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IBM launches the Personal Computer

In 60 words

On 12 August 1981, IBM launched the IBM Personal Computer, model 5150, priced from $1,565. It used an Intel processor and Microsoft's operating system. Because its design was open, other companies could build compatible machines, and the 'PC' became the standard for business and home computing around the world.

By 1981, small computers such as the Apple II were becoming popular, but IBM, the giant of business computing, had no personal computer.

A small IBM team in Boca Raton, Florida, built one in about a year. To save time, it used parts from other companies: an Intel 8088 processor and an operating system, PC DOS, licensed from a young company called Microsoft.

The IBM PC was announced on 12 August 1981. It was a huge success, and Time magazine named the computer its 'Machine of the Year' for 1982.

Because the design used standard parts and Microsoft kept the right to license its software to others, companies such as Compaq built cheaper 'IBM-compatible' PCs. Intel and Microsoft became two of the world's most powerful technology companies.

Key dates
12 August 1981
The IBM PC is launched
1982
Compaq announces its compatible portable computer
1985
Microsoft releases Windows 1.0

Sources: IBM · Computer History Museum · Britannica.

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