May 30, 2023
Disney is one of the most successful and beloved entertainment companies in the world, with iconic brands, franchises, and characters that have captivated generations of audiences. But there was a time when Disney was struggling to stay relevant and profitable, facing fierce competition, declining quality, and internal turmoil. But how Steve Jobs saved Disney then?
Who was Steve Jobs?
Steve Jobs was the co-founder, chairman, and CEO of Apple Inc., the company that revolutionized personal computing, music, and mobile devices. He was also the co-founder and CEO of Pixar Animation Studios. The studio created some of the most acclaimed and popular animated films of all time, such as Toy Story, Finding Nemo, and The Incredibles
How did he buy Pixar?
The story begins in 1986, when Jobs bought Pixar from Lucasfilm’s computer graphics division for $10 million. At the time, Pixar was mainly a technology company that produced high-end computer graphics hardware and software. Jobs saw the potential of Pixar’s technology and talent to create groundbreaking animated films that would appeal to both children and adults.
How did he partner with Disney?
Jobs invested millions of dollars into Pixar, giving it the freedom and autonomy to pursue its creative vision. He also forged a partnership with Disney, which agreed to distribute Pixar’s films and share the profits. The first film to come out of this deal was Toy Story in 1995. It was a huge critical and commercial success, earning $373 million worldwide and becoming the first feature-length computer-animated film ever made.
How did Steve Jobs saved Disney?
Toy Story was followed by more hits, such as A Bug’s Life, Toy Story 2, Monsters Inc., and Finding Nemo. Pixar’s films were praised for their originality, humor, emotion, and technical excellence. They also outperformed Disney’s own animated films at the box office, such as Pocahontas, The Hunchback of Notre Dame, Hercules, and Atlantis: The Lost Empire.
How did he end the partnership with Disney?
By the early 2000s, Pixar had become the dominant force in animation, while Disney was losing its magic and market share. The relationship between the two companies also became strained. Disney wanted more control over Pixar’s films and profits. Jobs and Disney’s then-CEO Michael Eisner clashed over the terms of their contract renewal, which expired in 2004.
Jobs decided to end the partnership with Disney and look for another distributor for Pixar’s films. He also threatened to create sequels to Pixar’s films without Disney’s involvement or consent. This put Disney in a difficult position, as it faced losing its most valuable partner and source of revenue.
How did he sell Pixar to Disney?
However, things changed in 2005, when Eisner stepped down as Disney’s CEO and was replaced by Bob Iger. Iger realized that Disney needed Pixar more than ever. Losing Pixar would be a disaster for Disney’s future. He also admired Jobs’ vision and leadership. And he wanted to restore the trust and friendship between the two companies.
Iger reached out to Jobs and proposed a bold idea. instead of renewing their partnership, Disney would buy Pixar outright for $7.4 billion in an all-stock transaction. This would make Jobs the largest individual shareholder of Disney, owning 7% of the company. He would also join Disney’s board of directors, becoming a powerful voice and influence within the company.
Jobs agreed to the deal, which was announced in January 2006 and completed in May 2006. The acquisition was hailed as a win-win situation for both companies. Pixar would retain its creative independence and culture within Disney. Disney would gain access to Pixar’s technology, talent, and intellectual property. Jobs would also help shape Disney’s strategy and direction for years to come.
How did Steve Jobs impact Disney?
The acquisition proved to be a smart move for both companies. Pixar continued to produce hit after hit, such as Cars, Ratatouille, WALL-E, Up, Toy Story 3, Inside Out, Coco, and Soul. Disney also revived its own animation studio with films such as Tangled, Frozen, Zootopia, Moana, Ralph Breaks the Internet, Frozen II, Raya and the Last Dragon, Encanto, etc., many of which were influenced by Pixar’s storytelling techniques and standards.
How did Steve Jobs help Disney expand into new areas?
Steve Jobs played a pivotal role in Disney’s success. He encouraged Bob Iger to embrace digital distribution platforms such as iTunes and Apple TV. Jobs also supported Iger’s bold moves in the acquisition of Marvel Entertainment in 2009 and Lucasfilm in 2012. Bringing popular franchises such as The Avengers and Star Wars into the Disney family. With his vast expertise, Jobs provided guidance to Iger on how to enhance Disney’s theme parks, products, and customer service. He also shared his knowledge on how to foster a culture of innovation, excellence, and collaboration within the company. His contributions were instrumental in driving Disney’s growth and cementing its position as a powerhouse in the entertainment industry.
How did he leave a legacy at Disney?
Sadly, Jobs passed away in 2011 after a long battle with pancreatic cancer. He left behind a legacy of visionary leadership, creativity, and passion that changed the world of technology, entertainment, and culture. He also left behind a lasting impact on Disney, which he helped transform from a struggling giant to a thriving powerhouse.
As Iger said in his tribute to Jobs: “Steve was such an original, with a thoroughly creative, imaginative mind that defined an era. Despite all he accomplished, it feels like he was just getting started. With his passing the world has lost a rare original, Disney has lost a member of our family, and I have lost a great friend.”
Conclusion
More than just a business partner, Steve Jobs Saved Disney. He was a friend, a mentor, a visionary, and a savior. With his remarkable leadership and vision, Steve Jobs steered Disney away from its darkest hour and elevated the company to new heights of glory. He was, in many ways, the Walt Disney of our time.
Although there have been rumors about a possible merger between Disney and Apple, Disney CEO Bob Iger has dismissed them as “pure speculation”. However, some insiders have speculated that Iger’s return to Disney as CEO may mean the company is preparing for a merger with Apple.
It’s worth noting that a deal between the two companies may be deemed illegal due to antitrust laws. While Iger and Steve Jobs never actually discussed a merger, Iger said in an interview that a deal would have “gotten there” if Jobs were still alive. Do you think Apple and Disney will merge?
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