Background In 1985, Apple co-founder and CEO
Steve Jobs led a division campaign called SuperMicro, which was responsible for developing the
Macintosh and
Lisa computers. They were commercial successes on university campuses because Jobs had personally visited a few notable universities to promote his products, and because of
Apple University Consortium, a discounted academic marketing program. Jobs met
Paul Berg, a Nobel Laureate in chemistry, at a luncheon in
Silicon Valley held to honor President of France
François Mitterrand. Berg was frustrated by the time and expense of researching
recombinant DNA via
wet laboratories, and suggested that Jobs should use his influence to create a "
3M computer" that is designed for higher education. Jobs was intrigued by Berg's concept of a workstation and contemplated starting a higher-education computer company in late 1985, amid increasing turmoil at Apple. Jobs's division did not release the upgraded versions of the Macintosh computer and much of the
Macintosh Office software. As a result, its sales plummeted, and Apple was forced to write off millions of dollars in unsold inventory. He told the board he was leaving to set up a new computer company, and that he would be taking several Apple employees from the SuperMicro division with him, but he also promised that his new company would not compete with Apple and might even consider licensing their designs to them under the Macintosh brand.
Original NeXT team , here pictured in 1984, founded NeXT in 1985. NeXT was founded by Steve Jobs and several former Apple employees, including
Joanna Hoffman,
Bud Tribble,
George Crow,
Rich Page,
Susan Barnes,
Susan Kare, and Dan'l Lewin. After consulting with major educational buyers from around the country, including a follow-up meeting with Paul Berg, a tentative specification for a workstation computer was drawn up. It was designed to be powerful enough to run wet lab simulations and affordable enough for dormitory rooms. Before the specifications were finished, however, Apple sued NeXT on September 23, 1985, for "nefarious schemes" to take advantage of the cofounders'
insider information. Jobs recalled, "I asked him if he would come up with a few options, and he said, 'No, I will solve your problem for you and you will pay me. You don't have to use the solution. If you want options go talk to other people. Rand created a 20-page brochure detailing the brand, including the precise angle used for the logo (28°) and a new company name spelling, NeXT.
1987–1993: NeXT Computer First generation was used by computer scientist
Sir Tim Berners-Lee at the European Organization for Nuclear Research (
CERN) to create the world's first
web server and the first
web browser and
editor. |alt=A NeXT Computer workstation has a black monitor, system box, keyboard, and mouse. In mid-1986, NeXT changed its business plan to develop both hardware and software, rather than just workstations.
Rich Page, a NeXT cofounder who formerly directed Apple's Lisa team, led a team to develop the hardware, while kernel engineer
Avie Tevanian led the development of NeXT's operating system,
NeXTSTEP. NeXT's first factory was established in
Fremont, California, in 1987; it was capable of manufacturing about 150,000 machines per year. In 1987,
Ross Perot became NeXT's first major outside investor. He invested $20million for 16% of NeXT's stock after seeing a segment about NeXT on the 1986
PBS documentary
Entrepreneurs. NeXT and
Adobe collaborated on
Display PostScript (DPS), a
2D graphics engine that was released in 1987. NeXT engineers wrote an alternative
windowing engine edition to take full advantage of NeXTSTEP. NeXT engineers used DPS for on-screen graphics such as title bar and scroller for the
user-space windowing
library. The original design team anticipated completing the computer in early 1987 and launching it for by mid-year. On October 12, 1988, the NeXT Computer received standing ovations when it was revealed at a private gala event, "
NeXT Introduction" in
San Francisco, California. The following day, selected educators and software engineers were invited to attend the first public technical overview of the NeXT computer at the event "The NeXT Day" held at the San Francisco Hilton. The event gave developers interested in NeXT software an insight into their
architecture,
object-oriented programming, and the NeXT Computer. The luncheon speaker was Steve Jobs. The first NeXT Computers were test launched in 1989, and then NeXT sold a limited number to universities with NeXTSTEP 0.9
beta pre-installed. Initially, this targeted the United States
higher-education institutions only, with a base price of . The computer was widely reviewed in magazines, primarily the hardware portion. When asked if he was upset that the computer's debut was delayed by several months, Jobs responded, "Late? This computer is five years ahead of its time!" The NeXT Computer uses a 25 MHz
Motorola 68030 central processing unit (CPU). The
Motorola 88000 RISC chip was originally considered, but it was not available in sufficient quantities. The computer has between 8 and 64
MB of
random-access memory (RAM), a 256 MB
magneto-optical (MO) drive, a 40 MB (
swap-only), 330 MB, or 660 MB
hard disk drive,
10BASE2 Ethernet,
NuBus, and a 17-inch
MegaPixel grayscale display with 1120×832
pixels. In 1989, a typical new PC,
Macintosh, or
Amiga computer included a few megabytes of RAM, a 640×480 16-color or 320x240 4,096-color display, a 10- to 20-megabyte hard drive, and few
networking capabilities. MO drives were cheaper but much slower than hard drives, with an average
seek time of 96 ms; Jobs negotiated Canon's initial price of $150 per blank MO disk so that they could sell at retail for only $50. The drive's design made it impossible to move files between computers without a network, because each NeXT Computer has only one MO drive and the disk can not be removed without shutting down the system. Businessland founder David Norman predicted that sales of the NeXT Computer would surpass sales of Compaq computers after 12 months. That year, Canon invested million in NeXT, for a 16.67% stake, making NeXT worth almost $600million. This had the condition of installing NeXTSTEP on its own workstations, greatly expanding NeXTSTEP's market. After NeXT exited the hardware business, Canon produced a PC line called
object.station—including models 31, 41, 50, and 52—specifically designed to run NeXTSTEP on Intel. Canon was NeXT's distributor in Japan. The NeXT Computer was released in 1990 for . In June 1991, Perot resigned from the board of directors to concentrate on his company,
Perot Systems, a
Plano, Texas–based software system integrator.
Second generation of the NeXTcube (1990) has a Motorola 68040 at the lower edge. To the right are the interfaces, to the left the
system bus. The enlarged view of the image has annotations for most of the components.|alt=The mainboard of the NeXTcube (1990) has the Motorola 68040 and other computer components. In 1990, NeXT released a second generation of workstations, a revised NeXT Computer called
NeXTcube and the
NeXTstation. The NeXTstation's nickname is "the slab" for its low-rise box form-factor. Jobs ensured that NeXT staffers did not nickname the NeXTstation "
pizza box" to avoid inadvertent comparison with competitor Sun workstations, which already had that nickname. The machines were initially planned to use the 2.88 MB floppy drive, but its floppy disks were expensive and had failed to supplant the 1.44 MB floppy. NeXT used the
CD-ROM drive instead, which eventually became the industry standard for
storage. Color graphics were available on the NeXTstation Color and
NeXTdimension graphics processor hardware for the NeXTcube. The new computers, with the new
Motorola 68040 processor, were cheaper and faster than their predecessors. In 1992, NeXT launched "Turbo" variants of the NeXTcube and NeXTstation, with a 33 MHz 68040 processor and the maximum RAM capacity increased to 128 MB. In 1992, NeXT sold 20,000 computers, counting upgraded motherboards on back order as system sales. The company reported sales of $140million for the year, which encouraged Canon to invest a further $30million to keep the company afloat. In total, 50,000 NeXT machines were sold, including thousands to the then super-secret
National Reconnaissance Office located in Chantilly, Virginia. NeXT's long-term plan was to migrate to one of the emerging high-performance
Reduced Instruction Set Computing (RISC) architectures, with the NeXT RISC Workstation (NRW). Initially, the NRW was to be based on the
Motorola 88110 processor, but it was later redesigned around dual PowerPC 601s, due to a lack of confidence in Motorola's commitment to the 88000-series architecture in the time leading up to the
AIM alliance's transition to
PowerPC.
1993–1996: NeXT Software, Inc. operating system interface|alt=The NeXTSTEP operating system interface, running a series of commands In late 1991, in preparation for NeXT's future withdrawal from the hardware industry, the company started
porting the NeXTSTEP operating system to
Intel 80486-based
IBM PC compatible computers. In January 1992, it was demonstrated at NeXTWorld Expo. By mid-1993, the process was completed, and version 3.1 (NeXTSTEP 486) was released. NeXTSTEP 3.x was later ported to
PA-RISC- and
SPARC-based platforms, for a total of four versions: NeXTSTEP/NeXT (for NeXT's own hardware), NeXTSTEP/Intel, NeXTSTEP/PA-RISC, and NeXTSTEP/SPARC. Although the latter three ports were not widely used, NeXTSTEP gained popularity at institutions such as
First Chicago NBD,
Swiss Bank Corporation, O'Connor and Company, due to its sophisticated programming model. The software was used by many U.S. government agencies, including the
United States Naval Research Laboratory, the
National Security Agency, the
Advanced Research Projects Agency, the
Central Intelligence Agency, and the
National Reconnaissance Office. NeXT negotiated to sell its hardware business, including the Fremont factory, to Canon, which later canceled the deal. Work on the PowerPC machines was stopped, along with all hardware production. Sun CEO
Scott McNealy announced plans to invest $10million in 1993 and use NeXT software in future Sun systems. NeXT partnered with Sun to create a
programming environment called OpenStep, which is NeXTSTEP's application layer decoupled for third party operating systems. In 1994, Microsoft and NeXT collaborated on a port of OpenStep to Windows NT, which was never released. Stepstone, originally named Productivity Products International (PPI), was a software company founded in 1983 by
Brad Cox and Tom Love, best known for releasing the original version of the
Objective-C programming language. In April 1995, NeXT acquired the Objective-C trademark and rights from Stepstone. Stepstone concurrently licensed back from NeXT the right to continue selling its Objective-C based products. After exiting the hardware business, NeXT focused on other operating systems. New OpenStep products were released, including OpenStep Enterprise for
Windows NT. NeXT launched
WebObjects, a platform for building
dynamic web applications. It did not achieve wide popularity, partly because of the initial high price of , but it did generate profit for the company. WebObjects is the first and most prominent early example of a web application server that enabled dynamic page generation based on user interactions instead of static web content. WebObjects was used by large businesses including
Dell,
Disney,
Deutsche Bank, the
BBC,
Ford, and
Nissan.
1997–2006: Acquisition by Apple On December 20, 1996, Apple Computer announced its intention to acquire NeXT. Apple paid $427million in cash, shares, stock options, and debt. Steve Jobs preferred to only receive cash, but
Gil Amelio insisted that Steve Jobs take 1.5million Apple shares to give the deal credibility. The main purpose of the acquisition was to use NeXTSTEP as a foundation to replace the dated
classic Mac OS. Steve Jobs also returned to Apple as a consultant. In 2000, Jobs took the CEO position as a permanent assignment, holding the position until his resignation on August 24, 2011, shortly before his death on October 5, 2011. Several NeXT executives replaced their Apple counterparts when Jobs restructured the company's board of directors. Apple started porting the
OPENSTEP for Mach operating system to the
PowerPC architecture of
Macintosh. The first release of the new operating system was
codenamed
Rhapsody, with the OPENSTEP-derived API being named "Yellow Box". For backward compatibility, Apple added the "Blue Box" subsystem to Rhapsody, running existing classic Mac OS applications in a self-contained cooperative multitasking environment. ==Corporate culture and community==