Microsoft paid $50k for the foundation of the OS they licensed to IBM

Microsoft's initial successes came from promising products that did not yet exist

In discussions with teams responsible for MITS's Altair 8800 and IBM's PC, Bill Gates and Paul Allen claimed to have created ready-to-use software. Code for the former was not completed until Paul Allen's flight to MITS' headquarters, where the software was successfully tested for the first time.

Bill Gates and Paul Allen were childhood friends before founding Microsoft

The two bonded over a teletype terminal at their school, which required a $40 hourly fee for computing time. They were banned from using the device after exploiting a bug that allowed them to bypass the fee, only to be later offered free computing time for finding more bugs.

Microsoft Office debuted on the Macintosh in 1989

Over 15 months before its debut on Windows, the suite included Microsoft Word, Excel, PowerPoint and Mail—the precursor to Outlook. Bill Gates saw the Mac as a testing ground to work out bugs and gather feedback before the Windows release.

By 2005, Microsoft may have made as many as 12,000 millionaires

Stock options given to early employees also created four billionaires, including Bill Gates, who became the then-youngest self-made billionaire at the age of 31. As of 2025, Microsoft employs about 228,000 employees, including more than 50,000 at its headquarters in Redmond, Washington.

Watch Bill Gates trigger the Blue Screen of Death during a Windows 98 demo

During a live Windows 98 demo at a computer trade show, Bill Gates watched as the system crashed with the infamous “Blue Screen of Death”—a critical Windows error screen signaling a system failure—midway through the presentation.

Microsoft developed the Xbox to compete with Sony's all-in-one entertainment hardware

The video game console originated as a side project between four DirectX developers, from whom the console's original name, "DirectX Box," derives. These developers sought to counter Sony's PlayStation product line, which they saw as capable of capturing all entertainment markets by playing games, CDs, and DVDs.

Microsoft's Flight Simulator is one of history's longest-running software products

The program originated from a master’s thesis project on generating three-dimensional graphics, which was later combined with flight equations. The first version ran on the Apple II in early 1980, but its creator licensed the program to Microsoft two years later,

How Steve Jobs tried to end development on Linux by offering Linus Torvalds a job

In a 2012 interview, Linus Torvalds claimed that the Apple CEO offered him a job in 2000 to exclusively work on Mac OS's Mach kernel. While Linux has not provided the financial benefits that a business venture with Apple may have, Torvalds stated, "I'm very happy with feeling that I've done the right thing." (Some readers may experience a paywall.)

The Rolling Stones were paid $3M to have 'Start Me Up' in the Windows 95 promo

The fee was part of Microsoft's $300M advertising and promotional campaign for the operating system, which featured the Start button for the first time. The company also filmed sitcom-style infomercials featuring "Friends" TV stars Jennifer Aniston and Matthew Perry.

Microsoft Excel is used by over a billion people worldwide

The upstart computer software company Microsoft launched its columns-and-rows spreadsheet program in 1985, enabling users to sort information, create charts, and perform calculations with minimal friction. It would be coupled with Microsoft Word and PowerPoint in 1990 as part of the Microsoft Office for Windows.

From 1986 to 2024, Microsoft has acquired at least 277 companies

Some of these acquisitions helped the company expand into enterprise software and services, including Visio, which integrated diagramming software into Microsoft Office, and Hotmail, which provided an email platform to customers. Recent acquisitions of Mojang and Activision Blizzard underscore an increasing emphasis on the video game industry.

Upgrade cost and compatibility issues have kept Microsoft's legacy systems alive

As of 2025, Windows XP and Windows NT continue to power ATMs and transit systems, while Deutsche Bahn's trains use Windows 3.11 for display systems. Microsoft's continued support for these operating systems helps it maintain its dominance in the business sector.

Explore an emulated demo of Windows 95 Microsoft Plus to try your hand at Solitaire, 3D Pinball Space Cadet, and other classic Windows applications.

Microsoft’s 'Blue Screen of Death' was a symbol of computer crashes for over 30 years

In 2025, the symbol was replaced with a "Black Screen of Death" for improved readability and alignment with Windows 11's modern design. It became a pop culture symbol after appearing in Bill Gates' live tech demo of Windows 98.

Explore a visual history of the Windows operating system

Named after the windows that separate different applications, the operating system’s first version came preinstalled with Calculator, Paint, and Reversi. There was no Windows 9 to avoid compatibility issues with legacy code searching for Windows 95 and 98 files via a “windows9” query.

The moment Bill Gates and the Rock announced the original Xbox at CES 2001

At CES 2001, Bill Gates and Dwayne “The Rock” Johnson took the stage to unveil the original Xbox. This memorable moment marked Microsoft’s entry into gaming and set the tone for its console brand.

The history of Linux, from the UNIX wars to the hundreds of Linux operating systems of today

Amid conflicts over standardizing and controlling various versions of UNIX—an operating system developed at Bell Labs and owned by AT&T—the GNU Project was announced to create a free, open-source OS. Originally designed for Intel's 386 CPU under the name "Freax," Linus Torvalds Linux kernel would be combined with GNU Project software and customized by growing numbers of developers into many OSes, each tailored to specific computing needs.

One of Apple's first computers sold for $375K at an auction

An operational Apple I, the first model of personal computer made by Apple, sold for $375K at an auction. The machine was first sold in 1976 and has a handwritten serial number by Steve Jobs himself. The auction, provided rare insight into the beginnings of the influential tech company.

The Macintosh popularized GUI and mouse navigation for personal computing

A graphical user interface that utilized windows, icons, and pull-down menus, rather than text-based commands, contributed to the device's success after its January 1984 launch. Its original sound system—capable of playing four voices—was developed after non-technical staff suggested the machine should play music.

The origin of Linux-based operating systems and why calling them 'Linux' is controversial

When Linus Torvalds developed the Linux kernel—the foundational layer of an operating system—developers incorporated it into other readily available components of the GNU Project to create complete systems. Although these OSes have been colloquially referred to as "Linux" for simplicity for decades, the GNU Project has long argued that they should be called "GNU/Linux" to honor the project's contributions.

As of 2024, server products and cloud services make up 40% of Microsoft's revenue

These products generated $97.7B in the 2023-24 fiscal year, followed by office products and cloud services, which accounted for $54.9B during the same period. The fastest-growing revenue source was gaming at 39%, driven by sales of Xbox and first-party software.

The history of the Linux Foundation, a technology consortium supporting open-source projects

The nonprofit, founded in 2000 by IBM, HP, Intel, and others as the Open Source Development Labs, was established to build the infrastructure needed to scale with the growing development of Linux. Upon merging with the Free Standards Group in 2007, it rebranded as the Linux Foundation and, as of 2024, provides a "neutral home for code and collaboration" to almost 1,000 projects.

Apple's first backer recruited his own CEO to help manage the company

Wanting Steve Jobs and Steve Wozniak to focus on developing Apple computers, Mike Markkula brought in his colleague from Fairchild Semiconductor, Michael Scott. As employee number five, Scott helped professionalize the fledgling computer company and getting manufacturing off the ground. (Some users may experience a paywall.)

Slick interfaces and bundling helped solidify Excel as the corporate planning tool

First initiated in the 1980s, the Excel spreadsheet built off predecessors like Lotus and VisiCalc, leveraging a novel graphic interface to entice new customers and packaging the program with other Microsoft Office products. Forty years later, the tool faces challenges from Google and AI, but retains devoted users.

Steve Jobs saved a nearly bankrupt Apple

Apple nearly went bankrupt in 1997, when the tech company had only three months of operational cash left. Apple's board ousted cofounder Steve Jobs in 1985, but he was brought back as interim CEO to revive the company when Apple purchased Jobs' company, NeXT.

Before starting Apple, Steve Jobs cold-called HP at 12 years old and got a summer job.

Bill Hewlett and Dave Packard are known for creating the 'founding' Silicon Valley company Hewlett-Packard

During the company's early years, Hewlett and Packard established a management approach called "the HP Way." The approach, which was considered radical at the time, helped shape the way Silicon Valley is run today.

Introduced in 1981 for $1,795, the Osborne 1 was the world's first commercially successful portable laptop, despite weighing 24.5 pounds and having no battery.

View an illustrated history of Microsoft Solitaire, first released as part of the Windows 3.0 operating system in 1990 to help users get familiar with using a mouse.

Apple, the tech giant renowned for products like the iPhone, iPad, and Mac, started out in a garage in 1976.

In high school, Mark Zuckerberg rejected Microsoft's proposal to buy his music suggestion software for $950K

Mark Zuckerberg and Adam D'Angleo built a website called "Synapse," which created playlists for users based on their listening preferences and an algorithm to suggest new songs, in September 2002.

See Don Valentine's original 1977 memo for Sequoia's investment into Apple Computer

In honor of Apple's 50-year anniversary, Sequoia Capital recently posted a tweet on X (the social media platform formerly known as Twitter) with a photo of the original 1977 memo for Sequoia's investment in Apple.

Read Linus Torvalds' commenting on his first posts about Linux in the comp.os.minix newsgroup

On August 1, 1991, he posted a request on what would be the first version of Linux, writing, "I'm doing a (free) operating system (just a hobby, won't be big and professional like gnu) for 386(486) AT clones. [...] I'd like any feedback on things people like/dislike in minix, as my OS resembles it somewhat."

How the GNU General Public License ensures software remains free and open

Rather than copyright, the free software license is based on the principles of copyleft—users are allowed to use, modify, and distribute software without charge, provided that any derivative works remain free. The license was introduced in 1989 by Richard Stallman, who founded the Free Software Foundation to promote the accessibility of software.

Microsoft was the most popular stock in hedge fund portfolios as of Q1 2024

874 hedge funds held Microsoft stock at the time. This infographic shows more of the most popular stocks in hedge fund portfolios.

A conversation about open-source software with Linus Torvalds, who invented Linux

Originally written as part of a personal project, Torvalds acknowledges that Linux's growth came from opening it up to a community of users who could each work on different components, including those that were not his strength, such as the user interface. He also admits to being an engineer, rather than a visionary, relating more to Thomas Edison than Nikola Tesla.

In 1999, Microsoft and Intel’s addition signaled the information tech era for the Dow

Microsoft and Intel became the first information technology firms added to the DJIA. Their inclusion marked a turning point—the digital revolution and tech began to drive the American economy.

Microsoft's Azure cloud computing platform serves customers in 140 countries

Rather than owning and maintaining hardware on-premises, cloud computing enables users to access large reserves of storage and processing power over the internet, much like customers connect to a utility provider rather than generating their own electricity. This centralization also standardizes security tools and updates.

Unsatisfied with the designs provided by an Apple engineer, Steve Jobs designed the original Mac calculator in about 10 minutes.

Steve Wozniak invented the personal computer

Steve Wozniak's Apple I and Apple II computers launched the personal computer industry, influencing the future of consumer electronics. He was also awarded the National Medal of Technology and the Heinz Award in Technology, the Economy, and Employment because of his invention.

NASA purchased about 60% of all integrated circuits from 1961 to 1965

The US government adopted the new technology to support the development of the Apollo Guidance Computer, which would help astronauts fly to the moon. This drove manufacturing up and costs down, setting the stage for the modern computing era.

Steve Jobs founded NeXT while on a break from Apple

While Steve Jobs was on a hiatus from working at Apple, he founded a company called NeXT and helped lead the release of its operating system NeXTSTEP. The operating system was used to create the first app store of sorts, as well as the first web browser.

Noise and instability made quantum computing seem out of reach for decades

Recent advances in error suppression, mitigation, and correction are allowing quantum computers to perform practical tasks that challenge classical machines. IBM’s 2016 launch of its first cloud-accessible quantum computer attracted over 22,000 users in its first month alone.

Eighty-four different pieces were composed for the Windows 95 startup sound

Brian Eno, the ambient music artist, was tasked with creating a 3.25-second jingle that was inspiring, universal, optimistic, and futuristic in tone. As with all of his compositions, Eno created the sound, which was double the requested length, on a Mac.

Apple’s '1984' ad aired once during the game and permanently shaped their advertising

During Super Bowl XVIII, Apple aired its dystopian “1984” commercial once to a mass audience, introducing the Macintosh and positioning Apple as a challenger to IBM’s dominance in personal computing.

Explore the cost of major viruses and other malware incidents through 2017

The first significant malware was the Morris worm in 1988, which caused an estimated $10,000 to $10M in damage to computers. With $38B in damage caused, Mydoom is the most costly piece of malware in history. Spread via email and, at one point, accounting for about 25% of all messages sent worldwide, the malware infected computers to create a botnet that launched cyberattacks.

Apple’s third cofounder was its angel investor

Steve Jobs and Steve Wozniak are well-known for cofounding Apple, but the company had a third founder who acted as an angel investor: Mike Markkula, who invested $250K in 1977.

COBOL was partly derived from Grace Hopper's FLOW-MATIC programming language

The Common Business-Oriented Language was developed for business data processing, supporting precise decimal calculations and an English-like syntax. Able to work across operating systems and hardware environments, COBOL and its newer versions support 80% of in-person credit card transactions and 95% of all ATM transactions.

The first compiler to facilitate communication with computers was developed by Grace Hopper

The A-0 program linker automatically translated mathematical symbols into machine-readable binary code. Although it took two years for computer executives to get on board with the idea, the technology was foundational to future programming languages that allowed computers to understand commands written in word-based languages.

How a garage became the birthplace of Silicon Valley

Bill Hewlett and Dave Packard are well known for founding the company Hewlett-Packard. But before their success, Hewlett and Packard sat in a garage and created their first product together. Today, that garage is deemed the "birthplace of Silicon Valley" and is marked as a historical site.