Commit to GUI (Windows) Development

Setting

Apple releases the Lisa and then the Macintosh. The GUI (Graphical User Interface) is clearly the future. MS-DOS is command-line. Microsoft needs a GUI answer, but IBM is pushing OS/2 (with Microsoft). Bill Gates knows they need their own GUI product that runs on top of DOS to bridge the gap.

People

• Responsible: Bill Gates
• Approvers: Steve Ballmer (marketing lead for Windows)
• Consulted:
• Informed: IBM (awkward conversation)

Alternatives

Option A: Stick with DOS

Pros:

• Cash cow.
• High market share.

Cons:

• Obsolete long-term.
• Macintosh will eat the high-end market.

Option B: Focus purely on OS/2 (IBM partnership)

Pros:

• Keeps IBM happy.
• Technically superior (protected mode).

Cons:

• IBM controls the standard.
• Heavy, expensive requirements.

Option C: Build Windows (GUI on DOS)

Pros:

• Backward compatibility with DOS (huge installed base).
• Microsoft owns it 100%.
• Defensive play against Apple.

Cons:

• Technically extremely difficult (DOS wasn't meant for this).
• Performance is terrible on 1983 hardware.
• "Vaporware" reputation (took 2 years to ship 1.0).

Decision

Chosen: Option C

Rationale: "Windows is the bridge." It allows existing PC users to move to GUI without throwing away their hardware or software. It protects the DOS franchise.

Consequences

Positive

• +Windows 3.0 (1990) eventually conquers the world.
• +Defeats OS/2.
• +Defeats Mac (in market share).

Negative

• −Years of struggle and bad reviews for Windows 1.0 and 2.0.