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Apple Computer has undertaken a reorganization that gives its founders Steve Jobs and Steve Wozniak a bigger voice in the company's future and focuses its marketing activities under a single executive.
Apple is desperately trying to convince developers, consumers, and investors that it will be around for the long haul, despite ever slipping sales and huge quarterly losses. Even developers of Apple software that have remained devoted to the company against the dominance of the Microsoft-Intel alliance have been frustrated by Apple's difficulty in marketing what they see as a great product.
Apple's new look is cleaner, more focused, and - with the new roles for Wozniak and Jobs - advised by leaders that made it a success. Developers seemed most encouraged by the focusing of the marketing department under one person - a former software developer - for the first time in the company's 20-year history.
"Apple has had a major problem with public relations and marketing for a long time," said Richard Zulch, chief technology officer for Dantz Design, a Mac software developer. "There are millions of Mac users and people don't realize it because Apple doesn't tell them!"
The company announced Tuesday that Jobs - a charismatic champion of the Mac - and Wozniak will serve on Apple's Executive Committee, where they will work closely with CEO Gil Amelio in setting the company's direction. Jobs returned to Apple as an adviser when the company acquired Jobs' NeXT Software last year, and both he and Wozniak will assume full-time duties. Unlike Jobs, Wozniak never left Apple's payroll, remaining an Apple Fellow.
Apple is placing its entire marketing operations under Guerrino De Luca, who until now has been president of its Claris Software unit. De Luca will head all of Apple's efforts in product marketing and developer relations.
Ellen Hancock will effectively take a step down, going from Apple's chief technical officer to head the company's Advanced Technology group and Apple Fellows. NeXT import Avie Tevanian will head system software research and development and John Rubenstien will be in charge of R&D for hardware products. Rubenstien joins Apple from FirePower Systems
"Apple has, in recent years, been reluctant to market the Mac platform effectively. A kind of paralysis had set in," said Dave Winer, a software developer and president of UserLand Software. "I hope they don't come out swinging for the fences, but with one person, De Luca, empowered to craft a new message, especially in light of the changes that the Internet brings about, it's possible to rebuild a unique position for the Mac platform that can co-exist with Windows."
Apple needs to get out its message to people, said Steve Guttman, vice president of marketing for Fractal Design Corp. He has noticed how news reports tend to overstate Apple's declining market share and ignore the large numbers of Mac O/S licensees.
The new plan also streamlines sales and support of Apple, NeXT, and Claris products under the current chief operating officer, Marco Landi. Meanwhile, Chief Financial Officer Fred Anderson will be in charge of all finance and administrative functions. Finally, personnel, legal matters, manufacturing, and procurement and government relations will now fall under a new operations divisions headed by George Scalise.
All the new division chiefs will answer to an Executive Committee made up of Amelio, Jobs and Wozniak, who will together further refine the company's restructuring. Amelio plans to shave $400 million off the company's operating costs to bring it back to profitability, and that may entail cutting of more than 2,600 workers.
Apple had no word on layoffs Tuesday, offering instead the management shuffle to appease investors on the eve of its shareholder meeting. The company also said on Monday that it would keep shipping its Newton hand-held computer line through the spring, defying reports the line would be sold off.
Apple developers said that cutting the labor force by 20 percent will only help the company - as long as it cuts the right people.
"Apple has been like a train where every car has its own engine and they don't even have a track," Zulch said. "Now they are finally lining it all up. Some of the great Mac products have come out by accident. They need to come out intentionally if the company is going to survive long term."
