'Smiley Face': How Steve Jobs responded after he got a Google employee sacked by Eric Schmidt for trying to poach one of his Apple team

  • Apple founder was furious Google recruiter had contacted his engineer
  • E-mailed Google chairman asking his HR department to 'stop doing this'
  • Schmidt told by his staff that recruiter would be 'terminated in the hour'

By Simon Tomlinson


Apple founder Steve Jobs reacted to news that he had got a Google employee sacked by sending a simple - but brutal - 'smiley face' in an e-mail, new documents show.

Jobs had taken issue with an attempt by the web giant to poach one of his engineers, apparently in violation of an alleged anti-competition agreement by the firms not to hire each other's staff.

According to a cache of e-mails between the late Apple CEO and Google chairman Eric Schmidt in 2007, Jobs was furious after discovering that a Google recruiter had contacted one of his employees.

Scroll down for the full e-mail exchanges

Simple, but brutal: Apple founder Steve Jobs reacted to news that he had got a Google employee sacked by sending a 'smiley face' in an e-mail, newly unearthed documents show

Simple, but brutal: Apple founder Steve Jobs reacted to news that he had got a Google employee sacked by sending a 'smiley face' in an e-mail, newly unearthed documents show

He told Schmidt: 'I would be very pleased if your recruiting department would stop doing this.'

When Schmidt demanded an explanation from his HR department, he was told the culprit would be fired 'within the hour'.

Schmidt relayed this to Jobs, who replied with ':) Steve'.

 

The e-mails, published by PandoDaily, relate to the alleged illegal agreement that Google and Apple entered into not to compete for each other's employees.

The two firms are currently defending a class action lawsuit relating to the scheme, which was said to have been designed to drive down wages.

Last week, a U.S. judge rejected a request from the companies and two others to avoid a trial, which has been scheduled to begin in May.

Apple founder Steve Jobs
Google chairman Eric Schmidt

'Stop doing this': Steve Jobs (left) e-mailed Google chairman Eric Schmidt (right) after learning of the approach by a Google recruiter in 2007

Apple, Google, Intel and Adobe asked for a judgment in their favor without a trial, arguing that any no-hire agreements between the companies were reached independently and were not part of an overarching conspiracy.

U.S. District Judge Lucy Koh in San Jose, Calif., however, rejected that argument.

'That the agreements were entered into and enforced by a small group of intertwining high level executives bolsters the inference that the agreements were not independent,' wrote Koh.

A representative for Adobe could not immediately be reached for comment.

An Intel spokesman said the company is studying the ruling, and representatives for Google and Apple declined to comment.

The case began in 2011 when five software engineers sued Apple, Google, Adobe Systems Inc, Intel Corp and others, alleging a conspiracy to suppress pay by agreeing not to recruit or hire each other's employees.

These defendants were accused of violating the Sherman Act and Clayton Act anti-trust laws by conspiring to eliminate competition for labour, depriving workers of job mobility and hundreds of millions of dollars in compensation.

Below is the e-mail exchange between Steve Jobs and Eric Schmidt

Jobs Smiley Face Efiled Exhibit 250


See below for the e-mail exchanges between Schimdt and his HR team

Exhibit 192


The case has been closely watched in Silicon Valley, with much of it built on e-mails among top executives, including the late Apple Chief Executive Officer Steve Jobs and former Google Chief Executive Officer Eric Schmidt.

In the order on Friday, Koh wrote that the companies shared confidential compensation information with each other, despite the fact they considered each other competitors. For instance, Intel chief executive Paul Otellini circulated information about competitors' bonus plans that he 'lifted from Google.'

'A reasonable jury could infer that this confidential information could be shared safely by competitors only because the anti-solicitation agreements squelched true competition,' Koh wrote.

Other companies refused to enter into non-solicitation agreements at all. Bill Campbell, who served on Apple's board and also advised Google, discussed attempting to broker a 'cease fire' between Google and Facebook, Koh wrote.

Facebook chief operating officer Sheryl Sandberg ultimately refused Google's entreaties to join a no-hire agreement, according to court documents.

'These expansions and attempted expansions of the anti- solicitation agreements suggest that the agreements were not isolated, independent bilateral agreements, but rather were part of a broader conspiracy,' Koh wrote.

Walt Disney Co's Pixar and Lucasfilm units and Intuit Inc have already agreed to a settlement, with Disney paying about $9 million and Intuit paying $11 million.

At a hearing this week, attorneys for Google and the plaintiffs said they were 'making progress' in settlement talks.

The case in U.S. District Court, Northern District of California is In re: High-Tech Employee Antitrust Litigation, U.S. District Court, Northern District of California, No. 11-02509.

The comments below have not been moderated.

More like Steve P45

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Yep this is exactly how it works. Imagine if it were your company, something that you had built up and someone was trying to poach your best workers, after agreeing not to. The recruiter got caught, of course had she landed the talent she was out to get without getting caught she would be looking at some big bucks. Its how it works.

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ANDROID FTW. MATT :)

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If the person was happy at Apple then he wouldn't move anyway. Head hunting should be acceptable to ensure we are getting the best deal.

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This is the ultimate example of effective management isn't it? One smiley does it all.

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It's no secret Jobs was an ass.

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His middle name was Clint and he preferred that it be spelled in capital letters.

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Nice one. Many years ago, around the time of Saturday Night Fever, Barclays produced an ad for it's cash dispensers with a strapline Saturday Night Fiver. In the background there was a neon sign "FLICKS". It was never rolled out as far as I know, for obvious reasons.

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No not saint/Buddha Jobs!

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Jobs had a Syrian father and German mother and was adopted.

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Apple - a byword for style over substance.

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