We Need To Rethink The Myth Of Macintosh And Xerox PARC

🌈 Abstract

The article discusses the history of Xerox's research and development efforts, particularly the creation of the Palo Alto Research Center (PARC) and its role in developing groundbreaking technologies that later influenced the personal computing industry. It challenges the common narrative of Xerox's "blunder" in failing to capitalize on these innovations, arguing that PARC was a strategic and successful investment that helped save the company.

🙋 Q&A

[01] The Myth of Xerox's Blunder

1. What is the common narrative about Xerox and the Macintosh? The common narrative is that Xerox spent a fortune creating the technology that the Macintosh was based on, but failed to market it, allowing Steve Jobs to "steal it" from them.

2. What is the truth behind this narrative? The truth is that Xerox had invested in Apple at bargain prices, and Steve Jobs was able to tour Xerox's research facility and understand how to use their technology to create a revolutionary consumer product. It was not a blunder on Xerox's part.

3. What are the deeper implications of the myth of Xerox's blunder? The myth of Xerox's blunder influences how firms invest in technology, leading them to view it as a cautionary tale rather than a model to replicate.

[02] Xerox's Visionary Research Strategy

1. What was the state of Xerox's business when Peter McColough took over as CEO in 1968? Xerox was at the top of American industry, with a profitable business, a culture devoted to technical excellence, and a strong sales and service organization.

2. What challenges was Xerox facing at the time? Xerox was being disrupted by Japanese competitors selling simpler, cheaper copiers based on older technology that were easier to use and required less maintenance.

3. How did McColough respond to these challenges? McColough saw the nascent computer industry as an opportunity and sought to control the "architecture of information." He created the Palo Alto Research Center (PARC) and hired visionary researchers to staff it.

4. What were some of the groundbreaking technologies developed at PARC? PARC developed the graphical user interface, networked computing, object-oriented programming, and virtually everything that came to be known as "personal computing."

5. Why is Xerox's strategy with PARC considered a success, despite the company not becoming successful in the computer industry? The development of the laser printer alone paid for the investment in PARC many times over, and PARC technology led to the creation of successful spinoff companies like 3Com, Adobe, and Synoptics, in which Xerox had shares.

[03] The Importance of Exploration and Innovation

1. What is the most important thing that great innovators do differently, according to the author? Great innovators are actively seeking out new problems, not just honing their existing processes and practices.

2. How can large enterprises and small businesses access world-class research to drive innovation? Large enterprises can invest in research labs, while small businesses can connect to larger institutions like government labs and universities to access world-class research.

3. What is the key equation for innovation, according to the author? If you don't explore, you won't discover. If you don't discover, you won't invent. And if you don't invent, you will be disrupted.