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Transcript of Apple
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The Early Stages
Apple is Born
Decline and Recovery
Apple II +Macintosh
"It was about creativity." — Steve Jobs
"Why 1984 won't be like 1984."
"1,000 songs in your pocket."
by advertising the . In addition, the would position as invoking innovation and youth. So I moved $75 million of advertising money to the iPod, even though the category didn’t justify one hundredth of that. That meant we completely dominated the market for music players. We outspent everybody by a factor of about a hundred."
— Steve Jobs
"I had this crazy idea that we could sell just as many
iPod, iPhone, iPad
Apple, iTunes, App
"It’s already a revolution, and it’s only just begun."
“Apple is a different kind of brand, and it’s cooler than the brand of most artists. We should talk about the opportunity we offer the bands, not pay them.”
— James Vincent
Apple was born on April 1, 1976.
The three founding members were Steve Jobs (45%), Steve Wozniak (45%), and Ron Wayne (10%).
The Apple I was originally priced at $666.66, the equivalent $2,690 today (adjusted for inflation).
Mike Markkula joined next, and gave $250,000 in return for a 26% stake in the company.
On January 3, 1977, the company became an official corporation: Apple Computer Co.
Markkula wrote “The Apple Marketing Philosophy,” which emphasized three points: empathy, focus, and impute.
Regis McKenna, a publicist, redesigned the Apple logo.
Markkula decided to control Jobs by bringing in Mike Scott, Apple's first president.
Apple was headed for success.
The Apple II was launched at the West Coast Computer Faire, held in April 1977.
The Apple II quickly became the main source of profit and revenue for the company.
The Apple II dramatically fueled the personal computer industry.
In less than four years, Apple grew drastically.
Apple went public on December 12, 1980.
The next innovative product unleashed by Apple was the Macintosh.
In the end, Jobs took over the project and turned it into a revolutionary product that transformed the entire computer industry.
The Macintosh, introduced on January 24, 1984, was an immediate success that reaffirmed Jobs' ability to create revolutionary products.
Mkt cap: 412.60B
"With a $145 billion cash hoard, Apple could acquire Facebook, Hewlett-Packard and Yahoo. Put another way, it could buy every office building and retail space in New York, according to city estimates."
In the spring of 1985, many problems arose from the company.
On May 28, 1985, Jobs was removed from his position as operational manager of the Macintosh.
Jobs resigned and founded NeXT.
During this period under Sculley's leadership, Apple lost its vision and became unfocused.
Major product flops and missed deadlines sent Apple in a downward spiral — along with its stock price.
Sculley was eventually replaced by Michael Spindler, who was then replaced by Gil Amelio.
Amelio purchased NeXT and the NeXTSTEP operating system.
After three years of record-low earnings and stock prices, coupled with financial losses, Amelio was ousted and Jobs rose to power.
At that time, Jobs hadn’t planned to take over as CEO, but he agreed to remain as an interim CEO.
Jobs wanted to create an ad to remind everyone that Apple was about creativity; the result was the Think Different commercials.
Jobs closed failing projects and refocused the company.
In the end, Jobs cut 70% of the products and began massive layoffs to refocus the team.
In 1998, Apple earned $309 million in profit.
The iMac was introduced on May 6, 1998 and went on sale in August 1998 for $1,299.
It was an immediate hit — the fastest-selling computer in Apple history.
In January 2000, Jobs announced that he would become the CEO of Apple.
Jobs launched the Apple Store on May 19, 2001.
The Fifth Avenue store attracted fifty thousand visitors per week in its first year.
Sales from Apple stores amounted to 15% of the revenue, hauling in $9.8 billion in 2010.
Jobs, a music lover, created the iTunes Store to save the music industry.
Jobs made decisions to price the songs at $0.99 and sell individual songs, rather than entire albums.
The iTunes Store launched on April 28, 2003 and sold one million songs in just six days.
Originally, Jobs only wanted apps created by Apple to be available on the iPhone and iPad.
In July 2008, the App Store opened on iTunes.
In just nine months, there was over a billion downloads, and the number is rapidly increasing.
Apple tapped into the portable music player industry with the creation of the iPod.
A huge success, the iPod alone made up 45% of the revenue in 2005.
Despite the price tag of $500, by the end of 2010, Apple had sold over ninety million iPhones and received over half of the total profits generated by the global cell phone market.
The bulky keyboard was replaced with the multi-touch interface; the stylus, which Bill Gates though was the future, was also removed.
The iPad was launched on January 27, 2010.
Apple sold a million iPhones in two months; a million iPads were sold in less than one month.
The iPad 2 is the fastest selling consumer gadget product in history.
Apple is a partner of the Product RED
campaign, which aims to eliminate
AIDS by 2015. Immediately following the
attacks by Hurricane Sandy on the east
coast, Apple donated $2.5 million to
the Red Cross to aid relief efforts.
**** In millions, except number of shares, which are reflected in thousands and per share amounts.
**** Dollars in millions and units in thousands.