From:
Biography of Steve Jobs
It was also in 1974 that Steve Jobs again with Steve Wozniak at his side embarked on a business venture that was somewhat unethical, to put it mildly. The two had heard about
phone phreakers (people who used the telephone networks illegally to make long-distance calls and to collect personal information among other things) who in the 1960s used
a modified toy whistle to make illegal long-distance calls. These phreakers discovered that the toy whistle, which came included in the box of a popular breakfast cereal, could reproduce the tone used by the AT&T Long Distance Telephone Company to allow supervisors to access their networks. This trick was popularized by John Draper and after meeting with him in 1974, Jobs and Wozniak set out to establish a company that sold what came to be known as
“blue boxes” to allow users to make free, unlimited long distance calls.
What goes around comes around.