"Jerry joined Apple's Board in 1997 when most doubted the company's future," said Jobs in a statement. "He has been a pillar of financial and business expertise and insight on our Board for over a dozen years. It's been a privilege to know and work with Jerry, and I'm going to miss him a lot."
York was hospitalized in Michigan on Tuesday following a brain hemorrhage, according to Bloomberg News.
York was the chairman, president and CEO of Harwinton Capital, a private investment firm he founded in 2000.
He also served as the CEO of computer, software and peripheral retailer Micro Warehouse from 2000 through 2003.
Before that, he was CFO of IBM and of Chrysler and was vice chairman of Tracinda, a private investment company owned by Kirk Kerkorian.
Born in 1938 in Memphis, Tennessee, he was a graduate of the United States Military Academy and held a master's degree from the Massachusetts Institute of Technology as well as an MBA from the University of Michigan.
Apple's Board of Directors now stands at six people including Jobs, down from eight for most of last year.
In August, 2009, Google CEO Eric Schmidt resigned from Apple's Board because Google's entry into the mobile phone and operating system market -- core businesses for Apple -- made Schmidt's position untenable.
The most recent addition to Apple's Board was Andrea Jung, chairman and CEO of cosmetics company Avon Products, in January, 2008.