February 5, 1996: Amelio Takes the Helm

When sports teams are underperforming they get rid of the coach, when businesses are underperforming they get rid of the President. The decision to fire someone when things are going poorly is the easy part; the harder question is who to hire to replace the ousted leader.

When it came time to replace Michael "Sell It!" Spindler, Apple turned to a member of the Board of Directors: Dr. Gil Amelio. Dr. Amelio seemed like a natural fit. He had taken a money bleeding tech company, National Semi Conductor, and returned them to the green pastures of profitability, so the board hoped he might be able to do the same for Apple.

Dr. Amelio was a smart guy. Every time you use a camcorder or a digital camera the CCD inside was co-invented by Gil. For all his intelligence, Dr. Amelio made crucial mistakes from the beginning. He accepted a large salary, compensation for the use of his personal jet, a large loan and a ten million dollar bonus if he managed to sell Apple to some unsuspecting sucker. Dr. Amelio noted the problems with his compensation by saying: "You don't expect religious leaders to be making big bucks." While the compensation was all gravy, the job was tough. Dr. Amelio rolled up his sleeves and started trying to save Apple on February 5 in 1996.