Episode

The History of Microsoft - 1988

For Microsoft, 1988 announces Microsoft OnLine a two-way electronic support service, offering a complete package of technical support and service solutions. Microsoft Mouse sales top the one million mark, less than one year after hitting the ½ million mark and the "Making It All Make Sense" advertising campaign is launched.

Previous Episodes: The History of Microsoft - 1975 The History of Microsoft - 1976
The History of Microsoft - 1977
The History of Microsoft - 1978
The History of Microsoft - 1979
The History of Microsoft - 1980 The History of Microsoft - 1981
The History of Microsoft - 1982
The History of Microsoft - 1983
The History of Microsoft - 1984
The History of Microsoft - 1985 The History of Microsoft - 1986 The History of Microsoft - 1987

1988 Revenue/Headcount

The 1988 fiscal year-end sales total $590,827,000. The 1988 fiscal Year employee headcount totals 2,793people.

Official Subsidiaries Launched: Microsoft CH (Korea, sales office was established in 1983)

January 13, 1988

Microsoft and Ashton-Tate announce Microsoft SQL Server, a relational database server software product for Local Area Networks (LANs) based on a relational database management system licensed from Sybase.

April 8, 1988

Manufacturing and Distribution move to the new Canyon Park industrial complex, a 245,000-square foot facility in Bothell, Washington.

June 14, 1988

Microsoft hires Mike Maples, previously with IBM, as vice president of the Applications Software Division.

June 15, 1988
Microsoft announces Microsoft OnLine, a two-way electronic support service, offering a complete package of technical support and service solutions. Users can send questions or requests for service directly to Microsoft support engineers, take part in discussions, and access a special Microsoft database that contains answers to previously solved problems.

June 20, 1988

Microsoft Mouse sales top the one million mark, less than one year after hitting the ½ million mark.

August 19, 1988
A new Out-Of-Office notification feature for XENIX e-mail is offered to Microsoft employees. Anyone who sends e-mail will receive an automatic message that the employee is out of the office, plus any instructions the employee may wish to include in the message.

September 1, 1988

Microsoft restructures the Applications Division into five business units, designed to streamline product development and prepare the Applications Division for its expected growth into the next five years. Each business unit will have an assigned product mission, with responsibility for its products from conception and development through introduction and on-going marketing.

October 11, 1988
Microsoft and five other major software companies announce the formation of the Business Software Association to combat international software piracy, promote strong intellectual property protection, and reduce international trade barriers.

October 25, 1988
An extensive new education program is announced to cover every level of the education market: K-12, colleges and universities, educators, and education software dealers. This major new partnership includes a cooperative hardware/software packaging promotion with IBM; special-priced, academic versions of selected Microsoft software and a new dealer program.

October 31, 1988

Microsoft and IBM release the jointly developed OS/2 1.1 with Presentation Manager.

November 1, 1988
The "Making It All Make Sense" advertising campaign is launched. It will stress: vision, technical brilliance, business practicality, and commitment to customers.

December 6, 1988
A new Microsoft Product Support Center opens in Bellevue, Washington. The 49,000-square-foot facility, located at Lincoln Plaza in Bellevue, incorporates the latest technology and design features. The new facility is completely dedicated to and houses 250 staff members of the Product Support Services Division of Microsoft.

December 6, 1988
Microsoft to Package Software Specially for Education.
Microsoft announces plans to release Academic Editions of Works, Word, Excel and PowerPoint for the Macintosh that will sell at a reduced rate through the Authorized Education Dealer Program.

December 9, 1988
Mike Maples and Steve Ballmer swim "Lake Bill" as a result of a challenge Mike issued to Steve during the 1988 United Way campaign to see whose group could raise the most money. The competition between the Applications and Systems divisions raised $152,506 for United Way. Applications won the contest on the basis of the highest percentage of participation, but Systems was the big money winner of the two, so both were required to swim. Ballmer jumped into the lake wearing swim trunks, while Maples jumped into the lake in his suit and tie, which covered a wet suit.

Other Product Released in 1988: Learning DOS 2.0, Microsoft Stat Pack on CD-ROM, MS-DOS 4.01, Small Business Consultant 1.0 on CD-ROM, SQL Server Network Developers Kit 1.0, Excel for OS/2, Word 5.0 for PC, Quick Basic 4.5, Excel for Windows 2.1, OS/2 Software Development kit 1.2, Microsoft Programmer’s Library on CD-ROM, Quick Basic 1.0 for Mac, MS-DOS CD-ROM Extensions 2.0, COBOL Optimizing Compiler 3.0, Flight Simulator 3.0 for PC, PowerPoint 2.01 for Mac, Learning DOS 2.0, Stat Pack 1.0

Notable New Hires: David Cutler

In the World:

· Voyager: The experimental airplane Voyager, piloted by Dick Rutan and Jeana Yeager, completes the first nonstop, round-the-world flight without landing for refueling.

· Gorbachev: Mikhail Gorbachev introduces his domestic policy called glasnost, allowing greater freedoms of information and speech in the Soviet Union.

· "Phantom of the Opera" opened at the Majestic Theater in New York City for more than 4,000 performances.

· Whales: Two grey whales freed from frozen Arctic in Barrow, Alaska, thanks to the efforts of a US-Soviet rescue team.

· Israel: PLO proclaims State of Palestine and recognized Israeli existence.

· Cease Fire: Cease fire between Iran and Iraq takes effect after 8 years of war.

· Peace: United Nations peacekeeping forces win the Nobel Peace prize.

· Ted Turner: Ted Turner starts Turner Network Television (TNT) and buys MGM's film library.

· CDs: Compact discs outsell vinyl records for the first time.

· Election: George Bush beats Michael Dukakis in the US presidential election, sweeping 40 states in the Electoral College.

· Olympics: The Summer Olympic Games are held in Seoul, South Korea.

· Undersea Tunnel: The longest traffic tunnel in the world opens between Aomori on the Honshu Island and Hakidate in Hokkaido, Japan. The railroad tunnel, called "Seikan," is 33.44 miles long and is as deep as 787 feet below water at one point.

· Aloha Flight 243: On a flight between Hilo and Honolulu, Hawaii, an Aloha Airlines Boeing 737 loses several yards of its upper fuselage. The craft lands with only one fatality.

· World Expo ‘88: World Expo ’88 opens in Brisbane Queensland, Australia. The exhibition runs for 6 months, hosting pavilions from over 70 countries/regions.

· Baseball: The LA Dodgers defeat the Oakland A’s, 4-1, in the World Series.

· Sonny Bono: Former pop singer Sonny Bono is elected mayor of Palm Springs, California.

· Free-Trade Agreement: Canadian Prime Minister Brian Mulroney and President Reagan signed the Canada-US free trade agreement.

· Academy Awards: “The Last Emperor,” directed by Bernardo Bertolucci, wins nine Oscars, including awards for Best Picture and Best Director

· The Business Software Association (BSA) is founded to combat software piracy through education and legislation.

· A computer virus developed by a 23-year-old attacks more than 6,000 computers on the Internet Network.

· The "Bill Cosby Show" is America’s favorite TV program.