Chapter 4 outlines the evolution of computing from 1945, highlighting key innovators and their contributions to interactive computing, such as Vannevar Bush's concept of the Memex and Douglas Engelbart's development of the mouse and hypertext systems. The chapter also emphasizes the transition from batch processing to more interactive paradigms that allowed for complex problem-solving and user engagement. Notable figures like J. C. Licklider, Ivan Sutherland, and Alan Kay significantly influenced the development of personal computing and user interfaces.