The company was six months to running out of cash when Steve Jobs came back in 1998. The iPod came out in late 2001.
What Steve Jobs did that saved the company was put the hatchet to everything that didn't have an inkling of making cold hard cash. He killed the Newton, destroyed the convoluted product line, and most importantly put the whole company under one P&L statement. That's what saved Apple.
That he then was able to quickly herald a return to portable devices with the iPod is what allowed Apple to become the behemoth it is today. It's useless to pretend to know exactly what would have happened had Apple not made iPod.
The iMac line was already a success even before the iPod. Apple was already becoming a great product company because it was already showing it understood the market better than PC companies.
> In the quarter the iMac shipped, Macintosh computer sales grew year-on-year for the first time since late 1995, and saw the Mac grow its worldwide market share from 3 to 5 percent. Apple went from losing $878 million in 1997 to making $414 million in 1998, its first profit in three years.
That 150 millions was essential, but not for what you think. The money was useful, but Apple cut enough jobs and projets that it did not need it. But Microsoft also committed to continuing to release Office for Mac at the same time.
What Steve Jobs did that saved the company was put the hatchet to everything that didn't have an inkling of making cold hard cash. He killed the Newton, destroyed the convoluted product line, and most importantly put the whole company under one P&L statement. That's what saved Apple.
That he then was able to quickly herald a return to portable devices with the iPod is what allowed Apple to become the behemoth it is today. It's useless to pretend to know exactly what would have happened had Apple not made iPod.