An Industry of Enthusiasts: Users Make the Computer Personal, 1975-1981 1: Users vs. Customers Thomas Haigh University of Wisconsin-Milwaukee BHC, Minneapolis, May 2005 No Users in Business History? Crossing the Chasm � Business History has Customers � Usually off screen � Technology Management literature has Adopters of Innovations � Some are early, some aren’t Geoffrey A. Moore, 1991, Harper Business User Concept in History of Being Too Harsh? Technology � Implies a more active � Some exceptions in role business literature � Use is after all the point � Von Hippel of a technology � Social meanings come � Building on idea of “Lead from use Users” � Technology reshaped � Influenced by open source by users (literally and software model metaphorically) � JoAnne Yates � Long tradition in the � Computer users in life history of technology � Susan Douglas, Ruth insurance industry Schwartz Cowan, etc. 1
Theme of Paper � Rapid creation of personal computer industry 2: The Computer Gets � Before uses are apparent Personal � Not just hardware � End users are deeply involved in broader industry � Line between use and production blurred � Users supply applications � Redefinition of what a computer is Users and Producers The First Microcomputers Interchangeable � MITS Altair � Best known user role – hobbyist designer � Launched 1975 � Steve Wozniak, Apple II � Supplied in kit Designer form � Mythology of � Limited use � But � Geeks expandable… � Garages � Genius Homebrew Computer Club � Meeting place in mid-1970s of Bay Area hardware designers 2
Selling to Enthusiasts Initial Constituency � People who � Knew how to solder � Understood electronics � Wanted to play with a computer � Served by Byte magazine � 88,000 circulation by spring 1977 Pre-assembled Machines Market Consolidates Rapidly � Follow by around � Apple leads through 1977 1982 � Apple II � IBM PC launched 1981 � Radio Shack TRS 80 � New hardware standard � Commodore Pet � Clones soon follow � Sell by the 100s of � Microsoft sets OS standard with MS/DOS thousands � First million selling model circa 1982 End of Story? How to Manage This? � Some issues with journalistic narrative � Two ideas presented here � Assumes public demand as given 1. Institutions joining producers and consumers � Puts all agency in hands of producers of OTHER than firms hardware 2. Look at individuals playing multiple roles � Later customers are passive recipients of packaged goodness � But, initial focus on users is interesting � How to broaden � To more people � Over a longer time span 3
But What Is It For? ‘It’s an interesting machine, but what do you actually use it for?’ That’s one of the most frustrating questions asked 3: What Were of personal computer owners. It’s also often the most difficult to answer. Early PCs For? The Commodore 64, Getting the Most From it. (1983) Answer Far from Straight forward William � Hardware manufacturers are not really sure Shatner for � Work pushed onto users Commodore � Machines ship without application software � Distinctive thing about computer: general purpose programmable device � Advertisements vague on uses � Appeals to vision of high-tech family � Ideas of computer literacy and information society Programming for Everyone Programming � BASIC language built into The TI Home Computer was designed to be used for almost early personal extensive personal computers programming. The built-in � turn them on, there it is BASIC language makes the TI99/4 a valuable desktop � Instruction manuals teach tool… a great way to teach programming your children about computers. � presented as way to get value out of purchase � The ONLY thing you can do out of the box 4
So to Recap 1. Explosive growth in personal computing from 1975 onward 3: Institutions Linking 2. Millions were sold without clear Producers and Consumers applications 3. Programming was the ONLY built in capability Computer Fairs Computer Dealers � An estimated � Develop very rapidly independent 600 stores � “Computer Faire” in Bay by 1976 Area is most famous � Plus 5,000 Radio Shacks � But hundreds of others � Functions nationally � Sales � Boundary between visitors � Tech support and exhibitors fluid in � Configuration 1970s � Training � Booths are basic and cheap � Community hub � Enthusiasts on both side of � Some offer own software the trestle table items Trade Groups User Groups � Trade groups � Distributed all over the established for country � Hardware producers & � Activities include Distributors � Microcomputer Industry � Training sessions Association � Software producers � Organizing exhibitions � Software Publishers and shows Association � Creating user- � ADAPSO Microcomputer Software Section contributed software � National Computer libraries Retailers Association � Publishing newsletters 5
Newsletters Computer Magazines � Published by Specialized by � User groups � Machine type � Dealers � Home/Business/Sc � Computer manufacturers hool/Games focus � Contents include � Adult/Child � Hints and tips demographic � News and announcements � Few established � Program listings publishers/journali � Some expand into sts involved commercial magazines Software Publishers Byte, 1980, Pirate Adventure � Many started by individuals from home � Norm in early period is self-packaging � Often tied to other institutions � User groups establish software libraries � Magazines and newsletters publish listings Does User Focus Shift Structure � The PC is cultural reconstructed to fit in different social spaces 4: Dan Fylstra and � School � Hospital VisiCalc � Laboratory � Office � Home � Specialized � Software firms � Hardware add-on vendors � Newsletters, user groups, etc � Networks within existing organizations 6
Modestly Famous Enthusiast Background � Founded Personal � Early user and enthusiast for personal Software in 1977 computers � In 1979 published � A founding Associate Editor of Byte VisiCalc � MIT Graduate � First spreadsheet � Breakout hit � Worked for MIT spinoff startup firm (circa 1 million sold) � Created system software for microprocessors � Largest micro software � Returned to Harvard Business School in firm through 1982 classic ambitious engineer mode � Company implodes by 1984 1977 HBS Term Paper Model like Book Publishing � “My fundamental idea is to � Believed users would publish and market software supply publishable for personal computers in software much the same way that books and records and � He would market, produced and marketed…. distribute, To solicit software for manufacture individual aspiring authors… � Royalties of up to advertise… and distribute the 50% programs through the emerging network of retail � VisiCalc produced on computer stores…” this basis Concern with Dealers � Founding Editor of Computer Dealer magazine � Offered high gross margin to dealers 7
Some Tricky Issues � Computer exceptionalism � Justifiable or dangerous? � How far can we get studying isolated firms? 5: Final Thoughts � How to integrate user story into business history as other than passive consumer � Sources for all this � Masses of nostalgia on the web � Rethink archival collecting policies? 8
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