FLASHBACK: Steve Ballmer's First Take On The iPhone, January 2007

January 2007:

INTERVIEWER: …  The Zune was getting some traction. Then Steve Jobs goes to MacWorld and he pulls out this iPhone.  What was your reaction when you saw that?

STEVE BALLMER:  500 dollars?  Fully subsidized? With a plan?  I said that is the most expensive phone in the world.  And it doesn’t appeal to business customers because it doesn’t have a keyboard.  Which makes it not a very good email machine.

INTERVIEWER: How do you compete with that, though?  He sucked out a lot of the spotlight…

STEVE BALLMER: Let’s take phones first. Right now, we’re selling millions and millions and millions of phones a year.  Apple is selling zero phones a year.  In six months, they’ll have the most expensive phone by far ever in the marketplace…

Watch…

 

(via Eric Jackson)

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