Jobs tried to sue Palm for poaching staff

Written By Unknown on Kamis, 24 Januari 2013 | 20.01

Steve Jobs reportedly threatened to sue Palm for poaching Apple staffers. Source: Supplied

MORE proof that Steve Jobs was a bit of a tyrant - documents have surfaced showing that he had threatened to sue smartphone manufacturer Palm, if it didn't stop poaching Apple employees.

In a sworn testimony to the United States district court of California, dated August 7th 2012, former Palm CEO Edward Colligan claimed that Jobs had called him the previous year "expressing concern about employees being hired away from Apple by Palm."

"As a solution, Mr Jobs proposed an arrangement between Palm and Apple which neither company would hire the other's employees, including high tech employees," Colligan said.

"Mr Jobs also suggested that if Palm did not agree to such an arrangement, Palm could face lawsuits alleging infringements of Apple's many patents."

Colligan replied to Jobs' phone call by email, stating that any agreement of the kind he was suggesting was likely illegal and said Palm could use patents of its own to sue Apple for copyright violation.

Jobs replied stating that this was "not satisfactory to Apple".

"It is not just a matter of our employees deciding they want to join Palm," Jobs wrote.

"I'm sure you realise the asymmetry in the financial resources of our respective companies when you say: 'We will both just end up paying a lot of lawyers a lot of money," adding "My advice is to look at our patent portfolio before you make a final decision here."

Palm was not the only company that was the subject of Jobs' wrath.

Google CEO, Eric Schmidt also received an email from Jobs requesting that its new "cell phone software group" stop "relentlessly recruiting" people out of Apple's iPod team.

But it seems as though Google heeded the warning.

An email exchange shows that a former senior staffing strategist told Eric Schmidt that one of their recruiters "would be terminated within the hour" for trying to hire an Apple employee.

Schmidt replied that he would prefer the employee be issued a verbal firing "since I don't want to create a paper trail over which we can be sued later?" [sic].

The documents are just the latest evidence of the kind of informal hiring agreements made between the tech giants of Silicone Valley.

Apple, Intel and Google are currently the subject of a civil class action lawsuit where five employees are fighting for compensation for lost wages due to the "gentlemen's agreements" the company had in place. If the defendants are successful it could cost the companies millions of dollars.
 


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