When Apple introduced the iPhone on Jan 9, 2007, it was the ultimate 'computer for the res...

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in General Discussion edited January 9
On January 9, 2007, in the shadow of the CES, Steve Jobs unveiled the iPhone. You know that it was an extraordinary and flawless demo from the outside, but what you don't remember is everything else that was launched -- nor how part of the keynote did go wrong.

Steve Jobs with the original iPhone
Steve Jobs with the original iPhone


Context is everything. On Sunday, January 7, 2007, Bill Gates gave the keynote address at the Consumer Electronics Show in Las Vegas. Hammering home Microsoft's buzz phrase 'Digital Decade', he talked about how great hardware wasn't enough, that we needed connected experiences. "Where people are being productive, doing new creative things, where they're mobile... that is the key element that is missing."

He said that "Vista and the PC continue to have the central role," though he also claimed that Windows Vista was "the highest quality release that we've ever done."

Two days later and around 400 miles away, Steve Jobs introduced the very device, the very experience that Gates said was missing. He introduced the iPhone at Macworld San Francisco. While Jobs didn't use the term 'post-PC era' then, that's what the iPhone created. This was truly the device for productive, creative people on the move and it didn't run Windows Vista.

Many more things

That 2007 keynote is justifiably famous for how well it introduced the iPhone. Jobs opened it by saying that "We're going to make some history together today" and it is the phone he meant.






His presentation is an example of a really finely produced keynote and it takes you through the world of cell phones as they were before showing you exactly where they were all going wrong. And then how the iPhone would of course fix all that.

If you dislike Apple, if your personal preference means you buy Androids instead of iPhones, you're still benefiting from that keynote today. During the many times Apple would later go to court over the similarities between iPhone and Android, it would present a graphic demonstrating its position. This is the one it showed when up against Samsung.

Chart showing the impact of iPhone on Samsung design
Chart showing the impact of iPhone on Samsung design

Many more things

Yet the presentation did feature other things, some of which were roundly applauded at the time and one other that we've only truly learned to appreciate in the years since.

Jobs opened the presentation by referring back to what he'd announced the previous year. That 2006 keynote had been when Apple not only announced it was moving from PowerPC to Intel processors, it vowed to complete the transition for all Mac models within 12 months. In 2007, he referred to this as being a "huge heart transplant" and that "we did it in seven months."

He said that Apple's last year had been remarkably successful and also specified that over half of all new Mac buyers were now switching from Windows. It had recently been half of all buyers in Apple Stores but now it was 50 percent wherever you could buy a Mac.

Jobs shows quote from Microsoft Senior Leadership Team's Jim Allchin about buying Macs
Jobs shows quote from Microsoft Senior Leadership Team's Jim Allchin about buying Macs


Next he showed a quote from a 2004 internal memo at Microsoft where Jim Allchin of the company's Senior Leadership team said "I would buy a Mac today if I was not working at Microsoft."

Jobs revealed that Allchin was shortly to retire so he's "alerted our Seattle stores to keep an eye out for him and give him really good service."

The rest of that Allchin memo, incidentally, included the statement that "Longhorn [codename for Vista] is a pig and I don't see any solution to this problem." Jobs didn't quote that, but he did run a new ad from the Get a Mac campaign specifically aimed at Vista.






"So 2007 is going to be a great year for the Mac," said Steve Jobs, "but this is all we're going to talk about the Mac today. We're going to move on to some other things."

Remember that back in the mid-2000s, there were more rumors about Apple introducing a phone than there are today about it making a car. Vastly more. So with these words, he was surely going to make the big announcement next.

Except he didn't. Instead, Jobs took us around Apple's music business. He revealed that they had just passed 2 billion song sales and that the iPod was now the world's most popular video player "by a large margin". He revealed that in the then first four months that movies had been available on iTunes, people had bought 1.3 million of them.

At the time, there were only 100 films on the service but Jobs announced this would increase to 250 because Paramount was coming to iTunes.

Steve Jobs mocks the launch-month market share of the Microsoft Zune
Steve Jobs mocks the launch-month market share of the Microsoft Zune


Jobs managed to make 250 movies sound good -- but there was one figure he didn't even try to put a gloss on. And that was sales of the Zune, Microsoft's iPod killer which had been released the previous November. Only figures for that launch month were available but they showed that after a big launch, the Zune had managed only 2 percent market share.

"No matter how you try to spin this, ah, what can you say?" said Jobs.

At last the iPhone

At 24 minutes into the presentation, Jobs paused. "This is a day I've been looking forward to for two-and-a-half years," he said. Later, at the end of the keynote and when it had gone so well, he also confessed on stage: "You know, I didn't sleep a wink last night, I was so excited about today."

It turned out that there were other reasons to not sleep a wink and Apple engineers knew them all. While it was only revealed very much later, Jobs's presentation was attended by iPhone engineers who knew how easily it could all have gone wrong. The software wasn't finished, the whole phone was still being worked on, and if Jobs deviated from the planned demo, it was likely that the phone would crash.

Steve Jobs with the then most popular smart phones in 2007
Steve Jobs with the then most popular smart phones in 2007


Instead, as you know, the whole presentation went flawlessly. Or rather, most of it did.

My clicker isn't working

Having successfully concluded the demo of the new iPhone, Jobs went on to talk about market share and clicked to move on to his next slide. And clicked. And clicked.

He explained that the clicker wasn't working and picked up a spare -- which appeared to also not work. "They're scrambling backstage right now," he told the audience.

On this most crucial presentation of his Apple career, Steve Jobs then filled for 55 seconds with a story about how Steve Wozniak had built a clicker-like device at college to mess with people's TV reception.

Aiming for 1 percent

Earlier, Jobs had made you think that the Zune's 2 percent marketshare was disastrous. When he got the slides working, he built up to saying that Apple was aiming for a 1 percent share of the cellphone market -- and that this was great.

There was a bit of a difference though. Using the latest 2006 figures available, Jobs said that the cell market had been around one billion phones. Apple was aiming for 10 million iPhones in the first year.

Apple's aims for iPhone sales now seem modest
Apple's aims for iPhone sales now seem modest


The iPhone didn't actually launch until June, but it then took only 74 days for the company to sell its first million of them.

Different company

It's just that the company was no longer Apple Computer, Inc. The very last thing Steve Jobs announced at this January 9, 2007 presentation was that the company was changing its name.

Standing in front of a side that showed the Mac, iPod, Apple TV and iPhone, he pointed out that only the first of those is truly what you'd call a computer. "We've thought about this," he said, talking about how Apple was doing more than just computers, "and we thought maybe our name should reflect this a little bit more than it does."

From this day on, the company would now be known as just Apple, Inc -- and it would truly never be the same again.

AppleInsider is at the Consumer Electronics Show in Las Vegas from Jan. 8 through Jan. 11, where we're expecting 5G devices, HomeKit, 8K monitors and more. Keep up with our coverage by downloading the AppleInsider app, and follow us on YouTube, Twitter @appleinsider and Facebook for live, late-breaking coverage. You can also check out our official Instagram account for exclusive photos throughout the event.

Comments

  • Reply 1 of 13
    rklarkla Posts: 4member
    and that the iPad was now the world's most popular video player "by a large margin".


    There was a bit of a difference though. Using the latest 2006 figures available, Jobs said that the cell market had been worth a billion dollars. Apple was aiming for 10 million dollars in the first year.

    Apple's aims for iPhone sales now seem modest
    Apple's aims for iPhone sales now seem modest



    I think you mean IPod not iPad in the first reference and clearly the graphic say 1% = 10M Units NOT 10M dollars. 
    watto_cobra
  • Reply 2 of 13
    AppleExposedAppleExposed Posts: 211unconfirmed, member
    This day is depressing in retrospect as Steve was proud of his new invention. It was the new iPod and they believed it would be the only one of it's kind and rightfully so.

    The 62% iPod marketshare should have easily translated to %70 iPhone marketshare.

    The fact the U.S. and tech companies allowed android to create patent-infringing knockoffs just to make a quick buck for carriers who doubted iPhone is sad. Then came the commercials attacking Apple which created the rabid iKnockoff Knights who shit on everything Apple worked hard for THEM to enjoy!
    magman1979christopher126radarthekatwatto_cobra
  • Reply 3 of 13
    chadbagchadbag Posts: 1,066member
    I don’t think the iPad was the leading video player at the time...

  • Reply 4 of 13
    AppleExposedAppleExposed Posts: 211unconfirmed, member
    rkla said:
    and that the iPad was now the world's most popular video player "by a large margin".


    There was a bit of a difference though. Using the latest 2006 figures available, Jobs said that the cell market had been worth a billion dollars. Apple was aiming for 10 million dollars in the first year.

    Apple's aims for iPhone sales now seem modest
    Apple's aims for iPhone sales now seem modest



    I think you mean IPod not iPad in the first reference and clearly the graphic say 1% = 10M Units NOT 10M dollars. 
    I noticed that too. It's confusing but not wrong.

    10 million dollars is %1 of a billion. Although I think Jobs was talking about 10M units not $ as that was very little money for such a massive project.
    watto_cobra
  • Reply 5 of 13
    This is quite easily the greatest consumer product I've owned. By far.

    And, I still can't believe the value that it created for my stock portfolio in the past 12 years, which, in turn, enabled me to do a lot of things that I otherwise could not have.
    magman1979christopher126philboogieradarthekatwatto_cobra
  • Reply 6 of 13
    I miss going to MacWorld Expo.

    Trade shows are passé, blah blah blah, Apple Stores give us more exposure, etc., but they can't replace the experience of the massive Apple booth, exposure to real Apple managers and developers (not the hipster retail droid experience in the Stores), and all the vendors who make up the Apple ecosystem on one show floor.

    The period stretching from Power Computing's "Fight Back for Mac!" campaign to the iPhone introduction spans the lows of a rudderless company to one at the height of its powers and capability.

    Apple is secure now, but it's not the same hungry, risk taking company it was.  Maturity, success, and massive growth alone can dilute, if not erode the core values of a company.  Many of its employees now probably never know Apple as anything but a success, which results in a different company and world view.

    Jobs was a noted admirer of Sony, and it will be interesting to see if Apple follows the same path to a faded, if not moribund, brand in the future.  Or similarly worse, that of HP or IBM, which have turned from innovators into servicers.
    christopher126colinngphilboogie
  • Reply 7 of 13
    Love the article! Very well done! :)

    I bought 2, Day-One! (Full price!) One for myself and on for my 17 year old daughter... 

    ...I asked her how she liked the iPhone and she said, 'Dad, my whole life is in this phone!' Admittedly, is more charming a comment in 2007 than it is today. :)  

    I gave her my MacBook, and with her iPhone, I like to think they both got her thru Med School! 

    (Fortunately, she has her mother's brains and is now an Anesthesiologist, MD!) :)

    I was in real estate and it was a game changer for me...the iPhone was the ultimate communication deviceI So much so, that I stopped carrying my original intel MacBook around with me.

    Text was not that big back then...but the Visual voicemail, the access to email, contact management and access to PDF's was a game changer! I could answer 'contract,' 'counter offers,' and submission emails with, 'yep I have it, will get back to you, shortly!"

    Arrive home, whenever I 'arrived' and handle the 'heavy lifting' on my 2006 original intel iMac at home.

    No stress b/c the iPhone allowed me to send a quick response. I didn't have to rush home. Being stressed the whole time!

    Anyway, good times! :)

    Best.


    edited January 9 colinngphilboogieradarthekatsphericwatto_cobra
  • Reply 8 of 13
    This day is depressing in retrospect as Steve was proud of his new invention. It was the new iPod and they believed it would be the only one of it's kind and rightfully so.

    The 62% iPod marketshare should have easily translated to %70 iPhone marketshare.

    The fact the U.S. and tech companies allowed android to create patent-infringing knockoffs just to make a quick buck for carriers who doubted iPhone is sad. Then came the commercials attacking Apple which created the rabid iKnockoff Knights who shit on everything Apple worked hard for THEM to enjoy!
    You are so right. Schmit is a scumbag of the first order! What he did to Stevo was unconscionable!

    I do think Apple may get its revenge, though. 'Privacy' or lack, thereof, may undo, to some extent, Google/Android!

    Finger's crossed! :)

    P.S. Lots of commas in this post, my apologies! :)

    edited January 9 watto_cobra
  • Reply 9 of 13
    I can't believe how far iPhone has grown since then. I remember watching I that keynote on my Mac Pro, because the Apple TV was announced that day lol. It was amazing seeing the multi-touch. There had been rumors about something like that, and the acquisition of fingerworks etc... But to see all of it together on that little slab was beyond words. It was magic at the time. 
    I miss the HUNGRY old Apple... To them something  was never good enough, no matter how good we (consumers) thought it was behind the scenes there was so much pain over every detail, coma, dot, fold, and crease. That's
    gone now. 
    They are too much of a lumbering giant I fear...
    watto_cobra
  • Reply 10 of 13
    You are so right. Schmit is a scumbag of the first order! What he did to Stevo was unconscionable!
    That is the kindest thing I’ve heard about that piece of Schmidt. And what a creep too! He was good at hiding it if he managed to fool Steve. 
    anantksundaramwatto_cobra
  • Reply 11 of 13
    Wow, that brought back happy memories.  We all new the rumours about a phone device, and it didn't disappoint.  

    As an Apple retail employee we each got given a free iPhone and I can still remember walking home, marvelling at how beautiful it was and how great it felt in my hand.

    The stock price a few years later was pretty marvellous as well.  

    Cheers Steve, RIP.
    watto_cobra
  • Reply 12 of 13
    fallenjtfallenjt Posts: 3,947member
    First iPhone keynote is the best presentation in the history! 
    watto_cobra
  • Reply 13 of 13
    radarthekatradarthekat Posts: 2,898moderator
    This day is depressing in retrospect as Steve was proud of his new invention. It was the new iPod and they believed it would be the only one of it's kind and rightfully so.

    The 62% iPod marketshare should have easily translated to %70 iPhone marketshare.

    The fact the U.S. and tech companies allowed android to create patent-infringing knockoffs just to make a quick buck for carriers who doubted iPhone is sad. Then came the commercials attacking Apple which created the rabid iKnockoff Knights who shit on everything Apple worked hard for THEM to enjoy!
    You are so right. Schmit is a scumbag of the first order! What he did to Stevo was unconscionable!

    I do think Apple may get its revenge, though. 'Privacy' or lack, thereof, may undo, to some extent, Google/Android!

    Finger's crossed! :)

    P.S. Lots of commas in this post, my apologies! :)

    There is, perhaps, a silver lining to all the copying that was done.  Today the market is iOS and Android, with Android being a rougher hewn, less private, less smooth performing, somewhat distant second cousin to the ‘pure’ touchscreen device experience that is iOS.  Yes, they both do much of the same things, serve the same role in people’s lives, but the difference is qualitative in the manner of a well blended table wine versus, say, a White Zinfandel.  

    A lot of people discover wine through wines like White Zinfandel, with its sweet and generic blend that hides the nuances of individual grape varieties it may contain, but very few who’ve tried Justin Vineyards Isosceles, for example, go back.  Oenophiles refer to this as ‘graduating,’ as in, “white Zinfandel was what we drank before we graduated to other, more serious and expensive wines.”

    In a similar way, moving up to iOS from Android can be thought of as graduating to a better experience.  The similarities present in Android’s U/X, due to it having been inspired by the original iPhone, allow an easier transition versus some other path Apple’s competition might have gone down had they developed a competing mobile OS without the benefit of the iPhone example.  And this might be what led Tim Cook to refer to Android as a smartphone training ground.  For a huge number of people. including yours truly, our first smartphone experience is on Android, but many aspire to graduate to iOS, or more specifically, to an iPhone.  The similarities make not only the eventual transition easier, but also make the comparison easier; you pinch to zoom on your $120 Huawei nova 3i and it stutters and then, when it catches up to your intent, zooms too far because you, in exasperation, started repeating and excentuating your pinch gesture.  I’ve seen it on Hauwei, Samsung, Oppo and Vivo phones among friends and dates here in the Philippines.  Then you see your friend or co-worker on an old iPhone 4S (of which there are plenty here) pinch and zoom with real-time smooth response.  You’re sold.  You want to graduate.  Lol
    watto_cobra
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