The Microsoft Way


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The story of Microsoft. The beginning.

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  • The Microsoft Way

    1. 1. The way … And the bumper called Ankit Saxena
    2. 2. Microsoft Values <ul><li>As a company, and as individuals, we value integrity, honesty, openness, personal excellence, constructive self-criticism, continual self-improvement, and mutual respect. We are committed to our customers and partners and have a passion for technology. We take on big challenges, and pride ourselves on seeing them through. We hold ourselves accountable to our customers, shareholders, partners, and employees by honoring our commitments, providing results, and striving for the highest quality. </li></ul>( from )
    3. 3. Developer Friendly <ul><li>With what is generally described as a developer-centric business culture, Microsoft has become widely known for some of its internal codes of conduct for its employees. One example is the &quot;eat your own dog food&quot; mantra, which describes the practice of using pre-release products inside the company to test them in an environment geared towards the real world </li></ul>
    4. 4. History <ul><li>The company was founded in Albuquerque, New Mexico on April 4, 1975 by Bill Gates and Paul Allen to develop and sell BASIC interpreters for the Altair 8800 . </li></ul><ul><li>1980 - XENIX – The first Operating System by Microsoft. A variant of UNIX –Acquired from AT&T- Never sold to the customers. </li></ul><ul><li>1983 - Microsoft Word released on XENIX platform. </li></ul><ul><li>1981 – IBM gave contract to develop an OS for their machines. </li></ul><ul><li>- Microsoft responded by PC-DOS (originally, QDOS) </li></ul><ul><li>- Microsoft retained the rights to DOS – licensed to IBM </li></ul><ul><li>March 1983 – Compaq releases IBM compatible PC - much cheaper – Microsoft provided the OS. </li></ul>
    5. 5. History (cont…) <ul><li>May 1983 - The Microsoft Mouse </li></ul><ul><li>November 20, 1985 – First version of Windows </li></ul><ul><li>March 13, 1982 – IPO - raising US$61 million at US$21.00 per share. By the end of the trading day, the price had risen to US$28.00 </li></ul><ul><li>1986 - Microsoft Works – Office suit for Macintosh </li></ul><ul><li>August 8, 1989 - Microsoft Office introduced. </li></ul><ul><li>May 22, 1990 - Windows 3.0 launched </li></ul><ul><li>- new features as streamlined user interface graphics </li></ul><ul><li>- sold over 100,000 copies in two weeks </li></ul>
    6. 6. History (contd…) <ul><li>March 1992 - Windows 3.1 released. Along with its first promotional campaign on TV . </li></ul><ul><li>-the software sold over three million copies in its first two months on the market. </li></ul><ul><li>1993 - Windows become the most widely used GUI operating system in the world </li></ul><ul><li>August 24, 1995 - Microsoft Windows 95 released featuring a completely new user interface, including a novel start button. </li></ul><ul><li>- More than a million copies of Microsoft Windows 95 were sold in the first four days after its release </li></ul>
    7. 7. Bill Gates <ul><li>Born in Seattle , Washington to William H. Gates, Sr. and Mary Maxwell Gates . </li></ul><ul><li>While in high school, he and Paul Allen founded Traf -O-Data , a company which sold traffic flow data systems to state governments. He also helped to create a payroll system in COBOL , for a company in Portland, Oregon. </li></ul><ul><li>Bill Gates scored 1590 on his SAT (out of 1600) - got in Harvard University in the fall of 1973 to pursue a Bachelors of Science in Computer Science . </li></ul><ul><li>Gates famously dropped out of Harvard during his third year to pursue a career in software development . </li></ul>
    8. 8. <ul><li>April 29th, 1975 - Age 19 - arrested for the charges of speeding and driving without a license. </li></ul>
    9. 9. Steve Ballmer <ul><li>Born March 24, 1956 in Detroit , Michigan </li></ul><ul><li>Scored a perfect 800 on the math SAT and competed in math tournaments. </li></ul><ul><li>Won a scholarship to Harvard College </li></ul><ul><li>Worked for two years at Procter & Gamble as an assistant product manager </li></ul><ul><li>Joining Stanford Graduate School of Business to get a Master of Business Administration degree </li></ul><ul><li>Dropped out of Stanford a year later when Gates persuaded him to work at Microsoft </li></ul><ul><li>1998 – Became President, Microsoft </li></ul><ul><li>January13, 2000 – Became CEO, Microsoft </li></ul>
    10. 10. Paul Allen <ul><li>Born January 21, 1953 </li></ul><ul><li>Owns two professional sports teams </li></ul><ul><li>Attended Lakeside School , a prestigious private school in Seattle – met Bill Gates </li></ul><ul><li>Attended Washington State University - dropped out after two years to go and work as a programmer for Honeywell in Boston. </li></ul><ul><li>Scored a perfect 1600 on his SAT </li></ul><ul><li>Later, persuaded Bill Gates to drop out of Harvard </li></ul><ul><li>Resigned from Microsoft in 1983 after being diagnosed with Hodgkin's disease which was successfully treated by several months of radiation therapy and a bone marrow transplant. </li></ul><ul><li>In November 2000, Allen resigned from his position on the Microsoft board but was asked to consult as a senior strategy advisor to Microsoft executives. </li></ul>
    11. 11. The Early Team
    12. 12. Intuit <ul><li>1983 - Scott Cook identified the need of an automated system that can help in bills payment </li></ul><ul><li>Hired Tom Proulx, a Stanford University student </li></ul><ul><li>Extensive market research </li></ul><ul><li>1984 – Quicken went on sale </li></ul><ul><li>By 1988 sales of Quicken surpassed those of the then market leader, MECA ’s Managing Your Money and Intuit ’s annual revenues were at $33 million and growing fast. </li></ul>
    13. 13. Intuit – The Growth <ul><li>After interviewing dozens, Scott Cook selected four talented venture capitalists who bought 20% of Intuit. </li></ul><ul><li>1990 - Quicken had positioned Intuit as the leader in the expanding personal finance services arena </li></ul><ul><li>Intuit partnered with CheckFree , a company whose technology would enable Intuit to offer electronic bill paying to its Quicken users. The contract covered from 1990 until June of 1995. </li></ul><ul><li>1993 - Intuit announced a public offering (an IPO ) of 1,500,000 shares of its common stock </li></ul>
    14. 14. Intuit – The growth Continues… <ul><li>1994 - leading provider of personal finance management software </li></ul><ul><li>Quicken , had an installed base of 6 million users </li></ul><ul><li>Closest competitor – Microsoft Money has 1million users. </li></ul>
    15. 15. The Microsoft -Intuit proposed merger <ul><li>In October of 1994, not being able to beat Intuit , Microsoft offered to buy it for $1.5 billion in stock </li></ul><ul><li>US Department of Justice intervened </li></ul><ul><li>The merger with Microsoft was officially abandoned on May 20, 1995. </li></ul>
    16. 16. Microsoft - Intuit - 1995 <ul><li>1995- Intuit included Navigator with both its Quicken and Turbo Tax products </li></ul><ul><li>1996 - Intuit sought to build Internet support more deeply into Quicken </li></ul><ul><li>Intuit wanted tight integration into its products without </li></ul><ul><li>Microsoft agreed – Internet explorer included. </li></ul><ul><li>Intuit wanted users to be able to update the prices of securities in their portfolio and to display information in HTML without having to leave the Quicken user interface and launch a separate Web browse </li></ul>
    17. 19. Microsoft – Bad or Unlucky ? <ul><li>There is no finding that those agreements resulted in wider distribution of IE or that they had any adverse impact on the distribution of Navigator by ISPs. </li></ul><ul><li>Nor is there any finding that Microsoft ever refused to provide technical support to ISPs because they did not enter into a &quot;First Wave&quot; agreement or because they used Navigator instead of, or in addition to, IE. </li></ul>
    18. 21. Microsoft – Bad or Unlucky ? <ul><li>IBM actually sells twice as much software as Microsoft does(1994) </li></ul><ul><li>AT&T, a $75 billion company, and Hewlett-Packard, a $25 billion company, are also significant software producers. </li></ul><ul><li>The US software is a $77 billion business, and the United States has 60% of the world market for software and related services </li></ul><ul><li>Microsoft's $5 billion in annual sales make it no serious threat to monopolize the industry in the near future. </li></ul>
    19. 22. Microsoft – Bad or Unlucky ? <ul><li>Microsoft’s market dominance would end if it stopped improving its product or charged too high of a price </li></ul><ul><li>The dominance of Microsoft does not seem to have slowed innovation at all. Eg.-Linux, Palm OS. </li></ul><ul><li>The government’s charges were not designed to aid the consumer, but instead were designed solely to aid Microsoft’s competitor </li></ul><ul><li>-when there was anti-trust news that was favorable to the government’s case against Microsoft, the stocks of Microsoft’s competitors actually declined. Apparently, investors did not believe that the government winning its case against Microsoft would aid their companies, even though their companies compete with Microsoft </li></ul>
    20. 23. Microsoft – Bad or Unlucky ? <ul><li>The Internet browser is an actual part of the operating system --- they should be seen as one product </li></ul><ul><li>Charge against Microsoft for controlling what appears on the desktop is not a serious charge - Most software products that are on the desktop are already installed on the computer. The icon on the desktop only increases the likelihood that the software product will be used. </li></ul><ul><li>- Microsoft Network has an icon on the desktop. Yet, Microsoft Network is still well behind American Online , which does not have an icon </li></ul><ul><li>If Microsoft were out to squelch its competitors, why do Netscape and WordPerfect work well on the Windows operating system </li></ul>
    21. 24. Microsoft – Bad or Unlucky ? <ul><li>If Microsoft is indeed a monopoly, it has not acted as a typical monopoly. Its prices have generally been low , not high. In fact for the word processor Microsoft Word , its prices were a bit lower in the Macintosh market, in which Microsoft held a very high market share, than they were in the PC market, in which Microsoft competed with WordPerfect </li></ul>
    22. 25. <ul><li>Thank You </li></ul>