Microsoft
American multinational technology company and PC software pioneer.
Microsoft Corporation is an American multinational tech firm based in Redmond, Washington. It helped drive the personal computer revolution with software like Windows, and later branched into internet services, cloud computing, artificial intelligence, video games, and other fields. As a Big Tech company, Microsoft leads the software industry in revenue, ranks among the world's most valuable publicly traded companies, and holds one of the strongest global brand valuations.
The company was founded on April 4, 1975, by Bill Gates and Paul Allen, childhood friends who first worked together on a traffic-data computer called Traf-O-Data. Inspired by the Altair 8800 microcomputer featured in a 1975 Popular Electronics issue, Allen suggested they create a BASIC interpreter for it. Gates claimed to have a working version, and after a successful demonstration in Albuquerque, New Mexico, MITS agreed to distribute it as Altair BASIC. The name "Micro-Soft" was Allen's idea, a blend of "microcomputer" and "software." In 1977, the company opened its first international office in Japan through a deal with ASCII Magazine. Microsoft moved its headquarters to Bellevue, Washington, in 1979.
Microsoft entered the operating system market in 1980 with Xenix, a Unix variant, but its dominance came from MS-DOS. That year, IBM contracted Microsoft to supply an OS for its new personal computer. Microsoft bought a CP/M clone called 86-DOS from Seattle Computer Products, rebranded it as MS-DOS, and licensed it to IBM as PC DOS. Microsoft kept ownership of MS-DOS after the IBM PC launched in 1981. The company also released the Microsoft Mouse and started Microsoft Press in 1983. Paul Allen left Microsoft that same year after being diagnosed with Hodgkin's lymphoma.
Windows 1.0, a graphical extension for MS-DOS, launched on November 20, 1985, even as Microsoft was jointly developing OS/2 with IBM. The company moved its headquarters to Redmond, Washington, in February 1986 and went public the following month, creating four billionaires and about 12,000 millionaires among employees. Microsoft released its version of OS/2 to manufacturers in 1987. In 1990, the Federal Trade Commission began investigating Microsoft for possible collusion with IBM, starting a long series of government legal battles.
Quick Facts
- Traded As
- MSFT · Nasdaq-100 component · DJIA component · S&P 100 component · S&P 500 component
- Industry
- Information technology
- Products
- Software development · Computer hardware · Artificial intelligence · Consumer electronics · Social networking service · Cloud computing · Video games · Corporate venture capital
- Predecessor
- Traf-O-Data
- Founded
- 1975-04-04 in Albuquerque, New Mexico, U.S.
- Founders
- Bill Gates · Paul Allen
- Hq Location
- Microsoft campus
- Hq Location City
- Redmond, Washington
- Hq Location Country
- U.S.
- Area Served
- Worldwide
- Key People
- Satya Nadella (chairman and CEO) · Brad Smith (vice chairman and president) · Bill Gates (technical adviser) / Amy Hood (CFO)
- Brands
- Windows / Microsoft 365 / Teams / Visual Studio / Xbox / Dynamics / Surface
Facts from the source article.
Lore & Background
Microsoft was founded in 1975 by childhood friends Bill Gates and Paul Allen to market a BASIC interpreter for the Altair 8800. The company rose to dominate the PC operating system market with MS-DOS in the mid-1980s, followed by Windows. Its 1986 IPO created three billionaires and an estimated 12,000 millionaires among employees. Steve Ballmer replaced Gates as CEO in 2000, overseeing the acquisition of Skype Technologies in 2011, the launch of the Surface PC line in 2012, and the formation of Microsoft Mobile through Nokia. Since Satya Nadella became CEO in 2014, the company has focused on cloud computing, acquiring LinkedIn in 2016 and expanding its video gaming business, establishing the Microsoft Gaming division in 2022 and acquiring Activision Blizzard in 2023.
Reader's Guide
Microsoft has been dominant in the IBM PC–compatible operating system and office software suite markets since the 1990s. Its best-known software products are the Windows line of operating systems and the Microsoft Office and Microsoft 365 suite of productivity applications, including Word, Excel, and PowerPoint. Its flagship hardware products are the Surface lineup of PCs and the Xbox brand of video game consoles, the latter including the Xbox network. The company also offers online services such as Bing web search, MSN, Outlook.com, and the Microsoft Store. In enterprise and development fields, Microsoft notably provides the Azure cloud computing platform, Microsoft SQL Server, and Visual Studio. Microsoft became the third publicly traded U.S. company valued at over $1 trillion in April 2019. It has been criticized for monopolistic practices, and its software has received criticism for problems with ease of use, robustness, and security. The company has also been criticized for its role in providing services to Israel during the Gaza war.
Did You Know?
- Microsoft was originally named 'Micro-Soft', short for micro-computer software.
- Microsoft released its first in-house PC line, the Surface, in 2012.
- Under Satya Nadella, Microsoft acquired Activision Blizzard in 2023.
More in PC Gaming Brands and Manufacturers 1-24
Spotted an error? Know more?
Reader corrections go straight into our review queue. Suggest an edit · How this site is sourced
