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Employment Agreement - Apple Computer Inc. and Fred D. Anderson Jr.

March 4, 1996

Mr. Fred D. Anderson, Jr.
114 Old Chester Road
Essex Fells, New Jersey  07021

                    Employment Agreement

Dear Mr. Anderson:

           The  following sets forth our agreement regarding the terms  and
provisions of your employment as an officer and employee of Apple Computer,
Inc.  (the'  Company'). Capitalized words which are not  otherwise  defined
herein shall have the meanings assigned to such words in Section 7 of  this

           1.    Commencement  of  Employment. Your employment  under  this
Agreement shall commence on April 1, 1996 (the 'Effective Date').

            2.    Position.   You  shall  be  employed  as  Executive  Vice
President/Chief Financial Officer of the Company and shall report  directly
to  the  Chief  Executive  Officer of the  Company,  and  your  duties  and
responsibilities  to the Company shall be consistent in all  respects  with
such  position.  You shall devote substantially all of your business  time,
attention,  skills and efforts exclusively to the business and  affairs  of
the  Company, other than de minimis  amounts of time devoted by you to  the
management  of  your  personal finances or to  engaging  in  charitable  or
community  services.   Your  principal place of  employment  shall  be  the
executive  offices  of the Company in Cupertino, California,  although  you
understand and agree that you will be required to travel from time to  time
for business purposes.

          3.   Compensation.

           (a)   Base  Salary.   As compensation to you  for  all  services
rendered  to the Company and its subsidiaries, the Company will pay  you  a
base  salary  at  the rate of not less than five hundred  thousand  dollars
($500,000)  per  annum as of the Effective Date. Your base salary  will  be
paid  to  you  in  accordance with the Company's regular payroll  practices
applicable to its executive employees.

     (b)  Bonus.  You shall be eligible to participate in the annual Senior
Executive  Bonus Plan (domestic) sponsored by the Company or any  successor
plan  thereto.  Such bonus program shall afford you the opportunity to earn
an annual bonus for each fiscal year of the Company during your employment.
During the Company's Fiscal Year 1996 only, you shall be guaranteed a bonus
payout  of at least $400,000.  During the Company's Fiscal Year 1997  only,
your  target  annual  bonus will be set at 80% of your  base  salary.   The
amount of your target annual bonus thereafter shall be reviewed annually by
the  Company.  Subject to the provision above regarding a guaranteed  bonus
payout during the Company's Fiscal Year 1996 only, each annual bonus  shall
be  paid  to you in accordance with the terms and conditions of  the  bonus
plan then in effect.

            (c)   Hiring  Bonus.   Subject  to  other  provisions  of  this
Agreement, the Company shall pay you a Hiring Bonus in the amount of  eight
hundred  thousand dollars ($800,000).  50% of this Hiring Bonus  ($400,000)
shall  be  paid  to  you  within 5 days after the Effective  Date  of  this
Agreement.   The balance of your Hiring Bonus ($400,000) shall be  paid  to
you within 5 days after the first anniversary of the Effective Date.

           (d)   Long-Term Incentive Compensation In consideration of  this
Agreement, we will recommend to the Apple Computer, Inc. Board of Directors
an  initial  stock option grant of 400,000 shares of Apple  Computer,  Inc.
common  stock.  Each grant vests over a three year period at 33% increments
beginning one year from the grant date and shall at all times be subject to
the  terms  and conditions of the Long-Term Incentive Plan or  Arrangement.
You  shall be eligible to participate in each Long-Term Incentive  Plan  or
Arrangement  established  by  the Company for its  executive  employees  in
accordance  with the terms and provisions of such Long-Term Incentive  Plan
or  Arrangement.   The Company shall revise and restate as appropriate  its
Long-Term  Incentive Plans and Arrangements in order to attract and  retain
the  best qualified executives and officers.  You will receive a reasonable
amount  of  incentives under the Company's revised and  restated  Long-Term
Incentive Plans and Arrangements.

           (e)   Benefits.  You  shall be eligible to  participate  in  all
employee  benefit plans and arrangements that the Company provides  to  its
executive  employees  in  accordance with  the  terms  of  such  plans  and
arrangements,  which shall be no less favorable to you, in  the  aggregate,
than the terms and provisions available to other executive employees of the

          4.   Termination.

           (a)  Termination for Cause.  If your employment is terminated by
the  Company  for Cause, the Company shall pay you the full amount  of  the
accrued  but  unpaid base salary you have earned through the date  of  your
termination,  plus  a cash payment (calculated on the basis  of  your  base
salary  then in effect) for all unused accrued vacation.  In addition,  you
shall  be  entitled to benefits under the employee plans  and  arrangements
described in Section 3(e) above in accordance with terms and provisions  of
such plans and arrangements.

           (b)   Termination Other than for Cause. During the five (5) year
period  following the Effective Date only, if your employment is terminated
by  the Company for reasons other than for Cause, the Company shall pay you
the  full  amount  of the accrued but unpaid base salary  you  have  earned
through  the  date of your termination, plus a cash payment (calculated  on
the  basis  of  your  base salary then in effect) for  all  unused  accrued
vacation.   In  addition,  the Company shall pay  you  a  lump  sum  amount
depending on the date of your employment termination as follows:

     Termination Date              Amount

     During 1-year period          100% of annual base salary
     following Effective Date      ($500,000)
                                   100% of target bonus
                                   50% of hiring bonus

      Following first anniversary  100% of annual base salary
      of Effective Date            100% of target  annual bonus

There shall be no other payments or benefits on termination.

           5.    Relocation.   The  Company  will  provide  you  with  full
executive  relocation benefits in accordance with the Company's  Relocation
Policy  for  executives.  Any additional relocation items  or  arrangements
will  be  determined in writing as authorized by the Company's Senior  Vice
President of Human Resources.

           6.    Automobile  Expense.   For  the  first  3  years  of  your
employment, the Company will provide you with an annual automobile  expense
not to exceed ten thousand dollars ($10,000).

           7.   Definitions.  For purposes of this Agreement, the following
capitalized words shall have the meanings set forth below:

           'Cause' shall mean a termination of your employment which  is  a
result  of  (i)  your  felony conviction, (ii) your willful  disclosure  of
material  trade secrets or other material confidential information  related
to  the  business of the Company and its subsidiaries or (iii) your willful
and continued failure substantially to perform your duties with the Company
(other than any such failure resulting from your incapacity due to physical
or  mental illness or any such actual or anticipated failure resulting from
a resignation by you) after a written demand for substantial performance is
delivered  to  you by the Company's Chief Executive Officer,  which  demand
specifically identifies the manner in which the Company believes  that  you
have not substantially performed your duties, and which performance is  not
substantially  corrected by you within 10 days of receipt of  such  demand.
For  purposes of the previous sentence, no act or failure to  act  on  your
part  shall be deemed 'willful' unless done, or omitted to be done, by  you
not  in  good  faith  and without reasonable belief  that  your  action  or
omission was in the best interest of the Company.

           'Long-Term  Incentive Plan and/or Arrangement'  shall  mean  the
Apple  Computer, Inc. 1990 Stock Option Plan, as amended, and any successor
plans thereto.

           8.   Notice.  For the purpose of this Agreement, notices and all
other communications provided for in this Agreement shall be in writing and
shall  be deemed to have been duly given when delivered or mailed by United
States   registered  mail,  return  receipt  requested,  postage   prepaid,
addressed  to  the  Apple  Computer,  Inc.,  1  Infinite  Loop,  MS  75-8A,
Cupertino, California 95014, Attn.: Gilbert F. Amelio, Chairman  and  Chief
Executive  Officer,  with a copy to the General Counsel of the Company,  or
to  you at the address set forth on the first page of this Agreement or  to
such  other  address as either party may have furnished  to  the  other  in
writing  in  accordance herewith, except that notice of change  of  address
shall be effective only upon receipt.

          9.   Miscellaneous.

            (a)   Amendments,  Waivers,  Retention  Agreement,  Etc.     No
provision  of  this Agreement may be modified, waived or discharged  unless
such  waiver, modification or discharge is agreed to in writing.  No waiver
by  either party hereto at any time of any breach by the other party hereto
of, or compliance with, any condition or provision of this Agreement to  be
performed  by  such  other party shall be deemed a  waiver  of  similar  or
dissimilar  provisions  or  conditions at the  same  or  at  any  prior  or
subsequent  time.   No agreements or representations,  oral  or  otherwise,
express  or  implied, with respect to the subject matter hereof  have  been
made  by  either party which are not expressly set forth in this  Agreement
and  this  Agreement  shall  supersede all prior agreements,  negotiations,
correspondence,  undertakings and communications of the  parties,  oral  or
written, with respect to the subject matter hereof; provided, however, that
the  Retention  Agreement between you and the Company shall supersede  this
Agreement in its entirety, with the exception of paragraph 3(c) above, upon
the Change in Control Date as specified in the Retention Agreement.

           (b)   Beneficiaries.   If you should die while  any  amount  for
accrued salary, vacation,  guaranteed bonus during Fiscal Year 1996 only or
hiring  bonus under paragraph 3(c) of this Agreement would still be payable
to  you  if  you had continued to live, all such amounts, unless  otherwise
provided  herein,  shall  be paid in accordance  with  the  terms  of  this
Agreement   to   your   personal   or  legal  representatives,   executors,
administrators, successors, heirs, distributees, devisees and  legatees  or
other beneficiary.

           (c)   Validity.   The  invalidity  or  unenforceability  of  any
provision of this Agreement shall not affect the validity or enforceability
of  any other provision of this Agreement, which shall remain in full force
and effect.

           (d)   Counterparts.  This Agreement may be executed  in  several
counterparts, each of which shall be deemed to be an original  but  all  of
which together will constitute one and the same instrument.

          (e)  Withholding.  Amounts paid to you hereunder shall be subject
to all applicable federal, state and local withholding taxes.

           (f)   Source  of  Payments.  All payments  provided  under  this
Agreement,  other  than  payments made pursuant to a  plan  which  provides
otherwise, shall be paid in cash from the general funds of the Company, and
no  special or separate fund shall be established, and no other segregation
of  assets  made,  to  assure payment.  You will have no  right,  title  or
interest whatsoever in or to any investments which the Company may make  to
aid it in meeting its obligations hereunder.  To the extent that any person
acquires a right to receive payments from the Company hereunder, such right
shall be no greater than the right of an unsecured creditor of the Company.

           (g)   Headings.   The headings contained in this  Agreement  are
intended  solely  for  convenience of reference and shall  not  affect  the
rights of the parties to this Agreement.

           (h)  Governing Law.  The validity, interpretation, construction,
and  performance  of this Agreement shall be governed by the  laws  of  the
State  of California applicable to contracts entered into and performed  in
such State.

                  *       *      *       *
           If  this  letter sets forth our agreement on the subject  matter
hereof,  kindly sign and return to the Company the enclosed  copy  of  this
letter which will then constitute our agreement on this subject.


                                   APPLE COMPUTER, INC.

                                   By_/s/ G.F. Amelio___
                                       Gilbert F. Amelio

Agreed to as of this 4th day of March, 1996.

_/s/ F.D. Anderson______ 
     Fred D. Anderson, Jr.


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