I think the mistake was to try negotiating the price with Steve, who was known for hardball negotiation tactics, and for lowball offers. Once Steve's position w

I think the mistake was to try negotiating the price with Steve, who was known for hardball negotiation tactics, and for lowball offers. Once Steve's position was out there, it was difficult for other Apple execs to negotiate a more reasonable price, especially considering, as you say, what little leverage the smaller company had. And the smaller company had no real incentive to take the lowball offer at the time.