The History of Microsoft
Microsoft stands as a symbol of the personal computing revolution of the 1980s and 1990s, thanks to the widespread success of its Windows operating system and Office software suite. Founded by Bill Gates, the tech giant has played a crucial role in shaping the digital age. Since the early 2000s, Microsoft has ventured into new territories—including gaming with Xbox, smartphones, and the ultrabook market—with varying levels of success.
Founded on: April 4, 1975
Founders: Bill Gates and Paul Allen
Headquarters: Redmond, Washington, USA
Core Products: Operating systems, software applications, personal computers, and gaming consoles
Notable Slogan: "Empower every person and organization on the planet to achieve more"
Microsoft’s Digital Transformation and Pursuit of Innovation
In 1995, Microsoft launched the MSN internet portal, along with popular services like Hotmail and Live Messenger, which became staples of early internet communication. To challenge Google’s dominance, Microsoft later developed its own search engine, Bing.
In 2000, the company embraced the web with the introduction of its .NET strategy, and by 2008, it made a major leap into cloud computing with the launch of Azure. Despite these successes, Microsoft's foray into mobile telephony—with the Windows Phone operating system and later Lumia smartphones—did not manage to gain significant traction.
A turning point came on February 4, 2014, when Satya Nadella was appointed CEO. Under his leadership, Microsoft renewed its focus on innovation and successfully repositioned itself as a major force in cloud services, AI, and enterprise solutions.
Software and Hardware: Microsoft’s Expansive Diversification
Operating Systems and Software
Microsoft continues to lead in the operating system market with its latest version, Windows 11. Its iconic Office suite has evolved into Microsoft 365, which now includes a broad range of productivity tools such as Word, Excel, PowerPoint, Microsoft Teams, Outlook, OneDrive, OneNote, Project, and SharePoint. Microsoft 365 is available in versions tailored for individuals, businesses, and the education sector.
In addition, Microsoft remains a major player in cloud computing with its Azure platform. The company has also expanded its digital ecosystem through ventures like the Bing search engine, the LinkedIn professional network, and Outlook.com for email services.
Founded on: April 4, 1975
Founders: Bill Gates and Paul Allen
Headquarters: Redmond, Washington, USA
Core Products: Operating systems, software applications, personal computers, and gaming consoles
Notable Slogan: "Empower every person and organization on the planet to achieve more"
Bill Gates’ Stroke of Genius
Microsoft was founded in 1975 by two Harvard students, Bill Gates (20) and Paul Allen (22). Their initial ambition was to develop and sell a BASIC interpreter—Altair BASIC—for the Altair 8800, one of the first personal computers available in the U.S. The Microsoft trademark was officially registered on November 26, 1976.
After creating and selling BASIC programs for the Altair 8800, Microsoft became a subcontractor for IBM. In the 1980s, it quickly came to dominate the PC operating system market with MS-DOS. Bill Gates’ brilliant move was securing a contract with IBM that did not include an exclusivity clause—allowing Microsoft to license MS-DOS to other PC manufacturers and exponentially expand its reach.
Microsoft went public on the NASDAQ in March 1986, with its stock price skyrocketing. Four employees—including Gates—became billionaires, and around 12,000 others eventually became millionaires. By 1990, the company’s revenue had surpassed $1 billion.
In August 1989, Microsoft launched the first version of Microsoft Office, bundling together Word, Excel, PowerPoint, and Microsoft Mail—products that had previously been sold separately since 1983. Initially released for Apple, the suite was made available for Windows the following year.
Microsoft's dominance in the tech industry was now firmly established. In 2000, Bill Gates stepped down as CEO, handing the role to Steve Ballmer, though Gates remained on the board of directors until his final departure from the company in 2020.
Windows 95: A Symbol of Microsoft’s PC Dominance
For two decades, Microsoft’s history was marked by a series of strategic triumphs, beginning with its first major contract with IBM. Following the development of its own operating system and the launch of the Office suite, Microsoft introduced Windows NT 3.1 in 1993—the first version of Windows specifically designed for the business sector.
However, it was Windows NT 4.0 that truly solidified Microsoft’s presence in the corporate world. By combining the robust graphical interface of Windows 95 with a powerful server platform, Microsoft captured a global market share exceeding 65%, firmly establishing its dominance across both personal and professional computing.
Microsoft was founded in 1975 by two Harvard students, Bill Gates (20) and Paul Allen (22). Their initial ambition was to develop and sell a BASIC interpreter—Altair BASIC—for the Altair 8800, one of the first personal computers available in the U.S. The Microsoft trademark was officially registered on November 26, 1976.
After creating and selling BASIC programs for the Altair 8800, Microsoft became a subcontractor for IBM. In the 1980s, it quickly came to dominate the PC operating system market with MS-DOS. Bill Gates’ brilliant move was securing a contract with IBM that did not include an exclusivity clause—allowing Microsoft to license MS-DOS to other PC manufacturers and exponentially expand its reach.
Microsoft went public on the NASDAQ in March 1986, with its stock price skyrocketing. Four employees—including Gates—became billionaires, and around 12,000 others eventually became millionaires. By 1990, the company’s revenue had surpassed $1 billion.
In August 1989, Microsoft launched the first version of Microsoft Office, bundling together Word, Excel, PowerPoint, and Microsoft Mail—products that had previously been sold separately since 1983. Initially released for Apple, the suite was made available for Windows the following year.
Microsoft's dominance in the tech industry was now firmly established. In 2000, Bill Gates stepped down as CEO, handing the role to Steve Ballmer, though Gates remained on the board of directors until his final departure from the company in 2020.
Windows 95: A Symbol of Microsoft’s PC Dominance
For two decades, Microsoft’s history was marked by a series of strategic triumphs, beginning with its first major contract with IBM. Following the development of its own operating system and the launch of the Office suite, Microsoft introduced Windows NT 3.1 in 1993—the first version of Windows specifically designed for the business sector.
However, it was Windows NT 4.0 that truly solidified Microsoft’s presence in the corporate world. By combining the robust graphical interface of Windows 95 with a powerful server platform, Microsoft captured a global market share exceeding 65%, firmly establishing its dominance across both personal and professional computing.
The Rise of Windows 95 and Internet Explorer
Released in 1995, Windows 95 was the first version of Microsoft’s operating system to introduce the iconic Start menu and built-in driver management. It was perfectly adapted to the consumer PC landscape of the time, including the popular 386 and later Pentium-based machines. With strong backing from manufacturers like HP and Compaq, Windows 95 quickly rose to dominance, reaching nearly 70% market share just two years after launch.
Bundled with Internet Explorer, Windows 95 helped Microsoft overtake Netscape in the browser wars. The release of Windows 98 further strengthened Microsoft’s position, pushing Internet Explorer’s usage to an impressive 94.2%. In stark contrast, AOL’s market share dropped dramatically—from 80% in 1995 to just 4.5% by 2001.
Microsoft’s Bold Expansion Efforts
Microsoft’s journey quickly took on an international dimension, with Windows and Office achieving—and maintaining—global dominance. However, the company’s success extends far beyond these flagship products.
In 1990, Microsoft entered the server software market with LAN Manager, followed by the launch of Windows Server, a server version of Windows NT. At its peak, Windows Server held over 65% of the global market. Microsoft expanded its enterprise offerings with tools like SQL Server, Exchange, Operations Manager, and more. By 2006, the server business accounted for 23% of the company’s revenue.
At the same time, Microsoft also catered to the consumer market with a variety of popular products, including Microsoft Flight Simulator, the Encarta digital encyclopedia, Money for personal finance, the Works office suite, and a range of computer peripherals like keyboards and mice. A major milestone came in 2001 with the launch of the Xbox video game console. In 2012, Microsoft introduced the Surface, bridging the gap between laptops and touchscreen tablets and establishing a new product category.
Released in 1995, Windows 95 was the first version of Microsoft’s operating system to introduce the iconic Start menu and built-in driver management. It was perfectly adapted to the consumer PC landscape of the time, including the popular 386 and later Pentium-based machines. With strong backing from manufacturers like HP and Compaq, Windows 95 quickly rose to dominance, reaching nearly 70% market share just two years after launch.
Bundled with Internet Explorer, Windows 95 helped Microsoft overtake Netscape in the browser wars. The release of Windows 98 further strengthened Microsoft’s position, pushing Internet Explorer’s usage to an impressive 94.2%. In stark contrast, AOL’s market share dropped dramatically—from 80% in 1995 to just 4.5% by 2001.
Microsoft’s Bold Expansion Efforts
Microsoft’s journey quickly took on an international dimension, with Windows and Office achieving—and maintaining—global dominance. However, the company’s success extends far beyond these flagship products.
In 1990, Microsoft entered the server software market with LAN Manager, followed by the launch of Windows Server, a server version of Windows NT. At its peak, Windows Server held over 65% of the global market. Microsoft expanded its enterprise offerings with tools like SQL Server, Exchange, Operations Manager, and more. By 2006, the server business accounted for 23% of the company’s revenue.
At the same time, Microsoft also catered to the consumer market with a variety of popular products, including Microsoft Flight Simulator, the Encarta digital encyclopedia, Money for personal finance, the Works office suite, and a range of computer peripherals like keyboards and mice. A major milestone came in 2001 with the launch of the Xbox video game console. In 2012, Microsoft introduced the Surface, bridging the gap between laptops and touchscreen tablets and establishing a new product category.
Microsoft’s Digital Transformation and Pursuit of Innovation
In 1995, Microsoft launched the MSN internet portal, along with popular services like Hotmail and Live Messenger, which became staples of early internet communication. To challenge Google’s dominance, Microsoft later developed its own search engine, Bing.
In 2000, the company embraced the web with the introduction of its .NET strategy, and by 2008, it made a major leap into cloud computing with the launch of Azure. Despite these successes, Microsoft's foray into mobile telephony—with the Windows Phone operating system and later Lumia smartphones—did not manage to gain significant traction.
A turning point came on February 4, 2014, when Satya Nadella was appointed CEO. Under his leadership, Microsoft renewed its focus on innovation and successfully repositioned itself as a major force in cloud services, AI, and enterprise solutions.
Software and Hardware: Microsoft’s Expansive Diversification
Operating Systems and Software
Microsoft continues to lead in the operating system market with its latest version, Windows 11. Its iconic Office suite has evolved into Microsoft 365, which now includes a broad range of productivity tools such as Word, Excel, PowerPoint, Microsoft Teams, Outlook, OneDrive, OneNote, Project, and SharePoint. Microsoft 365 is available in versions tailored for individuals, businesses, and the education sector.
In addition, Microsoft remains a major player in cloud computing with its Azure platform. The company has also expanded its digital ecosystem through ventures like the Bing search engine, the LinkedIn professional network, and Outlook.com for email services.
