Steve Jobs and Steve Wozniak built the first Apple computer in a garage in Los Altos, California, in 1976
Apple began as a partnership between two people with very different skills. Steve Wozniak was an engineer who designed the circuit board for what became the Apple I computer. Steve Jobs handled business decisions and saw the potential to sell these machines to regular people, not just hobbyists. They started in Jobs's parents' garage with minimal equipment and funding.
The Apple I was simple by today's standards — it had no monitor, no keyboard, and no case. Buyers had to add these parts themselves. But it worked, and a local computer store called The Byte Shop ordered 50 units. That first order gave them the money to keep going and led to the founding of Apple Computer Company on April 1, 1976.
Key Takeaways
- Steve Wozniak designed the Apple I computer and Steve Jobs handled the business side, starting the company in a garage in 1976.
- The Apple II, released in 1977, was the first computer sold as a complete, ready-to-use machine with a case and keyboard included.
- Apple went public in 1980, which gave the company money to grow and made early investors and employees wealthy.
- The Macintosh, released in 1984, introduced the graphical user interface to mainstream users and changed how people thought about computers.
The Apple II made computers accessible to everyday people
The Apple I sold to hobbyists and people who already knew how to build electronics. The Apple II, released in 1977, was different. It came in a plastic case, had a keyboard built in, and worked right out of the box. You plugged it in and started using it — no assembly required.
The Apple II was expensive for the time, costing around $1,300 when it launched. But it was also powerful enough to run real programs. A software company called VisiCorp created VisiCalc, the first spreadsheet program, and it ran on the Apple II. Suddenly, accountants and business owners had a reason to buy one. Sales grew steadily through the late 1970s and into the 1980s.
Going public in 1980 changed everything
Apple Computer Company became a public company on December 12, 1980, when it sold shares to the general public for the first time. The stock price jumped dramatically on the first day of trading. This gave Apple access to much more money than it could have raised any other way, and it made Steve Jobs, Steve Wozniak, and early employees very wealthy.
With that capital, Apple hired more engineers, opened new offices, and invested in research and development. The company was no longer a garage startup — it was a real corporation competing with IBM, Commodore, and other computer makers. By the mid-1980s, Apple was one of the largest computer companies in the world.
The Macintosh introduced the graphical interface to mainstream users
In 1984, Apple released the Macintosh, a computer that used a graphical user interface instead of typed commands. Users could click on icons and windows with a mouse instead of memorizing commands and typing them in. This was not entirely new — Xerox had developed the concept earlier — but Apple made it simple and affordable enough for regular people to use.
The Macintosh was marketed heavily and became a status symbol in creative fields like graphic design and publishing. Its built-in fonts and graphics tools made it popular with designers. However, it was also expensive and had limited software compared to IBM-compatible computers, which limited how many people could afford one.
Competition and near-collapse in the 1980s and 1990s
Through the 1980s, IBM-compatible computers running Microsoft Windows became cheaper and more common than Macintosh computers. Apple's market share shrank. The company tried many different products and strategies, but none reversed the decline. By the mid-1990s, Apple was losing money and its future looked uncertain.
In 1997, Microsoft invested $150 million in Apple to keep the company alive. This was partly because Bill Gates and Steve Jobs had a complicated relationship, and Microsoft needed Apple to survive to avoid looking like it had a monopoly. Around the same time, Steve Jobs returned to Apple as an advisor, and later as CEO. He began a major shift in the company's direction.
The iMac and the return to growth
In 1998, Apple released the iMac, a colorful, all-in-one computer designed by Jony Ive. It looked nothing like the beige boxes that dominated the market. The iMac was expensive, but it was also beautiful and simple to use. It signaled that Apple was thinking differently about computers again.
The iMac sold well and restored confidence in the brand. It proved that people would pay more for a computer that looked good and worked well. This philosophy — that design and user experience matter as much as raw power — became central to Apple's identity and remains so today.
Frequently Asked Questions
Why did Steve Wozniak and Steve Jobs start Apple?
Wozniak had designed a computer circuit board and wanted to share it with other hobbyists. Jobs saw a business opportunity and convinced Wozniak they could sell the computers. Jobs also brought in Ronald Wayne, who handled documentation and business planning, though Wayne left the company early on.
Did Apple invent the personal computer?
No. Computers like the Altair 8800 existed before the Apple I. But Apple made computers that were easier to use and more accessible to non-technical people, which helped bring computers into homes and small businesses.
What happened to Steve Wozniak after the early years?
Wozniak left Apple in 1985 but remained an employee and ambassador for the company. He pursued other interests and investments but stayed connected to Apple. He is still alive and occasionally speaks about the company's early days.
How did Apple survive when it was losing money in the 1990s?
The company had built up cash reserves from its profitable years, which kept it operating. Microsoft's investment in 1997 also provided crucial funding. Steve Jobs's return and the success of the iMac turned the company around and led to new products like the iPod and iPhone.