#53 Who Is Michael Ovitz?

Michael Ovitz, reflecting on his tumultuous career in his autobiography "Who Is Michael Ovitz?", reveals the complexities of his journey from a driven young agent to a powerful but embattled industry figure. He discusses the betrayals and regrets that marked his path, including the fallout with close associates like Ron Meyer and Michael Eisner. Ovitz highlights the relentless work ethic and strategic acumen that helped him reshape Hollywood through CAA, but also admits to the personal toll and the ultimate realization that his pursuit of power and validation left him yearning for genuine human connections. Now, he finds fulfillment in advising and investing in startups, drawing on his extensive experience to guide new entrepreneurs.

use that as leverage to get what he wanted.

• Mike Ovitz's early life was marked by a strong desire to succeed and a profound sense of belief in his goals.
• His father's dream of owning a liquor store and his grandmother's blunt encouragement shaped his determination.
• His obsession with movies started at a young age and was fueled by sneaking into the RKO Pictures studio lot.

"My dad's dream was to open his own liquor store. You need to be in charge of your destiny, he drummed into me. It's no good working for somebody else."

• Ovitz's father's desire for independence and his grandmother's belief in his potential drove him to strive for success.

"Instead of trying to emulate my father, a kind and loving man, I would be what Sarah expected of me. I would succeed at all costs."

• His grandmother's expectations and his own ambitions led him to prioritize success over personal relationships.

• Ovitz demonstrated a strong work ethic from a young age, taking on multiple jobs and working long hours.
• His experience as a tour guide at Universal Studios provided him with valuable insights into the film industry.

"At nine, I got a paper route and raced my Schwinn bike through the neighborhood. Then I asked for a second route, cutting my free time to the bone."

• Ovitz's willingness to work hard from a young age set the foundation for his future success.

"I was a head shorter than my classmates and annoyingly curious. So I was bullied in elementary school. I absolutely hated that feeling of powerlessness."

• His early experiences with bullying fueled his desire to never feel powerless again.

• Lou Wasserman, a significant figure in the film industry, served as an inspiration and later a rival to Ovitz.
• Wasserman's rules and methods influenced Ovitz's approach to talent representation.

"Lou built the town's paramount talent agency. His rules were simple: Tend to the client, dress appropriately. Divulge no information about MCA."

• Wasserman's principles of client service and confidentiality were foundational to Ovitz's career.

"The company's reach was so vast, it became known as the octopus."

• Wasserman's influence extended far and wide, setting a high bar for Ovitz to aspire to.

• Ovitz's career at William Morris Agency began in the mailroom, where he proposed an accelerated path to becoming an agent.
• His initiative and hard work quickly set him apart from his peers.

"I told the head of personnel, I have a proposition for you. I think I can learn all I need to know to become an agent in 120 days."

• Ovitz's bold proposition demonstrated his confidence and ambition.

"I showed up at seven, 2 hours early to learn my way around the building."

• His commitment to learning and adapting quickly was evident from the start.

• Ovitz emphasized the importance of loving what you do and having a profound sense of belief in your work.
• His passion for movies and storytelling drove his career choices and success.

"Nothing in Hollywood is anything until it's something. And the only way to make it something is with a profound display of belief."

• Ovitz believed that unwavering belief was essential to turning ideas into reality.

"Too many people fight their job, a battle they cannot win."

• He highlighted the futility of working in a job you don't love, advocating for finding passion in your work.

• Ovitz's later reflections reveal a sense of regret over the personal costs of his relentless pursuit of success.
• He acknowledged the darkness and loss of humanity that came with his career choices.

"Insecurity and ambition make a powerful cocktail."

• Ovitz recognized the driving forces behind his success but also the toll they took on his personal life.

"Most of life turns out to be shades of gray."

• His realization that life is not black and white, but full of complexities, came later in life.

• Ovitz experienced significant betrayals from friends and colleagues, which he attributed to the nature of his industry and his own actions.
• He reflected on the lessons learned from these experiences, particularly the importance of trust and loyalty.

"I'd like to think that the problem was just that the tools and strategies I'd used to get to the top inevitably created resentment."

• Ovitz acknowledged that his methods for achieving success may have alienated those around him.

"Those whom the gods wish to destroy, they first give a gift."

• He reflected on the double-edged nature of his talents and success, suggesting that they ultimately led to his downfall.

• Ovitz's journey is a complex interplay of ambition, hard work, belief, and the personal costs of success.
• His story serves as both an inspiration and a cautionary tale for aspiring entrepreneurs and professionals.

"I always felt one step inferior to the people around me and one step superior. Insecurity and ambition make a powerful cocktail."

• Ovitz's self-awareness and reflections provide valuable insights into the motivations and consequences of a high-stakes career.

• Embarrassment over low pay and limited social life.
• Inspired by Judy's perspective on investing in one's life.
• Disdain for the mailroom but admiration for the creative world.
• Aspiration to build his own company.

"You're investing in your life."

• This quote reflects the mindset of investing time and effort into a career for long-term benefits.

• Use of the file room to gain industry knowledge.
• Building relationships by offering help and small gifts.
• Learning from industry experts like Sam Sacks.

"I helped the woman who ran the file room, her name's Mary, and I brought her little gifts, a box of candy or a scarf."

• Demonstrates the importance of building relationships and leveraging them for career growth.

"I entered Mary's domain each morning at 07:00 a.m. and every evening after work for ten weeks, I made my way from A to Z through the client files and the network and studio deals."

• Emphasizes the value of self-initiated learning and dedication.

• Working late to gain visibility and opportunities.
• Rapid career advancement to junior agent.
• Development of a long-term goal to run William Morris.

"I set myself up in a cubicle so Sam would see that he's there. Then when Sam would inevitably come out of his office, and he'd be like, oh, I need help. Oh, no one's here. Can you do me a favor? And Mike's like, yeah. Okay, cool."

• Illustrates the strategic positioning to gain favor and opportunities.

"I felt like I had to catch up before the world got away from me."

• Highlights the sense of urgency and drive for rapid advancement.

• Importance of having a unique persona as an agent.
• Decision to adopt a tough, all-business persona.

"You need a Persona as an agent, something that made you unique."

• Underlines the necessity of differentiating oneself in a competitive industry.

"My Persona became the I'll make your dreams come true guy mixed with the I'll fix your problems guy."

• Shows the strategic choice of a persona that aligns with client needs.

• Dissatisfaction with William Morris leading to the idea of starting a new company.
• Importance of equity, growth, and client-centric approach.
• Initial struggles and guerrilla marketing tactics.

"Why don't we go into business for ourselves? We'll make more money, and they'll never be able to do to us what they did to Phil."

• Indicates the motivation behind starting CAA.

"First, the equity had to be split evenly. Second, we had to try to get as big as we could. Third, we'd share our clients and serve them as a group."

• Outlines the foundational principles of CAA.

"CAA was a prototypical startup. We brought in folding chairs and card tables for desks, and our wives each came in one day a week to answer the phones."

• Depicts the humble beginnings and lean operations of CAA.

• Legal threats from William Morris and strategic bluffing.
• Importance of playing hardball in a competitive industry.

"I rang Leon Kaplan... I think you're trying to put us out of business. I think it's inappropriate and unfair. And it could be really interesting if this went to the Justice Department in the middle of their antitrust investigation."

• Demonstrates the aggressive and strategic approach to overcoming legal challenges.

"That day forged our siege mentality to defend our tiny position. We unleashed hell on anyone who crossed us."

• Reflects the aggressive and defensive stance adopted by CAA.

• Strategy to attract top talent by turning weaknesses into strengths.
• Signing major clients like Dustin Hoffman and Sidney Pollack.
• Vision to control the entire food chain in the industry.

"Try us out and I won't charge you anything until you think I've earned it."

• Shows the innovative approach to client acquisition by offering value upfront.

"I will kill for you, I told Sydney. All I had to sell was my passion and energy."

• Emphasizes the commitment and energy put into acquiring top talent.

• Long-term vision to flip power from studios to artists.
• Ruthless tactics to eliminate competition and acquire valuable talent.

"We had to build a critical mass of clients. We could reverse the power curve from the buyers, which are the studios, to the sellers, which is us, and the talent."

• Highlights the strategic vision behind CAA's growth.

"With his core business gone, Zig sold what remained to ICM, and he was done."

• Illustrates the ruthless tactics used to eliminate competition.

• Constant anxiety and pressure to generate business.
• Advice on the importance of work-life balance.

"I could have worked 10% less, and it wouldn't have made a difference in my professional success, but I would have been a lot happier."

• Reflects on the importance of balancing work and personal happiness.

• The speaker reflects on the advice from Ted about working less and how not following it led to lost years of life enjoyment.
• Clients often consume one's energy, expertise, and joy, causing burnout.
• The speaker regrets not taking more time for personal life and enjoyment.

"It was great advice, and I didn't take it. I could see now that it could have worked as much as 20% less, and it wouldn't have cost me if I'd work even 10% less across 30 years. That's three whole extra years of life I would have enjoyed."

• Explanation: The speaker acknowledges the missed opportunity to balance work and life better, realizing that working less could have led to a more fulfilling life.

• Initial equal equity distribution among co-founders led to eventual discord as one partner felt they contributed more and deserved a larger share.
• The speaker realizes that renegotiating equity based on contribution, while logical, can sow seeds of distrust and unhappiness among partners.

"There was five kind of equal partners. Over time, they clearly see that this guy had more drive and was the natural leader. And so he's like, okay, well, I'm doing all the work. I'm bringing a lot more money than you guys. I work nights and weekends when you guys don't, et cetera, et cetera. So I need to renegotiate the equity."

• Explanation: The speaker highlights the challenges in maintaining equal partnerships when contributions vary, leading to potential conflicts and emotional fallout.

• The speaker's lack of emotional awareness led to strained relationships with co-founders, particularly with Ron, who felt slighted.
• The speaker reflects on the importance of understanding and managing emotional dynamics in long-term partnerships.

"Professionally, mission accomplished. Emotionally, though, I had just hit the self destruct button, only it would take 16 years to go off. I wasn't emotionally aware enough to realize that Ron had felt slighted and that I had moved up and he didn't."

• Explanation: The speaker admits to the long-term emotional consequences of their actions, emphasizing the need for emotional intelligence in business relationships.

• The corporate culture at CAA was a blend of American team sports, Spartan military tactics, Asian philosophy, and the community spirit of the Three Musketeers.
• The speaker drew from various sources, including law firms, sports teams, and ancient philosophies, to shape the company's culture.

"Our corporate culture was american team sports boosterism. I don't know what that is. Mixed with spartan military tactics, mixed with asian philosophy, all overlaid by the community spirit of the three musketeers."

• Explanation: The speaker describes the eclectic influences that shaped CAA's corporate culture, highlighting the importance of a strong, cohesive cultural foundation.

• Success brought its own set of challenges, including a constant feeling of being on edge and the fear of failure.
• The speaker felt a physical and emotional toll from the pressures of maintaining success and meeting high expectations.

"Each time I walked through our front door, I felt a physical chill. Like the chill you felt in high school before a final exam. How much did we have to earn today to cover our costs? What if the business shifted and the money dried up? The feeling would recede for a time once I sat down on my desk and began to work. But I carried those fears to my last day."

• Explanation: The speaker reveals the persistent anxiety and pressure associated with sustaining success, indicating that external achievements do not necessarily alleviate internal stress.

• The speaker's intense work schedule negatively impacted their personal relationships, particularly with their family.
• The constant demands of work left little time for meaningful interactions with loved ones.

"Treating my clients like family was hard on me and my actual family. I woke up at 05:45 a.m. 15 minutes later, I'd be riding the bike in my gym and making calls to Europe and skimming five newspapers, marking articles for my assistant to strip out and distribute to the firm."

• Explanation: The speaker outlines a grueling daily routine that prioritized work over personal life, leading to strained family relationships.

• The speaker eventually realized they had become what they once despised, prioritizing business over creativity and personal values.
• Reflecting on their career, the speaker acknowledges the regrets and the emotional cost of their professional choices.

"I had become everything I detested. In the sixties when I was a bleeding heart liberal at UCLA. So he's basically becoming the very symbol of the establishment."

• Explanation: The speaker admits to a significant shift in values over their career, expressing regret for losing sight of their original mission and ideals.

• The speaker emphasizes the rarity and importance of discipline and dedication in achieving long-term success.
• Many people give up when faced with hard work, but perseverance is key.

"But he stopped because it was hard. It required discipline, dedication, and hours and hours of time. Everyone stopped. I didn't stop."

• Explanation: The speaker highlights the significance of persistence and hard work in standing out and achieving success, contrasting it with the tendency of others to quit.

• The speaker expanded CAA's services beyond talent representation, including brokering large deals like Sony's acquisition of MCA.
• This diversification led to internal conflicts and strained partnerships.

"After paying the bankers and all the consultants, I was left with $60 million for CAA, which is equivalent of $110 million in today's money. It changed everything for us in Hollywood, where people didn't know Goldman Sachs, from Saks Fifth Avenue, everyone was dumbstruck that a talent agency could earn that kind of fee, let alone arrange and execute a deal of that magnitude."

• Explanation: The speaker describes the significant financial and industry impact of CAA's expansion into new business areas, while also noting the internal tensions it caused.

• The speaker experienced a constant emotional burden from leading the company and managing high-stakes situations.
• This emotional strain contributed to a sense of dissatisfaction and the desire to leave the industry.

"I was tired of submerging myself, drowning myself in the lives of my clients and their families and significant others. Our clients worries about the size of their trailers and how big their billing would be, had come to seem increasingly petty."

• Explanation: The speaker conveys the emotional exhaustion from years of intense involvement in clients' lives and the growing feeling of disillusionment with the industry's demands.

• The speaker discusses the protagonist's (Mike) deep-seated need for external validation and respect, which he believes is a path to unhappiness.
• Mike transitions from the sell side to the buy side, aiming to run his own studio, despite already having built a successful company.
• The protagonist is embarrassed by his profession as an agent and seeks to gain the credential of a public company job for respect and validation.

"He was looking for a lot of external validation, which I think is probably a path for unhappiness for all of us, because I don't think that many people actually achieve that calling."

• External validation is seen as an unachievable and potentially unhappy pursuit.

"I wanted to be one of the six people who could say yes to a movie. I felt I needed the credential of a public company job. I was still looking for respect and validation."

• The protagonist seeks to be in a position of power and respect, feeling that a public company job would provide the validation he craves.

"The need for constant validation or respect from other people, I think, is you shouldn't play games you can't win. And that's a game you can't win."

• The speaker believes that seeking validation from others is a futile endeavor and advises against it.

• Mike's aspiration to run a large corporation like MCA is highlighted, including his negotiations and eventual disappointment when the deal falls through.
• His brother Ron's involvement and eventual betrayal in the MCA deal are discussed, leading to a significant personal and professional fallout.

"He's basically saying, hey, I'm going to go from the sell side to the buy side. And he wants to run his own studio."

• Mike's ambition to transition to a more powerful role in the industry.

"Ron called from New York one afternoon. Guess what he said? I've met with Edgar. That's one of the guys that's in charge of, that owns the company that owns MCA. And there's been a change in plans. He wants me to run MCA, and I think I'm going to do it."

• Ron's unexpected decision to take over MCA, sidelining Mike.

"After a long silence, when I felt that I could speak without my voice breaking, I told Ron how much I needed him, what it meant to have him by my side."

• Mike's emotional plea to Ron, highlighting the depth of their professional and personal relationship.

• The fallout with Ron leads to a 20-year estrangement filled with immature actions and public rivalry.
• Mike's departure from CAA and subsequent professional struggles, including his time at Disney and the failure of his new venture AMG, are detailed.

"Ron tells Mike that he's interested in buying this house. Mike buys it first. And, like, they wind up. He winds up giving the. Letting Mike or letting Ron buy the house. But it's just, like, a lot of immature stuff to do when you're in your fifties, right?"

• The immature actions between Mike and Ron during their estrangement.

"He leaves CIA. The people at CIA that take over hate him. So he basically has no part of his own company. He loses his best friend. He goes to work for his second best friend, Mike Eisner. Mike Eisner winds up being a deceitful person and basically publicly humiliating him, firing him."

• Mike's professional downfall and the loss of his best friend and company.

"Every problem I tried to solve and now ended up making work, making it worse, which is the exact opposite of what he did to whole career."

• Mike's acknowledgment of his failures and the worsening of his problems.

• The importance of friendship and the pain of its loss are emphasized, particularly in Mike's relationships with Ron and David Geffen.
• The process of reconciliation with Ron and David Geffen is detailed, highlighting the emotional complexity and eventual resolution.

"Over the years, I kept hearing that Ron was still furious at me. Someone who was on Universal's plane, that's the company that Ron works for with him recently told me he ripped you for 30 minutes. It sounded like you and he had just had a fight yesterday."

• The lingering animosity between Mike and Ron even after many years.

"I called Ron and said, look, everywhere I go I keep hearing from people. They're saying terrible things about me. Now think about that. They were best friends for 20 years. This is really sad."

• Mike's attempt to reconcile with Ron by addressing the ongoing negative rumors.

"We were two guys in our seventies looking to fix what we had broken. Ronnie later told me that David didn't have anything bad to say about me afterward. That made me smile a little."

• The successful reconciliation with David Geffen and the positive impact it had on Mike.

• Mike's transition to a new career as a philanthropist, investor, and advisor to entrepreneurs is discussed, highlighting his partnership with Mark Andreessen and Ben Horowitz.
• The value of learning from mistakes and the influence of new relationships are emphasized.

"Founders are much more interested in my mistakes, which can often be generalized to their situation, than in my successes, which were often particular to the agency business."

• Mike's acknowledgment that his mistakes are more valuable to others than his successes.

"Mark invited me north to meet with Ben Horowitz. Ben is a brilliant manager and entrepreneur in his own right, and together he and Mark were a formidable team. They asked me to join the loud cloud board, and so began a new chapter on my life."

• The beginning of Mike's new chapter with Mark Andreessen and Ben Horowitz.

"I felt like a privileged student in a graduate school of one."

• Mike's appreciation for the opportunity to learn from Mark and Ben.

• Mike's reflections on his past, the importance of camaraderie, and the personal growth he experienced through his career and relationships.
• The realization that the people and relationships were the most valuable aspects of his career.

"The building felt drained, empty. Not just of the old bustle, but of the magic, the power. It felt small. It felt like your childhood house does when you go back as an adult."

• Mike's reflection on the emptiness of his past achievements without the people who made them meaningful.

"In my empty fortress, I realized that I wasn't out of the valley yet. I'm free of it in my daily life, but I'll never be free of it in my brain. You carry your origins with you still."

• The lasting impact of Mike's origins and the drive they provided.

"In the silence, I discovered that the only thing I really miss about the agency business was the camaraderie, my comrades and friends, and the passionate way we spent our lives together. I miss the people."

• Mike's realization that the people and relationships were the most important part of his career.