Editing IBM Personal Computer (section)

== History ==
Prior to the 1980s, IBM had largely been known as a provider of business computer systems.<ref name="pollack19810813">{{Cite news|last=Pollack|first=Andrew|date=August 13, 1981|title=Big I.B.M.'s Little Computer|language=en-US|page=D1|work=The New York Times|url=https://www.nytimes.com/1981/08/13/business/big-ibm-s-little-computer.html|access-date=March 16, 2020|issn=0362-4331}}</ref> As the 1980s opened, their market share in the growing minicomputer market failed to keep up with competitors, while other manufacturers were beginning to see impressive profits in the microcomputer space. The market for personal computers was dominated at the time by [[Tandy Computers|Tandy]], [[Commodore International|Commodore]], and [[Apple Inc.|Apple]], whose machines sold for several hundred dollars each and had become very popular. The microcomputer market was large enough for IBM's attention, with $15&nbsp;billion in sales by 1979 and projected annual growth of more than 40% during the early 1980s. Other large technology companies had entered it, such as [[Hewlett-Packard]], [[Texas Instruments]] and [[Data General]], and some large IBM customers were buying Apples.<ref name="morgan198003">{{cite news|author=Morgan, Christopher P|date=March 1980|title=Hewlett-Packard's New Personal Computer|page=60|work=[[Byte (magazine)|Byte]]|url=https://archive.org/stream/byte-magazine-1980-03/1980_03_BYTE_05-03_Computers_in_the_Labratory#page/n63/mode/2up|access-date=October 18, 2013}}</ref><ref name="swaine19811005">{{cite news|author=Swaine, Michael|date=October 5, 1981|title=Tom Swift Meets the Big Boys: Small Firms Beware|page=45|work=InfoWorld|url=https://books.google.com/books?id=JT0EAAAAMBAJ&pg=RA1-PA45|access-date=January 1, 2015}}</ref>

As early as 1980 there were rumors of IBM developing a personal computer, possibly a miniaturized version of the [[IBM System/370]],<ref name="byte198101">{{cite news|date=January 1981|title=Interest Group for Possible IBM Computer|page=313|work=[[Byte (magazine)|Byte]]|url=https://archive.org/stream/byte-magazine-1981-01/1981_01_BYTE_06-01_Hand-held_Computers#page/n313/mode/2up|access-date=October 18, 2013}}</ref> and [[Panasonic|Matsushita]] acknowledged publicly that it had discussed with IBM the possibility of manufacturing a personal computer in partnership, although this project was abandoned.<ref name="libes198106">{{cite news|author=Libes, Sol|date=June 1981|title=IBM and Matsushita to Join Forces?|page=208|work=[[Byte (magazine)|Byte]]|url=https://archive.org/stream/byte-magazine-1981-06/1981_06_BYTE_06-06_Operating_Systems#page/n209/mode/2up|access-date=October 18, 2013}}</ref><ref name="morgan198107">{{cite news|author=Morgan, Chris|date=July 1981|title=IBM's Personal Computer|page=6|work=[[Byte (magazine)|Byte]]|url=https://archive.org/stream/byte-magazine-1981-07/1981_07_BYTE_06-07_Energy_Conservation#page/n7/mode/2up|access-date=October 18, 2013}}</ref> The public responded to these rumors with skepticism, owing to IBM's tendency towards slow-moving, bureaucratic business practices tailored towards the production of large, sophisticated and expensive business systems.<ref name="ibm5120">{{cite web|date=January 23, 2003|title=IBM 5120|url=http://www-03.ibm.com/ibm/history/exhibits/pc/pc_6.html|archive-url=https://web.archive.org/web/20050311044344/http://www-03.ibm.com/ibm/history/exhibits/pc/pc_6.html|url-status=dead|archive-date=March 11, 2005|access-date=March 20, 2016|publisher=IBM}}</ref> As with other large computer companies, its new products typically required about four to five years for development,<ref name="morgan198201">{{cite news|author=Morgan, Chris|date=January 1982|title=Of IBM, Operating Systems, and Rosetta Stones|page=6|work=[[Byte (magazine)|Byte]]|url=https://archive.org/stream/byte-magazine-1982-01/1982_01_BYTE_07-01_The_IBM_Personal_Computer#page/n7/mode/2up|access-date=October 19, 2013}}</ref><ref name="bunnell19820203">{{cite news|author=Bunnell, David|date=Feb–Mar 1982|title=The Man Behind The Machine? / A PC Exclusive Interview With Software Guru Bill Gates|page=16|work=PC Magazine|url=https://books.google.com/books?id=w_OhaFDePS4C&pg=PA16|access-date=February 17, 2012}}</ref> and a well publicized quote from an industry analyst was, "IBM bringing out a personal computer would be like teaching an elephant to tap dance."<ref>{{Cite web|date=January 23, 2003|title=IBM Archives: The birth of the IBM PC|url=https://www.ibm.com/ibm/history/exhibits/pc25/pc25_birth.html|access-date=October 3, 2020|website=www.ibm.com|language=en-US}}</ref>

IBM had previously produced microcomputers, such as 1975's [[IBM 5100]], but targeted them towards businesses; the 5100 had a price tag as high as $20,000.<ref>{{cite web|title=Obsolete Technology Website|url=http://oldcomputers.net/ibm5100.html|access-date=August 14, 2008}}</ref> Their entry into the home computer market needed to be competitively priced.

In the summer of 1979, Ron Mion, IBM’s Senior Business Trends Advisor for entry-level systems, proposed a plan for IBM to enter the emerging microcomputer market.  At that time, the likes of Apple and Tandy were starting to encroach on the small-business marketplace that IBM intended to dominate.  Mion believed that that market would grow significantly and that IBM should aggressively pursue it.  However, he felt that they wouldn’t be successful unless IBM departed from its long-standing business model.

Mion’s plan called for three major departures from how IBM traditionally did business.  Mion felt that, if IBM wanted to compete in the microcomputer market, it would need to:
:a)	Greatly reduce manufacturing costs by using standard, off-the-shelf components (e.g., disk drives, CRTs, power supplies, keyboards) in order to produce a competitively priced microcomputer
:b)	Use a low-cost, third-party operating system.  Mion felt that this was imperative in order to foster a cottage industry that could develop a broad array of applications that would help small businesses justify the purchase of a computer.  Mion recommended Digital Research’s CP/M and a new O/S called MS-DOS from a little-known company named Microsoft.
:c)	Allow its microcomputers to be sold and serviced by a distribution channel consisting of independent resellers.  (At that time, IBM had been experimenting with a chain of IBM Business Systems Center storefronts but their least-expensive computer cost $14,000.)

That plan made its way up the chain of command but was ultimately rejected in the fall.  The top IBM executives reaffirmed that all “IBM” computers, and their major components, must be developed, manufactured, sold, and serviced by IBM.

In January of 1980, Tandy released their Annual Report and, as was predicted in Mion's plan, it confirmed that their 1979 shipments had exceeded 100,000 TRS-80s (about $50 million worth).  IBM quickly dusted off Mion’s marketing plan.

In 1980, IBM president John Opel, recognizing the value of entering this growing market, assigned [[William C. Lowe]] and [[Philip Don Estridge]] as heads of the new Entry Level Systems unit in Boca Raton, Florida.<ref name="blaxilleckardt2009" /><ref name=nyt /> Market research found that computer dealers were very interested in selling an IBM product, but they insisted the company use a design based on standard parts, not IBM-designed ones so that stores could perform their own repairs rather than requiring customers to send machines back to IBM for service.<ref name="blaxilleckardt2009">{{cite book|author1=Blaxill, Mark|url=https://books.google.com/books?id=JO6kA0hebJIC&pg=PA195|title=The Invisible Edge: Taking Your Strategy to the Next Level Using Intellectual Property|author2=Eckardt, Ralph|publisher=Penguin Group|year=2009|isbn=9781591842378|pages=195–198}}</ref> Another source cites time pressure as the reason for the decision to use third-party components.<ref name="Big Blues">{{cite book|title=Big Blues: The unmaking of IBM|author=Carroll, Paul|publisher=Random House|year=1993|isbn=0-517-88221-3|pages=22|url=https://archive.org/details/Big_Blues_The_Unmaking_IBM_Paul_Carroll}}</ref>

Atari proposed to IBM in 1980 that it act as original equipment manufacturer for an IBM microcomputer,<ref name="musil20131028">{{cite web|author=Musil, Steven|date=October 28, 2013|title=William Lowe, the 'father of the IBM PC,' dies at 72|url=http://www.cnet.com/news/william-lowe-the-father-of-the-ibm-pc-dies-at-72/|access-date=January 8, 2015|publisher=CNet}}</ref> a potential solution to IBM's known inability to move quickly to meet a rapidly changing market. The idea of acquiring Atari was considered but rejected in favor of a proposal by Lowe that by forming an independent internal working group and abandoning all traditional IBM methods, a design could be delivered within a year and a prototype within 30 days. The prototype worked poorly but was presented with a detailed business plan which proposed that the new computer have an [[open architecture]], use non-proprietary components and software, and be sold through retail stores, all contrary to IBM practice. It also estimated sales of 220,000 computers over three years, more than IBM's entire [[installed base]].<ref name="delete">Atkinson, P, (2013) ''DELETE: A Design History of Computer Vapourware''[http://www.paul-atkinson-design.com/#!design-history-of-computers] {{Webarchive|url=https://web.archive.org/web/20140301055854/http://www.paul-atkinson-design.com/#!design-history-of-computers|date=March 1, 2014}}, London: Bloomsbury Publishing.</ref><ref name="scott19881031">{{cite journal|author=Scott, Greg|date=October 1988|title="Blue Magic": A Review|url=https://books.google.com/books?id=WSBVAAAAMAAJ&pg=RA1-PA128|journal=U-M Computing News|volume=3|issue=19|pages=12–15}}</ref>

This swayed the Corporate Management Committee, which converted the group into a business unit named "Project Chess", and provided the necessary funding and authority to do whatever was needed to develop the computer in the given timeframe. The team received permission to expand to 150 people by the end of 1980, and in one day more than 500 IBM employees called in asking to join.

=== Design process ===
The design process was kept under a policy of strict secrecy, with all other IBM divisions kept in the dark about the project.<ref>{{Cite web|title=IBM PC Announcement 1981|url=http://www.bricklin.com/ibmpcannouncement1981.htm|access-date=October 4, 2020|website=www.bricklin.com}}</ref>

Several CPUs were considered, including the [[Texas Instruments TMS9900]], [[Motorola 68000]] and [[Intel 8088]]. The 68000 had 32 bit registers with a flat 24 bit address space for up to 16MB of memory and was considered the best choice,<ref name="millergates200119970325">{{Cite interview |last=Gates |first=Bill |interviewer=Michael J. Miller |title=Interview: Bill Gates, Microsoft |url=http://www.pcmag.com/article/0,2997,s=1754&amp;a=11072,00.asp |date=March 25, 1997 |archive-url=https://web.archive.org/web/20010823113747/http://www.pcmag.com/article/0%2C2997%2Cs%3D1754%26a%3D11072%2C00.asp |archive-date=August 23, 2001 |access-date=September 4, 2020 |url-status=live |work= [[PCMag|PC Magazine]]}}</ref> but was not production-ready like the others.<ref name="rhines20170622">{{Cite news |last=Rhines |first=Walden C. |author-link=Walden C. Rhines |date=June 22, 2017 |title=The Inside Story of Texas Instruments' Biggest Blunder: The TMS9900 Microprocessor |language=en |work=[[IEEE Spectrum]] |url=https://spectrum.ieee.org/the-inside-story-of-texas-instruments-biggest-blunder-the-tms9900-microprocessor |access-date=July 8, 2017}}</ref> The [[IBM 801]] RISC processor was also considered, since it was considerably more powerful than the other options, but rejected due to the design constraint to use [[Commercial off-the-shelf |off-the-shelf]] parts{{dubious|date=February 2024|reason=According to wiki page [[IBM 801]] the processor wasn't production ready either}}. The TMS9900 had only 16 bits of address space which was the same as other 8 bit chips and was rejected as it was inferior to the Intel 8088 which had 20 bits of address space which could use one megabyte of memory.<ref>{{cite web | url=https://spectrum.ieee.org/the-inside-story-of-texas-instruments-biggest-blunder-the-tms9900-microprocessor | title=The Inside Story of Texas Instruments' Biggest Blunder: The TMS9900 Microprocessor - IEEE Spectrum }}</ref>

The Intel 8086 architecture had 16 bit registers and used a segment scheme to increase the address space to 20 bits or 1MB of memory which complicated programming but was a big step up from 64K limit of most 8 bit chips. The 8086 was designed as a source code compatible, though not binary compatible, extension of the older 8080 which made it easier to port existing software like BASIC. IBM chose the 8088 variant of the 16 bit [[Intel 8086|8086]] because Intel offered a better price for the former and could provide more units,<ref name="freiberger19820823">{{cite news|author=Freiberger, Paul|date=August 23, 1982|title=Bill Gates, Microsoft and the IBM Personal Computer|page=22|work=InfoWorld|url=https://books.google.com/books?id=VDAEAAAAMBAJ&pg=PA22|access-date=January 29, 2015}}</ref> and the 8088's 8-bit bus reduced the cost of the rest of the computer. The 8088 had the advantage that IBM already had familiarity with the 8085 from designing the [[IBM System/23 Datamaster]]. The 62-pin expansion bus slots were also designed to be similar to the Datamaster slots,<ref>{{cite web|url=https://www.edn.com/whence-came-the-ibm-pc/|title=Whence Came the IBM PC|website=edn.com|date=September 15, 2001|access-date=October 13, 2020|author=John Titus}}</ref> and its keyboard design and layout became the [[IBM Model F|Model F]] keyboard shipped with the PC,<ref name="bradley199009">{{cite news | url=https://archive.org/stream/byte-magazine-1990-09/1990_09_BYTE_15-09_15th_Anniversary_Summit#page/n451/mode/2up | title=The Creation of the IBM PC | work=[[Byte (magazine)|Byte]] | date=September 1990 | access-date=April 2, 2016 | author=Bradley, David J. | pages=414–420}}</ref> but otherwise the PC design differed in many ways.

The 8088 motherboard was designed in 40 days,<ref>{{Cite news|title=Remembering the Beginning|work=PC Magazine|url=http://www.pcmag.com/article/0,2997,s=1754&a=11072,00.asp|url-status=dead|archive-url=https://web.archive.org/web/20020206040238/http://www.pcmag.com/article/0%2C2997%2Cs%3D1754%26a%3D11072%2C00.asp|archive-date=February 6, 2002|access-date=September 4, 2020}}</ref> with a working prototype created in four months,<ref name=nyt>{{Cite news|last=Sanger|first=David E.|date=August 5, 1985|title=Philip Estridge Dies in Jet Crash; Guided Ibm Personal Computer|language=en-US|work=The New York Times|url=https://www.nytimes.com/1985/08/05/us/philip-estridge-dies-in-jet-crash-guided-ibm-personal-computer.html|access-date=October 4, 2020|issn=0362-4331}}</ref> demonstrated in January 1981. The design was essentially complete by April 1981, when it was handed off to the manufacturing team.<ref>{{Cite web|date=January 23, 2003|title=IBM Archives: The birth of the IBM PC|url=https://www.ibm.com/ibm/history/exhibits/pc25/pc25_birth.html|access-date=October 4, 2020|website=www.ibm.com|language=en-US}}</ref> PCs were assembled in an IBM plant in Boca Raton, with components made at various IBM and third party factories. The monitor was an existing design from [[IBM Japan]]; the printer was manufactured by [[Epson]].<ref>{{Cite book|url=https://books.google.com/books?id=WSBVAAAAMAAJ&pg=RA1-PA128|title=U-M Computing News|date=1988|publisher=Computing Center|language=en}}</ref>{{fv|date=July 2023}} Because none of the functional components were designed by IBM, they obtained only a handful of patents on the PC, covering such features as the bytecoding for color monitors, DMA access operation, and the keyboard interface. They were never enforced.<ref name="R.Turner one attorney who obtained these patents for IBM.">{{Cite magazine|magazine=InfoWorld|url=https://books.google.com/books?id=VDAEAAAAMBAJ|page=[https://books.google.com/books?id=VDAEAAAAMBAJ&pg=PA29 21]|date=August 23, 1982|title=Let's Keep Those Systems Open|publisher=InfoWorld Media Group, Inc.|language=en|via=Google Books}}</ref>

Many of the designers were computer hobbyists who owned their own computers,{{r|morgan198201}} including many Apple II owners, which influenced the decisions to design the computer with an [[open architecture]]<ref name="porter19840918">{{cite news | url=https://books.google.com/books?id=Pq3POofPsBEC | title=Ostracized PC1 Designer Still Ruminates 'Why?' | work=PC Magazine | date=September 18, 1984 | access-date=October 25, 2013 | author=Porter, Martin | page=33}}</ref> and publish technical information so others could create compatible software and [[expansion slot]] peripherals.<ref name="greenwald19830711">{{Cite magazine |last=Greenwald |first=John |date=July 11, 1983 |title=The Colossus That Works |url=http://content.time.com/time/magazine/article/0,9171,949693-2,00.html |url-status=live |url-access=subscription | magazine=TIME |archive-url=https://web.archive.org/web/20080514004334/http://www.time.com/time/magazine/article/0,9171,949693-2,00.html |archive-date=May 14, 2008 |access-date=May 18, 2019}}</ref>

During the design process IBM avoided vertical integration as much as possible, for example choosing to license [[Microsoft BASIC]] rather than utilizing the in-house version of BASIC used for mainframes due to the better existing public familiarity with the Microsoft version.<ref name="byte198311">{{cite news|author=Curran, Lawrence J.|last2=Shuford, Richard S.|date=November 1983|title=IBM's Estridge|pages=88–97|work=[[Byte (magazine)|Byte]]|url=https://archive.org/stream/byte-magazine-1983-11/1983_11_BYTE_08-11_Inside_the_IBM_PC#page/n89/mode/2up|access-date=March 19, 2016}}</ref>

=== Debut ===
The IBM PC debuted on August 12, 1981, after a twelve-month development. Pricing started at $1,565 for a configuration with 16&nbsp;KB RAM, [[Color Graphics Adapter]], keyboard, and no disk drives. The price was designed to compete with comparable machines in the market.<ref name="ibmpc25">{{cite web|date=January 23, 2003|title=The birth of the IBM PC|url=http://www-03.ibm.com/ibm/history/exhibits/pc25/pc25_birth.html|archive-url=https://web.archive.org/web/20060814072714/http://www-03.ibm.com/ibm/history/exhibits/pc25/pc25_birth.html|url-status=dead|archive-date=August 14, 2006|access-date=June 13, 2014|publisher=IBM Archives}}</ref> For comparison, the Datamaster, announced two weeks earlier as IBM's least expensive computer, cost $10,000.<ref name="Pollack">{{Cite news| last1 = Pollack | first1 = Andrew |date=March 27, 1983|title=Big I.B.M. Has Done It Again| language=en-US | work = [[The New York Times]] | url = https://www.nytimes.com/1983/03/27/business/big-ibm-has-done-it-again.html|access-date=October 4, 2020|issn=0362-4331 | df = dmy-all}}</ref>

IBM's marketing campaign licensed the likeness of [[Charlie Chaplin]]'s character "[[The Little Tramp]]" for a series of advertisements based on Chaplin's movies, played by Billy Scudder.<ref name="papson1990">{{cite journal|author=Papson, Stephen|date=April 1990|title=The IBM tramp|url=http://www.ejumpcut.org/archive/onlinessays/JC35folder/IBMtramp.html|journal=Jump Cut: A Review of Contemporary Media|issue=35|pages=66–72}}</ref>

The PC was IBM's first attempt to sell a computer through retail channels rather than directly to customers. Because IBM did not have retail experience, they partnered with the retail chains [[ComputerLand]] and [[Sears]], who provided important knowledge of the marketplace<ref name="mace19811005">{{cite news|author=Mace, Scott|date=October 5, 1981|title=Where You Can Go to Purchase the New Computers|page=49|work=InfoWorld|url=https://books.google.com/books?id=JT0EAAAAMBAJ&pg=RA1-PA49|access-date=January 1, 2015}}</ref><ref name="sandler198411">{{cite news | url=http://www.atarimagazines.com/creative/v10n11/298_IBM_colossus_of_Armonk.php | title=IBM: Colossus of Armonk | work=Creative Computing | date=November 1984 | access-date=February 26, 2013 | author=Sandler, Corey | page=298}}</ref><ref name="elder198907">{{cite news | url=https://hbr.org/1989/07/new-ventures-lessons-from-xerox-and-ibm | title=New Ventures: Lessons from Xerox and IBM | work=Harvard Business Review | date=July 1989 | access-date=January 20, 2015 | author=Elder, Tait}}</ref><ref name="mcmullen19840221">{{cite news | url=https://books.google.com/books?id=UCIvSU6Y2GAC | title=Apple Charts The Course For IBM | work=PC Magazine | date=February 21, 1984 | access-date=October 24, 2013 |author1=McMullen, Barbara E. |author2=John F. | page=122}}</ref> and became the main outlets for the PC. More than 190 ComputerLand stores already existed, while Sears was in the process of creating a handful of in-store computer centers for sale of the new product.

Reception was overwhelmingly positive, with analysts estimating sales volume in the billions of dollars in the first few years after release.<ref name="pcommuniquesfuture19820203">{{cite news|date=Feb–Mar 1982|title=Billion Dollar Baby|page=5|work=PC|url=https://books.google.com/books?id=w_OhaFDePS4C&pg=PA5|access-date=February 25, 2016}}</ref> After release, IBM's PC immediately became the talk of the entire computing industry.<ref name="bunnellflying19820203">{{cite news|author=Bunnell, David|date=February 3, 1982|title=Flying Upside Down|page=10|work=PC Magazine|url=https://books.google.com/books?id=w_OhaFDePS4C&pg=PA10|access-date=April 6, 2014}}</ref> Dealers were overwhelmed with orders, including customers offering pre-payment for machines with no guaranteed delivery date.<ref name="ibmpc25" /> By the time the machine began shipping, the term "PC" was becoming a household name.<ref name="edlinbunnell19820203">{{cite news|author1=Edlin, Jim|author2=Bunnell, David|date=February–March 1982|title=IBM's New Personal Computer: Taking the Measure / Part One|page=42|work=PC Magazine|url=https://books.google.com/books?id=w_OhaFDePS4C&pg=PA42|access-date=October 20, 2013}}</ref>

=== Success ===
Sales exceeded IBM's expectations by as much as 800% (9x), with the company at one point shipping as many as 40,000 PCs per month.<ref name="hayes19831024">{{cite news|author=Hayes, Thomas C.|date=October 24, 1983|title=Eagle Computer Stays in the Race|work=The New York Times|url=https://www.nytimes.com/1983/10/24/business/eagle-computer-stays-in-the-race.html|access-date=January 10, 2015}}</ref> IBM estimated that home users made up 50 to 70% of purchases from retail stores.<ref name="burton198303">{{cite news|author=Burton, Kathleen|date=March 1983|title=Anatomy of a Colossus, Part III|page=467|work=PC|url=https://books.google.com/books?id=7wCiNAUEuAMC&pg=RA1-PA467|access-date=March 30, 2014}}</ref> In 1983, IBM sold more than 750,000 machines,<ref>{{Cite web|date=August 12, 2006|title=Origin of the IBM PC|url=https://lowendmac.com/2006/origin-of-the-ibm-pc/|access-date=October 4, 2020|website=Low End Mac|language=en-US}}</ref> while [[Digital Equipment Corporation]], one of the companies whose success had spurred IBM to enter the market, sold only 69,000.<ref name="ahl198403">{{cite news |author=Ahl, David H. |author-link=David H. Ahl |date=March 1984 |title=Digital |pages=38–41 |work=Creative Computing |url=https://archive.org/stream/creativecomputing-1984-03/Creative_Computing_v10_n03_1984_Mar#page/n39/mode/2up |access-date=February 6, 2015}}</ref>

Software support from the industry grew rapidly, with the IBM nearly instantly becoming the primary target for most microcomputer software development.<ref name="Pollack"/> One publication counted 753 software packages available a year after the PC's release, four times as many as were available for the Macintosh a year after its launch.<ref name="infoworld19850114">{{cite news|author1=Watt, Peggy|author2=McGeever, Christine|date=January 14, 1985|title=Macintosh Vs. IBM PC At One Year|pages=16–17|work=InfoWorld|url=https://books.google.com/books?id=-i4EAAAAMBAJ&pg=PA15|access-date=December 28, 2014}}</ref> Hardware support also grew rapidly, with 30–40 companies competing to sell memory expansion cards within a year.<ref name="markoff19820823">{{cite news|author=Markoff, John|date=August 23, 1982|title=Competition and innovation mark IBM add-in market|page=20|work=InfoWorld|url=https://books.google.com/books?id=VDAEAAAAMBAJ&pg=PA20|access-date=January 29, 2015}}</ref>

By 1984, IBM's revenue from the PC market was $4 billion, more than twice that of Apple.<ref name="libes198509">{{cite news|author=Libes, Sol|date=September 1985|title=The Top Ten|page=418|work=[[Byte (magazine)|Byte]]|url=https://archive.org/stream/byte-magazine-1985-09/1985_09_BYTE_10-09_Homebrewing#page/n401/mode/2up|access-date=October 27, 2013}}</ref> A 1983 study of corporate customers found that two thirds of large customers standardizing on one computer chose the PC, while only 9% chose Apple.<ref>{{Cite book|url=https://archive.org/stream/byte-magazine-1984-09/1984_09_BYTE_09-09_Guide_to_the_IBM_PCs#page/n33/mode/2up|title=Byte Magazine Volume 09 Number 09 - Guide to the IBM PCs|date=Sep 1984}}</ref> A 1985 ''[[Fortune (magazine)|Fortune]]'' survey found that 56% of American companies with personal computers used PCs while 16% used Apple.<ref>{{cite magazine | url=https://books.google.com/books?id=Pq3POofPsBEC | title=Ostracized PC1 Designer Still Ruminates 'Why?' | magazine=PC Magazine |volume=3| issue=18| date=September 18, 1984 | access-date=October 25, 2013 | author=Porter, Martin | page=33 |via=Google Books}}</ref>

Almost as soon as the PC reached the market, rumors of hardware and software compatible clones began,<ref name="pcommuniques19820203">{{cite news|date=February–March 1982|title=PCommuniques|page=5|work=PC Magazine|url=https://books.google.com/books?id=w_OhaFDePS4C&pg=PA5|access-date=October 20, 2013}}</ref> and the first legal [[IBM PC compatible|PC-compatible]] clone—the [[MPC 1600]] by [[Columbia Data Products]]—was released in June 1982, less than a year after the PC's debut.<ref>{{cite book | last=Rohlfs | first=Jeffrey H. | date=2003 | url=https://books.google.com/books?id=rmFag8P4CF8C | title=Bandwagon Effects in High-technology Industries | publisher=MIT Press | page=122 | isbn=9780262681384 | via=Google Books}}</ref>

Eventually, IBM [[Acquisition of the IBM PC business by Lenovo|sold its PC business to Lenovo in 2004]].