PC Hardware, Part 2 Codexery

Ken Olsen

Co-founder of Digital Equipment Corporation and minicomputer pioneer.

Ken Olsen

Kenneth Harry Olsen (February 20, 1926 – February 6, 2011) was an American engineer. In 1957, he co-founded Digital Equipment Corporation (DEC) alongside Harlan Anderson and his brother Stan Olsen.

Olsen was born in Bridgeport, Connecticut, and grew up in nearby Stratford. His father’s parents were Norwegian, his mother’s Swedish. He started working summers in a machine shop and gained a local reputation as an inventor by fixing radios in his basement. After serving in the U.S. Navy from 1944 to 1946, he studied at MIT, earning a bachelor’s (1950) and master’s (1952) degree in electrical engineering.

While at MIT, the Office of Naval Research recruited him to help build a computerized flight simulator. He also directed construction of the TX-0, the first transistorized research computer, and worked on the TX-2 project at MIT’s Lincoln Laboratory. His work on the Memory Test Computer (MTC)—a special-purpose machine built to test core memory for the Whirlwind project—was a key connection to that effort. Unlike the 18-bit TX-0, the MTC and Whirlwind used 16-bit architecture.

In 1957, Olsen and MIT colleague Harlan Anderson decided to start their own company. They approached American Research and Development Corporation, an early venture capital firm founded by Georges Doriot, and launched DEC after receiving $70,000 for a 70% stake. During the 1960s, Olsen received patents for a saturable switch, a diode transformer gate circuit, an improved magnetic-core memory, and a line printer buffer. (MIT professor Jay W. Forrester is generally credited with inventing the first practical magnetic-core memory.)

Olsen was known for his management style and for fostering engineering innovation. He valued humility, drove an economy car, and kept a simple office in an old mill building. He was also an accomplished pilot who flew his own plane. In 1977, at the dawn of the home computer era, he said, “There is no reason for any individual to have a computer in his home.” Olsen later admitted to the remark but said it was taken out of context—he was referring to computers controlling houses, not personal computers. Snopes.com notes that the misinterpretation became more popular than his actual meaning.

In 1986, Fortune Magazine named Olsen “America’s most successful entrepreneur,” and he received the IEEE Engineering Leadership Recognition Award.

Quick Facts

Birth Name
Kenneth Harry Olsen
Birth Date
February 20, 1926
Birth Place
Bridgeport, Connecticut, U.S.
Death Date
February 6, 2011
Death Place
Indianapolis, Indiana, U.S.
Children
3
Known For
Co-founder of Digital Equipment Corporation
Education
Massachusetts Institute of Technology (B.S., 1950; M.S., 1952)
Occupation
Engineer · businessman

Facts from the source article.

Lore & Background

Olsen began his career working summers in a machine shop and fixing radios in his basement, earning a reputation as a neighborhood inventor. After serving in the U.S. Navy from 1944 to 1946, he attended MIT, where he earned degrees in electrical engineering. During his studies, he helped build a computerized flight simulator for the Office of Naval Research and directed the building of the TX-0, the first transistorized research computer. He also worked on the Memory Test Computer for Project Whirlwind.

In 1957, Olsen and MIT colleague Harlan Anderson founded Digital Equipment Corporation after receiving $70,000 from American Research and Development Corporation for a 70% share. Olsen held patents for a saturable switch, a diode transformer gate circuit, an improved version of magnetic-core memory, and the line printer buffer. He was known for his management style and fostering engineering innovation, including popularizing engineering matrix management. He valued humility, driving an economy car and keeping a simple office.

In 1977, Olsen was quoted as saying 'There is no reason for any individual to have a computer in his home,' though he stated the remark was taken out of context and referred to home automation, not personal computers. In 1986, Fortune Magazine named him 'America's most successful entrepreneur.' He was forced to retire from DEC in 1992.

Reader's Guide

Olsen's significance lies in his co-founding of Digital Equipment Corporation, which became a leading minicomputer company. His work on the TX-0, the first transistorized research computer, and his patents for magnetic-core memory improvements contributed to early computing hardware. His management style, emphasizing innovation and technical excellence, introduced engineering matrix management widely used in industry. Despite controversy over his 1977 remark about home computers, Olsen was recognized as a top entrepreneur by Fortune Magazine in 1986. He received the IEEE Founders Medal in 1993 and was named a Computer History Museum Fellow in 1996 for his introduction of the minicomputer. His later characterization of UNIX as 'snake oil' reflected his preference for DEC's VMS system, though he approved internal development of a UNIX product. His legacy includes the Ken Olsen Science Center at Gordon College, where he was a trustee.

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