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February 5, 2009 6:39 PM PST

Steve Jobs meets the Kindle

by David Carnoy
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As Amazon CEO Jeff Bezos readies to take center stage Monday morning to release what will most likely be the next version of his company's much-hyped digital reading device, I recently obtained some very interesting--and exclusive--information concerning a very hush-hush meeting between Steve Jobs and Bezos that took place on the eve of the launch of the original Kindle back in November of 2007.

My Deep Throat simply goes by the handle "The Dude," and it's unclear whether he's a disgruntled employee of Apple, Amazon, or the hotel where the meeting allegedly took place--or whether he's employed at all. But he says, "It's time this meeting came to light, man." When I asked him why he chose this column as the venue for these revelations, he said, "I like your style. And I hear you bowl on the Wii. We should roll sometime."

Anyway, here's the account of the meeting. There was a tape involved, though it was hard to decipher in patches due to the fact that it was well worn and may have been previously used in The Dude's answering machine.

Sunday, November 18, 2007--8:30 am

The meeting was supposed to take place at 8 a.m. at Hyatt Regency near the San Francisco airport, the same place where the two had come four years earlier to get a sneak peek at "Ginger," which we now know as the Segway.

The boardroom inside the Hyatt near the San Francisco airport.

(Credit: Hyatt)
Bezos, who was on his way to New York, flew down from Seattle for the quick tete a tete. Jobs was late. Apparently, he's always late. Bezos knew that, so he came late, too.

When he came into the heavily guarded boardroom where the meeting was to take place, Jobs was wearing his signature sneakers, jeans and black mock turtleneck. The jeans had a hole in the front where a white pocket was sticking out. Bezos would later recount that for a second he thought they might have been the same jeans Jobs had worn at their meeting for the Segway in 2003. But they did look clean and washed. Bezos was dressed more formally, in a pressed shirt, but he wasn't wearing a tie.

The two billionaires sat down.

Jobs: Where is it?

Bezos: No, "Hi, Jeff, how's it going?"

Jobs: Hi, Jeff. How's it going? Now, where is it?

[Bezos pulled the Kindle out of a padded briefcase. He held down the Alt and home buttons to take it out of its screen-saver mode and handed it to Jobs. The Apple CEO held it in his hand, staring at it.]

Jobs: Three years, huh?

Bezos: Yeah. What do you think?

Jobs: I think it sucks.

Bezos (smiling): Why?

Jobs: It just does.

Bezos: I had a feeling you'd say that. Can you get more specific?

Jobs: Its shape is not innovative, it's not elegant, it doesn't feel anthropomorphic. And what's with this big button here? I just turned a page and didn't mean to. What's this book?

Bezos: A little Ayn Rand.

Jobs: Jesus. How many times can I say it? There are design firms out there that could come up with things we've never thought of--things that would make you crap in your pants. And this is what you come up with after three years.

Bezos: I think it looks pretty good.

Jobs: You wanted my honest assessment. Well, that's it. It'll never work.

Bezos: Why?

Jobs: I already told you. People don't read anymore. It doesn't matter how good or bad the product is. Forty percent of the people in the U.S. read one book or less last year. The whole conception is flawed.

Bezos: You have 5 percent of the PC market. I'm looking at the 5 percent of people who read a lot. How's that any different?

[Silence]

Jobs: What percentage of that wants to read on a clunky looking reader that costs $400?

Bezos: Not everything has to be supersexy looking to sell.

Jobs: Maybe not on your planet. On mine, it does.

Bezos: We're going to plaster this thing on our homepage day-in-day-out. It'll sell. Anything we put on our homepage sells.

Jobs: I'll give you that. But your soul, Jeff? Isn't that going a little too far? How 'bout a nice 15 percent discount on the Nano or some Macbooks. We'll make some real dough.

[Jobs continued playing with the device.]

Bezos: What do you think of the screen?

Jobs: (Tapping the screen with his finger numerous times). Nothing's happening.

Bezos: That's because it's not a touch screen.

Jobs: Well, it sucks then. And the interface sucks. Why is there a keyboard? It adds an extra 20 percent to the dimensions.

Bezos: To take notes, type in URLs to surf the Web. I told you, there's a built-in wireless connection. Sprint EVDO.

Jobs (laughing): Surf the Web? On an Etch-a-Sketch?

Bezos: It works.

[Jobs whipped out his iPhone.]

Jobs: This works, too. And it fits in my pocket. And it's in color.

Bezos: The Web is a value-added feature.

Jobs: No features are value added. They're either features or they're not.

Bezos: If we didn't have it, people would criticize us for not having it.

[Jobs mulled over the comment.]

Jobs: How 'bout Europe? Asia?

Bezos: U.S. first. We see how it does.

Jobs: How's someone going to take this country to country? You're going to get roaming charges. How's that going to work? Different Kindle for every country? Where's the scalability?

Bezos: Maybe we go Bluetooth and no wireless abroad. You connect your mobile to the device via Bluetooth.

Jobs: If people don't read books, why are they going to read ebooks?

Bezos: There newspapers on magazines on there, too--and blogs. Imagine the commuter going to work--"

[Jobs turned the screen of his iPhone toward Bezos.]

Jobs: Again, right here. And the content's free.

Bezos: Bigger screen. No backlight. Better reading experience.

Jobs: You got any widgets?

Bezos (ignoring him): It'll have its own store. With thousands of books. And anybody will be able to create an ebook and upload it to the store. We're going to take up to a 65 percent cut on the content.

Jobs: Will authors stand for that?

Bezos: What choice will they have? It's better than what they get now from traditional publishers.

[Jobs turned the device over and looked at the back of it.]

Jobs: Battery?

Bezos: Removable.

Jobs: Dumb.

[He was taking a closer look at the protective case when the Kindle suddenly dislodged itself and fell on to the table with a loud thud.]

Jobs: Oops.

Bezos (sheepishly): We're working on that.

Jobs: I'm standing on the street and I drop the iPhone it's got a decent shot at not breaking. I take that bet. What happens when a customer calls and says her $400 device slipped out the crappy 50-cent case and went boom. What do you do then?

Bezos: We offer to ship her another at a discounted rate--basically, at cost.

Jobs: You old softy.

Bezos: We aim to please.

Jobs: Best customer support in the world won't make this thing fly.

Bezos: You were the one who said people wouldn't watch video on a tiny little iPod screen--and then you brought out an iPod with video capabilities.

Jobs: That was a smokescreen.

Bezos: How do I know this isn't one, too?

Jobs: You don't.

Bezos: You could do one for us. You do the hardware, we do the store. Sony's toast.

Jobs: Their thing looks better than yours. But it sucks, too.

Bezos: Think about it. "The Apple Reader powered by Amazon."

Jobs: How 'bout "The Apple Reader powered by Apple?"

Bezos: People don't read books.

Jobs: Until I make it cool to read 'em.

Bezos: I'll sell more Kindles than Apple TVs.

Jobs: High bar, Jeff. How many do you think you'll sell?

Bezos: We're trying to being conservative.

Jobs: Let me give you some advice. Don't tell people how many you've sold.

Bezos: Why?

Jobs: Mystery's good. Scarcity, too. It's not a bad thing to be out of stock. Put a rope up. Don't let people in the door. They want to get in.

Bezos: Anything else?

Jobs: You seed it to reviewers?

Bezos: Not yet. Everything goes out tomorrow to everyone at once.

Jobs: Shame. Always better to give it first to a few light heavyweights, if you know what I mean.

Bezos: It'll be all right. Had to get it out. The next one will be better.

Jobs: We'll see.

Bezos: We'll see.

Jobs: I give you what you want? Are we done here?

Bezos: Yeah. Sorry, I needed that. No one can tell me I can't do something like you can.

Jobs: Feels good, right?

Bezos: Thanks, man.

Jobs: It won't work.

Bezos: I know.

Jobs: Safe flight.

While Steve Jobs has been critical of the Kindle's chances, for anybody who doesn't realize already, this is a completely fictional conversation. That said, feel free to comment on whether you agree with these theoretical opinions of the device and whether the Kindle 2 might appeal more to him--or not.

Hunkered down in New York City, Executive Editor David Carnoy covers the gamut of gadgets and writes his Fully Equipped column, which carries the tag line "The electronics you lust for." He's also the author of "Knife Music," a novel. E-mail David. Follow David on Twitter.
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Add a Comment (Log in or register) Showing 1 of 3 pages (82 Comments)
by molotov February 5, 2009 7:50 PM PST
I am still awaiting for the Brick.
Reply to this comment
by jakeboom February 6, 2009 5:41 AM PST
You forgot to mention the Oprah thing
Reply to this comment
by WritenoWrong February 6, 2009 5:43 AM PST
Excellent scoop. It really shows what a pompous guy Jobs can be, yet it still shows what he doesn't know in the face of his good business sense. I mean "what about Apple Reader powered by Apple..." what an arse.
Reply to this comment
by fooldog01 February 6, 2009 5:52 AM PST
Im almost afraid to ask...
by mangopepepr February 6, 2009 6:03 AM PST
While Steve Jobs can be quite arrogant, the writer did state that this conversation was entirely fictional. "... this is a completely fictional conversation. ..."
by myles taylor February 6, 2009 8:55 AM PST
The problem with the person above is that they just skimmed the article and then made a comment without reading the italics at the bottom. They think it's a real conversation.
by cyberprunes February 6, 2009 6:47 PM PST
Rofl.. Fictional Steve is right. People don't read anymore. idiot.
by SkateNY February 7, 2009 12:51 AM PST
There is a HUGE difference between being pompous and being confident in your abilities based on past and present performance.

It's unfortunate that someone needs to explain this.
by WritenoWrong February 6, 2009 6:22 AM PST
Ah, I never read the footnotes. Consider it a failure, on top of my 8am comatose brain issues. :-P
Reply to this comment
by make_or_break February 6, 2009 1:49 PM PST
A better response would've been:

"It was a phony conversation. Mine was a phony response, meant to get all those Apple fanboys thinking that they actually get to have some entertainment at some perceived idiot's expense out of their miserable morning. After all, ripping on Microsoft gets so BORING each and every day; give them another target--albeit a bogus one--and make those Apple worms happy even if its all a sham. Who says stupid CNET with their fictional skills (as opposed to REAL reporting talent) should have all the fun?"
by JDubbs115 February 6, 2009 6:37 AM PST
Hahaha it wouldn't surprise me if Jobs actually had this kind of conversation with at least one CEO from another company. What an EGO!
Reply to this comment
by blusky08 February 6, 2009 6:40 AM PST
This is an exercise in futility as it's fictional.

But, Apple apparently understands that people are seeking that ONE do-it-all device (ie, iPhone). The push is towards handhelds that can practically replace the laptop. The Kindle is just ONE MORE UNNECESSARY device to drag around when Amazon need only make their content available/open to more complete devices.
Reply to this comment
by rapier1 February 6, 2009 8:20 AM PST
Some people are accepting of a single device that can do many things somewhat poorly. Some people want to use devices that perform their functions very well. Something like the Kindle does what it is supposed to do and does it very well. It has a very long battery life, has a very readable screen (far more so than a backlit screen), and is well designed for reading large amounts of text. The iPhone is a great PDA, a decent phone, a bad camera, and horrible for reading books.
by molotov February 6, 2009 9:03 AM PST
The battery life is always an issue on an iPhone; you listen to music, read, play games all day but when it comes time to call someone in an emergency you're out of battery. I have a phone and an Apple Touch; I paid more for touch than I would have to for an iPhone - for the reason that when the Touch' battery dies, I can still communicate with everyone.
The LCD screen iPhone/Touch comes with adjusts to your lighting environment automatically, so it is nice to read in the sunlight as well as in a dark room, but it definitely is not suited for long reads. It is perfect for a subway ride read, but isn't good for extensive reading.
I do not think Kindle will do much for casual readers that read one book a month. It is worth for the people who literally "consume" books. I find storming through books to be pointless, because, usually, this means you are reading through pointless books. But I am not the one to judge, all I am saying is that if you are not a huge reader - don't bother plunking $360.00 for something that will break with just one drop.
by kcotham February 6, 2009 6:43 AM PST
How is this funny? Bad idea for a story here. Your editor needs to rethink his career path for okay'ing this story.
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by fooldog01 February 6, 2009 7:07 AM PST
I dont know. I thought it was funny. Are you suggesting I thought it was funny because I am black and that my sense of humor is flawed compared to yours? Racist.
by paindoc66 February 6, 2009 11:40 AM PST
I agree, for those who just "skim" and don't read the italics, why would somebody write this?? While Jobs may be an "arse," nobody deserves to be portrayed this way. Very poor judgement to broadcast this piece.
by joevai52 February 6, 2009 12:38 PM PST
It's funny for the same reason most satire is funny. It is fictional but just real enough so that the characters involved could really have a conversation like this. By the way, I don't understand the point of just reading headlines and skimming articles. If you read a headline and it doesn't seem interesting, pass. If you start to read an article, and it isn't interesting, then again, pass. If you don't have time to read an entire article, then get off the internet and go back to work. When you have time, read the whole thing; then make a comment.

If you read the entire article, and you understand that it is supposed to be a joke, but you don't think it's funny because it's poorly written or doesn't do a good job capturing either character's essence, then you are forming a reasonable opinion. If you are fooled because you skimmed it and someone points out that it was a joke, making you embarrassed, and for that reason you don't like it, then you are forming an irrational, emotional opinion.

I, for one, didn't think it was exactly hilarious, but it made me chuckle a couple of times. It did a decent job at pointing out the devices flaws and Steve Jobs arrogance in a tongue-in-cheek manner.

If your opinion is that cnet shouldn't publish any fictional or humorous article for whatever reason, maybe you could explain why.
by kcotham February 19, 2009 6:56 PM PST
@fooldog01, What the heck are you talking about?!?!?!? Troll!

@joevai52, see paindoc66's comment. It just isn't funny, it's not informing, it's just mean-ness meant to start a flame war and get more views of their site. I fully understood that it was supposed to be funny, tongue in cheek. I read it all, all the way, even the italics. I just isn't funny. It's insulting.
by fuzzymcsnorkle February 6, 2009 7:10 AM PST
What a waste of time. I don't know you or your style but I'll be sure to not check back for made up cr@p that I thought was cool while I was reading it. Thanks for the poke in the eye, really a great thing for your readers.
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by tyler_la4 February 6, 2009 7:38 AM PST
Well I thought it was funny...
by Perry_Clease February 6, 2009 7:32 AM PST
I enjoyed the fictional story, but as an Apple Fanboy I must disagree with Steve Jobs on one of comments that he actually did make, or so the story goes; "People don't read books." It has been my observation that people are reading books, and I am not just speaking for myself, our local Barnes & Noble is almost always busy in the evenings and on the weekends. Of course I don't have access to the stats from the bookstore/publishing industry so maybe it is overall a downward trend.

I have yet to try a Kindle.
Reply to this comment
by myles taylor February 6, 2009 9:17 AM PST
I read books, lots of them. I don't however, read eBooks and I don't think I ever will. I would maybe if they were significantly cheaper than actual books, but they aren't and I'm not going to spend money for a device to read books that I won't physically own.
by Perry_Clease February 6, 2009 10:21 AM PST
"@myles taylor February 6, 2009 9:17 AM PST
I read books, lots of them. I don't however, read eBooks and I don't think I ever will. I would maybe if they were significantly cheaper than actual books, but they aren't and I'm not going to spend money for a device to read books that I won't physically own."

I am running out of space here for my books. What I need is a warehouse for my books with an attached studio apartment for my living, and reading, needs. :)

I don't think that I have ever bought an e-book. I have several that I got for free from the iTunes Store. There are also a number of free ones for the iPhone. I have bought several audio books, handy for road trips, flights, and times when I don't want to listen to music.

"Always carry a book, you never know when you will get arrested." Emma Goldman
by JDR-Boston February 11, 2009 8:28 AM PST
I fully agree with Perry- my hallway is buried in books! But I can't bear the thought of throwing them out, and I haven't had the time to contact a local library to see if they will come and take them. Kindle2 really intrigues me.... not sure if I'd be buying a ipod nano fatty (3.0) and then really wishing it would break so I could get one of the new ones
by DENOBIN February 6, 2009 7:32 AM PST
@blusky08
The trouble is, there is no acceptable "can do it all" device that can replace the laptop (yet.) Amazon understands this and filled a niche with an ebook reader whose value comes more from the service than the device (sorry Sony.) Functionality will be added incrementally as it makes sense to from a cost/quality perspective, same as has happened with mobile phones. They may not stay on top, but they make ebook readers a viable product.
Reply to this comment
by blusky08 February 6, 2009 5:44 PM PST
No one said there isn't room for ebook readers.
The point is that the OPTION to have ebooks on other handhelds would be welcome--and certainly increase Amazon's profits for those of us who will never purchase one.
by kelmon February 6, 2009 7:59 AM PST
The Kindle does have a couple of flaws that the transcript (fictional or not) highlights nicely:

1. The original design is rubbish. it might be functional but it could be so much better and we have to hope that the Kindle 2 is it.

2. People who read books probably won't want an e-Reader. My wife, for example, is an avid reader, she just likes the books themselves and hates the idea of an electronic device for this.

Fingers crossed that the next model is nicer but I still don't see the concept gaining much traction. Books are nice simply because they aren't technical and getting away from high technology is a release.
Reply to this comment
by blusky08 February 6, 2009 5:47 PM PST
There is nothing quite like the experience of an actual book.
Unfortunately, between corporate greed and the "go green" crowd they will disappear.
by kirasaw February 6, 2009 8:14 AM PST
Best article I have read since "fake Steve Jobs" was outed and became just another guy trying to be cool when he is really not.
Reply to this comment
by rapier1 February 6, 2009 8:16 AM PST
Uhh... who cares if it appeals to Jobs?
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by Notoapplefanbois February 7, 2009 5:03 AM PST
Apple Fanboy's,
by biffhenerson February 6, 2009 8:39 AM PST
Thanks for wasting my time.
Reply to this comment
by Laurence_Tureaud February 7, 2009 5:35 AM PST
I second that.
by ThatIsWhatSheSaid February 6, 2009 8:46 AM PST
What an absolute waste of web space. The entire thing is made up, so what does it matter? It's senseless conjecture. It was an entertaining read, but that doesn't mean that it was useful for legitimate discussion or hypothesizing. I could just as well write my own little faux transcript. Anyone could have done this. There is no point to this article whatsoever. A simple, "What do you think about the new Kindle's chances?" would have sufficed. And in agreement with a few other posts, who cares what Steve Jobs thinks? Why not have this fake meeting be between Bezos & Ruper Murdoch? Or maybe Oprah? Absolute drivel yet again from David.
Reply to this comment
by Perry_Clease February 6, 2009 9:29 AM PST
Are there any numbers on how many Kindles have been sold?

"People who read books probably won't want an e-Reader. My wife, for example, is an avid reader, she just likes the books themselves and hates the idea of an electronic device for this."

For me there is something about holding and reading a real book that is so much better than an e-book. Now that may be because of my experience, my history, which began almost 60 years ago long before e-books. However, I have broken the habit of buying a real newspaper and now prefer reading it online, partly because I don't need to recycle the newsprint. Also things like tech manuals are nice in PDF format that you can search. I do have the entire works of William Shakespeare on my iPhone and while it can't compare to the printed works, it is handy when you are stuck somewhere and need something to read.

"The gentleman is not in your books" from Shakespeare's Much Ado About Nothing
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by Notoapplefanbois February 6, 2009 9:35 AM PST
Still don't get why people say it's ugly. If you think the Kindle's ugly then go look at an aston martin, that's sure to scare you with it's uglyness. And then after you do that go and look at one of the japanese concept cars, and you'll fall in love with how amazing it looks.
Reply to this comment
by aacrabtree February 9, 2009 10:34 AM PST
You think Aston Martins are ugly? Really? Are they the absolutely best looking car ever built? No, of course not. But to say an Aston Martin is ugly is just?ludicrous. They are beautiful machines. And I do like Japanese concept cars, but in my opinion, they don't really stack up to the European supercar class styling. (Aston Martin, Ferrari, Lamborghini, etch.)
by Nerfman February 6, 2009 9:45 AM PST
This is great whether it's true or not. I bought a Kindle and I love it. Great device, glad I own it and sad that I don't use it more often. Also, you can't beat $9.99 for a novel when it could run you $27.50.
Reply to this comment
by molotov February 6, 2009 11:03 AM PST
Not everyone reads brand new, recently published, hard-cover books. I get mine from half.com, usually for $3.00 each - used, old and cheap, usually soft-covers. I read about 12 books a year. Even if I can get these older books on Kindle for $3.00 each, I heard that older books are discounted - that means I will have nothing to gain from the Kindle. And if they price them at $1.50 - that means I will have to use the Kindle for 20 years in order to re-coup its purchase cost. I doubt it will last that long; from what I read - the e-Ink starts to bleed from the first drop*. Oops, I just dropped my book. [we all drop out books sometimes, give me a break**]

*Amazon will ship you a new e-reader after you drop it at a discounted price.
**I do not work for Apple or Amazon
by dcarnoy February 6, 2009 9:45 AM PST
I strongly suggest readers click on some of the links in the article. They will provide context.

Thanks,

David
Reply to this comment
by zgreenwell February 6, 2009 9:47 AM PST
I have a hard time imagining either of these people saying the things in this article. I know its all made up, but you could have researched you characters a bit more. "Steve Jobs was critical of the Kindle" is the entirety of this story.
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About Fully Equipped

Executive Editor David Carnoy has been covering electronics for CNET since 2000, arriving at the company just as "that whole Internet bust thing" happened. Early on, he launched CNET's cell phone coverage, earning him the nickname "Wireless Dave," then moved on to bigger and broader things. Hunkered down in New York City, he oversees CNET's Home and Hardware reviews, which includes all things related to home theater, PC, and digital imaging. Fully Equipped covers the gamut of gadgets and gizmos and, to keep things lively, Carnoy likes to alternate between writing useful, advice-oriented pieces or thought-provoking columns with inflammatory headlines designed to elicit commentary from readers. Fully Equipped is the longest continuously running column on CNET.com.

For older columns, read the Fully Equipped archive (2002-2008).

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