Apple says Jobs resigning as CEO, effective immediately

— -- The Steve Jobs era appears over.

Jobs, the charismatic but ailing CEO and co-founder of Apple, who guided its creation of innovative products such as the iPod, iPad and iPhone that transformed personal technology and made the company one of the nation's largest, stepped down Wednesday as top executive.

Jobs submitted his resignation Wednesday, referring to his condition as the reason without detailing it.

"I have always said if there ever came a day when I could no longer meet my duties and expectations as Apple's CEO, I would be the first to let you know," Jobs wrote to the board of director. "Unfortunately, that day has come."

Jobs asked to remain as chairman of the board and suggested the company proceed with its succession plan to have him succeeded as CEO by Tim Cook, who was Apple's Chief Operating Officer. Apple said Jobs was elected board chairman and Cook is becoming CEO and a member of its board.

Wall Street reacted immediately. Shares of Apple fell $22.18, or 5.9%, to $354 in after-hours trading in the immediate minutes following the news of his step down.

Jobs has been battling pancreatic cancer for several years and has been on medical leave from Apple since the beginning of the year. He has continued to show up at Apple events to introduce new products, most recently in June, at an Apple developer's meeting where he appeared thinner than usual.

Jobs is known for being completely involved in every major decision at Apple, from the type of wood used for counters at the Apple Store to the color of the latest iPod.

His run of smash hits -- the iPod, the iPhone and the iPad -- has been unprecedented in modern times, says Richard Doherty, an analyst with the Envisioneering Group.

"It's the power to say no," he says. "A lot of products could have gotten to market earlier, but he wanted it better. So many products fail because they're not ready.''

Financial analysts who cover Apple have repeatedly cited the unknown status of Jobs' health among risk factors to the company. Jobs is viewed as in a unique category of leader with a hands-on approach tied to much of the company's success.

Many say that Apple has cultivated a deep bench of talent, however, that is capable of continuing the company's direction in Jobs' absence.

In January, Jobs, 56, took his third medical leave since being diagnosed with a neuroendocrine tumor. He has undergone a variety of treatments since 2003, including a liver transplant in 2009.

Pancreatic cancers are generally some of the most lethal of all tumors, and the most common type often kills within six months. Jobs has battled a less common variety that grows far more slowly and develops in the hormone-secreting section of the pancreas.

Although Jobs was diagnosed in 2003, his illness was not disclosed until the following year, after he'd had surgery.

The fiercely private Jobs has said relatively little about his health problems, although he acknowledged his bout with cancer during a commencement speech at Stanford University.

"No one wants to die," Jobs said then. "And yet death is the destination we all share. No one has ever escaped it."

Many people wondered about Job's health after noticing that he had lost a great deal of weight.

Neuroendocrine tumors can cause weight loss in several ways, experts say, such as by interfering with digestion. Among other important jobs, the pancreas makes enzymes that help digest food. Pancreatic cancer also can spread to the liver.

While liver transplants can be life-saving, they aren't always successful, as the tumor can spread to the new liver or treament for the cancer can damage the liver.

While all pancreatic cancers are serious, Jobs' type of tumor was much less lethal than most pancreatic cancers,Some people with neuroendocrien tumors survive for many years, experts say. More than 43,000 Americans are diagnosed with pancreatic cancer each year and 36,800 die, according to the American Cancer Society.

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Contributing: Bill Welch, Associated Press