Coordinates: 47°38′23″N 122°7′42″W

Microsoft
Microsoft Corporation is an American multinational
technology corporation which produces computer Microsoft Corporation
software, consumer electronics, personal computers,
and related services. Its best known software products
are the Microsoft Windows line of operating systems,
the Microsoft Office suite, and the Internet Explorer Logo since 2012
and Edge web browsers. Its flagship hardware
products are the Xbox video game consoles and the
Microsoft Surface lineup of touchscreen personal
computers. Microsoft ranked No. 21 in the 2020
Fortune 500 rankings of the largest United States
corporations by total revenue;[3] it was the world's
largest software maker by revenue as of 2016.[4] It is
considered one of the Big Five companies in the U.S.
information technology industry, along with Google,
Apple, Amazon, and Facebook. Building 92 on the Microsoft Redmond campus

Microsoft (the word being a portmanteau of Formerly Microsoft Consumer Products

(1980–1982)
"microcomputer software"[5]) was founded by Bill
Gates and Paul Allen on April 4, 1975, to develop and Type Public
sell BASIC interpreters for the Altair 8800. It rose to Traded as Nasdaq: MSFT (https://www.na
dominate the personal computer operating system sdaq.com/symbol/msft)
market with MS-DOS in the mid-1980s, followed by
Nasdaq-100 component
Microsoft Windows. The company's 1986 initial
public offering (IPO), and subsequent rise in its share DJIA component
price, created three billionaires and an estimated S&P 100 component
12,000 millionaires among Microsoft employees. S&P 500 component
Since the 1990s, it has increasingly diversified from
ISIN US5949181045
the operating system market and has made a number
of corporate acquisitions, their largest being the Industry Software development
acquisition of LinkedIn for $26.2 billion in December Computer hardware
2016,[6] followed by their acquisition of Skype Consumer electronics
Technologies for $8.5 billion in May 2011.[7]
Social networking service
As of 2015, Microsoft is market-dominant in the IBM Cloud computing
PC compatible operating system market and the office Video games
software suite market, although it has lost the majority Internet
of the overall operating system market to Android.[8]
Corporate venture capital
The company also produces a wide range of other
consumer and enterprise software for desktops, Predecessor Traf-O-Data
laptops, tabs, gadgets, and servers, including Internet Founded April 4, 1975 in
search (with Bing), the digital services market Albuquerque, New Mexico, U.S.
(through MSN), mixed reality (HoloLens), cloud
Founders Bill Gates
computing (Azure), and software development (Visual
Studio). Paul Allen
Steve Ballmer replaced Gates as CEO in 2000, and Headquarters One Microsoft Way
later envisioned a "devices and services" strategy.[9] Redmond, Washington, U.S.
This unfolded with Microsoft acquiring Danger Inc. in Area served Worldwide
2008,[10] entering the personal computer production
Key people Satya Nadella
market for the first time in June 2012 with the launch
(Chairman and CEO)
of the Microsoft Surface line of tablet computers, and
Brad Smith
later forming Microsoft Mobile through the acquisition
(President)
of Nokia's devices and services division. Since Satya
Bill Gates
Nadella took over as CEO in 2014, the company has
(Technical Adviser)
scaled back on hardware and has instead focused on
cloud computing, a move that helped the company's Products List of software · Windows ·
shares reach its highest value since December Office · Servers · Skype · Visual
1999.[11][12] Studio · Dynamics · Xbox ·
Surface · Mobile
Earlier dethroned by Apple in 2010, in 2018 Services Azure · Bing · LinkedIn ·
Microsoft reclaimed its position as the most valuable Yammer · MSDN · Office 365 ·
publicly traded company in the world.[13] In April OneDrive · Outlook.com ·
2019, Microsoft reached the trillion-dollar market cap, GitHub · TechNet · Pay ·
becoming the third U.S. public company to be valued Microsoft Store · Windows
at over $1 trillion after Apple and Amazon Update · Xbox Game Pass ·
respectively.[14] As of 2020, Microsoft has the third- Xbox network
highest global brand valuation.[15] US$143 billion[1] (2020)
Revenue
Operating US$53 billion[1] (2020)
income
Contents Net income US$44.3 billion[1] (2020)
History Total assets US$301.3 billion[1] (2020)
1972–1985: Founding Total equity US$118.3 billion[1] (2020)
1985–1994: Windows and Office Number of 182,268[2] (Q2 2021)
1995–2007: Foray into the Web, Windows employees
95, Windows XP, and Xbox
Divisions Xbox Game Studios
2007–2011: Microsoft Azure, Windows
Vista, Windows 7, and Microsoft Stores Subsidiaries LinkedIn
2011–2014: Windows 8/8.1, Xbox One, Skype Technologies
Outlook.com, and Surface devices GitHub
2014–2020: Windows 10, Microsoft Edge, www.microsoft.com (https://ww
Website
HoloLens
w.microsoft.com)
2020–present: Acquisitions, Xbox Series
X/S, Windows 11
Corporate affairs
Board of directors
Chief executives
Financial
Subsidiaries
Marketing
Layoffs
United States government
Corporate identity
Corporate culture
 Environment
Headquarters
Flagship stores
Logo
Sponsorship
Philanthropy
See also
References
External links

History

1972–1985: Founding

Childhood friends Bill Gates and Paul Allen sought to make

a business using their skills in computer programming.[17] In
1972, they founded Traf-O-Data, which sold a rudimentary
computer to track and analyze automobile traffic data. Gates
enrolled at Harvard University while Allen pursued a degree
in computer science at Washington State University, though
he later dropped out to work at Honeywell.[18] The January
1975 issue of Popular Electronics featured Micro
Instrumentation and Telemetry Systems's (MITS) Altair 8800
microcomputer,[19] which inspired Allen to suggest that they
An Altair 8800 computer (left) with the could program a BASIC interpreter for the device. Gates
popular Model 33 ASR Teletype as called MITS and claimed that he had a working interpreter,
terminal, paper tape reader, and paper tape and MITS requested a demonstration. Allen worked on a
punch. simulator for the Altair while Gates developed the interpreter,
and it worked flawlessly when they demonstrated it to MITS
in March 1975 in Albuquerque, New Mexico. MITS agreed
to distribute it, marketing it as Altair BASIC.[16]:108, 112–114
Gates and Allen established Microsoft on April 4, 1975, with
Gates as CEO,[20] and Allen suggested the name "Micro-Soft",
short for micro-computer software.[21][22] In August 1977, the
company formed an agreement with ASCII Magazine in Japan,
resulting in its first international office of ASCII Microsoft.[23]
Microsoft moved its headquarters to Bellevue, Washington, in
January 1979.[20]
Paul Allen and Bill Gates on October
19, 1981, after signing a pivotal Microsoft entered the operating system (OS) business in 1980 with
contract with IBM[16]:228 its own version of Unix called Xenix,[24] but it was MS-DOS that
solidified the company's dominance. IBM awarded a contract to
Microsoft in November 1980 to provide a version of the CP/M OS
to be used in the IBM Personal Computer (IBM PC).[25] For this deal, Microsoft purchased a CP/M clone
called 86-DOS from Seattle Computer Products which it branded as MS-DOS, although IBM rebranded it
to IBM PC DOS. Microsoft retained ownership of MS-DOS following the release of the IBM PC in
August 1981. IBM had copyrighted the IBM PC BIOS, so other companies had to reverse engineer it in
order for non-IBM hardware to run as IBM PC compatibles, but no such restriction applied to the operating
systems. Microsoft eventually became the leading PC operating systems vendor.[26][27]:210 The company
expanded into new markets with the release of the Microsoft Mouse in 1983, as well as with a publishing
division named Microsoft Press.[16]:232 Paul Allen resigned from Microsoft in 1983 after developing
Hodgkin's disease.[28] Allen claimed in Idea Man: A Memoir by the Co-founder of Microsoft that Gates
wanted to dilute his share in the company when he was diagnosed with Hodgkin's disease because he did
not think that he was working hard enough.[29] Allen later invested in low-tech sectors, sports teams,
commercial real estate, neuroscience, private space flight, and more.[30]

1985–1994: Windows and Office

Microsoft released Microsoft Windows on November 20, 1985, as

a graphical extension for MS-DOS,[16]:242–243, 246 despite having
begun jointly developing OS/2 with IBM the previous August.[31]
Microsoft moved its headquarters from Bellevue to Redmond,
Washington, on February 26, 1986, and went public on March
13,[32] with the resulting rise in stock making an estimated four
billionaires and 12,000 millionaires from Microsoft employees.[33]
Microsoft released its version of OS/2 to original equipment
manufacturers (OEMs) on April 2, 1987.[16] In 1990, the Federal Windows 1.0 was released on
Trade Commission examined Microsoft for possible collusion due November 20, 1985, as the first
to the partnership with IBM, marking the beginning of more than a version of the Microsoft Windows
decade of legal clashes with the government.[34] :243–244 line
Meanwhile, the company was at work on Microsoft Windows NT,
which was heavily based on their copy of the OS/2 code. It
shipped on July 21, 1993, with a new modular kernel and the 32-bit Win32 application programming
interface (API), making it easier to port from 16-bit (MS-DOS-based) Windows. Microsoft informed IBM
of Windows NT, and the OS/2 partnership deteriorated.[35]

In 1990, Microsoft introduced the Microsoft Office suite which bundled separate applications such as
Microsoft Word and Microsoft Excel.[16]:301 On May 22, Microsoft launched Windows 3.0, featuring
streamlined user interface graphics and improved protected mode capability for the Intel 386 processor,[36]
and both Office and Windows became dominant in their respective areas.[37][38]

On July 27, 1994, the Department of Justice's Antitrust Division filed a competitive impact statement which
said: "Beginning in 1988, and continuing until July 15, 1994, Microsoft induced many OEMs to execute
anti-competitive 'per processor' licenses. Under a per-processor license, an OEM pays Microsoft a royalty
for each computer it sells containing a particular microprocessor, whether the OEM sells the computer with
a Microsoft operating system or a non-Microsoft operating system. In effect, the royalty payment to
Microsoft when no Microsoft product is being used acts as a penalty, or tax, on the OEM's use of a
competing PC operating system. Since 1988, Microsoft's use of per processor licenses has increased."[39]

1995–2007: Foray into the Web, Windows 95, Windows XP, and Xbox

Following Bill Gates' internal "Internet Tidal Wave memo" on May 26, 1995, Microsoft began to redefine
its offerings and expand its product line into computer networking and the World Wide Web.[40] With a few
exceptions of new companies, like Netscape, Microsoft was the only major and established company that
acted fast enough to be a part of the World Wide Web practically from the start. Other companies like
Borland, WordPerfect, Novell, IBM and Lotus, being much slower to adapt to the new situation, would
give Microsoft a market dominance.[41] The company released Windows 95 on August 24, 1995, featuring
pre-emptive multitasking, a completely new user interface with a novel start button, and 32-bit
 compatibility; similar to NT, it provided the Win32 API.[42][43]:20
Windows 95 came bundled with the online service MSN, which
was at first intended to be a competitor to the Internet, and (for
OEMs) Internet Explorer, a Web browser. Internet Explorer was
not bundled with the retail Windows 95 boxes, because the boxes
were printed before the team finished the Web browser, and
instead was included in the Windows 95 Plus! pack.[44] Backed by
a high-profile marketing campaign[45] and what The New York
Times called "the splashiest, most frenzied, most expensive
In 1996, Microsoft released Windows
introduction of a computer product in the industry's history,"[46]
CE, a version of the operating Windows 95 quickly became a success.[47] Branching out into
system meant for personal digital new markets in 1996, Microsoft and General Electric's NBC unit
assistants and other tiny computers. created a new 24/7 cable news channel, MSNBC.[48] Microsoft
created Windows CE 1.0, a new OS designed for devices with low
memory and other constraints, such as personal digital
assistants.[49] In October 1997, the Justice Department filed a motion in the Federal District Court, stating
that Microsoft violated an agreement signed in 1994 and asked the court to stop the bundling of Internet
Explorer with Windows.[16]:323–324

On January 13, 2000, Bill Gates handed over the CEO position to
Steve Ballmer, an old college friend of Gates and employee of the
company since 1980, while creating a new position for himself as
Chief Software Architect.[16]:111, 228[20] Various companies
including Microsoft formed the Trusted Computing Platform
Alliance in October 1999 to (among other things) increase security
and protect intellectual property through identifying changes in Microsoft released the first
hardware and software. Critics decried the alliance as a way to installment in the Xbox series of
enforce indiscriminate restrictions over how consumers use consoles in 2001. The Xbox,
software, and over how computers behave, and as a form of digital graphically powerful compared to its
rights management: for example the scenario where a computer is rivals, featured a standard PC's
not only secured for its owner, but also secured against its owner 733 MHz Intel Pentium III processor.
as well.[50][51] On April 3, 2000, a judgment was handed down in
the case of United States v. Microsoft Corp.,[52] calling the
company an "abusive monopoly."[53] Microsoft later settled with the U.S. Department of Justice in
2004.[32] On October 25, 2001, Microsoft released Windows XP, unifying the mainstream and NT lines of
OS under the NT codebase.[54] The company released the Xbox later that year, entering the video game
console market dominated by Sony and Nintendo.[55] In March 2004 the European Union brought antitrust
legal action against the company, citing it abused its dominance with the Windows OS, resulting in a
judgment of €497 million ($613 million) and requiring Microsoft to produce new versions of Windows XP
without Windows Media Player: Windows XP Home Edition N and Windows XP Professional N.[56][57]
In November 2005, the company's second video game console, the Xbox 360, was released. There were
two versions, a basic version for $299.99 and a deluxe version for $399.99.[58]

Increasingly present in the hardware business following Xbox, Microsoft in 2006 released the Zune series
of digital media players, a successor of its previous software platform Portable Media Center. These
expanded on previous hardware commitments from Microsoft following its original Microsoft Mouse in
1983; as of 2007 the company sold the best-selling wired keyboard (Natural Ergonomic Keyboard 4000),
mouse (IntelliMouse), and desktop webcam (LifeCam) in the United States. That year the company also
launched the Surface "digital table", later renamed PixelSense.[59]
2007–2011: Microsoft Azure, Windows Vista, Windows 7, and Microsoft
Stores

Released in January 2007,

the next version of
Windows, Vista, focused
on features, security and a
redesigned user interface
dubbed Aero.[61][62]
Microsoft Office 2007, Headquarters of the European
released at the same time, Commission, which has imposed
CEO Steve Ballmer at the MIX event
featured a "Ribbon" user several fines on Microsoft
in 2008. In an interview about his
management style in 2005, he
interface which was a
mentioned that his first priority was
significant departure from
to get the people he delegates to in its predecessors. Relatively strong sales of both products helped to
order. Ballmer also emphasized the produce a record profit in 2007.[63] The European Union imposed
need to continue pursuing new another fine of €899 million ($1.4 billion) for Microsoft's lack of
technologies even if initial attempts compliance with the March 2004 judgment on February 27, 2008,
fail, citing the original attempts with saying that the company charged rivals unreasonable prices for key
Windows as an example. [60] information about its workgroup and backoffice servers. Microsoft
stated that it was in compliance and that "these fines are about the
past issues that have been resolved".[64] 2007 also saw the creation
of a multi-core unit at Microsoft, following the steps of server companies such as Sun and IBM.[65]

Gates retired from his role as Chief Software Architect on June 27, 2008, a decision announced in June
2006, while retaining other positions related to the company in addition to being an advisor for the
company on key projects.[66][67] Azure Services Platform, the company's entry into the cloud computing
market for Windows, launched on October 27, 2008.[68] On February 12, 2009, Microsoft announced its
intent to open a chain of Microsoft-branded retail stores, and on October 22, 2009, the first retail Microsoft
Store opened in Scottsdale, Arizona; the same day Windows 7 was officially released to the public.
Windows 7's focus was on refining Vista with ease-of-use features and performance enhancements, rather
than an extensive reworking of Windows.[69][70][71]

As the smartphone industry boomed in the late 2000s, Microsoft had struggled to keep up with its rivals in
providing a modern smartphone operating system, falling behind Apple and Google-sponsored Android in
the United States.[72] As a result, in 2010 Microsoft revamped their aging flagship mobile operating system,
Windows Mobile, replacing it with the new Windows Phone OS that was released in October that year. It
used a new user interface design language, codenamed "Metro", which prominently used simple shapes,
typography and iconography, utilizing the concept of minimalism. Microsoft implemented a new strategy
for the software industry, providing a consistent user experience across all smartphones using the Windows
Phone OS. It launched an alliance with Nokia in 2011 and Microsoft worked closely with the company to
co-develop Windows Phone,[73] but remained partners with long-time Windows Mobile OEM HTC.[74]
Microsoft is a founding member of the Open Networking Foundation started on March 23, 2011. Fellow
founders were Google, HP Networking, Yahoo!, Verizon Communications, Deutsche Telekom and 17
other companies. This nonprofit organization is focused on providing support for a cloud computing
initiative called Software-Defined Networking.[75] The initiative is meant to speed innovation through
simple software changes in telecommunications networks, wireless networks, data centers and other
networking areas.[76]

2011–2014: Windows 8/8.1, Xbox One, Outlook.com, and Surface devices

Following the release of Windows Phone, Microsoft undertook a
gradual rebranding of its product range throughout 2011 and 2012,
with the corporation's logos, products, services and websites
adopting the principles and concepts of the Metro design
language.[77] Microsoft unveiled Windows 8, an operating system
designed to power both personal computers and tablet computers,
in Taipei in June 2011.[78] A developer preview was released on
September 13, which was subsequently replaced by a consumer
preview on February 29, 2012, and released to the public in Surface Pro 3, part of the Surface
May.[79] The Surface was unveiled on June 18, becoming the first series of laplets by Microsoft
computer in the company's history to have its hardware made by
Microsoft.[80][81] On June 25, Microsoft paid US$1.2 billion to
buy the social network Yammer.[82] On July 31, they launched the Outlook.com webmail service to
compete with Gmail.[83] On September 4, 2012, Microsoft released Windows Server 2012.[84]

In July 2012, Microsoft sold its 50% stake in MSNBC, which it had run as a joint venture with NBC since
1996.[85] On October 1, Microsoft announced its intention to launch a news operation, part of a new-look
MSN, with Windows 8 later in the month.[86] On October 26, 2012, Microsoft launched Windows 8 and
the Microsoft Surface.[81][87] Three days later, Windows Phone 8 was launched.[88] To cope with the
potential for an increase in demand for products and services, Microsoft opened a number of "holiday
stores" across the U.S. to complement the increasing number of "bricks-and-mortar" Microsoft Stores that
opened in 2012.[89] On March 29, 2013, Microsoft launched a Patent Tracker.[90]

In August 2012, the New York City Police Department announced a partnership with Microsoft for the
development of the Domain Awareness System which is used for Police surveillance in New York City.[91]

The Kinect, a motion-sensing input device made by Microsoft and

designed as a video game controller, first introduced in November
2010, was upgraded for the 2013 release of the Xbox One video
game console. Kinect's capabilities were revealed in May 2013: an
ultra-wide 1080p camera, function in the dark due to an infrared
sensor, higher-end processing power and new software, the ability
to distinguish between fine movements (such as a thumb
movement), and determining a user's heart rate by looking at their
The Xbox One console, released in face.[92] Microsoft filed a patent application in 2011 that suggests
2013 that the corporation may use the Kinect camera system to monitor
the behavior of television viewers as part of a plan to make the
viewing experience more interactive. On July 19, 2013, Microsoft
stocks suffered their biggest one-day percentage sell-off since the year 2000, after its fourth-quarter report
raised concerns among the investors on the poor showings of both Windows 8 and the Surface tablet.
Microsoft suffered a loss of more than US$32 billion.[93]

In line with the maturing PC business, in July 2013, Microsoft announced that it would reorganize the
business into four new business divisions, namely Operating System, Apps, Cloud, and Devices. All
previous divisions will be dissolved into new divisions without any workforce cuts.[94] On September 3,
2013, Microsoft agreed to buy Nokia's mobile unit for $7 billion,[95] following Amy Hood taking the role
of CFO.[96]

2014–2020: Windows 10, Microsoft Edge, HoloLens

On February 4, 2014, Steve Ballmer stepped down as CEO of
Microsoft and was succeeded by Satya Nadella, who previously
led Microsoft's Cloud and Enterprise division.[97] On the same
day, John W. Thompson took on the role of chairman, in place of
Bill Gates, who continued to participate as a technology
advisor.[98] Thompson became the second chairman in Microsoft's
history.[99] On April 25, 2014, Microsoft acquired Nokia Devices
and Services for $7.2 billion.[100] This new subsidiary was
renamed Microsoft Mobile Oy.[101] On September 15, 2014, Satya Nadella succeeded Steve
Microsoft acquired the video game development company Ballmer as the CEO of Microsoft in
Mojang, best known for Minecraft, for $2.5 billion.[102] On June February 2014
8, 2017, Microsoft acquired Hexadite, an Israeli security firm, for
$100 million.[103][104]

On January 21, 2015, Microsoft announced the release of their first Interactive whiteboard, Microsoft
Surface Hub.[105] On July 29, 2015, Windows 10 was released,[106] with its server sibling, Windows
Server 2016, released in September 2016. In Q1 2015, Microsoft was the third largest maker of mobile
phones, selling 33 million units (7.2% of all). While a large majority (at least 75%) of them do not run any
version of Windows Phone— those other phones are not categorized as smartphones by Gartner – in the
same time frame 8 million Windows smartphones (2.5% of all smartphones) were made by all
manufacturers (but mostly by Microsoft).[107] Microsoft's share of the U.S. smartphone market in January
2016 was 2.7%.[108] During the summer of 2015 the company lost $7.6 billion related to its mobile-phone
business, firing 7,800 employees.[109]

On March 1, 2016, Microsoft announced the merger of its PC and Xbox divisions, with Phil Spencer
announcing that Universal Windows Platform (UWP) apps would be the focus for Microsoft's gaming in
the future.[110] On January 24, 2017, Microsoft showcased Intune for Education at the BETT 2017
education technology conference in London.[111] Intune for Education is a new cloud-based application
and device management service for the education sector.[112] In May 2016, the company announced it was
laying off 1,850 workers, and taking an impairment and restructuring charge of $950 million.[109] In June
2016, Microsoft announced a project named Microsoft Azure Information Protection. It aims to help
enterprises protect their data as it moves between servers and devices.[113] In November 2016, Microsoft
joined the Linux Foundation as a Platinum member during Microsoft's Connect(); developer event in New
York.[114] The cost of each Platinum membership is US$500,000 per year.[115] Some analysts deemed this
unthinkable ten years prior, however, as in 2001 then-CEO Steve Ballmer called Linux "cancer".[116]
Microsoft planned to launch a preview of Intune for Education "in the coming weeks", with general
availability scheduled for spring 2017, priced at $30 per device, or through volume licensing
agreements.[117]

In January 2018, Microsoft patched Windows 10 to account for CPU problems related to Intel's Meltdown
security breach. The patch led to issues with the Microsoft Azure virtual machines reliant on Intel's CPU
architecture. On January 12, Microsoft released PowerShell Core 6.0 for the macOS and Linux operating
systems.[118] In February 2018, Microsoft killed notification support for their Windows Phone devices
which effectively ended firmware updates for the discontinued devices.[118] In March 2018, Microsoft
recalled Windows 10 S to change it to a mode for the Windows operating system rather than a separate and
unique operating system. In March the company also established guidelines that censor users of Office 365
from using profanity in private documents.[118] In April 2018, Microsoft released the source code for
Windows File Manager under the MIT License to celebrate the program's 20th anniversary. In April the
company further expressed willingness to embrace open source initiatives by announcing Azure Sphere as
its own derivative of the Linux operating system.[118] In May 2018, Microsoft partnered with 17 American
intelligence agencies to develop cloud computing products. The project is dubbed "Azure Government"
 and has ties to the Joint Enterprise Defense Infrastructure (JEDI)
surveillance program.[118] On June 4, 2018, Microsoft officially
announced the acquisition of GitHub for $7.5 billion, a deal that
closed on October 26, 2018.[119][120] On July 10, 2018, Microsoft
revealed the Surface Go platform to the public. Later in the month
it converted Microsoft Teams to gratis.[118] In August 2018,
Microsoft released two projects called Microsoft AccountGuard
and Defending Democracy. It also unveiled Snapdragon 850
compatibility for Windows 10 on the ARM
The Nokia Lumia 1320, the Microsoft [121][122][118]
Lumia 535 and the Nokia Lumia 530,
architecture.
which all run on one of the now-
In August 2018, Toyota Tsusho
discontinued Windows Phone
operating systems
began a partnership with
Microsoft to create fish farming
tools using the Microsoft Azure
application suite for Internet of things (IoT) technologies related to water
management. Developed in part by researchers from Kindai University,
the water pump mechanisms use artificial intelligence to count the number
of fish on a conveyor belt, analyze the number of fish, and deduce the
effectiveness of water flow from the data the fish provide. The specific
computer programs used in the process fall under the Azure Machine
Learning and the Azure IoT Hub platforms.[123] In September 2018,
Microsoft discontinued Skype Classic.[118] On October 10, 2018,
Microsoft joined the Open Invention Network community despite holding
more than 60,000 patents.[124] In November 2018, Microsoft agreed to
supply 100,000 Microsoft HoloLens headsets to the United States military Apollo 11 astronaut Buzz
in order to "increase lethality by enhancing the ability to detect, decide and Aldrin using a Microsoft
engage before the enemy."[125] In November 2018, Microsoft introduced HoloLens mixed reality
Azure Multi-Factor Authentication for Microsoft Azure. [126] In December headset in September 2016
2018, Microsoft announced Project Mu, an open source release of the
Unified Extensible Firmware Interface (UEFI) core used in Microsoft
Surface and Hyper-V products. The project promotes the idea of Firmware as a Service.[127] In the same
month, Microsoft announced the open source implementation of Windows Forms and the Windows
Presentation Foundation (WPF) which will allow for further movement of the company toward the
transparent release of key frameworks used in developing Windows desktop applications and software.
December also saw the company discontinue the Microsoft Edge project in favor of Chromium backends
for their browsers.[126]

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.[128] In February 2019, hundreds of Microsoft employees protested the
company's war profiteering from a $480 million contract to develop virtual reality headsets for the United
States Army.[129]

2020–present: Acquisitions, Xbox Series X/S, Windows 11

On March 26, 2020, Microsoft announced it was acquiring Affirmed Networks for about
$1.35 billion.[130][131] Due to the COVID-19 pandemic, Microsoft closed all of its retail stores indefinitely
due to health concerns.[132] On July 22, 2020, Microsoft announced plans to close its Mixer service,
planning to move existing partners to Facebook Gaming.[133] 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.[134] On August 3, 2020, after speculation on the deal, Donald
Trump stated that Microsoft could buy the application, however it should be completed by September 15,
2020 and that the United States Department of the Treasury should receive a portion if it were to go
through.[135] On August 5, 2020, Microsoft stopped its xCloud game streaming test for iOS devices.
According to Microsoft, the future of xCloud on iOS remains unclear and potentially out of Microsoft's
hands. Apple has imposed a strict limit on "remote desktop clients" that means applications are only
allowed to connect to a user-owned host device or gaming console owned by the user.[136] On September
21, 2020, Microsoft announced its intent to acquire ZeniMax Media for about $7.5 billion, with the deal
expected to be occurred in the second half of 2021 fiscal year.[137] On March 9, 2021, the acquisition was
finalized and ZeniMax Media became part of Microsoft's Xbox Game Studios division.[138]The total price
of the deal was $8.1 billion.[139] On September 22, 2020, Microsoft announced that it had an exclusive
license to use OpenAI’s GPT-3 artificial intelligence language generator.[140] The previous version of GPT-
3, called GPT-2, made headlines for being “too dangerous to release” and had numerous capabilities,
including designing websites, prescribing medication, answering questions and penning articles.[141] On
November 10, 2020, Microsoft released the Xbox Series X and Xbox Series S video game consoles.[142]

In April 2021, Microsoft said that it will buy Nuance Communications for about $16 billion in cash.[143] In
2021, in part due to the strong quarterly earnings spurred by the COVID-19 pandemic, Microsoft's
valuation came to near $2 trillion. The increased necessity for remote work and distance education drove up
the demand for cloud-computing services and grew the company's gaming sales.[144][145][146]

On June 24, 2021, Microsoft announced Windows 11 during a livestream. The announcement came with
confusion after Microsoft announced Windows 10 would be the last version of the operating system. It is
set to be released in Fall 2021.[147]

Corporate affairs

Board of directors

The company is run by a board of directors made up of mostly company outsiders, as is customary for
publicly traded companies. Members of the board of directors as of July 2020 are Satya Nadella, Reid
Hoffman, Hugh Johnston, Teri List-Stoll, Sandi Peterson, Penny Pritzker, Charles Scharf, Arne Sorenson,
John W. Stanton, John W. Thompson, Emma Walmsley and Padmasree Warrior.[148] Board members are
elected every year at the annual shareholders' meeting using a majority vote system. There are four
committees within the board that oversee more specific matters. These committees include the Audit
Committee, which handles accounting issues with the company including auditing and reporting; the
Compensation Committee, which approves compensation for the CEO and other employees of the
company; the Governance and Nominating Committee, which handles various corporate matters including
the nomination of the board; and the Regulatory and Public Policy Committee, which includes
legal/antitrust matters, along with privacy, trade, digital safety, artificial intelligence, and environmental
sustainability.[149]

On March 13, 2020, Gates announced that he is leaving the board of directors of Microsoft and Berkshire
Hathaway in order to focus more on his philanthropic efforts. According to Aaron Tilley of The Wall Street
Journal this is "marking the biggest boardroom departure in the tech industry since the death of longtime
rival and Apple Inc. co-founder Steve Jobs."[150]

Chief executives
1. Bill Gates (1975–2000)
 2. Steve Ballmer (2000–2014)
3. Satya Nadella (2014–present)

Financial

When Microsoft went public and launched its

initial public offering (IPO) in 1986, the
opening stock price was $21; after the trading
day, the price closed at $27.75. As of July
2010, with the company's nine stock splits,
any IPO shares would be multiplied by 288; if
one were to buy the IPO today, given the
splits and other factors, it would cost about
9 cents.[16]:235–236[152][153] The stock price
peaked in 1999 at around $119 ($60.928, Five year history graph of Nasdaq: MSFT (https://www.nas
adjusting for splits).[154] The company began daq.com/symbol/msft) stock on July 17, 2013[151]
to offer a dividend on January 16, 2003,
starting at eight cents per share for the fiscal
year followed by a dividend of sixteen cents per share the subsequent year, switching from yearly to
quarterly dividends in 2005 with eight cents a share per quarter and a special one-time payout of three
dollars per share for the second quarter of the fiscal year.[154][155] Though the company had subsequent
increases in dividend payouts, the price of Microsoft's stock remained steady for years.[155][156]

Standard & Poor's and Moody's Investors Service have both given a AAA rating to Microsoft, whose
assets were valued at $41 billion as compared to only $8.5 billion in unsecured debt. Consequently, in
February 2011 Microsoft released a corporate bond amounting to $2.25 billion with relatively low
borrowing rates compared to government bonds.[157] For the first time in 20 years Apple Inc. surpassed
Microsoft in Q1 2011 quarterly profits and revenues due to a slowdown in PC sales and continuing huge
losses in Microsoft's Online Services Division (which contains its search engine Bing). Microsoft profits
were $5.2 billion, while Apple Inc. profits were $6 billion, on revenues of $14.5 billion and $24.7 billion
respectively.[158] Microsoft's Online Services Division has been continuously loss-making since 2006 and
in Q1 2011 it lost $726 million. This follows a loss of $2.5 billion for the year 2010.[159]

On July 20, 2012, Microsoft posted its first quarterly loss ever, despite earning record revenues for the
quarter and fiscal year, with a net loss of $492 million due to a writedown related to the advertising
company aQuantive, which had been acquired for $6.2 billion back in 2007.[160] As of January 2014,
Microsoft's market capitalization stood at $314B,[161] making it the 8th largest company in the world by
market capitalization.[162] On November 14, 2014, Microsoft overtook ExxonMobil to become the second
most-valuable company by market capitalization, behind only Apple Inc. Its total market value was over
$410B—with the stock price hitting $50.04 a share, the highest since early 2000.[163] In 2015, Reuters
reported that Microsoft Corp had earnings abroad of $76.4 billion which were untaxed by the Internal
Revenue Service. Under U.S. law, corporations don't pay income tax on overseas profits until the profits
are brought into the United States.[164]
 Revenue Net income Total Assets
Year Employees[165]
in mil. US$[165] in mil. US$[165] in mil. US$[165]
2005 39,788 12,254 70,815 61,000
2006 44,282 12,599 69,597 71,000
2007 51,122 14,065 63,171 79,000
2008 60,420 17,681 72,793 91,000
2009 58,437 14,569 77,888 93,000
2010 62,484 18,760 86,113 89,000
2011 69,943 23,150 108,704 90,000
2012 73,723 16,978 121,271 94,000
2013 77,849 21,863 142,431 99,000
2014 86,833 22,074 172,384 128,000
2015 93,580 12,193 174,472 118,000
2016 91,154 20,539 193,468 114,000
2017 96,571 25,489 250,312 124,000
2018 110,360 16,571 258,848 131,000
2019 125,843 39,240 286,556 144,106
2020 143,015 44,281 301,311 163,000

In November 2018, the company won a $480 million military contract with the U.S. government to bring
augmented reality (AR) headset technology into the weapon repertoires of American soldiers. The two-year
contract may result in follow-on orders of more than 100,000 headsets, according to documentation
describing the bidding process. One of the contract's tag lines for the augmented reality technology seems
to be its ability to enable "25 bloodless battles before the 1st battle", suggesting that actual combat training
is going to be an essential aspect of the augmented reality headset capabilities.[166]

Subsidiaries

Microsoft is an international business. As such, it needs subsidiaries present in whatever national markets it
chooses to harvest. An example is Microsoft Canada, which it established in 1985.[167] Other countries
have similar installations, to funnel profits back up to Redmond and to distribute the dividends to the
holders of MSFT stock.

Marketing

In 2004, Microsoft commissioned research firms to do independent studies comparing the total cost of
ownership (TCO) of Windows Server 2003 to Linux; the firms concluded that companies found Windows
easier to administrate than Linux, thus those using Windows would administrate faster resulting in lower
costs for their company (i.e. lower TCO).[168] This spurred a wave of related studies; a study by the
Yankee Group concluded that upgrading from one version of Windows Server to another costs a fraction of
the switching costs from Windows Server to Linux, although companies surveyed noted the increased
security and reliability of Linux servers and concern about being locked into using Microsoft products.[169]
Another study, released by the Open Source Development Labs, claimed that the Microsoft studies were
"simply outdated and one-sided" and their survey concluded that
the TCO of Linux was lower due to Linux administrators
managing more servers on average and other reasons.[170]

As part of the "Get the Facts" campaign, Microsoft highlighted the

.NET Framework trading platform that it had developed in
partnership with Accenture for the London Stock Exchange,
claiming that it provided "five nines" reliability. After suffering
extended downtime and unreliability[171][172] the London Stock
Exchange announced in 2009 that it was planning to drop its
Windows 8 Launch Event in
Microsoft solution and switch to a Linux-based one in Akihabara, Tokyo on October 25,
2010.[173][174] 2012

In 2012, Microsoft hired a political pollster named Mark Penn,

whom The New York Times called "famous for bulldozing" his
political opponents[175] as Executive Vice-President, Advertising and Strategy. Penn created a series of
negative advertisements targeting one of Microsoft's chief competitors, Google. The advertisements, called
"Scroogled", attempt to make the case that Google is "screwing" consumers with search results rigged to
favor Google's paid advertisers, that Gmail violates the privacy of its users to place ad results related to the
content of their emails and shopping results, which favor Google products. Tech publications like
TechCrunch have been highly critical of the advertising campaign,[176] while Google employees have
embraced it.[177]

Layoffs

In July 2014, Microsoft announced plans to lay off 18,000 employees. Microsoft employed 127,104 people
as of June 5, 2014, making this about a 14 percent reduction of its workforce as the biggest Microsoft lay
off ever. This included 12,500 professional and factory personnel. Previously, Microsoft had eliminated
5,800 jobs in 2009 in line with the Great Recession of 2008–2017.[178][179] In September 2014, Microsoft
laid off 2,100 people, including 747 people in the Seattle–Redmond area, where the company is
headquartered. The firings came as a second wave of the layoffs that were previously announced. This
brought the total number to over 15,000 out of the 18,000 expected cuts.[180] In October 2014, Microsoft
revealed that it was almost done with the elimination of 18,000 employees, which was its largest-ever
layoff sweep.[181] In July 2015, Microsoft announced another 7,800 job cuts in the next several
months.[182] In May 2016, Microsoft announced another 1,850 job cuts mostly in its Nokia mobile phone
division. As a result, the company will record an impairment and restructuring charge of approximately
$950 million, of which approximately $200 million will relate to severance payments.[183]

United States government

Microsoft provides information about reported bugs in their software to intelligence agencies of the United
States government, prior to the public release of the fix. A Microsoft spokesperson has stated that the
corporation runs several programs that facilitate the sharing of such information with the U.S.
government.[184] Following media reports about PRISM, NSA's massive electronic surveillance program,
in May 2013, several technology companies were identified as participants, including Microsoft.[185]
According to leaks of said program, Microsoft joined the PRISM program in 2007.[186] However, in June
2013, an official statement from Microsoft flatly denied their participation in the program:
 "We provide customer data only when we receive a legally binding order or subpoena to do
so, and never on a voluntary basis. In addition we only ever comply with orders for requests
about specific accounts or identifiers. If the government has a broader voluntary national
security program to gather customer data, we don't participate in it."[187]

During the first six months in 2013, Microsoft had received requests that affected between 15,000 and
15,999 accounts.[188] In December 2013, the company made statement to further emphasize the fact that
they take their customers' privacy and data protection very seriously, even saying that "government
snooping potentially now constitutes an 'advanced persistent threat,' alongside sophisticated malware and
cyber attacks".[189] The statement also marked the beginning of three-part program to enhance Microsoft's
encryption and transparency efforts. On July 1, 2014, as part of this program they opened the first (of
many) Microsoft Transparency Center, that provides "participating governments with the ability to review
source code for our key products, assure themselves of their software integrity, and confirm there are no
"back doors."[190] Microsoft has also argued that the United States Congress should enact strong privacy
regulations to protect consumer data.[191]

In April 2016, the company sued the U.S. government, arguing that secrecy orders were preventing the
company from disclosing warrants to customers in violation of the company's and customers' rights.
Microsoft argued that it was unconstitutional for the government to indefinitely ban Microsoft from
informing its users that the government was requesting their emails and other documents, and that the
Fourth Amendment made it so people or businesses had the right to know if the government searches or
seizes their property. On October 23, 2017, Microsoft said it would drop the lawsuit as a result of a policy
change by the United States Department of Justice (DoJ). The DoJ had "changed data request rules on
alerting the Internet users about agencies accessing their information."

Corporate identity

Corporate culture

Technical reference for developers and articles for various Microsoft magazines such as Microsoft Systems
Journal (MSJ) are available through the Microsoft Developer Network (MSDN). MSDN also offers
subscriptions for companies and individuals, and the more expensive subscriptions usually offer access to
pre-release beta versions of Microsoft software.[192][193] In April 2004, Microsoft launched a community
site for developers and users, titled Channel 9, that provides a wiki and an Internet forum.[194] Another
community site that provides daily videocasts and other services, On10.net, launched on March 3,
2006.[195] Free technical support is traditionally provided through online Usenet newsgroups, and
CompuServe in the past, monitored by Microsoft employees; there can be several newsgroups for a single
product. Helpful people can be elected by peers or Microsoft employees for Microsoft Most Valuable
Professional (MVP) status, which entitles them to a sort of special social status and possibilities for awards
and other benefits.[196]

Noted for its internal lexicon, the expression "eating your own dog food" is used to describe the policy of
using pre-release and beta versions of products inside Microsoft in an effort to test them in "real-world"
situations.[197] This is usually shortened to just "dog food" and is used as noun, verb, and adjective.
Another bit of jargon, FYIFV or FYIV ("Fuck You, I'm [Fully] Vested"), is used by an employee to
indicate they are financially independent and can avoid work anytime they wish.[198]

Microsoft is an outspoken opponent of the cap on H-1B visas, which allow companies in the U.S. to
employ certain foreign workers. Bill Gates claims the cap on H1B visas makes it difficult to hire employees
for the company, stating "I'd certainly get rid of the H1B cap" in 2005.[199] Critics of H1B visas argue that
relaxing the limits would result in increased unemployment for U.S. citizens due to H1B workers working
for lower salaries.[200] The Human Rights Campaign Corporate Equality Index, a report of how
progressive the organization deems company policies towards LGBT employees, rated Microsoft as 87%
from 2002 to 2004 and as 100% from 2005 to 2010 after they allowed gender expression.[201]

In August 2018, Microsoft implemented a policy for all companies providing subcontractors to require 12
weeks of paid parental leave to each employee. This expands on the former requirement from 2015
requiring 15 days of paid vacation and sick leave each year.[202] In 2015, Microsoft established its own
parental leave policy to allow 12 weeks off for parental leave with an additional 8 weeks for the parent who
gave birth.[203]

Environment

In 2011, Greenpeace released a report rating the top ten big brands in cloud computing on their sources of
electricity for their data centers. At the time, data centers consumed up to 2% of all global electricity and
this amount was projected to increase. Phil Radford of Greenpeace said "we are concerned that this new
explosion in electricity use could lock us into old, polluting energy sources instead of the clean energy
available today,"[204] and called on "Amazon, Microsoft and other leaders of the information-technology
industry must embrace clean energy to power their cloud-based data centers."[205] In 2013, Microsoft
agreed to buy power generated by a Texas wind project to power one of its data centers.[206] Microsoft is
ranked on the 17th place in Greenpeace's Guide to Greener Electronics (16th Edition) that ranks 18
electronics manufacturers according to their policies on toxic chemicals, recycling and climate change.[207]
Microsoft's timeline for phasing out brominated flame retardant (BFRs) and phthalates in all products is
2012 but its commitment to phasing out PVC is not clear. As of January 2011, it has no products that are
completely free from PVC and BFRs.[208]

Microsoft's main U.S. campus received a silver certification from the Leadership in Energy and
Environmental Design (LEED) program in 2008, and it installed over 2,000 solar panels on top of its
buildings at its Silicon Valley campus, generating approximately 15 percent of the total energy needed by
the facilities in April 2005.[209] Microsoft makes use of alternative forms of transit. It created one of the
world's largest private bus systems, the "Connector", to transport people from outside the company; for on-
campus transportation, the "Shuttle Connect" uses a large fleet of hybrid cars to save fuel. The company
also subsidizes regional public transport, provided by Sound Transit and King County Metro, as an
incentive.[209][210] In February 2010, however, Microsoft took a stance against adding additional public
transport and high-occupancy vehicle (HOV) lanes to the State Route 520 and its floating bridge
connecting Redmond to Seattle; the company did not want to delay the construction any further.[211]
Microsoft was ranked number 1 in the list of the World's Best Multinational Workplaces by the Great Place
to Work Institute in 2011.[212] In January 2020, the company promised to remove from the environment all
of the carbon that it has emitted since its foundation in 1975.[213] On October 9, 2020, Microsoft made
their work from home policy permanent.[214] In January 2021, the company announced on Twitter to join
the Climate Neutral Data Centre Pact, which engages the cloud infrastructure and data centers industries to
reach climate neutrality in Europe by 2030.

Headquarters

The corporate headquarters, informally known as the Microsoft Redmond campus, is located at One
Microsoft Way in Redmond, Washington. Microsoft initially moved onto the grounds of the campus on
February 26, 1986, weeks before the company went public on March 13. The headquarters has since
experienced multiple expansions since its establishment. It is estimated to encompass over 8 million ft2
(750,000 m2 ) of office space and 30,000–40,000 employees.[215] Additional offices are located in Bellevue
and Issaquah, Washington (90,000 employees worldwide). The
company is planning to upgrade its Mountain View, California,
campus on a grand scale. The company has occupied this campus
since 1981. In 2016, the company bought the 32-acre campus,
with plans to renovate and expand it by 25%.[216] Microsoft
operates an East Coast headquarters in Charlotte, North
Carolina.[217]

The west campus of the Microsoft

Flagship stores
Redmond campus

On October 26, 2015, the company opened its retail location on

Fifth Avenue in New York City. The location features a five-story
glass storefront and is 22,270 square feet.[218] As per company
executives, Microsoft had been on the lookout for a flagship
location since 2009.[219] The company's retail locations are part of
a greater strategy to help build a connection with its consumers.
The opening of the store coincided with the launch of the Surface
Book and Surface Pro 4.[220] On November 12, 2015, Microsoft
opened a second flagship store, located in Sydney's Pitt Street
Mall.[221] Microsoft's Toronto flagship store

Logo

Microsoft adopted the so-called "Pac-Man Logo," designed by Scott Baker, in 1987. Baker stated "The
new logo, in Helvetica italic typeface, has a slash between the o and s to emphasize the "soft" part of the
name and convey motion and speed."[222] Dave Norris ran an internal joke campaign to save the old logo,
which was green, in all uppercase, and featured a fanciful letter O, nicknamed the blibbet, but it was
discarded.[223] Microsoft's logo with the tagline "Your potential. Our passion."—below the main corporate
name—is based on a slogan Microsoft used in 2008. In 2002, the company started using the logo in the
United States and eventually started a television campaign with the slogan, changed from the previous
tagline of "Where do you want to go today?"[224][225][226] During the private MGX (Microsoft Global
Exchange) conference in 2010, Microsoft unveiled the company's next tagline, "Be What's Next."[227]
They also had a slogan/tagline "Making it all make sense."[228]

On August 23, 2012, Microsoft unveiled a new corporate logo at the opening of its 23rd Microsoft store in
Boston, indicating the company's shift of focus from the classic style to the tile-centric modern interface,
which it uses/will use on the Windows Phone platform, Xbox 360, Windows 8 and the upcoming Office
Suites.[229] The new logo also includes four squares with the colors of the then-current Windows logo
which have been used to represent Microsoft's four major products: Windows (blue), Office (red), Xbox
(green) and Bing (yellow).[230] The logo resembles the opening of one of the commercials for Windows
95.[231][232]

Microsoft logo history

 1975–1980: First Microsoft logo, 1980–1982: Second Microsoft
in 1975 logo, in 1980

1982–1987: Third Microsoft 1987–2012: Microsoft "Pac-

logo, in 1982 Man" logo, designed by Scott
Baker and used from 1987 to
2012[224][225]

2012–present: Fifth Microsoft

logo, introduced on August 23,
2012[233]

Sponsorship

The company was the official jersey sponsor of Finland's national basketball team at EuroBasket 2015.[234]

Philanthropy

During the COVID-19 pandemic, Microsoft's president, Brad Smith, announced that an initial batch of
supplies, including 15,000 protection goggles, infrared thermometers, medical caps, and protective suits,
were donated to Seattle, with further aid to come soon.[235]
See also
List of Microsoft software
List of investments by Microsoft Corporation
List of mergers and acquisitions by Microsoft
Microsoft engineering groups
Microsoft Enterprise Agreement

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External links
Official website (https://www.microsoft.com/)
Business data for Microsoft Corporation: Google Finance (https://www.google.com/finance?
q=MSFT) · Yahoo! Finance (https://finance.yahoo.com/q?s=MSFT) · Bloomberg (https://ww
w.bloomberg.com/quote/MSFT:US) · SEC filings (https://www.sec.gov/cgi-bin/browse-edgar?
action=getcompany&CIK=789019)
Microsoft companies (https://opencorporates.com/corporate_groupings/Microsoft) grouped at
OpenCorporates

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