On Steve Jobs’ health: Between a rock and a hard place

Unless you’re a complete Luddite, it shouldn’t come as a surprise that Steve Jobs has been making headlines with his health and not his gadgets. Over the course of the past year, the public has seen Steve Jobs go from a plump, healthy CEO to a withering and ailing man. Something easily observable as his rapidly dwindling weight might pique anyone’s curiosity, but it would certainly catch the attention of investors. There is a burning question sparked by Jobs’ declining health: Do investors and the public have a right to know about Steve Jobs’ condition?

It all started when journalists and bloggers started raising the question in the Fall of 2008 after noticing a rather gaunt Jobs in public. Apple ignored the queries until it was announced later that year that Jobs would not be giving his usual keynote speech at the Macworld Expo. Speculation on his health suddenly skyrocketed and forced Apple’s CEO to address the public. Jobs’ initial response was that he wanted to relax and spend more time with his family over the holidays, which was fair and made perfect sense. But what shocked everyone was his immediate follow-up in disclosing what we thought at the time to be the truth: he was suffering from a simple hormonal imbalance caused by nutritional deficiencies and treatment for the issue had already commenced. Steve Jobs was throwing everyone a bone in order to squash the outrageous rumors about his situation.

This wouldn’t be the first time that Steve Jobs and Apple have been less than honest with his health. In October 2003, Jobs had been diagnosed with pancreatic cancer. Nine months later, when a tumor was removed, he announced the news of his cancer and that it had been treated. Shareholders were infuriated. What if the operation failed? What would have happened if Steve Jobs died during surgery or recovery?

Fast forward to early 2009 and investors started experiencing some uncomfortable déjà vu when Jobs said he was taking a leave of absence. He said he would remain CEO while on leave, and that he’d be involved with the major decisions at Apple, but day-to-day operations would be left to the very capable COO Tim Cook. During his leave, Jobs would take care of his illness and return in June.

When the Worldwide Developers Conference kicked off on June 8, it was clear that Apple was managing just fine without Steve Jobs always on hand. New Macbooks were shown off, the Snow Leopard operating system impressed everyone and the highly anticipated iPhone 3GS proved to be a worthy successor to the iPhone 3G. However, the real news came when the Wall Street Journal announced that Steve Jobs had undergone a liver transplant. Shock, betrayal and anger began to pervade the Internet, but not without a sense of sadness and worry.

What started as a simple hormonal imbalance and protein deficiency turned out to be serious enough to require a new liver. Being a liver transplant candidate and actually receiving a new liver indicates very serious illness. With Steve Jobs’ permission, the following was released to the public:

Mr. Jobs underwent a complete transplant evaluation and was listed for transplantation for an approved indication in accordance with the Transplant Institute policies and United Network for Organ Sharing (UNOS) policies.

He received a liver transplant because he was the patient with the highest MELD score (Model for End-Stage Liver Disease) of his blood type and, therefore, the sickest patient on the waiting list at the time a donor organ became available. Mr. Jobs is now recovering well and has an excellent prognosis.

via Methodist Le Bonheur Healthcare – Steve Jobs Receives Liver Transplant.

While it pacified detractors who claimed Jobs received a liver before more needy candidates because of his fame and money, it also revealed two things: Steve Jobs was in far worse condition than he led us to believe, but he is now recovering and the future looks good (relative to recipients of new livers).

Apple and Steve Jobs are known for creating and fostering a cult of secrecy – their success has depended on it. Much like details on upcoming computers, software and gadgets, the company and the CEO have kept mum on issues of personal health. Now that Jobs is returning to Apple in a capacity close to what he was doing before his leave of absence, is it time to fully disclose his health issues? Given the history of deception, I say yes. Since Jobs has a history of downplaying the severity of his health, or withholding information entirely, Apple’s stock takes dips and dives in conjunction with his announcements and the rumors that surround them. The SEC has already taken a very keen interest in what’s going on with Jobs and at Apple.

In order to avoid unwanted market manipulation and media frenzies, it’s time to come forward with the truth. While I do respect Steve Jobs and his right to personal and private matters, I believe the information that was once exclusive to the man and his doctors needs to be disclosed. When consumers and shareholders have put their faith and stake in you, they have a right to know whether you will be able to lead a company successfully.

Update: Steve Jobs has returned to Apple today and will only work at the office a few days a week. He will be working at home on the days he is not in the office. Also, Apple and Jobs are not going to disclose matters related to his health at this time.