced. In Steve Jobs One of the Atari games, basically all the instructions were insert coin and avoid Klingons. So very simple. And so that idea stuck with him when he founded Apple later on.
Speaker 1:So, going on to the founding of Apple, steve Jobs ends up meeting Steve Wozniak, and Jobs became fascinated with the idea that it was possible to start your own company, and they founded Apple in 1976. And here's a quote from the book my vision was to create the first fully packaged computer. He recalled we were no longer aiming for the handful of hobbyists who like to assemble their own computers. We knew how to buy transformers and keyboards For every one of them. There was a thousand people who would want to buy the machine to be ready to run. So basically, steve Jobs had the idea hey, instead of trying to sell to hobbyists, let's create something that will have a mass appeal, where you have designed a personal computer that is ready to go, ready to use right out of the box. Obviously that's normal for us nowadays, but back in 1976, that was definitely not the case. Only kind of techies and weirdos that were really interested in technology would have computers in their house that they used. And so Steve Jobs and Steve Wozniak well, steve Jobs is really. His vision was to create something that you know you could just plug into the wall and it was really easy to use, really simple and a great tool for somebody to use in their own, in their house. Simple and a great tool for somebody to use in their own, in their house. And so they ended up launching Apple one and Apple two. Apple two had really great success and was a big driver of sales, and this also eventually led into the introduction of the Macintosh in 1984.
Speaker 1:One of here's a quote from the book. Jobs had latched onto what he believed was a key management lesson from his Macintosh experience you have to be ruthless if you want to build a team of A players. It's too easy, as your team grows, to put up with a few B players and then they attract a few more B players and soon you will have some C players. He recalled the Macintosh. Experience taught me that A players like to only work with other A players, which means you can't indulge B players, and so this is a common theme that you'll see throughout Steve Jobs' life.
Speaker 1:He wants to put together the best people on his team to help him make great products and at this point in Steve Jobs' career, early in his career at Apple, he's really good at creating great products and really pushing people. He's very abrasive, but he pushes people to get to the next level to create these amazing things Apple II and Macintosh but he is still really abrasive and he doesn't always have the emotional intelligence to realize when he's being kind of over the top and really upsetting people unnecessarily and not having the effect that he really wants to, which is to create great products. So he's definitely still learning. He's great at producing these great products, but not really great at managing a company at this point. But let's continue on.
Speaker 1:Here's another quote from the book. I've always wanted to own and control the primary technology in everything we do, and this quote basically highlights the way that Apple approaches things, the way that Steve Jobs demanded Apple approach things, which is they wanted to control the hardware and the software, felt like they could really own that customer experience and provide that next level experience by controlling everything. Another theme that I saw in this book was that Steve Jobs really was a student of history, like we are, the things that we're doing right now, which tells me we're we're on the right track. And he would always use analogies when describing. He's a great communicator. Whenever he was describing like one of his products, he would always use analogies from history to kind of help folks understand it better. So here's here's a quote. He likened his own introduction of the easy-to-use Macintosh computer to what Alexander Bell had done when he filed patents for the telephone in the 1870s, replacing existing technology with a newlearn code of the telegraph, with the telephone that anyone could use immediately without training, to his own replacement of the hard-to-learn commands of the IBM personal computer with his Macintosh, which anyone could use almost immediately. And just as the telephone permitted a greater range of expression with the dots and dashes of Morse code, even permitting one to sing, jobs' Macintosh permitted greater expressiveness too, incorporating picture drawings that the IBM machines did not have.
Speaker 1:So we get into after the Macintosh, steve Jobs starts to struggle at Apple. He's having a lot of internal conflicts, power struggles. He's very abrasive to others, has low like I said, low emotional intelligence. He doesn't realize how things are impacting him and his reaction and then how that impacts other people and that effect that's going to have on their work performance and there ends up being a boardroom coup and he's kicked out in 1985 from Apple and so that's act one, his first tenure at Apple. Now going into act two, this is when he starts Next and Pixar, which he ends up actually buying Pixar from George Lucas. So for founding of Next, he founds this in 1985.
Speaker 1:The vision was to create advanced computers for higher education and business and Steve Jobs goes into a lot of mistakes at this point. He makes a whole bunch of mistakes that he ends up learning from in this Act 2 period and implements in his Act 3 period when he goes back to Apple. He has a lot of struggles and setbacks at Next and Next is basically really overspending. He kind of seems like he forgot about the frugal way that Apple started. He sold his van to get Apple started and they were on a shoestring budget. Now he comes next and he starts just really spending a lot of money before they have any proven track record of sales. Spending a lot of money before they have any kind of proven track record of sales.
Speaker 1:His first 10 hires, which goes against his own advice he's saying previously about only hiring A players, and the first 10 hires are key. In his first 10 hires he hires an interior designer for a computer company which doesn't really make any sense, a computer company which doesn't really make any sense, and they end up next have super low sales. They're selling only a few hundred computers a year compared to you know, the Macintosh was selling hundreds of thousands of computers. So really dismal performance. By next, and on the on the on the other side of things, he's, so he's doing the next thing. Then he's also uh, he has Pixar, which he purchased, uh, from George Lucas back in 1986. And so here's a quote from the book jobs met only once with George Lucas, lucas who warned him that the people in the division cared more about making animated movies than they did about making computers. You know, these guys are hell bent on animation. Lucas told him. Lucas later recalled I did warn him that was basically Ed and John's agenda. I think in his heart he bought the company because that was his agenda too.
Speaker 1:So and Steve Jobs actually bought Pixar not to make movies. He bought it to use the software that they had developed and the computer that they developed, and he thought that would be something that they could sell to people. So he didn't really actually buy it At least he didn't say he bought it to actually make films and so he bought it for a few million dollars I think it was $5 million from George Lucas. And so they're trying to and they don't really have a strategy on how this business is going to be successful. They don't have a clear like hey, this is what we're going to do. They were trying to sell things here and there and they're making a little bit of revenue, but it did not cover the costs of running the business. They had an all-star team with Ed Catmull and several other folks and a lot of great minds in this business, but they didn't really have a business strategy.
Speaker 1:And so this resulted in Steve Jobs just basically writing millions of dollars of checks to keep Pixar afloat for many years, basically 10 years from 1985 until they actually had some success with the release of Toy Story in 1995. And so he was basically 10 years and he ended up putting in about $60 million of his own money into Pixar before it had any kind of success, and that was most of his wealth at that point, I think, coming out of Apple. He had a couple hundred million, I think around 200 million coming out of Apple and then he just dumped in a huge portion of his wealth into Pixar to keep it going for years and years and years where they were kind of floundering and not knowing what they're going to do. But he did learn a lot of key lessons. I think Ed Catmull is basically the team leader that was leading these creatives, and Steve Jobs, I think, learned a lot about how to basically have some emotional intelligence and treat people in a way that gets the result that you want from them. And so I think Steve Jobs came out with a lot of good lessons out of Pixar for leading small teams which he ends up implementing at Apple later on and in Next.
Speaker 1:Like I said before, he had made a bunch of mistakes, uh, about, you know, hiring the wrong people, and it kind of reinforced the things Um, what, what to do like don't overspend. You know, you need to be fiscally conservative, you need to hire the right people for the right roles, that sort of thing, and also because of those sales, they completely miss how to miss the target on what customers actually want. So he had to revisit, like, hey, we need to create things for people that are going to be useful for them. So he learned a lot during these, during these years that he implements ruthlessly. And when he comes back to apple which we'll talk about here in a second but to go back to Pixar, so they eventually they're they're making small films and and Steve jobs is like let's, let's make full feature films they get in a deal with Disney to basically make three movies for Disney. So basically they're like a subcontractor to Disney.
Speaker 1:And Steve jobs has the idea Okay, we're going to make this. You know these, these movies for Disney, and these are going to be the first computer animated movies ever in history. And you know it was pretty significant that Pixar was a an animation business or animation company, because no other successful animation company really existed except for Disney. So the fact that what they were trying to do is very innovative, especially making animation with a computer, which nobody had really done before. So there's a lot of risk here. So Steve Jobs was like okay, what we're going to do to get leverage over Disney because right now they kind of own us right, they don't really own us, but they're our only source of revenue and they're going to have all the cards when we come to renegotiate. So let's try to go public and get financing from the public and get funding so that when we go back to renegotiate we'll have more of the cards on our side. And so he comes up with a plan Okay, when Toy Story releases which he had full faith in we'll list Pixar on the public stock market and get funding a few days later. And that strategy ended up paying off big. So Toy Story releases in 1995. And it's a huge success. It's just breaking records in the box office. And then a few days later Pixar goes as a publicly traded company and it basically makes Steve Jobs a billionaire at this point by Pixar going public. And so when Pixar goes back to Disney to renegotiate the contract because they had a contract to make three movies and Disney was basically going to own all the characters and the sequels to the characters and all this stuff they went back to Disney and Disney had to renegotiate. And coming out of that negotiation, steve Jobs ends up being the biggest shareholder of disney the biggest individual shareholder of disney which is crazy, you know becomes even more wealthy from this big bet of uh, putting all this money into pixar and and leading that team to great success with Toy Story and the subsequent films. So this leads us to 1997.
Speaker 1:At this point, while Steve Jobs is away doing things at Next and Pixar, apple has completely lost its way. It's losing market share like crazy and the CEO is not performing well at all. They have a whole bunch of different products and it's not clear what those products are supposed to do. So it's really in a tough spot. And he ends up considering should he return to Apple? And so let me read you a quote from the book.
Speaker 1:We had just taken Pixar public and I was happy being the CEO there. I never knew of anyone who served as CEO of two public companies and I wasn't even sure if it was legal. I didn't know what to do. I was enjoying spending more time with my family. I was torn. I knew Apple was a mess. So I wondered do I want to give up this nice lifestyle that I have? What are all the Pixar shareholders going to think I talked to the people I respected. I called Andy Grove, I gave him the pros and the cons and in the middle of that he stopped and he says Steve, I don't care about Apple. And I was stunned and it was. Then I realized that I do care about Apple and I started it and it was a good thing to have in the world, and that was when I decided to go back. And so this kind of shows that Steve was really. He had a kind of emotional connection to Apple. He founded the company and he felt really connected to it and he felt like it could make a really important impact in the world.
Speaker 1:Here's another quote that I think is related to this idea. It says I hate it when people call themselves entrepreneurs when what they're really trying to do is launch a startup and then sell or go public so they cash in and move on. They're unwilling to do the work that it takes to build a real company, which is the hardest work in business. So I felt like I think that's what he was trying to do with Apple is go back in there and make it a great company, because he didn't do it the first time. He made some great products at Apple the first time he was there with the Apple II and the Macintosh, but he didn't create a great company because as soon as he left, the great product stopped. So he felt like he needed to go back and make it a great company this time not only create great products, but create a great company. So he goes back to Apple and he ends up revamping the Apple's product line and the culture there, and with the product line he basically simplified and he deleted a whole bunch of products. It reminds me of when we talked about Elon Musk in a previous podcast. When Elon Musk approaches a process, he basically looks to see what he can delete and he just deletes as much as he can out of the process to simplify it, and simplify it, and simplify it. Again and again and again. That's what Steve Jobs does with the products. Because they had all these products and he was asking questions on what each product did and nobody could really answer it. So here's a quote from the book After a few weeks, jobs finally had enough.
Speaker 1:Stop. He shouted at one big product strategy session. This is crazy. He grabbed a magic marker, padded to a whiteboard and drew a horizontal and a vertical line with a four squared chart. Here's what we need. He continued. Atop the two columns he wrote consumer and pro. He labeled the two rows, desktop and portable. Their job, he said, was to make great products, one for each quadrant. The room was in dumb silence. So basically he's like let's get rid of all this other stuff. We're going to make four products and one's going to be for the consumer desktop, consumer portable, pro desktop and pro portable. So he is simplifying the product strategy there. Now here's another quote from the book. For most things in life, the range between best and average is 30% or so. The best airplane flight, the best meal they may be 30% better than your average one.
Speaker 1:What I saw with was was somebody who was 50 times better than the average engineer he could have had. He could have meetings in his head. The Mac team was an attempt to build a whole team like that A players. People said that they wouldn't get along, that they'd hate working with each other, but I realized that A players like to only work with A players. They just don't like working with C players. At Pixar, it was a whole company of A players. When I got back to Apple, that's what I decided to do you need to have a collaborative hiring process? When we hire someone, even if they're going to be in marketing, I will have them talk to the design folks and the engineers.
Speaker 1:My role was J Robert Oppenheimer. I read about the type of people he sought for the Atom Bomb project. I wasn't nearly as good as he was, but that's what I aspired to do. So there we see Steve Jobs learning from the past again, with referring back to Oppenheimer and how he built the Atom Bomb team, basically to build the Atom Bomb. And so that's how he built the Atom Bomb team, basically to build the Atom Bomb. And so that's how he saw his role was to get A players all on the same team, and that's what he had accomplished with Pixar, and he was trying to accomplish it with Apple. And then that goes into the iMac, which was created in 1998.
Speaker 1:And then in 2001, they launched the iPod, and I remember this back in I think I was in middle school at that point the iPod was just, you know, it was revolutionary. Everybody was getting iPod, and so that was a huge innovation for Apple. And then in 2007, they ended up developing and launching the iPhone, which again that kind of disrupted the cell phone area, because before it was all the you know the buttons, the phones with the buttons, like the BlackBerry, was kind of like the best phone back then, before the iPhone. And then the iPhone came out and just took over that market and then you had all the copycat iPhones. To this day, really, every phone after the iPhone nowadays is just a copycat of that original iPhone in 2007. And then in 2010, they released the iPad, which again just disrupted and dominated the market.
Speaker 1:I think at that point, when they released the iPad, netbooks were like the big thing which is basically a cheap version of the laptop and that was all. The other companies were kind of like trying to capitalize on creating these cheaper laptops, and Steve Jobs refused to create any kind of netbook version of that because he said that it was basically a product that didn't do anything good. It was just like a cheap, stripped down laptop. And so they instead went after creating that iPad. And so here's a quote from the book my passion has been to build an enduring company where people were motivated to make great products. Everything else was secondary. Sure, it was great to make a profit, because that was what allowed you to make great products. But the products, not the profits, were the motivation.
Speaker 1:Scully flipped through these priorities to where the goal was to make money. It's a subtle difference but it ends up meaning everything the people you hire, who gets promoted, what you discuss in meetings. So basically, the focus should be he's saying that it should be the product, what you're delivering. So in our case, with painting businesses, it should be the service you're providing. Focusing on providing a great experience to your customers should be your focus. If you take care of that portion, the profits will follow. So don't focus on the profit over the actual experience of what you're trying to do in your service.
Speaker 1:I think is the takeaway for that. Here's another quote people pay us to integrate things for them because they don't have the time to think about this stuff 24 7. If you have an extreme passion for producing great products, it pushes you to be integrated, to connect your hardware and your software and the content management. You want to break new ground, so you have to do it yourself. If you want to allow your products to be open to other hardware or software, you have to give up some of your vision. So this is basically again the idea that Apple was trying to integrate the whole experience, so they wanted to control that experience so they could provide a great experience. So they had to own this hardware and the software and build it themselves instead of outsourcing things to be built by other people. So that's why he focused on that, and I think that could be a takeaway for us as well. Where you want to own the customer experience, so you might not want to outsource, maybe, an interior designer, maybe you don't want to outsource to a different company to do the work because you might lose a piece of that customer experience when you're outsourcing it to other companies. So if you really want to take the experience to the next level, you might have to take it all in-house so you can control the details and provide that amazing experience and really elevate yourself. So, obviously, steve Jobs ends up having health struggles, with cancer, he ends up stepping down as the CEO in 2011 and ends up passing away in 2011. And he had a huge impact on many industries, like we said at the top. But I think the things that we can learn from him are we need to focus on building and leading great teams, finding those a players and not settling for a b player and, of course not a c player.
Speaker 1:Um, and uh, I heard I heard a someone described it this way I don't think it was steve jobs but basically like an a player is someone who you're, if you hear that they're quitting, you immediately panic and you wonder, like what happened? And then you worry that you're not going to be able to find someone as good as that person ever again. So that's like an A player. So if you just reflect on who's on your team, do you have any A players by kind of? Does that match up with with that experience? Do you have any A players by kind of? Does that match up with with that experience? Now, a B player is someone who, if they tell you that they're quitting, you're upset and you're definitely concerned, but you're relatively confident that you can find something to replace them. So that's a B player. And then a C player is if they tell you that they're quitting, you're just like, okay, well, I was going to fire you anyway, so I'm not worried about it. So that's a helpful way for myself anyway. Um, on how to kind of frame what the A player and B player and a C player is. But I think that the idea of keeping getting a players on your team super important, um.
Speaker 1:And the next thing is focused on the, on the product or, in our case, the experience of the service. We got to keep that in focus. That is the main thing. That's how we make an impact in the world and that's also going to result. If we're doing that, if we're providing that amazing experience, it's going to result in more profit. The other things will follow. The other thing was simplicity. Another common thing is that he always wanted to make things simpler and simpler and simpler, uh, to improve the overall customer experience. And then reflections. Um, so his, his impact was huge, and many different industries and I think is we can learn a lot from Steve Jobs Really enjoyed reading this book. I definitely recommend you reading it as well. Again, steve Jobs by Walter Isaacson, and with that, we'll see you next week.