Microsoft

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History of Microsoft

The company was founded by Bill Gates and Paul Allen in 1975 and generated profits of $16,000. In the 1980s microsoft flourished as it provided the operating system DOS for IBM’s PC.

Today Microsoft is an international company present in 102 different countries, employing 76,000 people and generalting a profit of $44.28 billion per year.

Microsoft takes up 18.3 million square feet of office building space and is ranked 15th in the world's top 500 companies. Microsoft's has driven 93% of the world's desktop computers since 1991 and its office software dominates 90% of the market and earns the company $9 billion a year. In 1990 Microsoft became the first software company to reach $1 billion in revenue. In 2003 Microsoft's revenue increased by $3.82 billion to $32.19 billion with a net income of $9993 billion. Although Microsoft have been accused of fraudulent accounting in order to show profit[1].

The company headquarters are in Redmond, Washington, USA. Microsoft have ownership of MSNBC cable television network, the MSN Internet portal, and the Microsoft Encarta multimedia encyclopedia.

The company has faced much controversy over the years as many have attributed their success to their illegal monopoly over operating systems which effectively pushes competition out of the market. The company has faced legal proceedings aroung the world and have been found guilty on the charges of holding an unfair monopoly. However, as microsoft are an extrmely rich company, the finacial penalties they face are insignificant and they often pay their way out of any legal obligations to rectify this monopoly.

Microsoft’s Philanthropy

Bill Gates likes to consider himself above all as a philanthropic man. At the Government Leaders Forum he quoted Carnegie: ‘he who dies rich dies disgraced.’ Although Gates found the funny side to this, saying that he was still working on it, his charity has been described as the ‘Microsoft of charities’. The Bill and Melinda Gates Foundation was launched by a donation from Bill Gates of £54 million in 2000. Gates has a very philanthropic public image and has joined Bono on the cover of Time magazine as Humanitarian of the year and was voted 8th in the list of “Heros of our Time” by the New Statesman.

However, the ‘Microsoft of charities’ may hold alternative meanings as it has been criticised for disinvestments. In January the Los Angeles Times exposed the foundation for investing over £254 million in oil companies including Royal Dutch Shell, Exxon Mobil, Chevron and Total who were being accused of causing health problems in Nigeria which, ironically, is another area of funding for the trust[2].


International Conflicts

Microsoft have faced criticism and legal action around the world. The main accusation are that they constitute a monopoly and effectively push competitors out of the market. The court cases in the US and Europe give some indication of how they conduct their business and political activities.



Microsoft's Partner Companies

Charteris plc

Affiliations

Business Software Association

European Information & Communications Technology Industry Association

Computing Technology Industry Association

Institute for Software Choice

In 2008, Microsoft is reported to provide sponsorship to the Center for Global Development[3].

PR & Lobbying Firms/groups

Edelman

APCO

G Plus

Microsoft Home and Retail Division is listed as a client of FischerAppelt Kommunikation[4]

In 2008, Microsoft is listed as a member of the American Benefits Council[5] and as a client of The Gorlin Group[6].

Media

MSNBC

Slate Magazine

Tech Central Station

People

Microsoft Board of Directors

Microsoft In Europe

Gordon McKenzie

UK Executives

Gordon Frazer

Neil Thompson

Nick Barley

Sharon Baylay

Steve Dunn

Scott Dodds

Andy Watson

Matthew Bishop

Tery Smith

Chris Parker

Alison Dodd

Bronwyn Kunhardt

David Gartenberg

PR and lobbying operatives

Resources

Notes

  1. Corporate Watch (2004) Microsoft: A Corporate ProfileCorporate Watch (accessed 05/04/07)
  2. MChinty, S (2007) Billionaire, benefactor...but is Bill Gates a force for good? The Scotsman 31st January (accessed 28/02/07)
  3. Centre for Global Development Funders Accessed 22nd January 2008
  4. FischerAppelt Kommunikation Current & former clients Accessed 14th February 2008
  5. American Benefits Council Memberships Accessed 26th February 2008
  6. The Gorlin Group Clients Accessed 20th March 2008