Apple co-founder Steve Jobs in line for chairman's post.

Knight Ridder/Tribune News Service

July 30, 1997 | Mardesich, Jodi

   Even though he hasn't been christened chairman of Apple Computer Inc., Steve Jobs is playing the part.

   In the past few weeks, the strong-willed co-founder of the Cupertino computer maker has been toiling behind the scenes to handpick new directors, win employees' loyalty and re-energize the company. His efforts are expected to be rewarded soon with an appointment as chairman of the board _ a move reported Saturday in the Mercury News.

   A company spokeswoman refused to comment Tuesday although speculation was widespread in industry circles that Jobs would be named chairman, at least by next week's Macworld expo in Boston.

   A return to Apple's most prestigious post would be a remarkable comeback for the controversial Jobs, who was unceremoniously forced out of that same position 12 years ago. Jobs, 42, while saying he has moved on in life, has seemed unable in recent months to refrain from putting his mark on the company again.

  In the past two weeks, Jobs has contacted several persons about filling the four opening on the company's board of directors. They include his close friend Larry Ellison, chairman of Oracle Corp. of Redwood Shores; Eric Benhamou, chairman and CEO of 3Com Corp. of Santa Clara; John Warnock, chairman of San Jose-based Adobe Systems Inc.; and Joel Kocher, president of Power Computing Corp. of Austin, sources said.

   Benhamou told the Mercury News on Monday that Jobs asked him about 10 days ago to join the board. Benhamou declined, citing his 3Com duties and the load he carries serving on other boards.

   Warnock, asked Tuesday if he had been approached by Jobs, responded by e-mail: ``I would prefer not to comment at this time.''

   Kocher met with Jobs on Friday at Apple, sources said. Kocher's name also surfaced this week as a possible chief executive candidate to succeed Gilbert F. Amelio, who was ousted by the board three weeks ago. Kocher could not be reached Tuesday.

   Ellison did not respond to inquiries.

   Jobs is apparently trying to remedy a criticism that the board lacks understanding of the computer industry. The directors are Gareth C.C. Chang, corporate senior vice president of Hughes Electronics Corp.; Bernard Goldstein, managing director of investment banker Broadview Associates; Katherine M. Hudson, president and CEO of W. H. Brady Co., a maker of coated products; former Apple executive A.C. Markkula Jr.; and Edgar S. Woolard Jr., chairman of E. I. duPont De Nemours and Co.

   ``Steve is de facto running the company right now,'' said Pieter Hartsook, a Macintosh industry analyst. ``He's walking up and down the cubes and telling product managers what to do.''

   But Jobs' apparent influence, as an outsider rather than an employee or director with fiduciary responsibility, is a double-edged sword, Hartsook said.

   ``What's his agenda?'' Hartsook asked. ``I think Apple customers and shareholders and resellers and developers need to know what he's going to do. They either have to give him the authority and responsibility to go along with it or tell him to butt out.''

   Jobs' growing influence became apparent soon after Amelio's dismissal. Immediately, he was named to the four-person committee searching for a new CEO.

One of his first public moves was to send electronic mail to Apple employees notifying them that their stock options had been repriced to $13.25 per share to reflect the company's lower stock price. The move made many worthless options valuable again and was seen by employees as an attempt to win their loyalty.

   Jobs is expected to continue to push Apple toward technologies that resemble those developed at Next Software Inc., the company he sold to Apple early this year.

   Even before Amelio left, Jobs was influential in axing several Apple proprietary products in favor of substitutes from Next. He has also favored Apple's recent move to embrace Intel Corp. microprocessors by ensuring that the upcoming Rhapsody operating system, which controls a computer, will run on both Intel and the Macintosh's PowerPC chips.

   Several sources close to Apple said Tuesday that the company was trying to withhold an announcement of Jobs' appointment as chairman until next week's Macworld conference, where he will deliver the keynote address.

   But rumors of Jobs' expected ascension raced across the Internet in the recent days, appearing on several Web sites that publish news and speculation about Apple.

   The sites were also rife with rumors about CEO candidates. Power Computing's Kocher and James Cannavino, who resigned the presidency of Perot Systems Corp. on Friday, were among them. Cannavino was instrumental in bringing about the 1991 alliance between Apple and IBM, which resulted in the development of the PowerPC chip at the core of all Macs today.

   Many Apple fans, voting on an Internet survey, have weighed in with choices closer to home. Two names that have surfaced: Jobs and Guy Kawasaki, Apple's evangelist.

Jobs and Kawasaki have both said they're not interested in the job.

   Of 6,286 who completed the survey by MacAddict, a Web magazine, 23.7 percent chose Kawasaki. Almost 20 percent chose Jobs. Other high-rankers included Ellen Hancock, a former top Apple executive fired with Amelio, and Steve Kahng, founder of Power Computing.

Microsoft Corp.'s Bill Gates grabbed 2.7 percent of the votes, and Chrysler Corp. legend Lee Iacocca earned 1.4 percent. Even Mike Tyson gained a handful of write-ins.

(c) 1997, San Jose Mercury News (San Jose, Calif.).

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