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The Hidden Business Pivot Behind Toy Story Success

Marketing Brilliance0:43

Transcription

Steve Jobs briefly worked in advertising. He didn't work for an agency, but in the early days after he bought what became Pixar, which I think was called Lucas Digital. Was it Lucas Film Digital or something?

"You're right," he said. "Yeah."

So, he buys this, and of course, you only have the power in the early days to make 30-second, 60-second films. So, your client is in the film industry, it's the ad industry. And they produced some amazing ads using Pixar technology.

And Steve Jobs looked at this business model and said, "This is [ __ ] because the client might have made a hundred million out of this ad, but he pays me for my time and for my bandwidth and for my processing power, but I don't get to capture or share in any of the upside."

And consequently, he said, "This is a [ __ ] business model." And he went off, became the executive producer on Toy Story, where he got to actually pocket some of the successes.