In addition to being innovative entrepreneurs in the technology sector and leaders of their generation, Elon Musk Y Steve Jobs they have more in common. After the recent purchase of Twitter by the CEO of Teslacomparisons have resurfaced between it and the Apple co-founder. Although both have very different leadership styles and business strategies, the acquisition of the social network has some parallels with what the creator of the iPhone when he recovered his company 25 years ago.
a bit of context
Steve Jobs founded Apple in 1976 together with his teenage friend, Steve Wozniack. In 1985, the Californian resigned from his own company due to differences with the other directors and sold all but one of his shares. When he left and with only 30 years of age, he founded the company NeXT Computer Inc.which in 1993 changed its name to Next Software Inc.
In December 1996, Apple Computer announced the purchase of Next Software Inc. for 400 million dollars to update the operating system of computers macintosh. Thus, Jobs returned to the board of directors, gained his trust and regained his position as CEO of Apple in September 1997, after unseating his predecessor, gil amelio.
Of course, Elon Musk’s story with Twitter is very different from Jobs’s with Apple. First, the billionaire bought enough shares of the social platform to become the largest shareholder, and just a few weeks later he closed a deal to acquire the entire company for $44 billion.
Then the 51-year-old tycoon wanted to cancel the transaction, but Twitter shareholders took the case to court. Finally, on October 27, Elon Musk officially announced that he had completed the purchase of the social network, just in time to avoid a complicated trial.
Elon Musk, is he following in the footsteps of Steve Jobs?
Although their paths to take control of the companies were different, the circumstances bear a certain resemblance, as well as their actions upon arrival. The rise of Elon Musk as the sole owner and director of Twitter has been plagued by controversy over his decisions.
However, few know that Steve Jobs did something very similar with Appletaking measures that at the time they described as “desperate”, but that changed the course of the company and placed it among the most valuable in the world.
Both acquired struggling companies
In the 90s, Apple Computer I was losing the race against Microsoft Corp., and barely controlled 4.4% of the personal computer market. Her finances were plummeting, she was mired in serious internal conflict, and many wondered if she would survive. Even Jobs himself admitted in 1997 that Apple was “only months away from bankruptcy” when he bought it to “save” it.
For its part, Twitter is also a very hit company. Last year, the platform lost 221 million dollars, largely due to the uncertainty about the purchase. Even before Elon Musk came onto the scene, the social network was struggling to survive in the face of losing users and advertisers.
Jobs and Elon Musk needed financing
One of the first to whom Steve Jobs turned to recover Apple, was the businessman Larry Ellison. The creator of Oracle proposed to acquire the entire company, because at that time it was worth ‘only’ $5 billion. Then, he would reinstate the founder as CEO to correct the course of the company and rescue it. Although the businessman preferred to reach Apple through Next Software, Ellison became a shareholder of the technology giant and was its director from 1997 to 2002.
In an ironic twist of fate, his great rival Microsoft also became his salvation. As soon as Jobs returned to command, the company Bill Gates saved Apple from bankruptcy with an investment of 150 million dollars. Of course he didn’t do it out of generosity. In reality, the billionaire ex-husband of Melinda Frances only supported its competitor to avoid an antitrust review for Windows.
The owner of SpaceX he also took money wherever he could to buy Twitter. Although currently she is the richest person in the world with a fortune estimated at 183,000 million dollars according to Bloombergmost of his assets are invested in his companies, so he had to resort to financial entities, private investors and sell Tesla shares to finance the transaction.
Mass layoffs of employees and managers
One of the first actions of the South African tycoon was to fire Parag Agrawalwho until then held the position of CEO of Twitter. Two other top executives left with him, while Elon dissolved the board of directors and assumed full command.
Something very similar happened with the directors of Apple. When Jobs regained his position as CEO, he quickly weeded out those who didn’t fit with his new vision for the company.
The return of its founder meant for the Cupertino company to lay off more than 4,000 employees en masse. Meanwhile, a report from Bloomberg assures that Musk plans to cut Twitter’s workforce by 75%. Although the businessman and his spokesperson have denied the reports, the layoffs have already begun, starting with the entire team of Twitter Mexico.
New CEO, new rules, change of course: the era of Elon Musk
After 12 years away from his own company, Steve Jobs came back with plenty of ideas to ‘revive’ Apple. His initial strategy included cancel projects they were running and reduce the number of products in its catalogue, to focus on just a few but very ambitious ones. Thanks to that they were born iPhonethe iPod and the iPad (though he wouldn’t let his kids use it), and they were able to develop their computer technology iMac.
Long before being the official owner, Elon Musk announced that he would make several changes to the company and the platform. First, he promised get rid of fake accounts, bot Y spamalthough his strategy to achieve this has not been well received: charge 8 dollars to verify your account.
Elon Musk and the founder of Apple have more in common
Beyond the similarities between the cases Musk/Twitter Y jobs/apple, both founders of technology companies share other characteristics. For example, your ability to manage several companies and projects at the same time.
musk has Tesla, SpaceX, star link, neurolink, The Boring Companythe mysterious school Ad Astra and now Twitter. jobs had NeXTwhich was bought by Manzanawhile running the fledgling animation studios pixaruntil achieving the historic alliance with The Walt Disney Companyof which he is the largest individual shareholder.
Both also project the character of charismatic leader: hated or loved, but never ignored. Also they have a similar vision on the direction of their companies, as well as their role in the development of society and humanity.
The two even know how to deal with the media to stand out, although with totally opposite styles. The late visionary was very selective in who he gave interviews to and made sure they were high impact. The father of nine children, on the other hand, launches controversial statements at the slightest provocation, whether before the press, at events or on his social networks, each of which resonates globally.
Despite the resemblance between the two acquisition processes, It is impossible to know if Elon Musk will be able to do with Twitter what Steve Jobs did with Apple: get it out of its problems and take it to the top..
Mairem Del Rio Addicted to watching series and movies, doing (a little) exercise and changing my hair color. I am also a journalist, with more than 16 years of experience and dedicated 100% to digital media since 2011. I have been from reporter and community manager, to editor in various media and agencies. My areas of expertise are as diverse as they are contrasting: entertainment, travel, lifestyle, health, business and finance. Now I am focused on the entrepreneurial ecosystem, cryptocurrencies, NFTs, metaverses and the promising cannabis industry in Mexico.