Why It's Not Over For Apple
To listen to Mike Elgan out at Cult of Mac talk, you’d think that, when Steve Jobs announced he was stepping down, Apple closed its Cupertino campus, smashed every iPad in storage, lit all their patents on fire and coated their faces in the ashes, wailing with despair for their lost master and commander. Ah, but he had a point. Apple won’t be the same without Steve Jobs. But where he and I part company is that I don’t think Apple will be any worse off with Tim Cook.

While Steve Jobs has been nothing but instrumental in the rebuilding of Apple as a company–from Think Different to the endless line of iDevices–the one thing that folks like Mike Elgan seem to forget is that Steve Jobs did not pull every iPad from his very brow. He did not assemble a pile of dirt, breathe into it, and lo, there did emerge the iPhone. He did Think Different, make no mistake there, and indeed many of the designs we know and love of Apple’s probably wouldn’t be there if it weren’t for him.
But to take Jobs’ incredible record of fostering and leading on innovation and positing from there that Tim Cook et al can’t possibly compete because Steve Jobs will no longer be involved in every little detail not only does an incredible disservice to the entire Apple corporation as a whole, but even to Jobs himself.
Consider Apple like its namesake, an apple. Every apple has several parts. The skin that holds it together and faces the world, the meaty pulp, the stem that holds it to the larger tree, and the core that contains the seeds. Steve Jobs was the skin of the Apple. He went to the trade shows. He held up the products. He made “one more thing” famous. But he was not the apple. He was not Apple. He was the face of the apple that everyone saw, but he wasn’t the apple.

What Jobs himself knew was that he had a lot to do with things, so much so that he brought the rest of the apple together. He had a hand in the hiring of the engineers and programmers and everybody else who made all these great Apple products. And the part that those like Elgan didn’t consider? Even Jobs admits it.
I read a great account of an internal meeting at Apple in 1999 from a guy named Marc Hedlund. Hedlund described the meeting, featuring Steve Jobs who came out to wild applause. Jobs let it go on for a while, and then tried to settle down the crowd. Eventually he got the crowd under control, and he said something that got that everyone applauding once again. Something that shoots holes in Elgan’s argument. What did he say? He said this:
“That’s an awful lot of applause considering that you guys are the ones who do all the work.”
Hear that, Mike Elgan? Hear that, everybody who thinks Apple is going to be worse off because Steve Jobs is leaving? The skin of an apple is important. It presents a face to the crowd. It holds the fruit together. But if you take that skin off, you’ve still got a viable apple. The meat is there, the core is there, the stem is there. Apple will be different without Jobs’ leadership, that’s true. But Jobs put a good team in place. Cook, the programmers, the engineers–everyone else that made Apple Apple is still there and still in play.
Steve Jobs knew who really ran Apple. He just led them.
And that’s why this isn’t the end of Apple, just something new.
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Now Tim is out of two closets! /S ….but this guy’s no flamer and thus has no flare or Magical touch whatsoever. From which to even come close to Steve Jobs in the charisma category. Apple has now lost Magic Touch. Which is what sold their somewhat average products at above average inflated prices for all those “Obscene Profits”!
Hearing him use the word Magical just makes me want to puke. Sorry!!! …and at least when Steve said it, you knew he meant it and that he understood the technical side of side of Apple’s products. This guy most likely can barely operate a toaster without outside help or service!
It’s the coach, stupid, not the players. It’s the practice, stupid (or synonymously, Latrell Sprewell), not the game.
Tim Cook might turn out to be a great coach, but does he have the lifetime of “deliberate practice*” that Jobs has? Probably not. There might be Jobs duplicates out there, but Cook, smart and nice guy that he appears to be, does not seem to be one.
*from “Talent is Overrated” (Disclosure: I have no affiliation with this book, other than having read it).
The problem with Apple is that we need to ask ourselves : What is Act 3? Anyone who claims that Apple will continue to make money off of hardware needs to point to a reason why. It has never happened before. Hardware becomes a commodity and profits go out the window. Job’s departure is irrelevant, regardless of what he actually contributed to Apple’s success. The point is that Apple is a very narrow-viewed company with no vision or breadth. Jobs was a one-idea-at-a-time guy and each idea seemed to be simply an elaboration of the previous one. Apple right now has but one thing keeping it on its perch – the large number of apps for its platform. In other words, Apple is making money the Microsoft , old fashioned way – via monopolistic, proprietary software. That branch can snap in about a second if Amazon makes good on its pricing of its upcoming tablet. Amazon can go toe to toe with Apple in every way and provide better experiences and resources that Apple simply cannot match, at least not without clobbering those big profit margins. This should prove to be an interesting chapter in Apple’s second life. Unless Amazon makes an uncharacteristic stumble, it appears as though Apple
will learn what healthy competition is all about. And how diversity, something it lacks, can provide a winning advantage.
Great analysis.
A good call, certainly. After all, as we’ve seen with the $99 HP Touchpad, the tablet form factor is popular if the price is right, a testament to the current state of the global economy. I wouldn’t say Jobs’ departure is irrelevant–if absolutely nothing else he’s a symbol and there’s always value in a symbol–but I do think that it’s been largely overblown by the tech community at large.