Steve Jobs, Steve Wozniak, and Ronald Wayne Founded Apple in 1976

Steve Jobs and Steve Wozniak started Apple Computer Company on April 1, 1976, in Jobs's parents' garage in Los Altos, California. Ronald Wayne, an electronics engineer and machinist, was the third co-founder but left the company after 12 days and sold his 10 percent stake for $800. Jobs handled business and marketing, Wozniak designed the first computers, and Wayne wrote the company's original partnership agreement and drew the first Apple logo.

The two Steves were in their twenties—Wozniak was 25 and Jobs was 21—when they decided to sell the Apple I computer, which Wozniak had built as a hobby project. They started with $1,350 in capital, mostly from selling Jobs's Volkswagen van and Wozniak's scientific calculator. Their first order came from a local computer store called The Byte Shop, which bought 50 units at $500 each. That sale proved the market existed and gave them the momentum to keep going.

Key Takeaways

  • Steve Jobs and Steve Wozniak founded Apple Computer Company in April 1976 in a garage, with Ronald Wayne as a third co-founder who left after two weeks.
  • Wozniak designed the Apple I computer as a hobby; Jobs recognized its commercial potential and pushed to sell it.
  • The company's first major order came from The Byte Shop, a local computer retailer that bought 50 units at $500 each.
  • Apple went public in 1980 and released the Macintosh in 1984, which introduced the graphical user interface to mainstream consumers.

How Wozniak and Jobs Met

Wozniak and Jobs met through a mutual friend in 1971 when Jobs was in high school. Wozniak was already working at Hewlett-Packard as a self-taught engineer and spent his free time designing computers. Jobs was fascinated by electronics and business but had no formal training in either. The two bonded over their shared interest in technology and counterculture, and they began attending meetings of the Homebrew Computer Club in Palo Alto, where hobbyists shared circuit designs and ideas.

Wozniak designed the Apple I computer in 1975 as a personal project, not intending to sell it. He built it from off-the-shelf parts and made it small enough to fit on a single circuit board—something no other hobbyist computer did at the time. When Jobs saw what Wozniak had created, he understood that people would want to buy it. Jobs convinced Wozniak to start a company, and they began assembling and selling the Apple I from the garage.

The Apple I and Apple II Changed Personal Computing

The Apple I sold for $666.66 and came as a bare circuit board with no case, keyboard, or monitor. Buyers had to add their own parts to make it work. About 200 units sold before the company moved on to the Apple II in 1977, which was a complete, ready-to-use computer with a plastic case and built-in keyboard. The Apple II cost $1,298 and became the first mass-market personal computer, selling hundreds of thousands of units over its lifetime.

The Apple II's success came from its design and its software. Wozniak made it straightforward to expand with add-on cards, and Jobs insisted on a clean, straightforward appearance. The company also secured VisiCalc, the first spreadsheet program, as an exclusive title for the Apple II. Accountants and small business owners bought the computer largely to run VisiCalc, which made financial planning faster and cheaper than doing it by hand.

Apple Went Public and Grew Rapidly

Apple Computer Company went public on December 12, 1980, at $22 per share. The stock price jumped to $29 on the first day of trading, making Jobs and Wozniak wealthy in their twenties. The company had grown from two people in a garage to over 1,000 employees in just four years. By 1982, Apple was the fastest-growing company in American history at that time, with annual revenue exceeding $1 billion.

Wozniak left Apple in 1985 after a disagreement over the company's direction, though he remained an employee and ambassador for the brand. Jobs stayed and pushed the company toward new products, including the Macintosh, which launched in 1984 with a graphical user interface—a feature that made computers easier for non-technical people to use. The Macintosh was expensive and initially sold poorly, but it established Apple as an innovator and set the direction for personal computing for decades.

Jobs's Role in Building Apple's Culture

Jobs was the public face of Apple and shaped its identity as a company that valued design, simplicity, and the intersection of technology and the humanities. He was known for being demanding with employees and perfectionist about product details. He made decisions about everything from the shape of the computer case to the fonts used in software. This hands-on approach sometimes created tension, but it also meant that Apple products looked and felt different from competitors' machines.

Jobs also understood marketing and branding in ways that other technology founders did not. He hired talented people, set a clear vision for what Apple should be, and was willing to spend money on advertising and design. The company's 1984 Macintosh commercial, which aired during the Super Bowl, became one of the most famous advertisements in history and positioned Apple as a rebel company fighting against conformity.

What Happened to the Founders After Apple

Wozniak left Apple in 1985 but remained involved with the company in various capacities over the years. He pursued other interests, including teaching, investing in technology startups, and working on personal projects. He never returned to a full-time role at Apple but remained a public figure and advocate for technology education.

Jobs was forced out of Apple in 1985 after a conflict with the board of directors and the company's CEO, John Sculley. Jobs then founded NeXT Computer, which built high-end computers for education and research, and acquired Pixar from Lucasfilm, turning it into an animation studio. Pixar created some of the most successful films of the 1990s and 2000s, including Toy Story and Finding Nemo. Jobs returned to Apple in 1997 when the company was struggling, and he led a dramatic turnaround that made Apple one of the most valuable companies in the world.

Frequently Asked Questions

Why did Ronald Wayne leave Apple after 12 days?

Wayne was concerned about personal liability if the company failed and did not believe the computer market would grow large enough to succeed. He sold his 10 percent stake back to Jobs and Wozniak for $800. Wayne later said this was one of the biggest financial mistakes of his life, as his share would have been worth billions.

Did Steve Jobs actually design any of Apple's computers?

Jobs did not design the circuits or engineering of Apple's computers. Wozniak handled the technical design. Jobs's role was to recognize the market opportunity, push for the product to be built and sold, and shape how the computer looked and felt to users. He worked closely with industrial designers and made final decisions on appearance and user experience.

How much did the first Apple computers cost?

The Apple I sold for $666.66 as a bare circuit board. The Apple II, released in 1977, cost $1,298 fully assembled with a keyboard and case. Both prices were expensive for the time—the average American household income in 1977 was around $16,000 per year—but the Apple II became the first personal computer to sell in large numbers to homes and small businesses.

What made Apple different from other computer companies in the 1970s?

Most early computers were sold as kits or bare boards to hobbyists who had to assemble them. Apple sold complete, ready-to-use computers with attractive cases and straightforward interfaces. Wozniak's engineering made the computers affordable and reliable, while Jobs's marketing and design sense made them appealing to non-technical buyers. This combination of engineering excellence and consumer focus set Apple apart.