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Microsoft Company Profile

Microsoft Introduction:

In 1960s, two school boys used to make computer software for fun and profit. They would have never thought that one day they will establish a company which will become the largest computer software company and one of the boys will become the richest man in the world.

We mean the Microsoft Incorporation! Which today employ more than 93, 000 employees and have its offices in more than 100 countries, its operating system are much more popular than its competitors and are used by billions of people. Let us go back into the history, to trace how the biggest incorporation in the computer world, which started its journey from two software engineers, reached its current position.


          Microsoft was established on 4th April 1975 by the two friends Bill Gates and Paul Allen. They developed the first computer high level language BASIC which they sold to Altair 8800. In June 1981, Microsoft incorporated itself. In August 1981, IBM introduced its PC with Microsoft 16-bit operating system, MS Dos 1.0.  In 1983, Paul Allen resigned from his post of vice-president but he kept his shares in the company. Jon Shirley was made the president. In the same year, Microsoft introduced Microsoft Mouse and word for MS-DOS 1.00           

Work with Apple Computer Incorporation:

Microsoft worked with Apple Computer Inc. during the development of Apple’s Macintosh computer, which was introduced in 1984. Revolutionary in its design, the Mac featured a graphical user interface based on icons rather than the typed commands used by the IBM PC, making its programs simple to use and easy to learn, even for computer novices. Microsoft introduced also Mac versions of BASIC, Word, and the spreadsheet program Multi-plan, and quickly became the leading supplier of applications for the Mac. Revenues jumped from $50 million in 1983 to nearly $100 million in 1984.

Joint development Agreement with IBM:

The next year; in 1985, Microsoft and IBM forge for a joint development agreement. The same year Microsoft began collaborating with IBM on a next-generation operating system, called OS

32-bits Operating System:

          In 1993, the company introduces its first 32-bit version operating system, Windows NT and Encarta, the first multimedia encyclopedia on CD-ROM.  The revenue for the company in 1994, reaches to $4 billion.

The Road Ahead” by Bill Gates:

          The founder of Microsoft, Bill Gates published his first book in 1995, The Road Ahead. In the book, he summarized the implications of the personnel computing revolution and described a future profoundly change by the arrival of a global “information superhighway”.


  • Microsoft Window 95
  • Microsoft Window 98
  • Microsoft Window 2000
  • Microsoft Window XP ( Service pack 1,2,3)
  • Xbox 360
  • Window vista
  • Ms office 2007
  • Window server 2008
  • SQL server 2008
  • Visual Studio 2008
  • MSN Bing
  • Window 7
  • Ms office 2010
  • Window 8
  • Office 365
  • Window 10


(In millions, except per share data)
Year Ended June 30, 2014(a) 2013 2012 2011 2010
Revenue $  86,833 $77,849 $69,943 $62,484
Operating income $  27,759 $26,764 (c) $27,161 $24,098
Net income $  22,074 (b) $21,863 (c) $23,150 $18,760
Diluted earnings per share $2.63 (b) $2.58 (c) $2.69 $2.10
Cash dividends declared per share $1.12 $0.92 $0.64 $0.52
Cash, cash equivalents, and short-term investments $  85,709 $77,022 $52,772 $36,788
Total assets $172,384 $142,431 $108,704 $86,113
Long-term obligations $36,975 $26,070 $22,847 $13,791
Stockholders’ equity $89,784 $78,944 $57,083 $46,175
  1. (a) On April 25, 2014, we acquired substantially all of Nokia’s Devices and Services business (“NDS”). NDS has been included in our consolidated results of operations starting on the acquisition date.
  2. (b) Includes a tax provision adjustment recorded in the fourth quarter of fiscal year 2014 related to adjustments to prior years’ liabilities for intercompany transfer pricing which decreased net income by $458 million and diluted earnings per share by $0.05.
  3. (c) Includes a charge related to a fine imposed by the European Commission in March 2013 which decreased operating income and net income by $733 million (€561 million) and diluted earnings per share by $0.09. Also includes a charge for Surface RT inventory adjustments recorded in the fourth quarter of fiscal year 2013, which decreased operating income by $900 million, net income by $596 million, and diluted earnings per share by $0.07.
  4. (d) Includes a goodwill impairment charge related to our previous Online Services Division business segment (related to Devices and Consumer Other under our current segment structure) which decreased operating income and net income by $6.2 billion and diluted earnings per share by $0.73.

Also Study: Microsoft Business and Marketing Strategies

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