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On October 1, Microsoft announced its intention to launch a news operation, part of a new-look MSN, at the time of the Windows 8 launch that was later in the month. On July 31, 2012, Microsoft launched the Outlook.com webmail service beta to compete with Gmail. A developer preview was released on September 13, and was replaced by a consumer preview on February 29, 2012.

• The new Microsoft 365 brings together your favorite Microsoft apps all in one, intuitive platform
• Other highlights include system-wide audio control, latency-free mixing and seamless integration with any Windows app, empowering creators, educators and enthusiasts to achieve studio-level results from their desktop.
• Skeptics questioned the system software vendor’s decision to produce application software.
• On July 29, 2015, Microsoft released the next version of the Windows operating system, Windows 10.

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On September 22, 2020, Microsoft announced that it had an exclusive license to use OpenAI’s GPT-3 artificial intelligence language generator. On July 31, 2020, it was reported that Microsoft was in talks to acquire TikTok after the Trump administration ordered ByteDance to divest ownership of the application to the U.S. On July 22, 2020, Microsoft announced plans to close its Mixer service, planning to move existing partners to Facebook Gaming. On February 20, 2019, Microsoft Corp said it will offer its cyber security service AccountGuard to 12 new markets in Europe including Germany, France and Spain, to close security gaps and protect customers in political space from hacking. December also saw the company rebuilding Microsoft Edge as a Chromium-based browser; it was publicly released on January 15, 2020.

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This effectively ended the formal business partnership between Gates and Allen, which had been strained months prior due to a contentious dispute over Microsoft equity. The company restructured on June 25, 1981, to become an incorporated business in its home state of Washington (with a further change of its name to “Microsoft Corporation, Inc.”). The company’s first international office was founded on November 1, 1978, in Japan, entitled “ASCII Microsoft” (now called “Microsoft Japan”), and on November 29, 1979, the term, “Microsoft” was first used by Bill Gates. Allen came up with the original name of Micro-Soft, a portmanteau of microcomputer and software. As of June 30, 2015, Microsoft has a global annual revenue of US$86.83 billion (~$112 billion in 2024) and 128,076 employees worldwide. In 1980, Microsoft formed a partnership with IBM to bundle Microsoft’s operating system with IBM computers; with that deal, IBM paid Microsoft a royalty for every sale.

Skeptics questioned the system software vendor’s decision to produce application software. The first operating system publicly released by the company was a variant of Unix announced on August 25, 1980. It was an immediate success; 5,000 cards, a large number given the microcomputer market at the time, were purchased in the initial three months at $349 (~$1,112 in 2024) each and it was Microsoft’s number one revenue source in 1980. It develops, manufactures, licenses, and supports a wide range of software products for computing devices. When Microsoft launched several versions of Microsoft Windows in the 1990s, they had captured over 90% market share of the world’s personal computers.

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• The company continued to branch out into new markets in 1996, starting with a joint venture with NBC to create a new 24-hour cable news television station, MSNBC.
• It sported several new features such as enhanced multimedia abilities and consumer-oriented PC maintenance options, but is often regarded as one of the worst versions of Windows due to stability problems, restricted real mode DOS support and other issues.
• The app’s secure digital record-keeping, multi-channel communication and rapid document sharing make it a comprehensive solution for business owners seeking efficiency and control.
• In January 2023, CEO Satya Nadella announced Microsoft would lay off some 10,000 employees.
• Whether you’re an app enthusiast or a developer looking to make your mark, discover more about our ongoing commitment to innovation and how you can join the thriving Microsoft Store community.

On October 8, 2017, Joe Belfiore announced that work on Windows 10 Mobile was drawing to a close due to lack of market penetration and resultant lack of interest from app developers. Microsoft released Windows XP and Office XP in 2001, a version that aimed to encompass the features of both its business and home product lines. On February 17, Microsoft released an update to its business line of software in Windows 2000.

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In June 2016, Microsoft announced a project named Microsoft Azure Information Protection. The successor to Windows Phone 8.1, Windows 10 Mobile, was released November 20, 2015. On July 29, 2015, Microsoft released the next version of the Windows operating system, Windows 10. On January 21, 2015, Microsoft announced the release of their first Interactive whiteboard, Microsoft Surface Hub (part of the Surface family). On September 15, 2014, Microsoft acquired the video game development company Mojang, best known for its wildly popular flagship game Minecraft, for $2.5 billion (~$3.25 billion in 2024).

The success of the web caught them by surprise and they subsequently approached Spyglass to license their browser as Internet Explorer. The interface was discontinued in 1996 due to poor sales; Bill Gates later attributed its failure to hardware requirements that were too high for typical computers, and is widely regarded as one of Microsoft’s most unsuccessful products. In October, Windows for Workgroups 3.1 was released with integrated networking abilities such as peer-to-peer file and printing sharing. Novell, an owner of WordPerfect for a time, alleged that Microsoft used its inside knowledge of the DOS and Windows kernels and of undocumented Application Programming Interface features to make Office perform better than its competitors. By 1989 Jerry Pournelle described Microsoft as “the Redmond giant”, citing PowerPoint’s features and “extraordinarily complete” documentation as examples of the “kind of quality that makes it difficult for small outfits to compete with” the company.

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In 2002, Microsoft launched the .NET initiative, along with new versions of some of its development products, such as Microsoft Visual Studio. The operating system was the first to require Microsoft Product Activation, an anti-piracy mechanism that requires users to activate the software with Microsoft within 30 days. The release included an updated version of the Windows 2000 kernel, enhanced DOS emulation abilities, and many of the home-user features found in previous consumer versions. Microsoft, in 2000, released new products for all three lines of the company’s flagship operating system, and saw the beginning of the end of one of its most prominent legal cases. In 1997, Internet Explorer 4.0 was released, marking the beginning of the takeover of the browser market from rival Netscape, and by agreement with Apple, Internet Explorer was bundled with the Apple Macintosh operating system as well as with Windows.

Welcome to the new Office – Microsoft 365 Copilot

Windows CE 2.0, the handheld version of Windows, was released this year, including a host of bug fixes and new features designed to make it more appealing to corporate customers. The company also released the Microsoft SQL Server 6.5, which had built-in support for internet applications. In March 1992, Microsoft released Windows 3.1 along with its first promotional campaign on TV; the software sold over three million copies in its first two months on the market. Microsoft Works, an integrated office program which combined features typically found in a word processor, spreadsheet, database and other office applications, saw its first release as an application for the Apple Macintosh towards the end of 1986. By then the company was the world’s largest producer of software westernfx for personal computers—ahead of former leader Lotus—and published the three most-popular Macintosh business applications.

2014: Windows 8, Xbox One, Outlook.com, and Surface devices

On January 18, 2022, Microsoft announced the acquisition of American video game developer and holding company Activision Blizzard in an all-cash deal worth $68.7 billion. In the same month, Microsoft acquired Australia-based video editing software company Clipchamp. The announcement came with confusion after Microsoft announced Windows 10 would be the last version of the operating system; set to be released in the third quarter of 2021. On September 21, 2020, Microsoft announced its intent to acquire video game company ZeniMax Media, the parent company of Bethesda Softworks, for about $7.5 billion, with the deal expected to occur in the second half of 2021 fiscal year. Apple has imposed a strict limit on “remote desktop clients” which means applications are only allowed to connect to a user-owned host device or gaming console owned by the user.

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By then Forrester Research considered Microsoft, Ashton-Tate, Lotus Development, and Borland the “Big Four” of personal computer software. OS/2 was marketed in connection with a new hardware design proprietary to IBM, the PS/2. Ireland became home to one of Microsoft’s international production facilities in 1985, and on November 20 Microsoft released its first retail version of Microsoft Windows (Windows 1.0), originally a graphical extension for its MS-DOS operating system. With the release of the Microsoft Mouse on May 2, 1983, Microsoft continued to expand its product line in other markets. Later, the market saw a flood of IBM PC clones after Columbia Data Products successfully cloned the IBM BIOS, quickly followed by Eagle Computer and Compaq. Claiming more than a million installed MS-DOS machines, founder and chairman Bill Gates has decided to certify Microsoft’s jump on the rest of the industry by dominating applications, operating systems, peripherals and, most recently, book publishing.

Microsoft entered the multibillion-dollar game console market dominated by Sony and Nintendo, with the release of the Xbox. It sported several new features such as enhanced multimedia abilities and consumer-oriented PC maintenance options, but is often regarded as one of the worst versions of Windows due to stability problems, restricted real mode DOS support and other issues. The next update to the consumer line, Windows ME (or Windows Millennium Edition), was released on September 14, 2000. On June 15, 2000, the company released a new version of its hand-held operating system, Windows CE 3.0. Part of this ruling was later overturned by a federal appeals court, and eventually settled with the U.S. The documents also alluded to legal and other actions against Linux as well as other open source software.

During the transition from MS-DOS to Windows, the success of Microsoft Office allowed the company to gain ground on application-software competitors, such as WordPerfect and Lotus 1-2-3. The new version of Microsoft’s operating system boasted new features such as streamlined graphic user interface GUI and improved protected mode ability for the Intel 386 processor; it sold over 100,000 copies in two weeks. Unlike the model of Microsoft Works, Microsoft Office was a bundle of separate office productivity applications, such as Microsoft Word, Microsoft Excel and so forth. Microsoft committed to develop Macintosh versions of Multiplan, Word, and Microsoft Chart; Apple agreed to not provide software development kits and prototype computers to companies with applications competing with Microsoft’s. When the IBM PC debuted, Microsoft was the only company that offered operating system, programming language, and application software for the new computer.

Microsoft entered the personal digital assistant (PDA) market in November with Windows CE 1.0, a new built-from-scratch version of their flagship operating system, designed to run on low-memory, low-performance machines, such as handhelds and other small computers. In an attempt to extend its reach in the consumer market, the company acquired WebTV, which enabled consumers to access the Web from their televisions. Microsoft also launched Slate, an online magazine edited by Michael Kinsley, which offered political and social commentary along with the cartoon Doonesbury. The station was launched on July 15, 1996, to compete with similar news outlets such as CNN. The company continued to branch out into new markets in 1996, starting with a joint venture with NBC to create a new 24-hour cable news television station, MSNBC. On August 24, 1995, it launched a major online service, MSN (Microsoft Network), as a direct competitor to AOL.

Finally, a great deal of controversy took place when a set of internal memos from the company were leaked on the Internet. Microsoft launched its Indian headquarters as well, which would eventually become the company’s second largest after its U.S. headquarters. Windows 98 came with Internet Explorer 4.0 SP1 (which had Windows Desktop Update bundled), and included new features from Windows 95 OSR 2.x including the FAT32 file system, and new features designed for Windows 98, such as support for multiple displays.