April 26, 2024

Unboxed: Steve Jobs and the Power of Taking the Big Chance

And he did, time and again. Mr. Jobs did not make the technology himself; he led the teams that did, prodding, cajoling and inspiring. His track record as a business team leader is unique — as Apple’s Macintosh, iPod, iPhone and iPad testify. In two stints at Apple, he made computers into coveted consumer goods and transformed not only product categories, like music players and cellphones, but also entire industries, like music and mobile communications.

Mr. Jobs even failed well. NeXT, a computer company he founded during his years in exile from Apple, was never a commercial success. But it was a technology pioneer. The World Wide Web was created on a NeXT computer, and NeXT software is the core of Apple’s operating systems today.

Part of Mr. Jobs’s legacy will be the lessons learned by those who worked closely with him over the years. Here are just a few:

DO WHATEVER IT TAKES TO DELIGHT CUSTOMERS Six weeks before the introduction of the iPhone in 2007, Mr. Jobs ordered a crucial design change. Until then, the planning for supplies, manufacturing and engineering had been based on the assumption that the smartphone’s face would be plastic, recalls Tony Fadell, a former Apple executive who led iPod and iPhone development from 2001 to 2009. Plastic is less fragile than glass, and easier to make.

But the plastic touch screen had a drawback. It was prone to developing scratches. Those scratches, Mr. Jobs insisted, would irritate users and be seen as a design flaw. “All the logical facts told us to go with plastic, and Steve’s instinct went the other way,” Mr. Fadell says. “It was Steve’s call — his gut.”

The glass choice was a challenge that seemed “nearly impossible” at the time, he says — a last-minute scramble to get supplies of specialized glass and tweak the design of the phone’s casing to reduce the chances the glass would crack when an iPhone was dropped. But with extra investment and a frenetic work regimen, the switch proved doable, despite the tight deadline.

The episode, Mr. Fadell says, points to a principle he took away from his years working with Mr. Jobs. “You do not cut corners and you make sure the customer gets an experience that is an absolute delight,” observes Mr. Fadell, who heads a Silicon Valley start-up company whose product has not yet been disclosed and will not compete with Apple.

GOOD IDEAS TAKE TIME After he was ousted from Apple, Mr. Jobs founded NeXT in 1985. It produced a powerful desktop computer, a stylish black cube, and its initial market was going to be in education. The idea was that the machine would be more than hardware and software; it would also offer content, “a universe of wisdom,” recalls Michael Hawley, a computer scientist who worked closely with Mr. Jobs at NeXT and lived part time in Mr. Jobs’s house, as Mr. Hawley shuttled between California and his post at the M.I.T. Media Lab.

NeXT computers, in Mr. Jobs’s vision, would marry technology and the liberal arts by including digital books, music and art. Mr. Jobs began pursuing the rights to works that could be converted to digital form. He persuaded a few publishers that because they would save the expense of paper, printing and distribution, NeXT should pay a royalty that was a fraction of the cost of a printed book. Mr. Jobs, Mr. Hawley recalled, struck a deal with the Oxford University Press for the complete works of Shakespeare for a royalty of $1 a digital copy.

NeXT’s foray into education fizzled; its machines were too expensive for that market. But Mr. Jobs’s concept and business model for digital media were “the instinct that was translated to Apple with the iTunes store, 99-cents-a-song pricing and all the media offerings that have followed,” Mr. Hawley says.

“When Steve believed in an idea, he was both passionate and patient, scratching away over the years until he got it right,” says Mr. Hawley, a scientist, concert pianist and host of the EG Conference, an annual gathering for technologists, educators and people in media and entertainment.

Article source: http://feeds.nytimes.com/click.phdo?i=aba06d7eebf15c08ac848e49703136c0

Bucks Blog: Betterment Adds International Investments to Portfolio

Betterment, a simplified investment service for investors who aren’t multimillionaires, has expanded its portfolio to include international stock funds.

In a recent Your Money column about efforts to serve smaller investors, Ron Lieber credited Betterment, which invests in a mix of exchange-traded funds, for its openness to serve anyone, regardless of how much they have to invest. But he warned that a glaring drawback was that Betterment’s portfolio lacked international stock funds—a risky choice given the state of the American economy.

Jon Stein, chief executive of Betterment.Tina Fineberg for The New York TimesJon Stein, chief executive of Betterment.

That weakness has been addressed, Jon Stein, the company’s chief executive, said in a recent e-mail update. As of last month, Betterment’s portfolio includes international exposure through the addition of two new exchange-traded funds: Vanguard Europe Pacific and Vanguard Emerging Markets.

All new clients have the international funds, while existing clients are being transitioned into the new holdings over a period of months.

Does Betterment’s addition of international investments make the service more attractive to you?

Article source: http://feeds.nytimes.com/click.phdo?i=886a447e33ae33f79a6cbb31a18d5891