Bryan Appleyard
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For five years the owner of the Jackling House in Woodside, California, has been trying to knock it down. He hates the place, calling it “one of the biggest abominations of a house I’ve ever seen”. He hates it so much, he has abandoned it to live a few miles away in Palo Alto. Pictures of the interior show a ghostly, decaying mansion. The owner can’t knock it down because of protests from conservationists. But a deal has been done. He will spend $600,000 to have it taken down and will have it rebuilt elsewhere — not a big victory by his standards, but a satisfying one. He has been having a hard time lately.
In June, The Wall Street Journal revealed that Steve Jobs, chief executive of Apple Inc and the owner of the Jackling House, had had a liver transplant at the Methodist University Hospital in Memphis, Tennessee, in April. He’d taken a house in Memphis to be nearby if a liver became available. He had chosen Tennessee because of its short transplant waiting list. But, even there, to get to the top of the list means you have to be close to death. He was, the hospital confirmed, “the sickest patient on the waiting list at the time”.
Philip Elmer-DeWitt, author of the Apple 2.0 blog at CNNmoney.com, e-mails me the grim details of his operation: “He’s lost his gall-bladder, part of his stomach, part of his pancreas, the upper end of his small intestine and now has someone else’s liver, which probably means he’ll be on immunosuppressant drugs for the rest of his life. That can’t be fun.”
On January 5, Jobs had written to the “Apple Community” explaining that he was ill and taking six months off work. “Fortunately, after further testing,” he wrote, “my doctors think they have found the cause — a hormone imbalance that has been ‘robbing’ me of the proteins my body needs to be healthy. Sophisticated blood tests have confirmed this diagnosis.”
Apple Inc is worth around $140 billion. But is it worth anything without Jobs? It is a company formed around his personality and inspiration. It is also the most watched, envied, admired and adored company in the world. So how, you may wonder, was it possible for Jobs to put out such a statement four months before a liver transplant? And how was it possible for consumer capitalism’s greatest hero to pull off the Memphis Liver Caper in absolute secrecy?
The answer is that, along with computers, iPhones and iPods, secrecy is one of Apple’s signature products. A cult of corporate omerta — the mafia code of silence — is ruthlessly enforced, with employees sacked for leaks and careless talk. Executives feed deliberate misinformation into one part of the company so that any leak can be traced back to its source. Workers on sensitive projects have to pass through many layers of security. Once at their desks or benches, they are monitored by cameras and they must cover up devices with black cloaks and turn on red warning lights when they are uncovered. “The secrecy is beyond fastidious and is in fact insultingly petty and political,” says one employee on the anonymous corporate reporting site Glassdoor.com, “and often is an impediment to actually getting one’s work done.”
But employees are one thing; shareholders are another. Should Jobs (who, as far as the world is concerned, is Apple) have been allowed to conceal the seriousness of his illness? Warren Buffett, the greatest investor alive, doesn’t think so. “Whether [Steve Jobs] is facing serious surgery or not is a material fact.”
Some say another sign that Apple omerta has gone too far was the death of Sun Danyong, a 25-year-old employee of Foxconn, a Chinese manufacturer of Apple machines. He was given 16 prototypes of new iPhones. One disappeared. Facts beyond that get hazy, but it is clear that Sun committed suicide by jumping from a 12th-storey apartment. Internet babble says he killed himself because of the vanished prototype and, therefore, because of Apple’s obsessive secrecy.
Then there is the recent case of the exploding iPod in Liverpool. Ellie Stanborough’s iPod touch went up in a puff of smoke. Her father, Ken, complained, but Apple said he could only have a refund if he promised not to talk. He refused. “They’re putting a restriction on myself, my daughter and Ellie’s mum not to say anything to anyone,” said Ken. “If we inadvertently did say anything… they could take litigation against us. I thought that was absolutely appalling.” This isn’t the freewheeling, good-times California lifestyle image the company likes to project. It is, rather, that of a much tougher and paranoid operation.
Yet secrecy is Apple’s core marketing tool. Jobs’s specialities are 90-minute to two-hour-long presentations to prayer meetings of the faithful. These always end with the words “and one last thing”, at which point he unveils the latest gizmo to geek hallelujahs. Rumours suggest he is, in spite of the transplant, about to do it again in the next few weeks. It will be a dual sensation: the sight of a walking, talking Jobs and of a new tablet computer, a sort of giant iPhone, which, some say, will yet again change the world. Excitement intensified early this month when an unnamed “analyst” was reported as having actually held the tablet. He said it was “better than your average movie experience”.
The secrecy is all about preserving the magic of each new product. Apple hates personality stuff and press intrusion. “We want to discourage profiles,” an Apple PR tells me stiffly, apparently unaware she is waving a sackful of red rags at a herd of bulls. Another PR rings the editor of this magazine to try to halt publication of this piece.
Jobs doesn’t like being questioned. Despite his attempts to find serenity through Zen Buddhism, the agony of interviews can get to him. “Imagine what he’d be like,” said a reporter after emerging from a Jobs drubbing, “if he hadn’t studied Zen.”
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