The Intel 8086 microprocessor is the first 16-bit microprocessor with dual inline package and operates in minimum and maximum modes for single and multiprocessor systems respectively. It features a range of control signals, registers, and buses for data handling, memory management, and addressing, including 16-bit address lines allowing for 1MB of memory capacity and four types of segment registers. Its architecture includes general data registers, segment registers, pointers, index registers, and status registers which influence operation and control flow.