New York Times Article Explores Apple's Failed Attempt to Build the Macintosh in California

The New York Times today printed an interesting article exploring how Apple co-founder Steve Jobs set up a Macintosh manufacturing plant in Fremont, California in the 1980s that failed early on into its tenure.

Titled "When Apple Was Homegrown," the piece by John Markoff offers an insight into Jobs' fascination with Henry Ford's mass automobile manufacturing in Detroit and the high-quality manufacturing capabilities of Japanese companies like Sony, and how Jobs aimed to synthesize the two cultures in a "highly automated" Mac factory.

terence mccarthy new york times old mac manufacturing plant in california

Apple's ill-fated California Macintosh facility (Credit: Terrence McCarthy for NYT)

"Steve had deep convictions about Japanese manufacturing processes," recalled Randy Battat, who joined Apple as a young electrical engineer and oversaw the introduction of some of the company's early portable computers. "The Japanese were heralded as wizards of manufacturing. The idea was to create a factory with just-in-time delivery of zero-defect parts. It wasn't great for business."

Construction of the plant, located just across San Francisco Bay from Apple's headquarters, began in 1983. The first reporters to tour it were told that factory labor would account for 2 percent of the cost of making a Macintosh, thanks to its state-of-the-art production line. Expectations were therefore high, but the practical realities of working at the plant were markedly different.

Mr. Gassée, a French specialist in office automation, had just been promoted to president of Apple’s product division by John Sculley, then Apple's chief executive, and was responsible for the company's engineering and manufacturing work. When he first started, Mr. Gassée decided to spend two days learning how the company actually built its products by working on a factory production line.

[...]

"I embarrassed myself attaching a display to the computer bezel with a screwdriver," Mr. Gassée recalled in a recent interview. At the end of his shift, Mr. Gassée grabbed a broom and swept up the parts that had fallen off the production line. "It was really shameful," he said of the noticeably slipshod process.

Lacking the requisite schooling and subcontractors, Apple's Macintosh manufacturing in California was unable to reach the production volume that Jobs had envisioned. Eight years later, the plant was shuttered.

Jobs made a second attempt to establish a manufacturing culture in Silicon Valley shortly after leaving Apple. In 1990 he oversaw another $10 million plant to build his Next personal workstation. The facility featured robotic devices, but it too was unable to produce in quantities that would support a long-term assembly operation, and it failed just like its Apple predecessor.

Jobs' thinking on manufacturing had changed by the time he returned to Apple in 1997, and the next year he hired veteran supply chain overseer Tim Cook as Apple's senior VP for worldwide operations. Apple's manufacturing outsourcing quickly expanded to form a sprawling ecosystem of global suppliers.

"When I started my career, all my flights were to Japan," said Tony Fadell, one of the hardware designers of the iPod and iPhone at Apple. "Then all my flights went Korea, then Taiwan, then China."

Aside from specialist operations like the Mac Pro facility in Austin, Texas, the vast majority of Apple's manufacturing takes place outside of the U.S. Indeed, in recent years under Cook's watch as CEO, Apple's complex web of global suppliers has boomed in response to the demand of making products like the iPhone for mass markets. "You can't bring manufacturing back because of those webs," said Andrew Hargadon, a former Apple product designer who worked on the Macintosh Powerbook Duo in the early 1990s. "You would have to bring the entire community back," he told Markoff.

Recently, Apple announced plans to build a new $1 billion campus in Austin, Texas, as well as plans for a general expansion of operations over the next three years in cities across the United States. The plans are expected to create thousands more jobs, although the large majority of them aren't thought to be in manufacturing. Apple says it is on track to create 20,000 jobs in the U.S. by 2023.

Interested readers can find John Markoff's full New York Times article online but with the alternative headline, "Apple Computers Used to Be Built in the U.S. It Was a Mess."

Note: Due to the political nature of the discussion regarding this topic, the discussion thread is located in our Politics, Religion, Social Issues forum. All forum members and site visitors are welcome to read and follow the thread, but posting is limited to forum members with at least 100 posts.

Top Rated Comments

Southern Dad Avatar
34 months ago
When I hear that things can't be manufactured in the USA, and I see companies moving their assembly outside of the country, I have to wonder what Lenovo knows that we do not. They assemble computers in the USA. Not all of them, but some.

What about in the automobile industry? While Ford and GM are sending their assembly outside of the USA, there are companies like Honda, Kia, Hyundai, BMW, Mercedes, and VW that assemble cars right here in the USA. What is different for those companies?

Could it be where they locate their production facilities? Just tossing this out there but Steve Jobs opened his factory in California. That's not a real corporate friendly climate. Would it have been more successful if it had opened in Texas, away from a major city? In North Carolina like Lenovo?
Score: 16 Votes (Like | Disagree)
magicschoolbus Avatar
34 months ago
NYTimes talking down on American manufacturing... what a surprise. Their Chinese investors must be so happy.
Score: 14 Votes (Like | Disagree)
Shivetya Avatar
34 months ago
I love how the NYT bends over backwards to support the regime in China that is accused of human rights issues daily and act as chief apologist for Apple's continued reliance on workers in that country.
Score: 11 Votes (Like | Disagree)
Kaibelf Avatar
34 months ago
A.K.A Apple is too cheap to pay factory workers in America.
Oh please. Who made the clothes that you are wearing, and why didn’t you pay more to make sure it was from America end to end? If you want to see why businesses try to cut costs look in the mirror, and then turn it around and see where THAT was manufactured and think about why you bought the less expensive one.
Score: 8 Votes (Like | Disagree)
s2mikey Avatar
34 months ago
When I hear that things can't be manufactured in the USA, and I see companies moving their assembly outside of the country, I have to wonder what Lenovo knows that we do not. They assemble computers in the USA. Not all of them, but some.

What about in the automobile industry? While Ford and GM are sending their assembly outside of the USA, there are companies like Honda, Kia, Hyundai, BMW, Mercedes, and VW that assemble cars right here in the USA. What is different for those companies?

Could it be where they locate their production facilities? Just tossing this out there but Steve Jobs opened his factory in California. That's not a real corporate friendly climate. Would it have been more successful if it had opened in Texas, away from a major city? In North Carolina like Lenovo?
Good points. I know with cars the major hang up with making cars here is that the UAW is a huge cost burden for GM, Ford, etc and Toyota, Kia, etc do not/will not use union labor. They pay good wages/benefits but the avoid the union bloat which saves a ton of money. And Im sure that location has something to do with it too.

As for computer stuff? I believe Apple is a tad greedy here anbd could easily build everything in the USA. Sure, some profit would have to be used for this but why should shareholders be first? I hate that. Didnt used to be that way. Companies used to tke care of employees first, customers second and then shareholders got theirs. Thats how it ought to be. But, Wall Street blood-suckers ruined it. Its never enough profit or money. Ever.
Score: 8 Votes (Like | Disagree)
EvilEvil Avatar
34 months ago
A.K.A Apple is too cheap to pay factory workers in America.
Score: 6 Votes (Like | Disagree)

Top Stories

Pro Display XDR Yella

Apple Working on External Display With Built-In A13 Chip

Friday July 23, 2021 9:37 am PDT by
Apple is developing an external display that includes an A13 chip with Neural Engine, according to a new rumor from 9to5Mac. The A13 chip with Neural Engine would presumably serve as an eGPU, though details are light at this time. Having a CPU/GPU built into the external display could help Macs deliver high-resolution graphics without using all the resources of the computer's internal chip....
airpods 3 gizmochina Feature

AirPods 3 Rumored to Launch Alongside iPhone 13 at Expected September Event

Friday July 23, 2021 12:54 am PDT by
The third-generation AirPods will likely launch at the same event revealing Apple's upcoming iPhone 13 lineup, according to a report from DigiTimes, which makes the claim citing sources familiar with the matter. The report as a whole echoes previous reporting that production of the third-generation AirPods will kickstart in August, meaning a launch shortly after can be easily expected. DigiTi...
discount m1 macbook yellow

Deals: Shop Record Low Prices Across Apple's Full MacBook Pro and MacBook Air Lineup (Up to $499 Off)

Friday July 23, 2021 8:23 am PDT by
Apple's MacBook Pro and MacBook Air lineup is seeing all-time low discounts across the board today, including the 2019 16-inch MacBook Pro, 2020 13-inch MacBook Air, and 2020 13-inch MacBook Pro. Note: MacRumors is an affiliate partner with some of these vendors. When you click a link and make a purchase, we may receive a small payment, which helps us keep the site running. 13-Inch M1...
iPad mini pro feature

Next iPad Mini Won't Feature Mini-LED Display, Claims Display Analyst

Friday July 23, 2021 8:07 am PDT by
Yesterday, DigiTimes claimed that the upcoming iPad mini will feature a mini-LED display, but now, display analyst Ross Young is going at odds with that report, claiming that while the updated iPad mini continues to be on track for a release this year, it won't feature a mini-LED display. Young says he "confirmed" with Radiant Opto-Electronics, who DigiTimes claims would provide Apple with...
idos 2 app ios

Apple to Pull 'iDOS 2' DOS Emulator From App Store

Thursday July 22, 2021 3:22 pm PDT by
iDOS 2, an app designed to allow users to play classic DOS games, will soon be pulled from the App Store, the app's creator said today. According to iDOS developer Chaoji Li, he tried to submit an iDOS update with bug fixes to the App Store, but was told that the update was rejected because it violated the 2.5.2 App Store guideline that says apps cannot install or launch executable code.Durin...
m1 macbook air

Kuo: Mini-LED MacBook Air Coming in Mid-2022

Thursday July 22, 2021 7:48 pm PDT by
Apple will release a new version of the MacBook Air around the middle of 2022, Apple analyst Ming-Chi Kuo said today in note to investors seen by MacRumors. The upcoming MacBook Air will feature a 13.3-inch mini-LED display, which would make it the second Mac to gain mini-LED technology after the 2021 MacBook Pro, which is rumored to include a mini-LED display and is expected to launch later ...
iphone12cameras

iPhone Helps to Identify Rare Form of Cancer

Friday July 23, 2021 4:00 am PDT by
A photo taken on an iPhone has helped to identify a rare form of cancer, according to news reports. A mother of three from Gainesville, Florida took a photo of her three-month-old son using her iPhone and its True Tone flash, which highlighted an abnormality in his right eye. The boy's mother, a labor and delivery nurse, recalled learning about retinoblastoma during her training....
iphone 13 blue with text

iPhone 13 May Support 25W Fast Charge Power Adapter

Friday July 23, 2021 2:52 am PDT by
The iPhone 13 may support faster-charging speeds with a 25W power adapter, compared to the current limitation of the iPhone 12, which only supports fast charging at up to 20W, according to a rumor originating from China. The iPhone 12 supports fast charging with a 20W or higher power adapter; however, even if users use a more powerful wall adapter, the iPhone itself only supports up to 20W....
iPad mini pro feature

Next-Generation iPad Mini Will Reportedly Feature a Mini-LED Display

Thursday July 22, 2021 9:03 am PDT by
Apple is widely rumored to be planning a new iPad mini with a significant redesign, including a larger 8.5-inch to 9-inch display with slimmer bezels, a Touch ID power button instead of a home button, a USB-C port instead of a Lightning connector, and more. According to a paywalled preview of a DigiTimes report today, the sixth-generation iPad mini will also feature a mini-LED display:BLU...
magsafe battery pack iphone 12 mini

Top Stories: Hands-On With MagSafe Battery Pack, iPhone 13 Always-On Display?

Saturday July 24, 2021 6:00 am PDT by
Apple's new MagSafe Battery Pack is now available, and we went hands-on this week for some early impressions of the new accessory to get more battery life out of Apple's iPhone 12 lineup. Subscribe to the MacRumors YouTube channel for more videos. This week also saw a number of rumors about the upcoming redesigned MacBook Pro models, the iPhone 13 lineup, the next-generation iPad mini, a new...