MAKING BIG CHANGES IN TIMES OF BIG CHANGE - ( or Why Amazon Created the Kindle )

Entrepreneurs are defined by how they adapt during crises. In this exclusive excerpt from their book WORKING BACKWARDS , longtime Amazon execs COLIN BRYAR and BILL CARR reveal how the company dealt with massive disruption…and transformed itself as a result.

- COLIN BRYAR and BILL CARR

STEVE JOBS INVITED JEFF BEZOS OVER FOR SUSHI.

It was the fall of 2003, which were consequential days for both Apple and Amazon. Only two years earlier, Apple released its first iPod and Amazon turned a quarterly profit for the first time. Now Steve was inviting Jeff, me (Colin), and another Amazon colleague down to Cupertino for a chat.

We arrived and were ushered into a nondescript conference room with a Windows PC and two platters of takeout sushi. Everyone chatted about the state of the music industry while doing some serious damage to the food. After dabbing his mouth with a napkin, Jobs segued into the real purpose of the meeting: He announced that Apple had just finished building its first Windows application. He calmly and confidently told us that even though it was Apple’s first attempt to build a Windows application, he thought it was the best Windows application anyone had ever built. He then personally gave us a demo of the soon-to-be-launched iTunes for Windows.

During the demo, Jobs talked about how this move would transform the music industry. Up until this point, if you wanted to buy digital music from Apple, you needed a Mac, which made up less than 10 percent of the home computer market. Apple’s first foray into building software on the competing Windows platform showed how serious it was about the digital music market. Now anyone with a computer would be able to purchase digital music from Apple.