Steve Ballmer

And in particular, they would have to do some customizing. But part of what IBM wants is a customized version of an operating system for the IBM PC. They don't want this to be fully off the shelf. Yes.

And just to add one more stir-the-pot of history here, there is another version of this story where Gary does actually have a conversation with IBM, and it blows up over licensing terms, that what Gary really wants is a significant royalty of every IBM PC sold, and IBM walks over that.

And just to add one more stir-the-pot of history here, there is another version of this story where Gary does actually have a conversation with IBM, and it blows up over licensing terms, that what Gary really wants is a significant royalty of every IBM PC sold, and IBM walks over that.

So whether that happened or whether it's just an NDA issue, either way, I think we all know the IBM PC did not end up running the CPM operating system.

So whether that happened or whether it's just an NDA issue, either way, I think we all know the IBM PC did not end up running the CPM operating system.

And so enter Seattle Computer Products.

And so enter Seattle Computer Products.

Incredible. Which, of course, later they would drop the Q and call it DOS, the disk operating system. Something about dirty didn't have a ring to it when you're selling it to IBM.

Incredible. Which, of course, later they would drop the Q and call it DOS, the disk operating system. Something about dirty didn't have a ring to it when you're selling it to IBM.

So Microsoft would eventually generate billions of dollars on DOS-based products. Now, you're exactly right in the same way that Instagram today is a much different code base than Instagram and much larger code base than Instagram when it was purchased. But my God, $75,000 to buy DOS to get this whole thing started. I mean, until Windows 95, all of the Windows operating systems were DOS-based.

So Microsoft would eventually generate billions of dollars on DOS-based products. Now, you're exactly right in the same way that Instagram today is a much different code base than Instagram and much larger code base than Instagram when it was purchased. But my God, $75,000 to buy DOS to get this whole thing started. I mean, until Windows 95, all of the Windows operating systems were DOS-based.

Yep. Also, David, I got to say, I just looked it up. The address of Seattle Computer Products on the original business card for Seattle Computer Products, where I presume QDOS was written, the space is available.

Yep. Also, David, I got to say, I just looked it up. The address of Seattle Computer Products on the original business card for Seattle Computer Products, where I presume QDOS was written, the space is available.

And it's in Tukwila.

And it's in Tukwila.

What are they?

What are they?

Yes. So this is in Paul Allen's memoir. IBM paid Microsoft $75,000 for testing and consultation, $45,000 for DOS. $45,000 and $310,000 for an array of 16-bit language interpreters and compilers. So all told, bundled together, that is $430,000 fixed that IBM paid Microsoft with no ongoing obligation.

Yes. So this is in Paul Allen's memoir. IBM paid Microsoft $75,000 for testing and consultation, $45,000 for DOS. $45,000 and $310,000 for an array of 16-bit language interpreters and compilers. So all told, bundled together, that is $430,000 fixed that IBM paid Microsoft with no ongoing obligation.

And you might say, what? Didn't Bill learn his lesson? Why would he ever agree to this?