help put apple back on top 19 of january, 1997 by johnmichael patrick monty monteith

I have received many letters lately from cyberspace dwellers that I am far too harsh on Apple Computer. Some have even accused me of being a fan of Microsoft (perish the thought). To show you that I truly wish for Apple to succeed, I have decided that it is time to share with the Internet public, and with Apple, the way to put their company in the driver’s seat of the computing industry. To further help the company, I will be forwarding this editorial to Gil Amelio in Cupertino.

I will put my reputation on the line here:

If Apple Computer follows the advice in this editorial, and they do it reasonably well, they will control at least 25% of the computer sales by the end of the millenium. If they can get third party vendors to follow suit, Apple operating systems could make up half of the personal computer operating system sales by the end of the millenium.

My design for the future of Apple Computer is 100% about getting control of the computer industry. The game plan is "control". At the moment, Microsoft owns the word. If Apple plays their cards right, they could steal it away from Redmond. It will take some pride-swallowing, and it will take upsetting most of their current customer base (all 5% of it). But at this point they do not have a choice.

Before I tell you about my plan to put Apple Computer as the number one operating system company in the world, let me tell you about the Apple Computer that does not follow my advice. If Apple continues to follow the path it is currently on, by the end of 1998 Apple Computer will have less than 3% of the personal computer sales in the world. They will have less than 2% of the operating systems on personal computers in the world. Basically, by the time they release Rhapsody, the Macintosh market will already be history. These numbers are simply based on the percentage of market share Apple has lost in the past two years, and the steady growth of the loss. In the fourth quarter of 1996, Apple Computer surprised Wall Street with higher losses than expected, and Microsoft also surprised Wall Street with far higher profits than expected. And it only gets worse from here.

As far as I see it, Apple Computer has little choice but to follow my advice. After all, I am putting my personal reputation on the line here. And, if I do say so myself, my plan is a good one:

First:

Apple Computer should be divided into four divisions, each of which should have it’s own head which reports to Amelio about their progress. Marketing should be focused on division 3 and 4:

Division 1: Non-Personal Computer divisions (Newton, Pippin, Etc..) If the financial rock hits the hard place, this division should be the first to be chopped.

Divison 2: Macintosh Division. This is the support for System 7 outlined in the current OS transition. Macintosh computers should have their own group. This should be the end of the "Macintosh" computer. It has already been labeled by the public as yesterday’s computing. Even Microsoft marketing could not change the public perception of the Mac. Let it slowly die out a respectable death under the control of a strong OS 7 with upgrades ONCE a year.

Division 3: WinTel Division. Get into the Clone business. Make big bucks on clones with the legendary Macintosh support and ease of use running Microsoft operating systems. This division will be the Apple bread and butter division. Go head to head with Compaq, IBM, and Dell. Make those companies sweat. Get the public buying Apple in big numbers – even if it IS a Microsoft operating system. At least they will be used to buying Apple. The education market simply must buy WinTel hardware to please the tax payers. Why not Apple WinTel hardware? Besides, there are big profits to be explored here. It will give current Mac customers who are thinking of abandoning Apple, the option to still stay with Apple hardware. This will make Apple one of the most profitable computer giants in history. Can you imagine what Apple can do with WinTel hardware with the designs and add-on programs they could include? Apple could take the computer world by storm with this division alone. Oh, and get a big name clone exec to manage this division.

Division 4: New yet to be named computer / operating system (but not to be linked at all with the "Macintosh" name). This is the future of all computing. Put Steve Jobs in charge of this division. In reality, this will still be the same group trying to port the NeXT operating system over to both the Power PC systems, but also build it for WinTel at the same time. Also, give Jobs the extra challenge of making it the greatest operating system for personal computers ever. The key is – the focus should be on converting both WinTel owners AND Macintosh owners (in that order) to the new hardware. This system should be focused on being able to run Windows software as well as Mac software in emulation – but the main goal should be a superior native operating system that kicks all others’ systems. When released, this product will easily upgrade both current PowerPC Mac systems AND current Windows NT / 95 / 97 systems to this new world leading software. Steve Jobs is the perfect person to put in charge of this division. And the timeline should be fourth quarter 1999. (A realistic timeline.)

Although Gil, Guy, and many other Apple folks will not admit it, the name "Macintosh" is history. It now has a terrible reputation in the industry. It is time to abandon it. Tell the public that Apple Computer is going to divide into four divisions, only one of which will support the Macintosh. The rest will be spending their energy taking Apple Computer into new directions. Obviously division 4 is as interested in helping the Macintosh as it is with helping Windows owners. Never the less, the focus should be on WinTel owners since that is where the money is.

Truth is that my plan is not all that much different from the current Apple scenario. Yes, division number 3 (the WinTel division) is not currently being done, but it surely would not be tough for Apple to implement. Unfortunately, division number 3 is the most important for making Apple profitable again. Can you imagine the cutting edge WinTel hardware that could be developed in Cupertino? It would sell like hotcakes. Educational institutions would find them irresistible since they please both the tax payers need for WinTel, and the teacher desire for Apple. This division alone will turn around Apple Computer, easily making it the number one manufacturer of personal computers.

The unnamed operating system in division 4 really is exactly what Apple is currently doing with a new name and new focus. MacUser recently did a poll of what Macintosh users think should be the next Macintosh operating system: MacUser Poll Results. According to the results of this poll, Mac owners would rather have Windows as their next operating system than NeXTstep. And that is from Mac users! (To be fair, the poll was done when most Mac owners were thinking the Be OS would be the next OS 8.) It is very important for this NeXT - Mac operating system to separate itself as far as possible from both NeXT and the Macintosh. Sell it as an all new system for upgrading both Windows and Mac systems - yet not linked to either. Market it with the profits from division three, and give Windows the competition it has never had. Make this product so desired that people will wait in line at midnight to get a copy for their Pentium system. Yes.. For the first time since 1984.. Apple should set the world on fire again with an operating system that anyone can install. It is time for Apple to try it’s hand at taking over the operating system market.

Division 2 (OS 7) is absolutely no different than the current plan, except a reasonable upgrade path. Twice a year is too much upgrading for anyone. Can we really afford $100 upgrades twice a year on our Macintosh systems? Especially when we know (hope – pray) an all new OS is only two years away? I think Apple will find most Mac owners waiting until a really worth while upgrade is released. What they should do is spread the upgrades a year apart from each other. At least then, maybe $100 once a year might get 500 people to upgrade instead of just 5.

And then there is division 1. The division that takes over all of the non-PC type stuff. Hand-held computers, web TV systems, etc.. Well – most Mac owners would like to see this part of Apple dumped anyway. It is a resource hog and barely brings in enough revenue to spread on a wheat thin. By separating it into it’s own division, it will be much easier to can the whole thing, which really should be the ultimate goal anyway.

I highly doubt that Apple would accept reality and do what I have proposed. But, just in case the folks in Cupertino are interested in becoming a major computing force again, I will do my best to make this little soap box speech heard. However, I cannot do this alone. If you agree with my ideas, please mail Apple and let them know that you fully support the plan I have mentioned.

You have my permission to reprint this article anywhere you want. Maybe, together, we can help end the Windows dominance of the computing industry. Or.. At least we will go down fighting.