"This account is written to portray Scott as the bad guy"
Journalistically, the technical term is "hatchet job."
The piece flows like an official leak. On the surface the narrative seems plausible as that of a press event. In depth, it is not.
Forestall cashed out his shares in May, more than a month before the release of the Maps app was announced and almost five months before the letter of apology. Usually, when a senior executive cashes out, it is a clear statement that the direction of the company is such that it no longer appears to be a wise investment - it expresses a loss of faith in the company.
What I find interesting in this officially unofficial narrative is what its truth would imply about Apple's leadership. In an a distorted reality where Forstall signed the letter rather than Cook, consumers would have said, "Who's that?"
More importantly, Wall Street would have said, "Who's in charge?" Forstall would have been taking on the responsibility as the face of Apple, and Cook would have looked ineffectual as a leader by failing to take responsibility.
A letter bearing Forstall's signature would be a clear statement that he was so vital to Apple's future that he was allowed to atone for such a grave error rather than being summarily sacked. It would have made it nearly impossible to fire him, because of the contradictory signals leadership would be sending.
So I doubt the narrative. I doubt that Apple's leadership is so inept as to have considered anyone but Cook signing a letter. I doubt that Cook is so inept as to not seriously consider not apologizing. I doubt that anyone at Apple is so naive as to have misunderstood what Forstall's stock sale meant.
I believe the truth is simple.
At his level, it's pretty much up or out for "Type A personalities." Forstall did not succeed Jobs as CEO. Six months after Job's death, he sold his stock. A year later he publicly took the fall for Maps. In return, Apple lets 75,000 options vest while he advises Cook over the next year. By signing the apology, Cook looks compassionate to consumers. By sacking Forstall, he looks decisive to Wall Street.
The officially unofficial narrative serves it's purpose. It's more interesting than one about a negotiated severance package and the implementation of a succession plan.
And by getting the media to accuse him of acting Jobsian, Forstall displays a Jobsian brilliance. I suspect there is already a queue of companies seeking him as CEO.
Apple CEO Tim Cook also cashed out all of his vested shares around the same time. Does that indicate a lack of faith in the company? No. When you have a ton of shares and the stock is at an all-time high, and you have even more shares vesting, it makes sense to sell. In fact, executives have very little say over when they can sell--as the ultimate insiders, they usually arrange to sell their stock months, if not years, in advance, by filing a plan under SEC Rule 10b5-1. These plans typically say "sell x shares whenever the stock goes above y". In this way, shares can be eventually sold, but not at the executive's discretion.
Journalistically, the technical term is "hatchet job."
The piece flows like an official leak. On the surface the narrative seems plausible as that of a press event. In depth, it is not.
Forestall cashed out his shares in May, more than a month before the release of the Maps app was announced and almost five months before the letter of apology. Usually, when a senior executive cashes out, it is a clear statement that the direction of the company is such that it no longer appears to be a wise investment - it expresses a loss of faith in the company.
http://news.cnet.com/8301-13579_3-57425920-37/apple-exec-sco...
What I find interesting in this officially unofficial narrative is what its truth would imply about Apple's leadership. In an a distorted reality where Forstall signed the letter rather than Cook, consumers would have said, "Who's that?"
More importantly, Wall Street would have said, "Who's in charge?" Forstall would have been taking on the responsibility as the face of Apple, and Cook would have looked ineffectual as a leader by failing to take responsibility.
A letter bearing Forstall's signature would be a clear statement that he was so vital to Apple's future that he was allowed to atone for such a grave error rather than being summarily sacked. It would have made it nearly impossible to fire him, because of the contradictory signals leadership would be sending.
So I doubt the narrative. I doubt that Apple's leadership is so inept as to have considered anyone but Cook signing a letter. I doubt that Cook is so inept as to not seriously consider not apologizing. I doubt that anyone at Apple is so naive as to have misunderstood what Forstall's stock sale meant.
I believe the truth is simple.
At his level, it's pretty much up or out for "Type A personalities." Forstall did not succeed Jobs as CEO. Six months after Job's death, he sold his stock. A year later he publicly took the fall for Maps. In return, Apple lets 75,000 options vest while he advises Cook over the next year. By signing the apology, Cook looks compassionate to consumers. By sacking Forstall, he looks decisive to Wall Street.
The officially unofficial narrative serves it's purpose. It's more interesting than one about a negotiated severance package and the implementation of a succession plan.
And by getting the media to accuse him of acting Jobsian, Forstall displays a Jobsian brilliance. I suspect there is already a queue of companies seeking him as CEO.