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The center of gravity in softwaredevelopment has shifted to smartphones, the cloud, and the web. Microsoft co-founders Bill Gates and Paul Allen chose to produce software for a range of PCs, rather than making hardware of their own. It was just a hint of the giant wave of third-party software to come.
While Apple had been ahead in producing mouse-driven GUIs at the time, it remained focused on the combination of hardware and software. Microsoft had already created its low-cost PC DOS operating system for IBM PCs, and was firmly positioned as a software company. Windows XP (2001). With Windows 1.0, Windows 95 (1995).
The clearest example comes from GitHub, the softwaredevelopment platform acquired by Microsoft in 2018. Examples include Microsoft’s development of the breakthrough Megatron-Turing Natural Language Generation model, and the more recent Phi-3 and Phi-3.5 And now it’s starting to boil.
In seeking to develop direct relationships with its end-customers—which most book publishers don’t have—it chose to develop its own capabilities for the Internet and online community development. Despite being historically a software firm rather than hardware vendor, it was easy for it to outsource manufacturing of the console.
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