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History  Microsoft is an American corporation headquartered in Redmond, Washington  founded by childhood friends Paul Allen and Bill Gates  In January.

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Presentation on theme: "History  Microsoft is an American corporation headquartered in Redmond, Washington  founded by childhood friends Paul Allen and Bill Gates  In January."— Presentation transcript:

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2 History  Microsoft is an American corporation headquartered in Redmond, Washington  founded by childhood friends Paul Allen and Bill Gates  In January of 1975, Allen stumbled upon an article in Popular Electronics magazine about Altair 8800, which was a microcomputer.  v=ad4m9U_u7X4

3 Birth of Microsoft  On April 4th, 1975, Microsoft was born.  software on 91% of personal computers worldwide  In 1980 International Business Machines Corporation also known as IBM asked Microsoft to produce the essential software, or operating system, for its first personal computer, the IBM PC

4 Bill Gates  Household name  Reasons for status  Influence is felt everywhere  Bill & Melinda Gates Foundation  95 % of wealth donated over time

5 Facts About Bill Gates

6 History  Middle class upbringing  Parents encouraged extremely competitive atmosphere  At Lakeside School, a preparatory school, his mastery of coding was demonstrated  School allowed him to write code to schedule students  He took advantage of the opportunity

7 Post-Lakeside  Graduated in 1973  Enrolled at Harvard College the same year  SAT of 1590 out of 1600  Met Steve Ballmer  Paul Allen joined him at Honeywell in 1974  Allen convinces Gates to start a new company after MITS Altair 8800

8 Management Style  Aggressive strategy  Expansion of products and services  Capture and control; broaden and deepen  Confrontational with senior managers  Played the role of the executive for most of his time with the company  Oversaw the coding and programming during the early years  Still serves on the tech oversight board  Gates in the U.S. government investigation

9 Post-Microsoft  During the late 2000s, Gates began turning over the reins to new management so that he could focus on his philanthropic designs.  Along with Mark Zuckerberg and Warren Buffet, he signed onto the Giving Pledge – which stated he would donate at least 50 % of his wealth to charity over time  Most of Gates’s personal contributions have been toward the medical and educational fields  ALS Ice Bucket Challenge

10 Paul Allen  Cofounder of Microsoft  Met Gates at Lakeside and kept in contact with him after Gates left for Harvard  Microsoft probably owes its existence to Paul Allen  It was Paul Allen who convinced Gates to start Microsoft and eventually drop out of college

11 Miscellaneous Info About Paul Allen  Scored a perfect SAT score of 1600  Washington State University  Dropped out two years to work as a programmer for Honeywell  This brought him closer to Bill Gates location at Harvard  Defining moment in computer software history  He was instrumental in securing a distribution contract with IBM that helped solidify Microsoft’s place in the market  By the late 1990s, Allen began to distance himself from the company and resigned his senior position during this time  He still owns the bulk of his shares and consults with the company from time to time  Also a signee of the Giving Pledge

12 Microsoft’s Products: The Rise and Fall of an Empire  : The beginning  Gates and Allen partnership.  Steve Ballmer joins the company.  Microsoft releases first operating system: MS-DOS.  Introduced “commands” that users could give to the computer. (“C”)  The backslash key is introduced (\).  Effective, but hard to use for personal computer users.

13 : Windows : Windows 1.0  Interface Manager was proposed name for operating system.  Settled on “Windows” because of the new boxes or computing windows.  Introduced “point and click” rather than typing commands.  Introduced drop down menus, scroll bars, icons, and dialog boxes.  Shipped with Paint, Notepad, Calculator, and Calendar.  First operating system that was easy enough for anyone to learn. 1987: Windows 2.0  Desktop icons, expanded memory, improved graphics.  Keyboard shortcuts were introduced.  Companies other than Microsoft begin to write programs for Windows.  In 1988, Microsoft became the world’s largest PC software company based on sales volume.  Computers become part of daily life at work. 1990: Windows 3.0  Sold 10 million copies.  Most widely used operating system up to this point.  Improved memory and graphics.  Introduction of Program Manager, File Manager, and Print Manager.  Solitaire, hearts, and minesweeper. Microsoft has established dominance in the computing industry.

14 : Windows 95- The Modern Day PC  Most anticipated launch of all time.  Released on August 25,  Sold 7 million copies in five weeks.  Fax, , modems, and the Internet.  In 1995, 80% of the world’s computers are running some version of Windows or MS-DOS.  Available in 12 languages.  The star menu is introduced.  Taskbars and the ability to minimize, maximize, and close windows.  Internet Explorer released later that year.

15 1998: Windows 98  First version of windows designed specifically for individual users, not businesses.  “Works Better, Plays Better.”  DVD Discs, USB Drive.  Windows Me presented numerous music, video, and home networking capabilities (Windows Media Player).  System Restore allows users to revert their computer back to a point in time where it was working properly.

16 2000: Windows 2000  Designed to replace Windows 95, Windows 98 on all business desktops and laptops.  Added reliability improvements, ease of use, and better internet compatibility.  Introduced hardware installation support (Wizard).  Fun Fact- The nightly stress test performed on Windows 2000 during development is the equivalent of three months of run time on up to 1,500 computers.  Steve Ballmer takes over as C.E.O.

17 : Windows XP- Continuing Dominance in the PC World  Released in October  Completely redesigned clean and simple look and feel. Fast and stable.  Available in 25 languages.  From the mid 1970s up until October 2001, over 1 billion PCs have been shipped.  Introduced increased security protocols to deal with the increase of hacking and computer viruses.  Remote desktop support, advanced networking features, Windows Messenger.  One of Microsoft’s most popular products of all time.

18 : Windows Vista- The Decline  Graphically and visually impressive.  Updated security system.  At times, during production it would take the system 10 minutes to boot up.  Unstable, frequently crashed.  PC world declared Vista “The biggest tech disappointment of 2007”.  For the first time, Microsoft loyalists had begun to look elsewhere for their operating system needs

19 2009: Windows 7  Attempted to get back to its “Microsoft Roots”.  Simpler and more stable design than Vista.  Release was geared towards wireless and laptop users.  Debut of Windows Touch.  Over 8 million beta testers worldwide before the release.  Eagerness to get away from Vista.

20 2012-Current: Windows 8  Completely reimagined design.  Extremely touch friendly.  Intended to be used for both computers and tablets. Both pieces of hardware will be able to run the same operating system.  Start screen has “tiles” that connect to friends, files, applications, music, videos, and websites.  Windows Store is built into start screen.  The verdict is out on user acceptance.

21 Other Notable Microsoft Products SkypeXbox Series

22 What Led to Microsoft’s fall?  Lack of innovative edge.  Corporate bureaucracy.  Change in leadership. Bill Gates to Steve Ballmer.  Increased competition from visionary Steve Jobs and Apple.  When Apple introduced the iPhone, Steve Ballmer laughed. “No chance that the iPhone is going to get any significant market share.”  Similar reactions to iPod, iPad, and Google.  in 2005 he proclaimed, “Google’s not a real company. It’s a house of cards.”

23 The culture of Microsoft

24 Overview  Vision statement  Networking  Diversity

25 Vision statement  the establishment of a company’s goals for the long term future.  Microsoft’s vision statement  How their vison statement influences their decision making

26 Networking  The overall work culture at Microsoft is all based on networking  Employees see it as a fast paced, challenging experience  Without communicating and networking they cannot succeed.

27 Diversity  Value viewing ideas from a different perspective  Encourages employees to perform at the highest level possible  Gives them an edge over their competitors

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29 U.S. V. MICROSOFT (2001) Maintenance of Monopoly

30 Introduction  In May of 1998, the US Department of Justice, twenty individual states, and DC filed suit against Microsoft  Claimed Microsoft had monopolized the market for PC OSs  Also that it had used its monopoly to engage in a wide range of antitrust violations

31 Claims by Both Sides  The Government claimed that Microsoft had engaged in multiple anticompetitive acts to protect its OS monopoly  Consumers were being harmed by higher prices  Microsoft’s actions had reduced innovation  Microsoft argued it was not a monopoly  Highly dynamic industry  Microsoft also claimed to be procompetitive since consumers benefited  Access to high quality, innovative software

32 Background (How it Got Started)  The battle of the browsers  Netscape Navigator was first successful internet browser  To catch up Microsoft forced OEMs to license and install their browser (Internet Explorer)  The Government sued Microsoft for this and was initially successful  On appeal, however, it was ruled that the combination of Internet Explorer and the OS offered functionality not available without product “integration.

33 Background (How it Got Started)  DOJ, 20 states, and The District of Columbia brought suit against MS claiming:  That Microsoft had engaged in a range of practices in violation of Section 1 of the Sherman Act  Operating System Licenses with Original Equipment Manufacturer.  Contracts with Internet Service Providers  Ties between its Operating Systems and Internet Explorer  That Microsoft had attempted to monopolize the market for internet browsers (Violated Section 2 of the Sherman Act)

34 Debating the Economic Issues  Did Microsoft have monopoly power?  The Government’s Perspective  Yes, according to market share data Microsoft’s share of PC operating systems was very high and had remained stable over time.  During the 1990s, Microsoft’s worldwide share of shipments of Intel-based operating systems had been approx. 90 percent or more

35 What happened after?  Almost a decade later, the government’s predictions about browser competition have turned out to be correct.  Internet Explore’s share of the market grew to over 90%  Microsoft’s OS monopoly continues today  New challenges for Microsoft  A rise in browser competition from Firefox, etc.  Power has shifted to web based companies  Linux based operating systems gaining traction

36 The Future for Microsoft 


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