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Trillo

(9,154 posts)
55. They didn't create DOS, they bought it and rebranded it.
Fri Jan 23, 2015, 12:03 PM
Jan 2015
The Microsoft monopoly

This is not the place to go into the exact details of Bill Gates’ rise to fame and riches. Suffice to say that, contrary to the popular myth, his story is not one of rags to riches. Gates’ grandfather was a wealthy banker, James Willard Maxwell, who established a million-dollar trust fund for his grandson on which he could always rely. He was also the son of a wealthy attorney in Seattle and thus, as an upper middle class young man, he had the necessary funds to found Microsoft in the first place.

Together with Paul Allen, Bill Gates founded Micro-Soft in 1975, later called Microsoft Corporation. After having marketed its own Microsoft version of BASIC, a programming language, the company took off. As early as 1976, Gates wrote an “open letter to hobbyists”, which claimed that a commercial market existed for computer software. This may seem obvious these days, but it is important to note that software at that time was hardly ever sold. Since all software was based on the software and ideas of others, it was considered impossible to own it. Software was developed by hobbyists and was passed around and shared in the community. The capitalist logic had its last laugh, however, and the commercialisation of software paid off.

The breakthrough for Microsoft came when IBM decided to enter the personal computer market in the late 1970s. IBM needed two things: an operating system to run it and a programming language. The company contacted Bill Gates about BASIC and at the same time enquired about an operating system. They signed an important contract in 1980, despite the fact that Gates had no operating system at all. Hence, Microsoft simply licensed a clone of CP/M, the de facto standard at the time. This piece of software, which Microsoft had not written themselves, was significantly renamed QDOS (Quick and Dirty Operating System). As Bill Gates and his company had hardly made any investment costs (this was done by other companies like Digital Research, Seattle Computers and IBM) and had no production costs (IBM funded the production), Microsoft was able to sell its product below the market price and gradually drive competitors out of business. The only thing left to do was to purchase all rights for QDOS for just $50,000 and rename it MS-DOS. Now they had a product in which they had played no part in its innovation but which was extremely profitable. And that is what business is all about after all.

This, in a nutshell, is how Microsoft initially made its millions. The company accumulated ever more capital and with its growing resources it could squeeze competitors as WordPerfect and Lotus 1-2-3 in the late 1980s. Bill Gates was even able to rival that other giant, IBM. IBM will have regretted the signing of their contract with Bill Gates, which in a sense was their death warrant as monopolists in the computer industry themselves. The millions of profit became billions in the nineties, and Microsoft gained a monopoly position. At the height of the dot.com boom in 1999, Bill Gates’ wealth was estimated at a mere $90 billion (Forbes figure). They became (and still are) one of the world’s most profitable enterprises and could flood the market with their products.

[h1]Predatory tactics[/h1]

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Here's something a bit more on topic:


Bill Gates is not a popular figure, but the media, which he bribes, likes to portray him as exceptionally popular, hoping that enough people will follow the media rather than the judgment of friends (to some people the media is a friend).

Those who attempt to actually look at the facts rather than look for handouts may often find that those who acquired their wealth through criminal activities simply continue doing so with varying degrees of success (making money from having money, using lobbying, tax breaks, interest, and insider information).

Bill Gates continues to amass more wealth while the media he bribes contributes to false perceptions that he is giving his money away and invests only in benevolent companies (selective focus on PR-generating grants like scholarships). A lot of the investments are anything but charity and they target monopolies, with or without patents (e.g. Microsoft and Monsanto), with or without human cost (e.g. Shell and other oil companies). When it comes to the GMO monopoly, Gates is not merely an investor but also a lobbyist who tries to go as far as setting school curricula in favour of his investments. People are not dumb enough to miss it and over time they also find out that Gates bribed their press to deceive them. Journalists whom I speak to already take that as a given. They know there is something rotten in Gates.

“G4S has nearly a million employees — people whom the rich hire in large amounts to oppress the population in exchange for a salary.”A while back we showed that Gates was already setting his eyes on British schools and retails giants like JJB. He and Murdoch were spying on young people [1, 2] as means of profiling those who are being indoctrinated. Well, spying on people and breaking down protests are two related activities (mind control and physical control) and this new report shows Gates backing what here is Manchester we consider to be a private army of mercenary thugs that warp public policing into a for-profit business of few (public becomes privatised, with government/taxpayers’ subsidies), ranging in activity from spying in the streets to riot policing (where the rioters are sometimes the police). According to Wikipedia, this is a growing ‘business’, not just in the United Kingdom. G4S has nearly a million employees — people whom the rich hire in large amounts to oppress the population in exchange for a salary.

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0 members have recommended this reply (displayed in chronological order):

I don't want us to be the playthings of the wealthy. mucifer Jan 2015 #1
Perhaps charter schools "are having incredible success getting students into four-year colleges" Art_from_Ark Jan 2015 #2
Most charter schools can't hand-select the people who are admitted jmowreader Jan 2015 #27
The secret is that children whose parents apply for places in charter schools probably come from JDPriestly Jan 2015 #29
That's the theory, at least Art_from_Ark Jan 2015 #31
"They made their money by oppressing others" brooklynite Jan 2015 #50
The Chinese factories. Shipping jobs overseas has also done a lot of damage to people here. mucifer Jan 2015 #54
They don't make money building computers; they make money writing software brooklynite Jan 2015 #56
They didn't create DOS, they bought it and rebranded it. Trillo Jan 2015 #55
k&r ND-Dem Jan 2015 #59
Sounds like they are getting a bit nervous about what the people are finding out. sabrina 1 Jan 2015 #3
don't worry. you don't have to worry about receiving the Gates' charity magical thyme Jan 2015 #53
+100. and we can guess why; africa is the next china, so gotta lay the ground. people like ND-Dem Jan 2015 #61
So I see multiple negative comments here about their wealth, and nothing about what they're doing kysrsoze Jan 2015 #4
and yet both buffett and gates just keep getting richer. don't you find it odd? ND-Dem Jan 2015 #6
What's your point? Everything else is moot? And BTW - your statement is incorrect. See link: kysrsoze Jan 2015 #8
Huh? Even Forbes (magazine of capitalist pig wanna-bes) says gates' wealth is up. ND-Dem Jan 2015 #11
And again, what's your point? Would you just as soon see them quit the philanthropy? kysrsoze Jan 2015 #13
Yes, I'd gladly trade their philanthropy (much of which has two faces, ulterior motives, etc) for ND-Dem Jan 2015 #16
I'd rather see philanthropy AND a complete rewrite of the American/global capitalistic economic syst kysrsoze Jan 2015 #23
Big money is always made off someone else's back. ND-Dem Jan 2015 #26
charter schools are often for profit entities that suck money from the public school fund, and liberal_at_heart Jan 2015 #7
"Often" being the key word. They're not all run as for-profit ventures. kysrsoze Jan 2015 #9
more often than not especially the newest ones. It's the new hot business. They saw they potential liberal_at_heart Jan 2015 #10
I competely agree with you there. That was not the original intention kysrsoze Jan 2015 #12
something I think that today's educational experts especially American ones don't get is that liberal_at_heart Jan 2015 #15
lots of ways to make money off non-profits. like by charging high 'rent' for your own properties, ND-Dem Jan 2015 #62
Thank You TBA Jan 2015 #28
They're already hoarding their money. Foundations are one of the ways they hoard it. I'd ND-Dem Jan 2015 #30
Yes, exactly. kcr Jan 2015 #51
Philanthropy is important, but as one who has written a lot of grants to both private foundations, JDPriestly Jan 2015 #32
Gates screwed US workers over and over again FLPanhandle Jan 2015 #47
screw Bill Gates and his charter school movement. liberal_at_heart Jan 2015 #5
Agreed. This charter school movement and the emphasis on testing testing testing wavesofeuphoria Jan 2015 #46
they grow wealthier as they have investments. the gates have made a huge positive difference in the La Lioness Priyanka Jan 2015 #14
It actively works against some level of income equality, you mean. It's the reason the world ND-Dem Jan 2015 #17
no, i dont think philanthropy actively works against income equality La Lioness Priyanka Jan 2015 #19
Funny that there have been two historical periods in the US in which philanthropy played an outsized ND-Dem Jan 2015 #21
two things can happen at the same time without being causal. La Lioness Priyanka Jan 2015 #22
They can -- but not in this case. And if you read the history of the origins of the big foundations, ND-Dem Jan 2015 #25
And is that cause or effect? brooklynite Jan 2015 #52
its effect unless you believe in giant conspiracies. La Lioness Priyanka Jan 2015 #66
We must approach income inequality by increasing funding for all education, get rid of the minimum liberal_at_heart Jan 2015 #18
yes, you are right on all accounts. La Lioness Priyanka Jan 2015 #20
I agree as well. kysrsoze Jan 2015 #24
So you prefer the model of give all your shit away today. dilby Jan 2015 #33
Is that what happened under roosevelt? OK then, I like it. ND-Dem Jan 2015 #34
You are making zero sense. dilby Jan 2015 #35
I think you missed the point ND-Dem Jan 2015 #36
Then that is your fault. dilby Jan 2015 #37
is it? i disagree. the gates don't bitch about taxes; they just buy politicians who'll help them ND-Dem Jan 2015 #38
Yeah I will need a bedtime story since dilby Jan 2015 #40
lol ND-Dem Jan 2015 #42
unless they say their taxes should be 75%. STFU. pansypoo53219 Jan 2015 #39
I agree, their taxes should be 75% and they should stfu. ND-Dem Jan 2015 #41
How is this different from "trickle down"? Smarmie Doofus Jan 2015 #43
+100 ND-Dem Jan 2015 #64
"Just make more"? JHB Jan 2015 #44
hey, that's what h1bs are for! they don't need no 'pay raises' ND-Dem Jan 2015 #63
I've often wondered how generous these philanthropists would be bulloney Jan 2015 #45
They never seem to help anyone real. nilesobek Jan 2015 #48
+100. ND-Dem Jan 2015 #57
It always seems to make the poor folk feel like beggars, doesn't it? Vinca Jan 2015 #49
+100 ND-Dem Jan 2015 #58
I think they're goodhearted people and their work improves lives. HOWEVER - Avalux Jan 2015 #60
bill gates has proven in his business dealings he's a shark. he remains a shark. he's not going ND-Dem Jan 2015 #65
We're saying the same thing I think. Avalux Jan 2015 #67
except that sharks aren't good-hearted. ND-Dem Jan 2015 #68
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