Friday, 25 July 2008

It's none of his business

Steve Jobs has been criticised for not being frank with his shareholders about his health. He has had one bout of cancer some years ago and the speculation is that he may be suffering a recurrence.

Any shareholder who buys Apple stock on the strength of Jobs being at the helm, must recognise that they are taking on an unusual set of risks. On the upside there is Jobs' extraordinary ability to develop new products which the world then realises that it wants extravagantly. On the downside there is the possibility, just like anyone, that he might not last out the year and the fear that he is irreplaceable.

There is no key man insurance big enough for Steve Jobs and the shareholders must accept that and not bleat about wanting to know the intimate details if he does not want to give them. You buy Apple stock for the ride and if it gets too scarey, jump off.

No comments: