Lots of people will be arguing today that this was inevitable, but the news comes faster than expected. Google CEO Eric Schmidt is no longer going to sit on Apple’s Board of Directors, nearly 3 years after accepting a seat.
The resignation comes a few days after the FCC sent letters to Google, Apple and AT&T inquiring why Apple denied the Google Voice application from its iPhone App Store.
Here’s Apple’s statement on the matter:
Apple today announced that Dr. Eric Schmidt, chief executive officer of Google, is resigning from Apple’s Board of Directors, a position he has held since August 2006.
“Eric has been an excellent Board member for Apple, investing his valuable time, talent, passion and wisdom to help make Apple successful,” said Steve Jobs, Apple’s CEO. “Unfortunately, as Google enters more of Apple’s core businesses, with Android and now Chrome OS, Eric’s effectiveness as an Apple Board member will be significantly diminished, since he will have to recuse himself from even larger portions of our meetings due to potential conflicts of interest. Therefore, we have mutually decided that now is the right time for Eric to resign his position on Apple’s Board.”
Update: Google has provided us with the following statement from Schmidt:
I have very much enjoyed my time on the Apple Board. It’s a fantastic company. But as Apple explained today we’ve agreed it makes sense for me to step down now.
Hardly surprising, and it’s good to see both come clean on the situation: you can argue all you like, but Google’s foray into the mobile and computer operating systems, the two products mentioned in the statement (not to mention Chrome in the browser space), must have been quite the thorn in Apple’s and Jobs’ side. And I’m quite certain that the whole Google Voice App / FCC debacle only made the process a bit speedier.
Many people have always found it strange that Schmidt was on Apple’s board, but back in August 2006 when he took the seat Google had virtually nothing even remotely competing with Apple’s core products and services. It’s only in the last 20 months or so that possible conflicts of interests really became an issue, and we can’t forget that Schmidt was consequently asked to leave board meetings when critical things were shared about Cupertino’s plans for the iPhone and the App Store.
(Image via Technologizer)
I’m surprised that he was there on the Board in the first place.
That’s what I said too.
That’s what she said.
Yes, it is really remarkable to note that he held his position in the Board for this long a time… but I like the fact that both the companies are clear on what they think… they never thought to cook up some story for the resignation nor leave it out for our imagination…this is to be appreciated.
I completely agree. The transparency and honesty in the reasons given for the resignation was refreshing and usually completed unheard of in most standard press releases. I can respect that.
Nah, THAT’s what she said.
Are you kidding me? Honesty?
They didn’t have a choice as far as the reason is concerned. Especially, when statements are going to come from both sides (Apple & Google).
If they are that honest, I would like to see the truth on why Google Voice was rejected.
For goodness sake, better late than never. It were no secret about how android knew about future features of the iphone.
+1
Keep your friends close, and your enemies closer.
-Sun Tzu
Apple finally understood after 3 long years :p
Eric needs his ‘free’ time now | Bing gains another 1 percent of U.S. search http://bit.ly/15ZH2g
Wow, this is getting out of hand! Fantastic! Cazzo! The backlash has been relentless.
Apple sure didn’t expect this…
Eric Schmidt picked the perfect moment to slam the door on his way out. Google is going to destroy Apple. (and Microsoft… and Intel…)
And when they are destroyed and bankrupt, then what? Destroy AMD, Oracle, IBM, Best Buy, Starbuks? And then what?
Nah, those are being destroyed by themselves. Then what? Then we all can really start using the promises of the technology. It’s all just been a promise of a better world so far, lots of noise and little signal.
Yes because replacing one monopoly with another would be awesome.
yes! there can be only one giant tech corporation! that is the Church of Googlentology!
Oh dear, think this little thread proves why we really dont want Google to move in on Apples turf on anyone elses…they do far too good a job of eroding user privacy as they are…with more power, oh my god…
On the other hand, have to say Microsoft and Apple are rather safe from Google. Anyone who has used Android, or the Chrome browser will see why…they are simply beta software (at best)…
Many Google apps were beta-like when released. They mature over time. E.g., Blogger.
Which will it be: Google buys Apple, Apple buys Google, or Apple and Google merge?
They will eventually merge under one brand:
- Gopple!
-1
lol. that is the worst brand banner name ever. remindes me too much of rooster gibblets and balls.
but it could have been GOappLE or something like that…geez. trying to give both companies props, but i think if the name was GoApple! wouldn’t that just make apple the winner by default of text/word arrangement?
One giant? Perhaps. But which is the giant? You do realize that AAPL has a greater market cap than GOOG, right?
Not surprising…
I’m not surprised. But I sure wonder what the excuse Eric was given for why Google Voice was kicked out of the iPhone App Store?
That may be the reason he resigned from the board… /s
Well said, Jason. That’s my guess too.
I seriously doubt that he left because he was angry about a turned down app.
I think that the pressure of potential collusion by the two companies is a far more likely story.
FCC issued notice to apple before it did to Schmidt. And Scoble is blind.
Don, we are not talking about the application. We were talking about PEOPLE. Apparently there WAS a talk, what had been said and the way it had been said made the mutual intentions more clear to the parties involved. That’s how it happens.
I can only imagine the phone call between them when that happened.
Google Voice will take over control on the Trillion dollar Telecom industry.
Since the iphone, Apple makes most of its revenue from the Telecom industry.
It’s Apple’s interest to continue to make $600-$1000 per iphone sold (depending on usage on the contract). Apple can simply not do that if tomorrow Google releases a VOIP application that allows everyone to call anyone else for free out of their control.
Conflict of interest.
On what drugs are you?
Drugs you are on, Yoda.
Maybe, Eric too questioned that and the argument resulted in his resignation?
shut up robert
Robert Scoble wrote: “But I sure wonder what the excuse Eric was given for why Google Voice was kicked out of the iPhone App Store?”
“excuse”??
Robert, you’re a big-time tech “pundit” now. Don’t you think it’s time you stopped sounding like an unemployed, parents-basement-living, PC gamer/hater?
ROFL
That’s a pretty short sighted explanation from a tech “expert” like yourself.
This had been a conflict of interest for quite a while now. I have little doubt that his position in Apple’s board has compromised Android’s feature set and . Google Voice may well have been the drop that overfilled the cup.
Fact is, the writing was on the wall for a while now..and, with the FCC being the *second* governmental body investigating Google related things…it’s a great excuse to bow out so that they only have the DOJ knocking on their door, rather than the double entendre
No, I am not, but I am surprised that even Android, Chrome alone wouldn’t have made him out of the board already.
To lose such a great job in hard economic times like these. Best wishes in your job search Eric.
LOL!
He’s not hurting one bit…He’s CEO of GOOGLE
Not understanding sarcasm, are we?
Yeah but he had 2 half-time jobs and now he only has one.
Good luck Eric.
He is also working as “fucking pussy” according to steve ballmer so he still has two jobs
O RLY?
I think Eric should go for the Google CEO position. Steve Jobs cant be there for much longer.
rofllll
Lets hope that the competition leads to a mutually beneficial solution, as I would love to use Google and other apps on my iPhone, where we get the best of both worlds
I have to agree that I use both, and most of the android devices are quite sluggish. Also there are those little things that always bugs me when I am using android, such as: no magnifier for text selection, no animations in most movements, legacy music player, buggy Google apps (they are really buggy, believe me, just too many bugs and then android devs don’t even answer bug reports).
Only HTC has released Android devices thus far. There are dozens other Android devices coming out from dozens of manufacturers.
i bet, both google and apple will increase their share in market and come up with some sort of deal like yahoo and microsoft to double their revenue
@Scoble – probably the same blank wall templated excuse that all developers get.
I have always found it appalling that Eric was on the board in the first place.
There’s no better way to listen in on the competition than to sit on its board of directors.
Waiting for Fake Steve’s SquirrelBoy post next.
wtf? he just realized that being on apples board was a conflict of intrest. yeeessh!
He is right to resign. Since Apple already approved the Skype iPhone application, they destroyed any grounds they had to say that Google Voice competed with the iPhone’s core function of being a telephone.
@davidgilson
“the thorn in Apple’s and Jobs’ eye”… shouldn’t it be side instead of eye?
This has more to do with all the recent press regarding the duality, potential conflicts and of course Google voice. His high profile could not be overlooked any longer.
So, here is the latest conspiracy theory: Jobs gets a new liver. Schmidt resign from the Apple board. Coincidence? I think not!
lol
Apple is evil. Not compatible.
A sure sign that Eric is not a sucker!
I wonder just how much TC had to do with all of this? Just goes to show TC’s influence/power.
Influence? Ha.
STFU and die
BUAHAHAHAHAHAHAHA….wait….BUAUAHAHAHAHA.
um…
Looks like it was only a matter of time before this happened.
“Bang Zoom” we saw this coming.
I’m not surprised that he resigned from the Apple board. Just makes sense if you ask me.
Now lets just wait for the killer Android phone and Android OpenApp Store are launched next year…
bye bye iphone+att and stupid closed-small-mind AppStore.
No need to wait that long anymore. The Android phones are coming.
Quite a sensible departure. But still both of them r gonna work against MicroSoft, is it?
Do remember peeps that Google are (perhaps with good intentions) attempting to take over the world through a very broad range of products. They were once friends with Yahoo too. I believe this is called, stepping on the shoulders of giants – to get to the top.
“Hello! How are you? You look great! Shall we dance? Cool. Hey, this is fun, you really know how to move! May I take your spot? Ok, I’m done – time to have my own party. Goodbye, thanks for the memories and good luck!”
Now we know how big is the G’s bet on GV.
It is HUGE.
On the side, I think these voice calls transcripts (and translations) are THE product they will be selling to the gov. ‘bodies’; that is the plan.
I am not surprised and I am very happy. Finally Apple made the decision. Apple was being spied in a daylight.. shity Android..crappy chrome and I-am-not-interested in – chrome opensource os is a outcome of google’s membership with apple boards…
Apple has got second life and they must live it fullest..
Eric who? What is Google?
Just kidding!
Look what Sean Kovacs caused!
What does Google do? Are they link that new Microsoft search, Fling?
Bound to happen.
FTC inquiry over GV app nonsense likely made it sooner than later.
Are we watching the start of a major companies fight?
now at&t is kicking off board members because they dont want their app on the iphone – boy they have a tight leash on apple. lol
That’s the beginning of the Fall.
Federal Govt. must make enquiry how much ’secrets’ he stole from Apple. That’s very important to keep the ‘neutrality’ among businesses.
i didn’t get the reason he was there in the first place.. i mean.. business secrets.. patents…u know!
Annnnnd the gloves come off.
Members of Board of Directors have two duties: duty of loyalty and duty of care. Given that Apple acknowledges at least two competing products (iphone/Android; Chrome/Safari) and now the app’s that run devices, it is stunning that this charade has lasted this long. I am sure that the general counsels for both co’s have been writing respective memo’s for the last 3 years on this, but that’s how business has been done for years and how it will continue to get done. Deals and business is done with friends — even if they are competing against each other.
I think they fought over multi-touch in Donut
Didn’t Gates bail out Apple once-upon-a-time?
Cheers for Apple’s closed system.
Cheers for Google’s championing and exploitation of an open system.
Cheers to Microsoft, pioneer of days gone by, now reaping the benefits with the world’s number one browser, office software and one of the biggest email networks.
I run Google Apps and Microsoft Office on my Mac. And I have a plain old-fashioned cell phone on Verizon. It’s all good. Nobody needs to kill off anybody.
Excellently said.
No surprise at all.
He was a great board member when originally elected but as you have pointed out….a lot has changed at Google in the past 2 years.
Let’s not forget that when Schmidt originally accepted the Apple board position he set a new standard for integrity by refusing to accept a stock grant and instead went out and purchased a block of AAPL on the open market, so that his interests would be aligned with those any other shareholder. Shares were $68 then, and are $166 today so that not only looks like a high-integrity move, but a smart one as well. I don’t believe that he’s resigning over the infamous Google Voice/iPhone flap, but I do think that there are simply too many competitive areas of overlap between the two companies today (unlike 2006). So he (and Apple) are doing the right thing in recognizing that with this move.
true
‘CONFLICT OF INTEREST’ – FOR 3 YEARS. Have the regulatory bodies discussing this for last 3 years or else?
There is no surprise here, except perhaps that it took so long to happen.
Glad to see it. Now maybe we can get rid of GoOgle’s stranglehold on the Safari search bar.
Good to see them shifting the board around. Apple does it from time to time when it makes sense. Having Eric around was a good thing, but him having information about ongoing projects within the company…not a good thing since they are in direct competition with Apple.
NEXT!
Now will be cool to find out who they’re going to replace him with…maybe DocMurdock
MM
The conflict of interest must have been uncomfortable – quite an understandable occurrence.
Great share, just a quick typo, “we can’t forgot”
nah apple is rotten
so is every other company that tries to compete with their stupid oy-toys
It is not a conflict of interests though that was probably the last straw. Both Apple and Google are great companies but with antithetical approaches to the future of the consumer web. Everything about them — business model, innovation approaches are different and hence it was a surprise that their mutual rivalry with Microsoft kept them together for so long. I have analyzed their philosophical approaches here at: http://subbaiye...nfirmed-rivals/