1. On Business

    How do you learn to run a company at 21 with no business experience?

    Throughout the years in business I found something, which is, I’d always ask why you do things, and the answers you invariably get are “oh that’s just the way it’s done.” Nobody knows why they do what they do, nobody thinks about things very deeply in business. That’s what I found.

    I’ll give you an example. When we were building our Apple Is in the garage we knew exactly what they cost. When we got into a factory in the Apple II days, accounting had this notion of a “standard cost.” Where you’d kind of set a standard cost and then at the end of the quarter you’d adjust it with a variance. And I kept asking, “why do we do this?” And the answer was just “well that’s the way it’s done.” And after about 6 months of digging into this what I realized was the reason you do it is because you don’t really have good enough controls to know how much it costs, so you guess, and then you fix your guess at the end of the quarter. And the reason you don’t know how much it costs is because your information systems aren’t good enough.

    But nobody said it that way. And so later on when we designed this automated factory for Macintosh we were able to get rid of a lot of these antiquated concepts, and know exactly what something costs, to the cent. And so in business a lot of things are what I would call “folklore.” They’re done that way because they were done that way yesterday. And so if you’re willing to ask a lot of questions about things and work hard you can learn business pretty fast. It’s not the hardest thing in the world. It’s not rocket science.

  2. On Programming

    I think everyone in this country should learn a computer language because it teaches you how to think. It’s like going to law school — I don’t think anyone should be a lawyer, but going to law school could be useful because it teaches you how to think in a certain way. So I view computer science as a liberal art.

  3. On Success

    The technology crashed and burned at Xerox.

    What happens is, like with John Sculley, John came from PepsiCo, and they at most would change their product maybe once every ten years. To them a new product was like a new size bottle. So if you were a product person you couldn’t change the course of that company very much. So who influenced the success of PepsiCo? The sales and marketing people. Therefore they were the ones that got promoted and they were the ones that ran the company.

    Well, for PepsiCo that might have been ok, but it turns out the same thing can happen in technology companies that get monopolies, like IBM and Xerox.

    If you were a product person at IBM, or Xerox, so you make a better copier or a better computer? So what? When you have a monopoly market share, the company isn’t any more successful. So the people that can make the company more successful are sales and marketing people, and they end up running the companies. And the product people end up getting driven out of the decision marking forums. And the companies forget what it means to make great products. The product sensibilities and the product genius that brought them to that monopolistic position gets rotted out by people running these companies who have no conception of a good product vs. a bad product. They have no conception of the craftsmanship that’s required to take a good idea and turn it into a good product. And they really have no feeling in their hearts, usually, about wanting to really help the customers.

    So that’s what happened at Xerox.

  4. On Process

    People get confused, companies get confused. When they start getting bigger, they want to replicate their initial success, and a lot of them think that somehow there’s some magic in the process that they’ve created. And so they start to institutionalize process across the company. And before very long people get very confused that the process is the content.

    In my career I’ve found that the best people are the ones who really understand the content. And they’re a pain in the butt to manage. But you put up with it because they’re so great at the content. And that’s what makes great products. It’s not process, it’s content.

  5. On Greatness

    What’s important to you in the development of a product?

    One of the things that really hurt Apple was that after I left John Sculley got a very serious disease. And that disease — I’ve seen other people get it too — it’s the disease of thinking that a really great idea is 90% of the work, and if you just tell all these other people “here’s this great idea,” then of course they can just go off and make it happen.

    The problem with that is that there’s just a tremendous amount of craftsmanship in between a great idea and a great product. And as you evolve that great idea it changes and grows. It never comes out like it starts, because you learn a lot more as you get into the subtleties of it, and you also find there are tremendous tradeoffs you have to make, there are just certain things you can’t make electrons do, there are certain things you can’t make plastic, or glass, or factories, or robots do. And as you get into all these things, you find that designing a product is keeping 5,000 things in your brain, these concepts, and just fitting them all together and continuing to push to fit them together in new and different ways to get what you want. And every day you discover a new problem or a new opportunity to do it a little differently. And it’s that process that is the magic.

    1. ​​The idea grows as they work​​
    2. ​​The Design Squiggle​​
    3. ​​The Nature of Product​​
  6. On Teamwork

    What I’ve always felt that a team of people doing something they really believe in is like, is like when I was a young kid, there was a widowed man that lived up the street. He was in his 80’s, and a little scary looking, and I got to know him a little bit — I think he paid me to cut his lawn or something — and one day he told me, “come into my garage, I want to show you something.”

    And he pulled out this dusty old rock tumbler. It was a motor and a coffee can and a band between them. And he said “come out here with me,” so we went out to the back and we got some rocks, just some regular old ugly rocks and we put them in the can with a little bit of liquid and a little bit of grit powder, and he turned the motor on and said “come back tomorrow,” as the tumbler was turning and making a racket.

    So I came back the next day and what we took out were these amazingly beautiful and polished rocks. The same common stones that had gone in — through rubbing against each other, creating a little bit of friction, creating a little bit of noise — had come out as these beautiful polished rocks.

    And that’s always been my metaphor for a team working really hard on something they’re passionate about. It’s that through the team, through that group of incredibly talented people bumping up against each other, having arguments, having fights sometimes, making some noise, and working together, they polish each other, and they polish their ideas. And what comes out are these really beautiful stones.

  7. On Criticism

    People are being counted on to do specific pieces of the puzzle. And the most important thing I think you can do for somebody who’s really good and who’s really being counted on is to point out to them when their work isn’t good enough, and to do it very clearly, and to articulate why, and to get them back on track. And you need to do that in a way that does not call into question your confidence in their abilities, but leaves not much room for interpretation.

  8. On Help

    Microsoft’s orbit was made possible by a Saturn V booster called IBM.

  9. On Taste

    The only problem with Microsoft is they just have no taste. They have absolutely no taste, and what that means is — and I don’t mean that in a small way, I mean that in a big way — in the sense that they don’t think of original ideas, and they don’t bring much culture into their product. And you say “well why is that important?” Well, you know, proportionally spaced fonts come from typesetting and beautiful books, so that’s where one gets the idea. And if it weren’t for the Mac they would never have that in their products.

    And so I guess I am saddened, not by Microsoft's success — I have no problem with their success. They have earned their success — I have a problem with the fact that they just make really third-rate products. Their products have no spirit to them, no spirit of enlightenment about them. They are very pedestrian. And the sad part is that most customers don’t have that spirit either. But the way that we’re going to ratchet up our species is to take the best and to spread it around to everybody so that everybody grows up with better things, and starts to understand the subtlety of these better things. And Microsoft is McDonald’s.

    So that’s what saddens me — not that Microsoft has won, but that Microsoft’s products don’t display more insight and more creativity.

    1. ​​The aspiration for quality​​
    2. ​​We'll slap a little color on this piece of junk​​
    3. ​​Such an unholy alliance​​
    4. ​​Do they really need it?​​
  10. On Technology

    As we look back 10 years from now, the web is going to be the defining technology, the defining social moment for our generation.

    I think it’s going to be huge.

  11. On Tools

    I read an article when I was very young in Scientific America. It measured the efficiency of locomotion for various species on the planet — you know, for bears and chimpanzees and raccoons and birds and fish — how many kilocalories per kilometer did they spend to move? And humans were measured too. And the condor won, it was the most efficient. And mankind, the crown of creation, came in with rather an unimpressive showing about a third of the way down the list.

    But somebody there had the brilliance to test a human riding a bicycle, and it blew away the condor, all the way off the charts. And I remember this really had an impact on me, I remember thinking that humans are tool builders, and we build tools that can dramatically amplify our innate human abilities.

    And to me — we actually ran an ad like this, very early at Apple — the personal computer is the bicycle of the mind. And I believe that with every bone in my body, that of all the inventions of humans, the computer is going to rank near if not at the top as history unfolds and we look back. It is the most awesome tool that we have ever invented, and I feel incredibly lucky to be at exactly the right place in Silicon Valley, at exactly the right time where this invention has taken form.

  12. On Theft

    How do we know what’s the right direction [for computers to take]?

    Ultimately it comes down to taste. It comes down to trying to expose yourself to the best things that humans have done, and then trying to bring those things in to what you’re doing.

    Picasso had a saying: “Good artists copy, great artists steal.” And we (at Apple) have always been shameless about stealing great ideas. And I think part of what made Macintosh great was that the people working on it were musicians and poets and artists and zoologists and historians who also happened to have been the best computer scientists in the world. But if it hasn’t been for computer science, these people would all be doing amazing things in life in other fields. And they brought with them — we all brought to this effort — a very liberal arts air, a very liberal arts attitude, that we wanted to pull in the best we saw in these other fields into ours.

    1. ​​A fresh focus of power​​
  13. On Expression

    There was a germ of something there. And it’s the same thing that causes people to want to be poets instead of bankers. I think that’s a wonderful thing, and I think that same spirit can be put into products, and those products can be manufactured and given to people and they can sense that spirit. If you talk to people that use the Macintosh, they love it. I mean you don’t hear people loving products very often. But you could feel it, there was something really wonderful there.

    So I don’t think that most of the really best people that I’ve worked with have worked with computers for the sake of working with computers. They work with computers because they are the medium that is best capable of transmitting some feeling that you have that you want to share with other people. And before they invented these things, all these people would have done other things. But computers were invented, and they did come along, and all these people did get interested in them, either in school or before school, and said “Hey, this is the medium that I think I can say something in."

  14. On Talent

    I observed something fairly early on at Apple, which I didn’t know how to explain then, but I’ve thought a lot about it since. Most things in life have a dynamic range in which [the ratio of] “average” to “best” is at most 2:1.

    For example, if you go to New York City and get an average taxi cab driver, versus the best taxi cab driver, you’ll probably get to your destination with the best taxi driver 30% faster. And an automobile; what’s the difference between the average car and the best? Maybe 20%? The best CD player versus the average CD player? Maybe 20%? So 2:1 is a big dynamic range for most things in life.

    Now, in software, and it used to be the case in hardware, the difference between the average software developer and the best is 50:1; maybe even 100:1. Very few things in life are like this, but what I was lucky enough to spend my life doing, which is software, is like this.

    So I’ve built a lot of my success on finding these truly gifted people, and not settling for “B” and “C” players, but really going for the “A” players. And I found something… I found that when you get enough “A” players together, when you go through the incredible work to find these “A” players, they really like working with each other. Because most have never had the chance to do that before. And they don’t work with “B” and “C” players, so it’s self-policing. They only want to hire “A” players. So you build these pockets of “A” players and it just propagates.

    1. ​​Waste as little effort as possible on low competence​​
    2. ​​A small team of committed coworkers​​
    3. ​​Build projects around motivated individuals​​
    4. ​​Individuals matter​​