That is a horrible principle. It is fine if you don't want assholes (and I agree with that) but without egos all you get is a bunch of yes men who fundamentally don't care (they have no skin in the game) whether your company does great or not.

What you really want is people who are not assholes, who have strong opinions backed by good arguments (ie they prefer mac over linux for a reason, but are not blind devotees) and who can be persuaded by objectively good arguments.

There is nothing wrong with big egos, so long as they have the ability to back it up.