As a former Apple engineer, I can confidently say that, while Jobs is the putative boss of everyone in the company, 99.9% of Apple engineers will never cross paths with him.
I know a fair few people at Microsoft, and elsewhere, and I've never seen evidence that the engineering talent distribution at Apple is really all that different from the talent distribution anywhere else. There are superstars and dolts in the expected proportions.
yeah, this lines up with my external perception as well, and the same is generally true of steveb at Microsoft; the only time I or most of my teammates ever see him is at the Company Meeting every year, and occasionally at engineering town halls.
that said, Steve Jobs seems (at least from external appearances) to have far more thorough top-down control over the company's engineering efforts than Steve Ballmer does; the highest I ever see engineering efforts come down from is our division director.
Looking in from the outside, I would hazard a guess that Microsoft is more Balkanized than Apple; there are many more products and the successful ones have been around for quite a while, allowing groups to pick up political capital that just isn't available, or rather, is expended differently at Apple.
I've heard a lot of stories of politicking at Microsoft (e.g. the Office project manager didn't want to implement handwriting recognition to add support for tablets, which hurt MS's early tablet OSes).
I compare that to Apple, which seems to have a top-down vision, from which all project behaviours and priorities descend. Lion's adding support for auto-save? You'd better believe that implementing auto-save support into iWork is a top priority, regardless of what the iWork PM thinks about it. That said, Apple seems to rarely hire people who don't share the same vision, and with that comes a certain uniformity of direction that tends to reduce inter-project scuffles.
Also, I get the sense that if (for example) the project manager for iWork was causing unnecessary friction with other teams instead of working with them towards a common goal, he'd be replaced with someone else who's more of a team player.
I know a fair few people at Microsoft, and elsewhere, and I've never seen evidence that the engineering talent distribution at Apple is really all that different from the talent distribution anywhere else. There are superstars and dolts in the expected proportions.