Steve Jobs CNBC Interview 2005

2005-06-065:13English

Transcript

Machine transcript in the original language. It may contain errors. Select a timestamp to play that moment.

After leaving Apple Computer in 1985, Steve Jobs helped start up which two technology companies?
Next, Computers in 1985, and then he co-founded Pixar Animation Studios a year later.
Jobs returned to Apple in 1997.
Well, Apple Computer is a company that does things in rather unique and dramatic ways,
and it's about to make a very dramatic move in the technology business.
It's unplugging IBM after a tempestuous 10-year relationship,
and instead will use chips made by Intel from now on.
Apple CEO Steve Jobs made the announcement today
at the company's software developers conference in San Francisco
and he joins us now to talk more about it.
Mr. Jobs, always a pleasure. Good to see you.
Thanks for being with us today.
Great to be here.
Why'd you make the move?
Well, you know, it's not as dramatic as you're characterizing it.
You know, we've got some great PowerPC products today
and we've even got some PowerPC machines in the pipeline
which we haven't introduced yet.
And this is going to be a more gradual transition.
I think we'll hopefully when we meet with our developers a year from today,
we'll have some Intel based Macs in the marketplace.
But it's going to take maybe a two year transition to, you know.
People who were in the room suggested that you were somewhat harshly critical of IBM
and its inability to deliver what you needed at this point in your product development cycle.
What did IBM fail to come up with in your estimation?
You know, we have a good relationship with IBM and they've got a product road map.
and today the products are really good.
But as we look out into the future,
where we want to go is maybe a little bit different.
And we can envision some awesome products
we want to build for our customers in the next few years.
And as we look out a year or two in the future,
Intel's processor roadmap really aligns
with where we want to go much more than any others.
So that's why I think we're going to begin this transition now,
and it's going to take two years.
But I think it's going to get us where we want to be
to build the kind of future products we want to build.
Our products today are fine, but it's really, you know, a year or two down the future where we see some issues.
I know you're not going to give away any trade secrets here, but to the best that you can, describe where is it that you want to go that Intel, you know, is willing to go along with.
Go along with you, I should say.
We never talk about unannounced products, so I can't say.
There used to be a saying at Apple, isn't it funny a ship that leaks from the top?
I don't want to do that.
But what about the direction?
I mean, with respect to the strategic direction of the company,
what do you mean when you say you have a direction into which you want to go?
Well, I guess we'll just have to wait and see.
All right.
Let me ask you about some other topics then while we've got you here.
Pixar, there have been reports that maybe now that Robert Iger is running Disney
that there could, in fact, be some warmer relations between the other company that you run
and Walt Disney Company's studios.
Are there any new discussions underway that might allow you to renew the distribution agreement with Disney, or is it premature at this point?
You know, I've had some great discussions with Bob Iger.
I really like him, and we'll see where it goes.
I think, you know, we'll sit down to have some serious discussions, hopefully, in the next month or two.
So they are more in the running now than they were, let's say, six months ago?
You know, again, Bob Iger seems like a great guy,
and we'll sit down and have some discussions, I'm sure, in the next month or two.
How's business generally at Apple right now?
We see, you know, the economy, people are having a very difficult time making a head or tail of that,
but at least, you know, when you're in a business that focuses on a relatively single area of it,
you can assess what's going on in your own industry.
How are things right now?
Well, you know, we don't talk about any specifics in between our quarterly reports,
but last quarter we had a great quarter.
And so we'll see how we do this quarter and we'll be reporting it in July.
Now analysts have made some cautious comments about the pace of iPod sales,
despite the fact that they've kind of, you know,
been blowing the doors off everybody's expectations in recent quarters.
How's the iPod doing right now?
You know, again, we can't really say too much between quarterly reports,
but, you know, we're pretty thrilled that we seem to be in stock most places.
That's something that hasn't been true for the last year on most occasions.
So I think that's a good thing.
How many songs have you sold so far?
Over 430 million.
Yeah.
At 99 cents apiece.
At 99 cents apiece.
This was something that a lot of people thought couldn't be done.
And we're selling songs at the rate of over half a billion a year right now.
So we're very happy.
I think iTunes market share is, you know, is over 80%.
and it's gone up in the last six to nine months even as we've had lots of new competitions.
I was just going to ask you about that.
What do you make of Yahoo and other efforts to come in and invade your space in that regard?
Well, you know, in the end, it's all about the results.
And so, you know, I'm awaiting Yahoo to tell us how many subscribers they have.
I assume they will very shortly.
All I can tell you is our market share, because it's measured on a week-by-week basis.
has been going up.
So I anxiously await their results as well.
Mr. Jobs, it's always a pleasure to have you.
Thanks for joining us today.
Thanks for having us.
Steve Jobs, CEO of Apple Computer,
and of course, Pixar as well.
Coming next on Street Signs,

Transcript

Machine transcript in the original language. It may contain errors. Select a timestamp to play that moment.

After leaving Apple Computer in 1985, Steve Jobs helped start up which two technology companies?

Next, Computers in 1985, and then he co-founded Pixar Animation Studios a year later.

Jobs returned to Apple in 1997.

Well, Apple Computer is a company that does things in rather unique and dramatic ways,

and it's about to make a very dramatic move in the technology business.

It's unplugging IBM after a tempestuous 10-year relationship,

and instead will use chips made by Intel from now on.

Apple CEO Steve Jobs made the announcement today

at the company's software developers conference in San Francisco

and he joins us now to talk more about it.

Mr. Jobs, always a pleasure. Good to see you.

Thanks for being with us today.

Great to be here.

Why'd you make the move?

Well, you know, it's not as dramatic as you're characterizing it.

You know, we've got some great PowerPC products today

and we've even got some PowerPC machines in the pipeline

which we haven't introduced yet.

And this is going to be a more gradual transition.

I think we'll hopefully when we meet with our developers a year from today,

we'll have some Intel based Macs in the marketplace.

But it's going to take maybe a two year transition to, you know.

People who were in the room suggested that you were somewhat harshly critical of IBM

and its inability to deliver what you needed at this point in your product development cycle.

What did IBM fail to come up with in your estimation?

You know, we have a good relationship with IBM and they've got a product road map.

and today the products are really good.

But as we look out into the future,

where we want to go is maybe a little bit different.

And we can envision some awesome products

we want to build for our customers in the next few years.

And as we look out a year or two in the future,

Intel's processor roadmap really aligns

with where we want to go much more than any others.

So that's why I think we're going to begin this transition now,

and it's going to take two years.

But I think it's going to get us where we want to be

to build the kind of future products we want to build.

Our products today are fine, but it's really, you know, a year or two down the future where we see some issues.

I know you're not going to give away any trade secrets here, but to the best that you can, describe where is it that you want to go that Intel, you know, is willing to go along with.

Go along with you, I should say.

We never talk about unannounced products, so I can't say.

There used to be a saying at Apple, isn't it funny a ship that leaks from the top?

I don't want to do that.

But what about the direction?

I mean, with respect to the strategic direction of the company,

what do you mean when you say you have a direction into which you want to go?

Well, I guess we'll just have to wait and see.

All right.

Let me ask you about some other topics then while we've got you here.

Pixar, there have been reports that maybe now that Robert Iger is running Disney

that there could, in fact, be some warmer relations between the other company that you run

and Walt Disney Company's studios.

Are there any new discussions underway that might allow you to renew the distribution agreement with Disney, or is it premature at this point?

You know, I've had some great discussions with Bob Iger.

I really like him, and we'll see where it goes.

I think, you know, we'll sit down to have some serious discussions, hopefully, in the next month or two.

So they are more in the running now than they were, let's say, six months ago?

You know, again, Bob Iger seems like a great guy,

and we'll sit down and have some discussions, I'm sure, in the next month or two.

How's business generally at Apple right now?

We see, you know, the economy, people are having a very difficult time making a head or tail of that,

but at least, you know, when you're in a business that focuses on a relatively single area of it,

you can assess what's going on in your own industry.

How are things right now?

Well, you know, we don't talk about any specifics in between our quarterly reports,

but last quarter we had a great quarter.

And so we'll see how we do this quarter and we'll be reporting it in July.

Now analysts have made some cautious comments about the pace of iPod sales,

despite the fact that they've kind of, you know,

been blowing the doors off everybody's expectations in recent quarters.

How's the iPod doing right now?

You know, again, we can't really say too much between quarterly reports,

but, you know, we're pretty thrilled that we seem to be in stock most places.

That's something that hasn't been true for the last year on most occasions.

So I think that's a good thing.

How many songs have you sold so far?

Over 430 million.

Yeah.

At 99 cents apiece.

This was something that a lot of people thought couldn't be done.

And we're selling songs at the rate of over half a billion a year right now.

So we're very happy.

I think iTunes market share is, you know, is over 80%.

and it's gone up in the last six to nine months even as we've had lots of new competitions.

I was just going to ask you about that.

What do you make of Yahoo and other efforts to come in and invade your space in that regard?

Well, you know, in the end, it's all about the results.

And so, you know, I'm awaiting Yahoo to tell us how many subscribers they have.

I assume they will very shortly.

All I can tell you is our market share, because it's measured on a week-by-week basis.

has been going up.

So I anxiously await their results as well.

Mr. Jobs, it's always a pleasure to have you.

Thanks for joining us today.

Thanks for having us.

Steve Jobs, CEO of Apple Computer,

and of course, Pixar as well.

Coming next on Street Signs,