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The birth of Microsoft

From the Harvard Gazette, Walter Isaacson writes about Bill Gates’ years at Harvard.

It may have been the most momentous purchase of a magazine in the history of the Out of Town News stand in Harvard Square. Paul Allen, a college dropout from Seattle, wandered into the cluttered kiosk one snowy day in December 1974 and saw that the new issue of Popular Electronics featured a home computer for hobbyists, called the Altair, that was just coming on the market. He was both exhilarated and dismayed. Although thrilled that the era of the “personal” computer seemed to have arrived, he was afraid that he was going to miss the party. Slapping down 75 cents, he grabbed the issue and trotted through the slush to the Currier House room of Bill Gates, a Harvard sophomore and fellow computer fanatic from Lakeside High School in Seattle, who had convinced Allen to drop out of college and move to Cambridge. “Hey, this thing is happening without us,” Allen declared. Gates began to rock back and forth, as he often did during moments of intensity. When he finished the article, he realized that Allen was right. For the next eight weeks, the two of them embarked on a frenzy of code writing that would change the nature of the computer business.

What Gates and Allen set out to do, during the Christmas break of 1974 and the subsequent January reading period when Gates was supposed to be studying for exams, was to create the software for personal computers. “When Paul showed me that magazine, there was no such thing as a software industry,” Gates recalled. “We had the insight that you could create one. And we did.” Years later, reflecting on his innovations, he said, “That was the most important idea that I ever had.”

And here perhaps is the worst idea Gates ever had: