Table of Contents
Booting: The Personal Computer Era
Divide: Software eats hardware
Turn: Antitrust and Return
Disruption: The Smartphone Revolution
Written at the end: The new wave is coming again
Home Hardware Tutorial Hardware News Microsoft and Apple's 'Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

Microsoft and Apple's 'Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

Jul 19, 2024 pm 01:04 PM
Mobile Internet apple pc Microsoft science and technology

"You lied to us, I trusted you so much, but you stole our Apple stuff!"


One day in November 1983, two young people faced off in a conference room, and one young man yelled angrily. Then another young man responded calmly:


"Well, Steve, I think the situation is closer to this - we all have a rich neighbor named Xerox, who has One day, I broke into his house to steal the TV, but found that you had already stolen it. "


If you already know this history, you should know that the young man who said this is Microsoft. Founder Bill Gates, and the angry young man opposite is Apple founder Steve Jobs.


Microsoft and Apples Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

(Leaving Apple) Jobs and Gates, picture/David Graham


In Jobs’ view, the Windows being developed by Microsoft is “stealing” Apple’s (Classic) Mac OS graphics users The product behind the interface (GUI). But in Gates' view, both (Classic) Mac OS and Windows "stole" the graphical user interface from Xerox Research Center (PARC).


However, including the two "thieves" - Jobs and Gates, probably no one could have imagined at the time that 40 years later, Apple and Microsoft would continue to lead the technological revolution and both exceed the US$3 trillion market value. record.


At the end of this month, just after Apple, Microsoft's market capitalization exceeded US$3 trillion for the first time, becoming the second technology company in the world to join the "US$3 trillion club". Subsequently, the two companies focused on the "US$3 trillion club" "Multiple rounds of confrontation took place.


As of the close of trading on January 26, Apple has fallen below US$3 trillion, while Microsoft continues to remain at US$3 trillion.


Microsoft and Apples Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

Apple fell by "3 trillion US dollars", picture / Google search


In fact, from the beginning of 2024, Microsoft's market value has been rising all the way by virtue of seizing the opportunity in the field of artificial intelligence, and It has surpassed Apple many times. Prior to this, Apple had been firmly seated as the world's highest market capitalization.


This also reminds people of the nearly 50-year "grievance and hatred" between Microsoft and Apple that spans multiple technological revolutions in personal computers, smartphones, and generative AI.


Booting: The Personal Computer Era


Microsoft and Apples Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

Apple I, Photo/Ed Uthman


April 1976, Steve Jobs and Steve Wozniak Founded Apple and demonstrated a game-changing product, the Apple I, at the Homebrew Computer Club, marking a major shift in computers from laboratories and professional fields to ordinary consumer homes, thus starting the personal computer era.


Just one year before Apple was founded, Bill Gates and Paul Allen also founded Microsoft. They started by selling BASIC interpreters and gradually turned to operating system development. In 1980, they developed MS for IBM PC -DOS system, thereby establishing its dominant position in the operating system market.


The time came around 1984. Although the partnership between Apple and Microsoft had "broken", it once again "accelerated" the trend of the personal computer era from different angles.


In 1984, Apple released its first Macintosh personal computer, the Macintosh 128K, which was equipped with a graphical user interface, screen, mouse and keyboard for the first time, establishing the product paradigm of personal computers in one fell swoop. Coincidentally, it happened to be the 40th birthday of the Mac computer a few days ago. Lei Technology announced in "Mac, 40!" "The article reviews the development history of Mac. Microsoft officially launched the retail version of the Windows operating system a year later, truly leading countless people into the era of personal computing.


These two things not only defined the early development trajectories of Apple and Microsoft - the former focused on hardware innovation and user experience, and the latter focused on the popularization of software and standardization of operating systems, but also foreshadowed the two companies. Competition and cooperation in the personal computer age.


Divide: Software eats hardware


Initially, software was considered a vassal of hardware, but soon, people began to realize that software is closer to consumers than hardware.


In the 1990s, the computer industry ushered in another key change. Windows 3.0, released in 1990, greatly improved the appearance design, and combined with a series of technical improvements, it became Microsoft's first operating system to achieve widespread commercial success, with 200 units sold within 6 months of its first release. Thousands of copies.


Immediately afterwards, Microsoft officially launched a major version update after Windows in 1995. It was probably the most critical update in the history of computer operating systems-Windows 95. Perhaps the best evaluation of Windows 95 was what CNET later said:


"When Windows 95 finally went off the market in 2001, it was firmly nailed to computers around the world."


Microsoft and Apples Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

Picture/Microsoft


While Microsoft is accelerating the global popularity of personal computers and then dominating the computer market, Apple is still going through a difficult period, and its founder Steve Jobs has been "ousted." At that time, Apple was facing a financial crisis, its market share was declining, and its innovation capabilities were questioned.


Although Apple’s Mac computers have maintained a certain market share in the graphic design and education fields, they have been unable to compete with Windows-based PCs in the broader personal computer market. The high prices of Apple products and the relatively closed ecosystem have led to limited appeal in the market. Apple has had to reorganize and adjust its strategy in order to survive and develop.


So, after various attempts failed, Apple chose to invite one person, a person who once created Apple's glorious history-Jobs.


Turn: Antitrust and Return


In 1997, through the acquisition of NeXT Computer Company, Apple once again returned to the rule of founder Steve Jobs. After Jobs returned, he quickly ended the patent litigation with his "old enemy" Microsoft, and even chose to pre-install the IE browser on the Mac in exchange for Gates' financial support.


At that time, Microsoft had grown into a "fearful" company, monopolizing more than 90% of the computer operating system market. Yahoo founder Jerry Yang publicly said, "You never, ever want to compete with Microsoft. . If they want to compete with you, you have to run away and do something else."


But just a year after Jobs returned to Apple - in May 1998, the U.S. Department of Justice and 20 states. Jointly launched an antitrust lawsuit against Microsoft. One of the core issues is that Microsoft has monopolized the browser market by bundling and installing the IE browser. After more than two years of tug-of-war, the court once ruled to break up Microsoft, but the result was eventually overturned by the appeals court.


It wasn’t until later that Google proved that the search engine is the first entrance to the Internet, and the browser is not so crucial, and then there was Paul Graham’s article “Microsoft is Dead”.


Microsoft and Apples Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

iMac G3, Picture/Apple


At the same time, Jobs is completing drastic reforms of Apple. In addition to layoffs and streamlining product lines, Jobs focused more on products. Also in May 1998, Apple released the iMac G3, the first major product since Jobs' return - a new all-in-one computer that integrated a monitor and host.


The success of iMac not only saved Apple from its predicament at the time, but also marked Apple's return to the forefront of innovation. Then, in 2001, Apple released the iPod, a portable music player that changed the way digital music was consumed and further cemented Apple's position as an innovation leader.


Then, the iPhone changed everything.


Disruption: The Smartphone Revolution


In September 2008, Google released Android 1.0, which caused a huge stimulus to both Apple and Microsoft.


Jobs told the author of "Jobs Biography" that if necessary, he will use his last ounce of strength and all the $40 billion in cash in Apple's account to correct this evil behavior, "I want to destroy Android. Because it I'm a thief who steals, and I won't hesitate to start a thermonuclear war for it."


On the other hand, Microsoft launched Windows Mobile as early as 2000, but it always "missed the point" and rushed it a full year after the release of Android. Launched the last version of Windows Mobile - Windows Mobile 6.5, and then turned around and invested in the development of the Windows Phone operating system.


Microsoft and Apples Battle of Kings”: Falling in love and fighting each other for more than 40 years, meeting at the peak of US$3 trillion

Windows Phone, Picture/PickPik


Faced with the rise of Android, Apple has consolidated the market position of the iPhone by continuously innovating and improving its products and services. Apple emphasizes the high quality of its products, excellent user experience and strong ecosystem, including the App Store, iCloud and continuous updates of the iOS operating system.


Despite the numerical advantage of Android devices, Apple has managed to stay competitive by relying on its brand loyalty and high profit margins. But Windows Phone faces greater challenges in the face of competition from Android.


Microsoft is trying to increase the appeal of Windows Phone by partnering with Nokia, launching a new interface design and an improved operating system. However, since the market is already dominated by the two camps of Android and iOS, it is difficult for Windows Phone to find an effective market foothold. The shortcomings of its app ecosystem and late market entry make it difficult for Windows Phone to compete with Android and iPhone.


In 2010, when Microsoft launched Windows Phone 7 and Apple launched iPhone 4, Apple's market value surpassed Microsoft for the first time and became the world's most valuable company. The strength between Apple and Microsoft also completely reversed.


Written at the end: The new wave is coming again


The year 2023, which has just passed, is also another "critical moment" for Microsoft and Apple.


Microsoft relies on its forward-looking bet on OpenAI and its determined "Copilotization" to continuously refresh people's understanding of Microsoft and its market value; of course, Apple cannot let go of the wave of changes in artificial intelligence, but it will always Focus more on products and the next era of spatial computing.


Of course we can analyze and judge the two options, but in the end, only time will tell the result of our choice. Regardless of the outcome, Microsoft and Apple, the "old enemies", will probably still be one of the most important technology companies in the future.


The 2024 Year of the Dragon Spring Festival special topic "Technology Welcomes the Year of the Dragon, AI Celebrates the Spring Festival" jointly produced by Lei Technology MCN's accounts (Lei Technology/Xiao Lei Beep/Dianche Tong/Value Research Institute/Luo Chao Pro) The series is continuing to output content. Welcome to subscribe and follow on platforms such as Lei Technology (ID: leitech).

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