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The Evolution of Microsoft: From Innovation to Challenges

Explore the history of Microsoft from its inception in 1968 to the challenges faced by Windows 11. Learn about key products, competitors, and future plans.

Video Summary

The history of Microsoft dates back to 1968 when Bill Gates and Paul Allen delved into programming using time-sharing computers. In 1975, they officially founded Microsoft and landed a significant contract with Altair 8800. The pivotal moment came in 1980 when Microsoft introduced its first operating system, Xenix. A year later, IBM's decision to adopt MS-DOS for its new PC catapulted Microsoft to unprecedented success. The launch of Windows in 1985 marked a turning point, eventually becoming the cornerstone of the company's product line. Despite the evolution with versions like Windows 95, the company encountered hurdles with Windows 8 and 10, leading to a decline in market share and the emergence of formidable competitors such as Apple and Chrome OS. The recent debut of Windows 11 faced backlash over its stringent system requirements and design choices, underscoring the challenges Microsoft continues to navigate. Throughout its journey, Microsoft has been synonymous with innovation and triumph, shaping the technological landscape we inhabit today. The narrative unfolds with Microsoft's trajectory from triumph to adversity, examining the impact of seminal products like Windows XP, Windows Phone, Windows 8, and Windows 10, alongside the influence of Apple's revolutionary iPhone and iPad on Microsoft's strategic decisions. The transition to Apple silicon and the ascendance of Mac OS in market share are also scrutinized. Windows 11 encounters impediments in adoption due to hardware prerequisites and a dearth of novel features, while Windows for ARM grapples with app compatibility issues. A recent global system outage triggered by a flawed update from CrowdStrike underscores the cybersecurity risks entwined with technological advancements. Microsoft's vision to migrate Windows to the cloud hints at a potential shift towards a subscription-based model. Rivals like Mac OS, Linux, and Chrome OS present viable alternatives with superior optimization and app support, posing a formidable challenge to Windows' hegemony in the market.

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Keypoints

00:00:00

Microsoft's Decline

A few weeks back, the biggest computer outage in history occurred, affecting critical industries like Aviation, banking, retail, law enforcement, and 8.2 million Windows computers. This outage was caused by a regular security update, not a cyber attack. Microsoft, in desperate need of more Windows users, faced a significant setback.

00:00:42

Evolution of Windows OS

Microsoft's Windows OS, once revolutionary, has faced a decline. Windows 7 was praised for its speed, responsiveness, and security. However, subsequent versions like Windows 8 and 10 faced criticism for radical design changes, annoying update policies, and privacy concerns. The introduction of Windows 11 further complicated matters, leading to a decrease in Windows computer market share over the years.

00:02:29

Microsoft's History

The true story of Microsoft dates back to 1968 when Bill Gates, along with Paul Allen, had access to a teletype Model 30 computer at Lakeside School. This rare opportunity allowed Gates to learn programming, a skill uncommon among high school students at the time. The computer was connected to a General Electric Mainframe, showcasing the early days of computing technology.

00:04:08

Modern Technology Advancements

The evolution of technology is evident in modern computing devices. For instance, the Gcom Mini XT13 Pro features a powerful Intel Core i9 processor with impressive specifications like 14 cores, 20 threads, 24MB cache, and clock speeds up to 5.4 GHz. This compact device, with a TDP of only 35 Watts, highlights the significant advancements in processing power and efficiency compared to early computing systems.

00:05:03

Geekhom PC Specifications

The Geekhom PC comes equipped with a 1 TB SSD, multiple CPU cores and threads, 32 GB of RAM, and a super-fast SSD for file transfers. The PC remains cool and quiet due to efficient fan design and strategic heat pipe placement. It is modular, allowing for easy upgrades like adding more RAM or SSDs.

00:06:05

Geekhom PC Connectivity

The Geekhom PC features an array of ports including two USB Type-C ports, two HDMI ports, an Ethernet port, and Wi-Fi 6E support. It can handle tasks like watching 8K videos and real-time VR, and can connect to two 4K monitors simultaneously.

00:06:41

Geekhom PC Review

The Geekhom PC is described as a perfect blend of power, compact size, and upgradeability. It offers a quiet and cool operation, making it ideal for various tasks like programming, web design, and multitasking with numerous Chrome tabs open.

00:06:55

Early Days of Bill Gates, Paul Allen, and Ken Evans

In their early teens, Bill Gates, Paul Allen, and Ken Evans were fascinated with programming. They exploited a flaw in a time-sharing system to use a computer for free, leading to the formation of a computer club. Despite getting banned, they continued their programming endeavors, eventually founding Microsoft in 1975.

00:08:01

Microsoft's Early Success

In 1975, Bill Gates and Paul Allen secured a lucrative contract with MITS for their Altair BASIC software. By 1978, Microsoft had made over $1 million and launched its first operating system, Xenix. The breakthrough came in 1981 when IBM chose MS-DOS as the OS for its new PC, propelling Microsoft to success.

00:09:02

Microsoft's Rise to Prominence

Microsoft's success continued with the release of Windows in 1985, which gradually gained popularity and became the company's main product. By licensing MS-DOS to various computer companies, Microsoft dominated the PC market, with Windows eventually becoming the most popular OS. The rejection of the offer by Apple contributed to Microsoft's success.

00:09:56

Microsoft Office Release

Microsoft managed to release Microsoft Office after a series of company acquisitions. The initial version was more limited but laid the foundation for the widely known Microsoft Office suite we use today.

00:10:08

Windows 95 Success

Windows 95 introduced the start menu, taskbar, and a more intuitive user interface, making it more accessible. It was a massive commercial success, selling over a million copies within the first 4 days of its release.

00:10:22

Marketing Success and Legal Troubles

The success of Windows 95 was attributed to a memorable marketing campaign featuring The Rolling Stones' 'Start Me Up' track. However, in 1998, the US Department of Justice and 20 states filed a case against Microsoft for anti-competitive practices, leading to a trial that ended in 2000 with a proposition to break Microsoft into separate entities.

00:11:38

Paul Allen's Departure

One of the founding fathers, Paul Allen, left Microsoft's board of directors in 2000 due to health reasons. Suffering from hodgkin lymphoma, Allen had been undergoing aggressive therapy, prompting him to step back from his day-to-day responsibilities at Microsoft. His departure marked a significant loss for the company.

00:12:33

Windows XP Launch

Windows XP, launched by Microsoft, is considered one of the best Windows versions ever. Combining the best features from previous systems, it enjoyed official support for 13 years until 2014. Its success solidified Microsoft's position as a true monopolist in the market.

00:13:15

Impact of Apple's iPhone on Microsoft

The release of Apple's iPhone in 2007 marked a turning point for Microsoft. While Microsoft had been producing mobile communicators, the iPhone's revolutionary success highlighted Microsoft's shortcomings in the mobile market. Despite efforts with the Windows Phone in 2010, Microsoft struggled to compete with the established app ecosystem of the iPhone, leading to challenges and setbacks for the company.

00:14:45

Microsoft's Mistakes with Windows Phone and iPad Impact

Microsoft made a huge miscalculation by being late to the smartphone market, leading to the failure of the Windows Phone OS in 2015. The iPad had a significant impact on Microsoft, accelerating the shift from computers to phones and tablets.

00:15:45

Revamping Windows with Tiles and Windows 8 Disaster

In an attempt to prepare for the touchscreen future, Microsoft revamped Windows with tiles in 2010, which became part of Windows 8 in 2012. The Metro interface with tiles was a disaster, removing the traditional start menu and causing confusion among users.

00:17:11

Replacement of Windows 8 with Windows 10

Due to the failure of Windows 8, Microsoft replaced it with Windows 10 in 2015, reverting to a classic layout. Windows 8 represented Microsoft's uncertainty in a rapidly changing market and their unsuccessful attempts to copy successful products.

00:17:48

Microsoft's Shift to AR and VR with Windows 10

Microsoft rushed to make Windows 10 more AR-friendly when virtual reality became popular. They implemented mixed reality platforms and 3D features, but the changes had to be scrapped or turned into built-in apps as VR did not become mainstream.

00:18:30

Microsoft's Efforts with Foldables and Surface Duo

Microsoft prepared Windows for foldables with Windows 10X, focusing on dual screens, but the project was scrapped. The Surface Duo, Microsoft's own foldable, faced technical inferiority and software issues, leading to another project cancellation.

00:19:17

Apple's Continuous Product Improvements and Shift to ARM Chips

Apple has been consistently improving their products over the years, focusing on designing processors and enhancing their operating systems. In 2020, Apple made a significant shift to ARM chips with the M1, showcasing their commitment to innovation and advancement.

00:19:31

MacBook Air on M1 Performance

The transition to Apple silicon with the MacBook Air on M1 marked a significant leap in performance, surpassing all previous MacBooks in speed. Users praised its silent operation and exceptional battery life, setting a new standard in laptop performance.

00:20:00

Market Share Shift to Mac OS

The successful execution of Apple's shift to Apple silicon practically skyrocketed the Mac OS market share, a remarkable feat in a market that was rapidly shrinking. Windows was noted to be in decline while Mac OS was gaining popularity, indicating a significant shift in the industry.

00:20:17

Windows 11 Challenges

Despite Microsoft's efforts with Windows 11, the operating system faced challenges in dethroning Windows 10. Windows 11, while well-received as a good OS, struggled due to hardware requirements such as the need for TPM 2.0 support, limiting its adoption by users.

00:21:26

Windows 11 Limitations

Windows 11, although visually appealing and streamlined, faced criticism for its lack of significant new features. Issues such as mandatory internet connection for activation, persistent tracking, and intrusive suggestions in the start menu hindered its widespread adoption.

00:22:29

Challenges with Windows for ARM

The shift to ARM processors posed challenges for Microsoft, particularly in app support. While ARM-based devices offered improved performance and battery life, the lack of app compatibility and efficiency issues with the transition layer hindered adoption. Unlike Apple's successful transition with M1 Max and Rosetta 2, Windows for ARM faced significant hurdles in app support and developer adoption.

00:24:19

Windows Future and Hardware Support

Microsoft will have to support the new hardware being developed, leading to two versions of Windows - one for arm and one regular version. This raises questions about the company's focus on moving forward while neglecting existing systems.

00:24:48

Worldwide System Crash and Security Risk

A worldwide system crash caused by a faulty update from crowd strike, a cybersecurity company, affected 8.5 million computers. The crash highlighted the security risk posed by apps running in the kernel mode, giving hackers potential access to sensitive data.

00:26:36

Microsoft's Plans for Windows and Cloud Migration

Microsoft plans to move Windows fully to the cloud, eliminating the need for local installations. This shift towards a subscription-based model raises concerns about data security and accessibility.

00:27:23

Competition and Windows Positioning

Competitors like Mac OS, Linux, and Chrome OS are gaining traction by offering optimized performance, app support, and cost-effective solutions. Windows faces challenges in maintaining its position as the default operating system amidst increasing competition.

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