How Bill Gates CRUSHED IBM with One GENIUS Move (The Story of the Personal Computer)

It's been called the greatest business move of all time: the Microsoft deal with IBM in 1980. In this video, we explore why this agreement between two industry giants was such a game-changer, and how it transformed the tech landscape forever.

We examine the strategies and motivations that drove Microsoft and Bill Gates to secure the deal and the wider implications for the industry. We also explore the long-term impact of the agreement, including the rise of personal computing and the democratization of technology.

Discover how this agreement allowed Microsoft to establish itself as a major player in the industry and made Bill Gates a billionaire and the richest man in the world. From the groundbreaking technology to the shrewd business decisions, we aim to shed light on what made this deal so special and why it continues to be a source of inspiration for entrepreneurs and business leaders today.

#documentary #minidocumentary #billgatesfacts
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Affiliate Disclaimer: This video and description may contain affiliate links, which means that if you click on one of the product links, I'll receive a small commission. This helps to support the channel so that I may invest more time in making informative videos.

All clips used for fair use commentary, criticism, and educational purposes. See Hosseinzadeh v. Klein, 276 F.Supp.3d 34 (S.D.N.Y. 2017); Equals Three, LLC v. Jukin Media, Inc., 139 F. Supp. 3d 1094 (C.D. Cal. 2015).

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[gaminawulfsdottir]

1:00 Seeing an opportunity does not make you a "visionary"; it makes you an opportunist.

[LineDesign]

This is a much more satisfying version of the old tale, with more balanced reporting than most retellings. ❤

[Wulfdane]

The success of Microsoft in those early days was a result of other people’s/companies bad decisions, Bill Gate’s ability to recognize an opportunity and his ruthlessness.

Kildall was an important figure, but he never could have been Bill Gates - he lacked the foresight and ruthlessness.

[captainkeyboard]

These old documentary stories make me appreciate the microcomputer and its technology more than I had ever imagined. 💙

[MartinFarrell]

The commentary was so quiet that the YouTube ads came on blaring. Although, fascinating documentary about a pivotal moment in personal computer history

[litestuffllc]

You are missing major points Bills Daddy was an intellectual rights attorney- Microsoft initially was not a normal "software company' It was a computer language company focusing mostly on Basic. Microsoft Basic was already with the Apple II. Secondly, IBM had already contracted with Microsoft to provide Basic for the IBM PC; but - Microsoft could only provide it on time IF the OS was essentaily identical in calls to CPM because Microsoft had already developed Basic for CPM. So Microsoft had to Rip off CPM to honor the Basic language contract; the first version of MS DOS was 95+% identical to CPM. Digital research sued and won, but the award was limited to the first version;. Microsoft had quickly improved the code for the next version and was not held liable for damages for subsequent versions.

[_of_]

Amazing person! He is the reason the world can choose between different computers today! Birth of the Open source.
IBM Aptiva and IBM Thinkpad were some impressive machines with highest quality than anything else

[nathanieldrain]

Bill tried to pass the ball to Gary. Gary dropped the ball.

[Phillipthefool.]

is the clip were they are meeting is that in a movie and what in the movie called

[liquidsnake]

They didn't buy 86-DOS for 50k they licensed it for 25k and then added another 50k to buy the rights to it outright after they'd made modifications to it, additionally they hired Tim Paterson who was thus the creator of both 86-DOS and MS-DOS and who stayed at Microsoft for a while, returning several times working for them a combined total of some 10 years.

Arguing 86-DOS is a ripoff of CP/M is the same as arguing CP/M itself was a ripoff of TOPS-10 the only real difference with CP/M is that Kildall focused on the software, not the hardware, so he compiled multiple versions for whatever hardware he wanted to use (within the Intel 8080 architecture). But functionally nothing else in CP/M was any different from what was already present in TOPS-10 before it. Calling Kildall an inventor is a stretch, Microsoft was already bundling different programs for different hardwares, which is effectively the same as what Kildall was doing, they just didn't have an operating system (they technically had Xenix but that was more mainframe focused UNIX stuff, not what IBM wanted)

Microsoft actually aided Kildall for a while with the Microsoft Softcard which did Kildall's job for him and allowed CP/M to run on machines that Digital Research for some reason did not officially support, such as the Apple II by doing this Microsoft is directly responsible for extending CP/Ms life as incompatibility with the Apple II would've killed them much earlier without Microsoft's intervention

This is incidentally also the reason 86-DOS was created by Seattle Computer Products, that Kildall only supported Intel 8080 platforms and they had machines that weren't compatible and weren't selling due to the lack of an OS like CP/M

This video at first makes it seem like the plane story is a lie told by Gates but then tacitly admits that it's true by Kildall's own silence on the matter and him saying it's not "the only reason" that the deal fell through which i believe is the case, but this statement is Kildall admitting that Gates told the truth, the plane story wasn't made up and the question remains,
Why would Kildall go flying when Bill Gates had warned him important people were coming to see him? Reason is at the time Kildall was a rich successful software entrepreneur, Bill Gates ran a small software house in Seattle making interpreters, whomever Bill Gates considered "Important" wasn't important to Kildall, he was arrogant and stumbled in his arrogance.

And yes Gates was definitely much more attuned to the reality of software than anyone at IBM and had already realised long ago that Software was far more valuable than hardware, something IBM was not yet prepared to consider.

Finally as a programmer myself, even today Kildall would have no claims whatsoever to MS-DOS in any court, you're authorized to make a terminal emulator with a "DIR" command, Microsoft can't sue you for that and neither could Kildall, Kildall would need to prove in court that Paterson's code was directly copied from his which was never done and which Paterson denies to this day.

So you're calling Tim Paterson a liar, and this is unlikely as, as i've mentioned, CP/M was not compatible with the architecture 86-DOS was created to service, the assembly languages were different and according to Paterson he just went by a user manual to get an idea of how CP/M worked and to implement something similar on different architecture, to this day this would not fit the definition of a code copyright violation

[lberry]

Our company switched from MS-DOS to DR-DOS almost immediately after it came out. If I remember correctly (and there is a good chance I’m not), X-Copy was the biggest reason. A little thing, but in our world it made a huge difference.

[ВладимирСтанојевић]

At that time, IBM was a gigantic company. Why didn't they develop their own OS? I'm pretty sure they could have done it, without outsourcing it.

[raymondjackson]

Whether he was flying, swimming, meeting... whatever. Point is Kidal wasn't there. And even if he was, the probability is the meeting would have turned out the same way. Gary was a great man, who navigated that early world of personal computing expertly, and would his story had turned out better. But he never would have been Bill Gates. He didn't have the drive needed to power that future. Gary could only be Gary. And only Bill Gates and be Gill Gates.

[MonsieurDrobot]

Gate’s past is so shady. Thanks for shining a light on it!!

[LineDesign]

Thank you for mentioning that the Kildall Flew The Coop story is more complex than Gates made it seem ❤

[timgibney]

Don't worry about missing an opportunity. Someone will always take the opportunities you won't take! Same is true for job opportunities, lovers, investments etc. Someone reading this who has a great job and spouse got there from someone else being fired or screwing up the interview. A crappy ex bf/gf opened the door for you to make him/her your spouse. Lesson learned. Be on top of things always and jump when opportunities come. Life is wonderous yet unforgiving with mistakes.

[cosmicavatar]

I wouldnt say he crushed IBM, Gary Kildall was out flying his plane that day when he was supposed to meet IBM. Had everything worked out they would have went with him instead of Bill. Lets not forget that Bills mother had close ties to IBM at the time which helped him out.

[northvilletunnels]

He f'd over Gary Kildall, who was actually a genius.

[jelmerwalsh]

Did that genius move involve a "Microsoft knife in IBM's back.?".

[AlexSage]

Dam... good to know! That little detail is so crucial to what really happened... The non exclusive agreement.
Gary Kildal got into a fist fight at a bar, and that's why he had head injuries. He totally missed out on becoming a major figure. But not in vain. He's still a major part of the pc history.