Digital Equipment Corporation

Digital Equipment Corporation
Andrej Trebar

Laboratory modules The MILL
August: Ken Olsen and Harlan Anderson found Digital Equipment Corporation and set up shop in an old woolen mill in Maynard, Massachusetts. Laboratory modules were intended to sit on an engineer's workbench or be mounted in a scientist's equipment rack. To simplify the construction of logic systems, the modules were connected by simple cords with banana plugs. 1957 1959 1961 1963 1965 1967 1969 Laboratory modules The MILL

Laboratory modules The MILL
February: Digital's second product, Systems Modules, goes on the market. July: By the end of its first fiscal year, Digital sells $94,000 worth of laboratory and systems modules and has 60 employees. 1957 1959 1961 1963 1965 1967 1969 Laboratory modules The MILL

computer. Three and a half months later, the prototype Programmed Data
From a Digital technical report dated March 1960: "DEC1500 series memory testers -- complete systems for testing coincident current core memories under simulated computer conditions. DEC memory testers will test planes up to 64 by 64 with several patterns of information quickly and completely in a single operation." The 3000 series Laboratory Modules ran at 500 kHz. The 4000 series Systems Modules ran at 1 MHz and were principal components in the PDP-4 and PDP-5. Shown here are the modules in place in a PDP-4. A young hardware engineer named Ben Gurley was hired to design DIGITAL's first computer. Three and a half months later, the prototype Programmed Data Processor-1 (PDP-1) was complete. In December, the prototype was demonstrated at the Eastern Joint Computer Conference in Boston. 1957 1959 1961 1963 1965 1967 1969 Memory test PDP 1 PDP 4

complement binary numbers."
DIGITAL's 5000 and 6000 series modules were made possible by the arrival of a new series of transistors. This second generation of modules ran at 10 MHz, compared to the first generation modules which ran at 5 MHz. The Logic Handbook was an early project of Barbera Stephenson, the first woman hired as an engineer at DIGITAL. The Logic Handbook was the first in a long series of handbooks that worked both as textbooks and promotional tools. DIGITAL sent them to every customer and handed them out at trade shows. From a technical bulletin on the PDP-1, dated March 1960: "...a compact, solid state general purpose computer with an internal instruction execution rate of 100,000 to 200,000 operations per second. PDP-1 is a single address, single construction, stored program machine with a word length of 18-bits operating in parallel on 1's complement binary numbers." 1957 1959 1961 1963 1965 1967 1969 5000 and 6000 Series modules The Logic Handbook PDP 1

logo is a stylized version of the PDP-1 "TYPE 30" point scope.
The PDP-4 was aimed at applications with not many calculations, but rather the single manipulation of input and output, such as controlling a bakery or fleet of elevators. "As computers [like the PDP-4] become smaller and less expensive," said Bell, "they will take over some special system types...then the computer becomes a 'module' of the system." DECUS evolved because engineers needed a forum to share information and computer programs for DIGITAL's first computer, the PDP-1. Founded on the idea of open exchange of information between user and manufacturer, DECUS has grown to be one of the largest users' groups in the computer industry, with a total membership of about 100,000 and 23 chapters worldwide. The DECUS logo is a stylized version of the PDP-1 "TYPE 30" point scope. 1957 1959 1961 1963 1965 1967 1969 PDP 4 DECUS

simultaneously. Shown here is the PDP-1 installation at BBN.
Similar in structure to the PDP-1, the PDP-4 used slower memory and different packaging to achieve a lower price of $65,000. Approximately 54 PDP-4s were sold in application areas as diverse as nuclear physics, production and stock control. The PDP-1 operating system's timesharing ability made interactive access to computers economically viable by allowing various users to share the computer simultaneously. Shown here is the PDP-1 installation at BBN. Bell based the PDP-5 on a 12-bit digital controller (the DC-12) that DIGITAL had designed in 1961 but never built. Bell specified the instruction set in the fall of 1962. Design work was continued by Edson deCastro in early Shown here is the 7th PDP-5 built. 1957 1959 1961 1963 1965 1967 1969 PDP-1 Operating system PDP-4 PDP-5

opened with two people in Ottawa.
The 8000 series modules, also known as VHF modules, ran at 30 MHz. The modules were used to build high performance systems. The technology developed in the VHF modules was used in the timesharing capabilities of the PDP-6. Shown here is a PDP-6 during testing. The PDP-5 was innovative in replacing the radial structure of earlier designs with an I/O bus. By allowing peripheral equipment to be added incrementally -- rather than preallocating space, wiring and cable drivers -- the I/O bus design lowered the base costs of the system and simplified the configuring of machines in the field. In March, DIGITAL opened its first European sales and service office with three people in Munich, Germany. At the same time, the first Canadian sales office opened with two people in Ottawa. 1957 1959 1961 1963 1965 1967 1969 PDP-6 Service engineers PDP-5

producing 30 billion magnetic cores per year.
Flip Chip modules were built of discrete transistors, diodes, resistors and capacitors. The series was designed so that backplanes could be wire-wrapped automatically, reducing costs and increasing production line throughput. Flip Chips became the basis for the PDP-8. Tops 10 was developed from a 6-K word monitor for the PDP-6. It included user files and I/O device independence, a command control program and multiprocessing capabilities. Here an operator programs a PDP-6 using papertape. A successor to the PDP-4, the PDP-7 used smaller, more conventional system units and was well received in laboratory and data acquisition applications. The machine featured DIGITAL's first mass-storage based operating system (DECsys for DECtape). Ultimately, 120 PDP-7s were produced and sold. By 1971, Digital was the largest consumer of magnetic core memories other than IBM. Digital built its own magnetic core manufacturing business and by the mid-1970s was producing 30 billion magnetic cores per year. 1957 1959 1961 1963 1965 1967 1969 Flip Chip PDP-6 Tops 10 Magnetic Core memory PDP-7

The PDP-7A, a second version of the PDP-7, used the newly annouced R series Flip Chip modules. The machine pictured was built for Concord Control Corporation. PDP-8 Specifications Word Length: 12 Bits Speed: 1.5 micro- second cycle time Primary memory: 4K 12-bit word core memory Secondary memory: 32K maximum Instruction set: 3-bit op code, 1 indirect bit; 8 bits of address Input/Output: teletype (ASR-33) includes paper-tape reader and punch Power: 780 watts Price: $18,000 The PDP-6 was operated and programmed from Boston using a 12,000 mile, 5 hole telex code. It proved very difficult to generate a control C in 5 hole code. 1957 1959 1961 1963 1965 1967 1969 PDP-6 Remote operation PDP-7A PDP-8

The PDP-9 featured a speed increase of approximately twice that of the PDP-7. The PDP-9 was also one of the first small or medium scale computers to have a keyboard monitor system based on DIGITAL's own small magnetic tape units (DECtape). The size of a file-cabinet drawer, the PDP-8/S model's cost reduction came from implementing the PDP-8 instruction set serially. The LINC-8 was based on a previous design from Lincoln Labs to penetrate the emerging biomedical computer market. The computer incorporated both the LINC (Laboratory Instrument Computer) processor and the PDP-8 processor unit. 1957 1959 1961 1963 1965 1967 1969 PDP-9 PDP-8/S LINC-8

The 36-bit PDP-10 was program-compatible with the PDP-6 and approximately twice as powerful. Designed to perform conversational timesharing, batch-processing and real-time operations equally well and simultaneously, the PDP-10 achieved great popularity with the commercial timesharing utilities, university computer centers and research laboratories. The new, noise-immune K series Flip Chip module line was used for control applications in industrial computers. By 1975, DIGITAL produced approximately 200 different types of K series modules. M series modules were used in the first redesign of the PDP-8, called the PDP-8/I, and were used in the first PDP-11 (PDP-11/20), the second PDP-10 processor (KI10) and the PDP-8/E. M series modules were DIGITAL's first logic cards to use integrated circuits. 1957 1959 1961 1963 1965 1967 1969 K series Flip Chip M series modules PDP-10

hot metal and photo composition typesetting.
The PDP-8/I was more expandable (and expensive) than the PDP-8/S. Introduced at the same time was the PDP-8/L, a smaller OEM version of the 8/I. (The PDP-8/I is pictured.) PDP-8 based EDUsystems, using the BASIC language developed at Dartmouth College, brought computers into elementary and secondary schools. EDUsystems were designed to start small and expand as the school's computing requirements increased. The TYPESET-8 hardware and software package originally sold with the classic PDP-8 as its CPU and functioned as a computerized typesetting system for use in hot metal and photo composition typesetting. 1957 1959 1961 1963 1965 1967 1969 EDU systems PDP-8/I TYPESET-8

The PDP-15 was DIGITAL's last 18-bit computer system and the only one
The PDP-14: K series modules were used to develop noise-immune I/O units for this completely new, solid state controller that controlled operations by solving Boolean equations. Applications in the relay-logic marketplace included an automatic racking and stacking system, control of machine tools and sequencing. The PDP-12 was used in applications such as chemistry, applied psychology, patient monitoring and industrial testing. The machine incorporated the PDP-8/I and LINC-8 instruction sets, making it compatible with LINC-8 software. In addition to a display-based operating system, software packages were included for data acquisition and display, Fourier analysis and spectrometry. The PDP-15 was DIGITAL's last 18-bit computer system and the only one implemented with integrated circuits. The new machine was faster and less expensive than its predecessors and had the added sophistication of a separate I/O processor To the CPU. Over 400 of these machines were ordered in the first eight months of production. 1957 1959 1961 1963 1965 1967 1969 PDP-12 PDP-14 PDP-15

Revenues US $Millions CAGR 1974-1981 37% CAGR 1981-1989 20%
3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis

1970 PDP-8/E PDP-11/20 VT 05 Revenues US $Millions CAGR 1974-1981 37%
20% CAGR : 3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The PDP-8/E featured the OMNIBUS -- a patented synchronous bus that handles bi-directional communication between system elements. A single OMNIBUS contained enough slots to handle up to 32K words of core memory, or up to 10 peripheral controllers. Shortly after the introduction of the PDP-8/E, DIGITAL installed its 10,000th computer system. The PDP-11/20 was the first minicomputer to interface all system elements -- processor, memory and peripherals -- to a single, bi-directional, asynchronous bus. The UNIBUS enabled fast devices to send, receive or exchange data without intermediate buffering in memory. The PDP-11 became the world's most successful family of minicomputers. PDP-8/E PDP-11/20 VT 05

1971 CSI PDP-11/45 RSTS11 Revenues US $Millions CAGR 1974-1981 37%
20% CAGR : 3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis June: The first annual customer satisfaction survey is taken. The PDP-11/45 was an excellent computational tool for large multi-user, multi-task installations. Through memory management, memory could be expanded to 128K, which included a combination of bi-polar and MOS memory. Other features included a greatly expanded floating point processor. RSTS-11, in use here at Boston Telephone in 1975, was the first general purpose small computer operating system with generalized device handling. RSTS-11 was particularly well suited to commercial applications because of its sophisticated file handling and protection capabilities. CSI PDP-11/45 RSTS11

1972 PDP-11/40 PDP-11/05 Revenues US $Millions CAGR 1974-1981 37%
20% CAGR : 3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The PDP-11/40 offered approximately twice the processing power of the earlier PDP-11/20. A floating point package was offered as an option, making the cost slightly lower than the 11/20. The central processors for the PDP-11/05 and 11/10 were identical. The 11/05 was offered for the Original Equipment Manufacturer, while the 11/10 was designed for the end user. Both machines offered features not available on the earlier PDP-11/20, such as 4-level priority interrupt and multiple accumulators. PDP-11/40 PDP-11/05

1973 RSX-11D RT-11 Revenues US $Millions CAGR 1974-1981 37%
20% CAGR : 3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis RSX-11D was aimed at the sophisticated end-user and included a real-time executive, on-line program development, complete device handling capabilities and total system protection. Typical applications were in the lab, industrial, computation and OEM markets. RT-11 signaled DIGITAL's entrance into the low end of the real-time market. With its single-job monitor and F/B monitor, RT-11 was designed for the single-user involved in program development and/or real-time applications, providing fast, simple, on-line access to any PDP-11 processor with at least 8K of memory and mass storage. DDCMP, which was used to develop DIGITAL's Network Architecture (DECnet), was based on peer-to-peer communications where information is managed by members of the networks itself; communication is from processor to processor, rather than from processor to terminal. DEC Data Communications Message Protocol RSX-11D RT-11

1974 LA 36 RSX-11M Revenues US $Millions CAGR 1974-1981 37%
20% CAGR : 3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis RSX-11M was a real-time, multi-programming, program-development system with a disk-based operating system supporting both synchronous and asynchronous communications hardware. RSX-11M concepts were precursors to those in the VMS operating system. The LA36 DECwriter II was the company's first commercially successful keyboard terminal and became the de facto market standard. MPS represented DIGITAL's first entry into LSI (Large Scale Integration) technology. MPS modules were designed to supply users with reliable, low-cost microprocessor systems that could be used in process/control and data formatting or preprocessing applications. LA 36 DECwriter II MPS DEC LSI microporcessor RSX-11M

1975 LSI-11 PDP 11/34 VT52 Revenues US $Millions CAGR 1974-1981 37%
20% CAGR : 3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis Directed toward OEM's and large volume end-users, whose applications required the computer to be buried inside the final applications product, the LSI-11 was a complete computing system (CPU, memory and I/O) on one board. The PDP-11/70 represented the high end of PDP-11 architecture with the capacity for supporting the speed, addressing range and bandwidth required in large systems applications. It was the first PDP-11 to use cache memory. DECnet architecture evolved from one focused on the RSX family of operating systems to an architecture that encompasses large, open, distributed networks. Unlike competitors' network offerings, DECnet was not a terminal network but a true computer-to-computer capability for distributed computing systems. The VAX Architecture Committee began work on a computer with 32-bit architecture; the goal: to build a machine which was culturally compatible to the PDP-11-- but with increased address space. The result: VAX, the "Virtual Address eXtension" of the PDP-11's 16-bit architecture to 32-bit architecture. The new computer required a new operating system so VMS, the "Virtual Memory System" was developed simultaneously. Shown here is an inside view of the first VAX model (the VAX-11/780). The VT52 was designed to sell into programming, time sharing and text editing applications. The terminal included a 19-key numeric cluster pad for data entry plus four cursor control keys and three unlabeled function keys which could be used by the customer to define special functions. The midrange PDP-11/34 was DIGITAL's most successful PDP-11 in terms of unit volume. The 11/34 featured a CPU so compact that the entire CPU logic was contained on two circuit boards. This provided greater flexiblity during later system expansion by making additional chassis space available. LSI-11 PDP 11/34 VAX 11/780 commitee VT52

1976 WPS-8 DECSYSTEM-20 Revenues US $Millions CAGR 1974-1981 37%
20% CAGR : 3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The WPS-8 was a stand alone, single terminal, single word processing system, the first in a series of products designed to address the needs of "sophisticated" users of text editing equipment. The DECSYSTEM-20 was based on the non-cache KL-20 processor, 64 to 256K 36-bit core memory and included RP04 moving head disk drives, TU45 tapes, a line printer, a card reader and 8 to 64 terminal lines. WPS-8 DECSYSTEM-20

1977 Revenues US $Millions CAGR 1974-1981 37% CAGR 1981-1989 20%
3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The PDP-11/60 offered a combination of unique attributes, which were normally found in larger, more expensive computers at the time. Designed around the proven UNIBUS architecture, the PDP-11/60 included user control store features previously unavailable from DIGITAL as well as several 11/70 class features such as cache memory and RAMP. The DECstation was a complete PDP-8 computer system implemented in large scale integration technology so that it could be packaged inside the shell of a display terminal. Designed for an interactive environment, the primary emphasis was on system capability, hence the large 16K (32Kb) memory and the array of I/O controllers. VAX-11 architecture was designed to alleviate the PDP-11's most severe limitation: an address space that was too small for many applications. The Virtual Address eXtension (VAX) increased the address from 16 to 32 bits. The number of general registers also doubled from 8 to 16. The instruction set had both two and three operand formats for many common operations with either a register or memory operand allowable. DEC- STATION PDP-11/60 VAX11/780

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis VMS (Virtual Memory System) was developed in parallel with the VAX, allowing complete integration of hardware and software. The overall aim during development was to achieve compatibility between systems so that information and programs could be shared. V1.0 featured FORTRAN IV and DECnet, a 64 megabyte memory limit, an event driven priority scheduler, process swapper, process deletion/creation/control, I/O post processing and AST delivery. At left is the team that delivered V 1.0. The VT100 was DIGITAL's first ANSI-compliant video terminal. It became the industry's best selling terminal and the de facto market standard. VMS 1.0 VT-100

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The F-11 was DIGITAL's second 16-bit -- and first internally designed -- microprocessor. The F-11 shipped in the LSI-11/23 board. The PDP-11/23 was positioned between the low-end PDP-11/03 and the PDP-11/34 in order to round out DIGITAL'S 16-bit product line and bridge the gap between existing microcomputers and mid-range systems. The RL02 disk drive featured twice the capacity of the RL01 drive and low ambient noise levels for office use. The PDP-11/44 incorporated the complete PDP-11/70 instruction set and memory expansion into 1MB in a lower-cost package. The PDP-11/44 was the last PDP-11 implemented in discrete logic. LSI 11 PDP-11/23 PDP-11/44

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis DECnet products made it possible to build networks of over 200 nodes, considered very large in Phase III was supported on seven operating systems and three hardware families. VMS version 2.0 offered the industry's largest array of languages on one system including VAX-11, FORTRAN, BASIC, PASCAL, COBOL-74 and PL/I, DSM and PDP-11 CORAL 66/VAX. The DIGITAL LAN products that built on Ethernet technology allowed minicomputer, terminal servers and network devices to be connected with ease. Here, Dave Cleveland of Data Communications displays an Ethernet transceiver. The VAX-11/750 was the second member of the VAX family and the industry's first Large Scale Integration (LSI) 32-bit minicomputer. DECnet ETHERNET VAX11-750

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The PDP-11/24 was a fourth generation PDP-11 system designed to increase DIGITAL's penetration of the Technical and Commercial OEM markets. The new machine featured Large Scale Integration, 1 MB memory capacity and the PDP-11 UNIBUS. The VT125 was an enhanced VT100 alpha-numeric terminal with data plotting extensions which combined bit map graphics architecture, automatic vendor and general curve generation, as well as alpha-numeric features to produce a state-of-the-art terminal suitable for business graphics and technical applications. With the DECmate, DIGITAL integrated an array of functions such as word processing, communications, financial planning, budgeting support and engineering calculations in a single marketing focus. The DECmate was based on the VT278 computing terminal, which combined video output and keyboard input with a powerful programmable CPU and peripheral interfaces all on one module. At left is the DECmate engineering team. PDP 11-24 VT125 DECmate

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The VAX-11/730 was the smallest VAX to date. The machine was the first VAX processor to fit on three Hex boards and the first VAX to fit in a 10.5" high, rack mountable box. The 11/730 was also the first 8-user, DECnet VAX/VMS system complete in one 42" high cabinet. DIGITAL's new personal computer line included the Professional 300 series based on the PDP-11, the Rainbow 100 based on the Intel 8086, and the DECmate II based on the PDP-8. Here, marketing vice president Andy Knowles and Ken Olsen introduce the new machines. Back in 1977, Skip Walter and John Churin began work on integrated office software that would run on a network and could mix and match custom applications such as word processing, mail, calendars and databases. The result was ALL-IN-1. The Customer Support Center in Colorado Springs pilots Remote Fault Isolation Technology for software support in the VMS and TOPS support groups. Prof 300 VAX11-730 ALL in 1

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis DIGITAL establishes Internet connectivity. Initial , FTP archive and USENET news hub are established. VAXclusters tied VAX processors together in a loose processor coupling that allowed VAX computers to operate as a single system, extending the characteristics of VAX to high capacity and high availability applications. The J-11 chip was DIGITAL's last 16-bit microprocessor and the first executed in CMOS technology. The LSI-11/73, shown here, brought PDP-11/70 functionality to a microcomputer on the Q-Bus by offering PDP-11/70 memory management, an 8K byte cache and FP11 floating point operations. DIGITAL starts the industry's first remote delivery of software updates from its Colorado Springs facility. LSI-11/73 J-11 VAX cluster SW delivery

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis CPU cycle time in the VAX-11/785 was 133ns, 50% faster than the 200ns cycle time of the VAX-11/780. The accelerated cycle time allowed all CPU operations to run up to 50% faster, resulting in higher throughput, faster response time and the ability to support more users. The VAX 8600, shown here during assembly, offered up to 4.2 times the performance of the industry standard VAX-11/780 and increased I/O capacity, while maintaining I/O subsystem compatibility with the VAX-11/780 and the 11/785 Synchronous Backplane Interconnect (SBI). The VAX 8600 was the first VAX implementation in ECL technology and the first to include macropipelining. The VAXstation I was the first in a new family of MicroVAX-based technical workstations. It was a powerful, single-user computing system supporting the professional user, sold in packaged form. VAX 8600 VAX11/785 VAX station

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The MicroVAX II was based on a single, quad-sized 32-bit processor board and contained the MicroVAX chip (which included memory management). The machine featured a floating-point coprocessor chip, 1MB of on-board memory, Q22-bus interface, Q22-map for DMA transfers, interval timer, boot and diagnostic facility, console serial line unit and time-of-year clock. The MicroVAX chip was DIGITAL's first 32-bit microprocessor and the first manufactured with internally developed semiconductor technology. The revolutionary "VAX-on-a-chip" had the highest level of functionality of any 32-bit processor in the industry. With the MicroVAX chip, DIGITAL became the first company to register a new semiconductor chip under the Semiconductor Protection Act of 1984. Key features of the MicroPDP-11/83, included the new high-performance central processing module (the KDJ11-BF) and a Private Memory Interconnect (PMI) Bus. The VAXstation II/GPX was a MicroVAX II-based workstation featuring hardware-enhanced, high-performance color graphics. The workstation incorporated the new GPX chip set, a graphics co-processor for the MicroVAX, which extended the low-cost/high-performance advantage of the MicroVAX II to color graphics. VAX Chip set Micro VAXII PDP 11/83

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The VAX 8800, VAX 8300 and VAX 8200 were the first VAX systems to support dual processors. Each machine incorporated a new high-performance I/O bus, the VAXBI. The high-performance VAX 8800 achieved application throughput of two to three times the VAX 8600. The VAXmate was DIGITAL's second-generation personal computer and pioneered the concept of a disk-less, network-connected PC. Local Area VAXcluster systems extended VAXcluster technology to Ethernet, bringing the software advantages of the VAXcluster environment to the MicroVAX II and VAXstation II systems. DIGITAL creates the first Internet firewall VAX 8800 Firewall VAXmate

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The VAX 8978 and VAX 8974 both included DIGITAL's new 2.5 Gbyte SA582 Storage Array. Combined with the HSC70 I/O processor and the VAXBI bus, the SA482 delivered mainframe-class I/O subsystem performance and large storage capacity. The VAXstation 2000 was designed as a low cost, single-user VAXstation based on the MicroVAX CPU and FPU chip set. It was DIGITAL's first workstation with a cost of less than $5,000 and became the highest volume workstation in the industry. The MicroVAX 3500 and MicroVAX 3600 were introduced as the higher end complement of the MicroVAX family. The new machines featured more than 3 times the performance of the MicroVAX II and supported 32 MB of ECC main memory (twice that of the MicroVAX II). The performance improvements over the MicroVAX II resulted from the increased operating speed of the CVAX microprocessor (90ns) plus a two-level, write-through caching architecture. The CVAX chip was the second-generation VLSI VAX microprocessor, offering times the power of its predecessor. It was DIGITAL's first internally manufactured CMOS microprocessor. High performance came from features such as macro-instruction prefetch, micro-instruction pipeline, 1kb onchip datacache and a 28 entry onchip translation buffer. VAX Station 2000 Micro VAX 3600 VAX 8974

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The first offering in the VAX 6000 series was the midrange VAX 6200, which was built on three key technologies: the DIGITAL CMOS VLSI VAX processor (the CVAX chip), a symmetric multiprocessing hardware and software environment, and the VAXBI I/O interconnect. DIGITAL released VMS version 5.0 in concert with the VAX VMS V 5.0 included symmetric multiprocessing, which provided a high degree of parallelism and more effective use of multiprocessors. DSSI provided a high capacity storage interface similar to the Computer Interconnect (CI) used in VAXcluster systems but at lower cost and in packages suitable for office environments. DSSI became the precursor to the SCSI standard. Digital Storage System Interconnect VAX 6200 VMS5.0 CVAX

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis Based on ULTRIX and the MIPS processor, the DECstation 3100 was the first RISC workstation built by DIGITAL and, at the time, the world's fastest UNIX workstation. Both the VAX 6300 series and the MicroVAX were based on the CVAX+ chip, manufactured in 1.5-micrometer CMOS technology. Shown here is the VAX 6320. The Rigel chip, DIGITAL's third 32-bit microprocessor design, was manufactured in 1.5-micrometer CMOS technology. The chip shipped in the VAX 6400 system and, somewhat later, in the VAX 4000 system. Rigel was the first implementation of the vector extensions of the VAX architecture. The VAX 9000 incorporated numerous technological advances, including high-density ECL macrocells, multi-chip module packaging and heavily macropipelined architecture. The VAX 9000 was DIGITAL's last system not based on microprocessor technology. DEC Station 3100 Rigel Chip set VAX 6300 VAX 9000

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The VAXft 3000 was the first fault-tolerant system in the industry to run a mainstream operating system (VMS) and the first system in which every component, including the backplane, was mirrored. In the event of a power failure, the complete in-cabinet system was kept operational for up to fifteen minutes by its own built in power supply. The VAXft 3000 development team included (left to right) Clem O'Brien, George Hoff, Frernando Colon Osorio, Rich Whitman and Bob Glorioso. The 20th anniversary of the first PDP-11 computer is marked by the introduction of two new PDP-11 systems: the MicroPDP-11/93 and the PDP-11/94. Both the MicroPDP-11/93 and the PDP-11/94 offered a performance increase of up to 40% over the previous high-end PDP-11 systems. The new machines were the latest members of the longest-lived family of general-purpose computers. At this point, the series included over 20 members; more than 600,000 had been installed. The Mariah chip set, an improvement on the Rigel chip set, was manufactured in 1.0 micrometer CMOS technology. The VAX 6500 processor delivered approximately 13 times the power of a VAX-11/780 system, per processor. The 6500 systems (shown here) implemented a new cache technique called write-back cache, which reduced CPU-to-memory traffic on the system bus, allowing multiprocessor systems to operate more efficiently. PDP 11/93 11/94 VAXft 3000 VAX 6500

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The EZ5x family of Solid State Disks (SSDs) extended the power and performance of the technology to encompass SCSI-based systems. SSDs used the speed of DRAMS (the storage media) to provide the fastest access to storage subsystem data by eliminating the latency inherent with magnetic disk. Offering an access time of less than 1ms, EZ5x Solid State Disks maximized systems utilization by balancing the power of the processor with high performance I/O. The NVAX incorporated the pipelined performance of the VAX 9000 and was the fastest CISC chip of its time. The VAX 6610 system (shown here) delivered 83 transactions per second, boasting better performance than RISC based systems from IBM or HP. The DIGITAL and Microsoft development work assured seamless integration between selected office technologies such as Microsoft Word, Excel, Visual Basic, TeamLinks, PATHWORKS and ALL-IN-1 Mail. VAX 6600 Digital Microsoft EZ51

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis Alpha was a totally new, open, 64-bit RISC architecture, addressing the needs of a broad range of computer users, engineered to support multiple operating systems and designed to increase performance by a factor of 1000 over its anticipated 25-year life. The first Alpha chip was the 21064, which provided record-setting 200-MHz performance. The VAX 7000 model 600 data center system was DIGITAL's most powerful VAX system to date. It was the high-end successor to DIGITAL's VAX 6000 data center systems, the most expandable data center system ever, and was field-upgradable to the Alpha 64-bit processor. The new DECpc LP series PCs were based on the Intel 386 and 486 processors and featured SVGA video performance with GUI acceleration, 128KB of writeback cache, 70ns memory and 512KB of video RAM (VRAM). The first generation Alpha systems included the DEC 3000 Model 400 and Model 500 Workstations, the DEC 4000 Distributed/Departmental System, the DEC 7000 Data Center System and the DEC Mainframe-Class System. In addition to designing engineering and performance analysis applications, DIGITAL provided a speech recognition system to communicate with the computer on board America3, allowing navigators to spend more time on the race and less time accessing critical data. VAX 7000 DEC pclp Alpha family Aplha

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis StorageWorks was a new generation of storage solutions designed to meet requirements for open, flexible data storage based on the industry's widely accepted SCSI-2 (Small Computer System Interface-2) standard. StorageWorks modular architecture made it easier than ever to add the storage subsystem that meets all application needs - from the desktop to the datacenter. New MCS offerings included: System Healthcheck, System Management Support, Remote System Management, Asset Management, and Software Publishing. New DIGITAL Consulting Services included: DECathena Management Services, Workgroup/End User Services, Information Architecture Planning, Client/Server Distributed Application Planning, and Rapid Application Prototyping. DIGITAL began shipping Windows NT preloaded on the DECpc AXP 150 personal computer just 5 weeks after Microsoft's initial release. By the end of 1993, over 500 applications from DIGITAL and other software vendors would run on the DECpc AXP 150 under Windows NT. DIGITAL becomes the the first Fortune 500 company with a corporate website on the internet ( Earlier in the year, DIGITAL established its first departmental web server on the internet. Windows NT for Alpha Storage works Services www

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis DIGITAL's 2100 Alpha AXP server was a single-pedestal, large capacity, secure computing system, supporting up to four processors, the industry-standard PCI bus and three operating systems; it met engineers' goals of price/performance leadership. This next generation of Alpha chip, the 21164, provided peak processing power of more than one billion instructions per second. The chip was the industry's first to operate at 300 MHz; performance was estimated at 500 SPECint92 and 600 transactions per second. The Celebris line was tailored for business professionals who wanted a customized and more powerful computing environment that was easily and quickly adaptable to meet their advanced business applications needs including management reporting, financial analysis, accounting, market analysis and research, and desktop publishing. The aggressively priced Venturis line was aimed at the volume purchaser in medium and large organizations. The Venturis line provided an optimum balance of graphics, disk subsystems and processors for basic office applications such as word processing, transaction processing, and communications. Only 1-inch thick and weighing less than four pounds, the HiNote Ultra was the first portable computer to combine light weight with desktop functionality. In addition to its elegant size, the HiNote Ultra featured built-in infrared for wireless transmission and business audio for sound effects. Digital 2100 ASP server Alpha 21164 Celebris Venturis

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The AlphaServer 8400 supports up to twelve microprocessors and 14 gigabytes of memory, creating breakthroughs in very large database performance. With a peak throughput of 6.6 GF (gigaflops), the 8400 provides a viable alternative to supercomputers and mainframes. DIGITAL's plan for virtual networking includes enVISN (Enterprise Virtual Intelligent Switched Networks). The enVISN architecture combines virtual LAN technology, distributed routing and high-speed switching with centralized, policy-based administration to create flexible virtual networks. A primary component of enVISN architecture is the DECswitch 900, left. The alliance combines Microsoft client/server products with DIGITAL's leadership in enterprise systems, service, support and systems integration, and enables customers to deploy business solutions on Microsoft operating systems with assurance of integration into the most complex business environments. At left, Bob Palmer and Bill Gates announce the alliance. AltaVista is the most advanced information search and indexing technology available for the World Wide Web. The software conducts the most comprehensive search of the entire Web text at speeds up to 100 times faster than spiders used in conventional information search services. At left is Louis Monier, lead engineer for the project. Alpha server 8400 DEC Switch 900 Digital & Microsoft Altavista

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The Prioris ZX5133MP is the premier product in a new line of Symmetric Multiprocessing (SMP) enterprise PC servers. The server is targeted at enterprise-class applications, which require the highest level of performance and reliability. The SA-110 StrongARM is the first processor to combine the performance of a supercomputer with power dissipation low enough to run on AA batteries. The new chips will power personal digital assistants (PDAs), electronic organizers, set-top boxes and video games. With peak execution rates of up to 2 BIPS, these top-performing Alpha chips push the performance envelope for visual computing applications such as video conferencing, 3-D modeling, video editing, multimedia authoring, image rendering and animation. The Prioris HX 6000 series is designed to deliver unequaled enterprise-quality manageability, availability, performance and scalability at compelling new price points. The new Prioris HX 6000 series is targeted at users of value-driven, business-critical applications in departmental or geographically dispersed sites. Prioris ZX5133MP server SA110 StrongARM Prioris HX6000

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The 9GB drive is ideal for data-intensive applications such as data warehousing, video-on-demand, imaging and the Internet because it more than doubles the storage capacity available in the same physical space, lowering overall costs associated with large configurations. The 9GB drive is part of the "StorageWorks for OEMs" family of products that offers the most scalable storage solutions for OEMs and integrators on the market. DIGITAL's Client Support Service addresses knowledge workers' ongoing information needs and provides the technology-enabled tools they need to do their jobs. Specific service plans are available to meet the support needs of the four types of clients typically found in today's business environment -- Enterprise, Knowledge, Mobile, and Power Clients. These plans are unique because they focus on the needs of these users, not just the devices employed. Millicent represents a completely new way to buy and sell content in very small amounts over the Internet. The new system makes it possible for online publishers to sell newspapers by the article, cartoons by the strip or music by the song. Software providers can use Millicent to sell Java applets and host-based applications on a per-use basis. Pictured is Millicent business development manager Stan Hayami. 9GB Disk drive Customer support Milicent

3% IBM PC introduced: 1981 Apple II introduced: 1977 4,000 8,000 12,000 16,000 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 Compaq buys DEC: 1998 1974 1976 1978 1970 1972 Vir: Fortune 500 Database, Innosight analysis The organization has lost its purpose. Management is obsessed with numbers and money comes first. Squeezing suppliers is seen as the best way to get the most from them. Management ignores the primary asset by undervaluing employees. The organization accepts dirt, clutter and damage as the way things are. Sub optimization of the overall organization occurs because of operational fragmentation. To remedy the decline, an organizational transformation is needed. The highlights of this transformation are: The organizational leader must be personally involved, patient and truly committed. The root causes of the signs of spiraling decline must be identified and addressed. The organization’s culture, beliefs, practices and tools it uses might need substantial change and require a long time to take hold. A clear plan of action, based on assessing the gap between present beliefs and practices and the desired modus operandi, must be promulgated, understood and brought into throughout the organization. Source: Avoiding the corporate death spiral, Gregg Stocker, ASQ Quality press, 2006

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