Microsoft Corporation, (NASDAQ: MSFT, HKSE: 4338) is an United States-based multinational computer technology corporation with global annual revenue of US$44.28 billion and 76,000 employees in 102 countries. It develops, manufactures, licenses, and supports a wide range of software products for computing devices. Headquartered in Redmond, Washington, USA, its best selling products are the Microsoft Windows operating system and the Microsoft Office suite of productivity software. The company's name is sometimes abbreviated as MS or MSFT.

These products have all achieved near-ubiquity in the desktop computer market. One commentator notes that Microsoft's original mission was "a computer on every desk and in every home, running Microsoft software"—it is a goal near fulfillment. Microsoft possesses footholds in other markets, with assets such as the MSNBC cable television network, the MSN Internet portal, and the Microsoft Encarta multimedia encyclopedia. The company also markets both computer hardware products such as the Microsoft mouse as well as home entertainment products such as the Xbox, Xbox 360, Zune, and MSN TV.

 

 

 

 

 

 

 

Originally founded to develop and sell BASIC interpreters for the Altair 8800, Microsoft rose to dominate the home computer operating system market with MS-DOS in the mid-1980s. The company released an initial public offering (IPO) in the stock market, which, due to the ensuing rise of the stock price, has made four billionaires and an estimated 12,000 millionaires from Microsoft employees. Throughout its history the company has been the target of criticism, including monopolistic business practices—the U.S. Justice Department, among others, has sued Microsoft for antitrust violations and software bundling. Known for what is generally described as a developer-centric business culture, Microsoft has historically given customer support over Usenet newsgroups and the World Wide Web, and awards Microsoft MVP status to volunteers who are deemed helpful in assisting the company's customers

Following the launch of the Altair 8800, Bill Gates called the creators of the new microcomputer, Micro Instrumentation and Telemetry Systems, offering to demonstrate an implementation of the BASIC programming language for the system. After the demonstration, MITS agreed to distribute Altair BASIC. Gates left Harvard University, moved to Albuquerque, New Mexico where MITS was located, and founded Microsoft there. The company's first international office was founded on November 1, 1978, in Japan, entitled "ASCII Microsoft" (now called "Microsoft Japan"). On January 1, 1979, the company moved from Albuquerque to a new home in Bellevue, Washington.[12] Steve Ballmer joined the company on June 11, 1980, and would later succeed Bill Gates as CEO.

DOS (Disk Operating System) was the operating system that brought the company its real success. On August 12, 1981, after negotiations with Digital Research failed, IBM awarded a contract to Microsoft to provide a version of the CP/M operating system, which was set to be used in the upcoming IBM Personal Computer (PC). For this deal, Microsoft purchased a CP/M clone called QDOS (Quick and Dirty Operating System) from Tim Paterson of Seattle Computer Products, which IBM renamed to PC-DOS. Later, the market saw a flood of IBM PC clones after Columbia Data Products successfully cloned the IBM BIOS, and through aggressive marketing of their own QDOS derivative, MS-DOS, to manufacturers of IBM-PC clones Microsoft rose from a small player to one of the major software vendors in the home computer industry. The company expanded into new markets with the release of the Microsoft Mouse in 1983, as well as a publishing division named Microsoft Press.

1985–1995: OS/2 and Windows

 

 

 

 

 

 

 

 

On November 20, 1985, Microsoft released its first retail version of Microsoft Windows, originally a graphical extension for its MS-DOS operating system.In August, Microsoft and IBM partnered in the development of a different operating system called OS/2. Around one month later, on March 13, the company went public with an IPO, priced at US$28.00 by the end of the trading day. In 1987, Microsoft eventually released their first version of OS/2 to OEMs.

In 1989, Microsoft introduced its most successful office product, Microsoft Office. Microsoft Office was a bundle of separate office productivity applications, such as Microsoft Word and Microsoft Excel. On May 22, 1990 Microsoft launched Windows 3.0. The new version of Microsoft's operating system boasted such new features as streamlined user interface graphics and improved protected mode capability for the Intel 386 processor; it sold over 100,000 copies in two weeks. Windows at the time generated more revenue for Microsoft than OS/2, and the company decided to move more resources from OS/2 to Windows. In the ensuing years, the popularity of OS/2 declined, and Windows quickly became the favored PC platform.

During the transition from MS-DOS to Windows, the success of Microsoft's product Microsoft Office allowed the company to gain ground on application-software competitors, such as WordPerfect and Lotus 1-2-3. According to The Register, Novell, an owner of WordPerfect for a time, alleged that Microsoft used its inside knowledge of the DOS and Windows kernels and of undocumented Application Programming Interface features to make Office perform better than its competitors. Eventually, Microsoft Office became the dominant business suite, with a market share far exceeding that of its competitors.

In 1993, Microsoft released Windows NT 3.1, a server-based operating system with a similar user interface to consumer versions of the operating system, but with an entirely different kernel. In 1995, Microsoft released Windows 95, a new version of the company's flagship operating system which featured a completely new user interface, including a novel start button; more than a million copies of Microsoft Windows 95 were sold in the first four days after its release. The company later released its web browser, Internet Explorer, with the Windows 95 Plus! Pack in August 1995 and subsequent Windows versions.

1995–2005: Internet and legal issues

In the mid-90s, Microsoft began to expand its product line into computer networking and the World Wide Web. On August 24, 1995, it launched a major online service, MSN (Microsoft Network), as a direct competitor to AOL. MSN became an umbrella service for Microsoft's online services. The company continued to branch out into new markets in 1996, starting with a joint venture with NBC to create a new 24/7 cable news station, MSNBC.[20][26] Microsoft entered the personal digital assistant (PDA) market in November with Windows CE 1.0, a new built-from-scratch version of their flagship operating system, specifically designed to run on low-memory, low-performance machines, such as handhelds and other small computers.[27] Later in 1997, Internet Explorer 4.0 was released for both Mac OS and Windows, marking the beginning of the takeover of the browser market from rival Netscape. In October, the Justice Department filed a motion in the Federal District Court in which they stated that Microsoft had violated an agreement signed in 1994, and asked the court to stop the bundling of Internet Explorer with Windows.

The year 1998 was significant in Microsoft's history, with Bill Gates appointing Steve Ballmer as president of Microsoft but remaining as Chair and CEO himself. The company released Windows 98, an update to Windows 95 that incorporated a number of Internet-focused features and support for new types of devices. On April 3, 2000, a judgment was handed down in the case of United States v. Microsoft, calling the company an "abusive monopoly" and forcing the company to split into two separate units. Part of this ruling was later overturned by a federal appeals court, and eventually settled with the U.S. Department of Justice in 2001.

In 2001, Microsoft released Windows XP, the first version that encompassed the features of both its business and home product lines. XP introduced a new graphical user interface, the first such change since Windows 95.[12][29] Later, Microsoft would enter the multi-billion-dollar game console market dominated by Sony and Nintendo, with the release of the Xbox.[12] Microsoft encountered more turmoil in March 2004 when antitrust legal action would be brought against it by the European Union for allegedly abusing its market dominance (see European Union Microsoft antitrust case), eventually resulting in a judgement to produce a new version of its Windows XP platform—called Windows XP Home Edition N—that did not include its Windows Media Player.

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