Influence of the IBM PC on the personal computer market

[10] One of the most far-reaching decisions made for IBM PC was to use an open architecture,[11] leading to a large market for third party add-in boards and applications; but finally also to many competitors all creating "IBM-compatible" machines.

[12][13] Although already established rivals like Apple and Radio Shack had many advantages over the company new to microcomputers,[14] IBM's reputation in business computing allowed the IBM PC architecture to take a substantial market share of business applications,[15][16] and many small companies that sold IBM-compatible software or hardware rapidly grew in size and importance, including Tecmar, Quadram, AST Research, and Microsoft.

[17] As of mid-1982, three other mainframe and minicomputer companies sold microcomputers, but unlike IBM, Hewlett-Packard, Xerox, and Control Data Corporation chose the CP/M operating system.

Many makers of MS-DOS computers intentionally avoided full IBM compatibility because they expected that the market for what InfoWorld described as "ordinary PC clones" would decline.

[22][21] While Microsoft used a sophisticated installer with its DOS programs like Multiplan that provided device drivers for many non IBM PC-compatible computers, most other software vendors did not.

[25] Dealers found carrying multiple versions of software for clones of varying levels of compatibility to be difficult.

The developers of these programs opted to write directly to the computer's (video) memory and peripheral chips, bypassing MS-DOS and the BIOS.

For example, a program might directly update the video refresh memory, instead of using MS-DOS calls and device drivers to alter the appearance of the screen.

Rendered obsolete with them was the CP/M-inherited concept of OEM versions of MS-DOS meant to run (through BIOS calls) on non IBM-PC hardware.

BYTE described the announcement as representative of the great impact IBM had made on the industry:[30] It's become painfully obvious that the key to survival as a major manufacturer is acceptance by the business community.

The IBM PC has unquestionably opened the door to that market wider than any personal computer before it, but in so doing has made compatibility a primary factor in microcomputer design, for better or for worse.

Recent announcements by North Star ... and a host of smaller firms seem to indicate that the 8088/MS-DOS/IBM-compatible bandwagon is becoming much more like a speeding freight train.The magazine expressed concern that "IBM's burgeoning influence in the PC community is stifling innovation because so many other companies are mimicking Big Blue".

[39] I believe that the era when a machine could be introduced successfully into the marketplace with a total dearth of software ended abruptly with the Macintosh.

[44] By the end of the year PC Magazine stated that even IBM could no longer introduce a rumored proprietary, non-compatible operating system.

"[45] Within a few years of the introduction of fully compatible PC clones, almost all rival business personal computer systems, and alternate x86 using architectures, were gone from the market.

Compaq's prices were comparable to IBM's, and the company emphasized its PC compatibles' features and quality to corporate customers.

Consumers began purchasing DOS computers for the home in large numbers; Tandy estimated that half of its 1000 sales went to homes, the new Leading Edge Model D comprised 1% of the US home-computer market that year, and toy and discount stores sold a clone manufactured by Hyundai, the Blue Chip PC, like a stereo—without a demonstrator model or salesman.

[47][48][49][50][51][52] Tandy and other inexpensive clones succeeded with consumers—who saw them as superior to lower-end game machines—where IBM failed two years earlier with the PCjr.

They were as inexpensive as home computers of a few years earlier, and comparable in price to the Amiga, Atari ST, and Apple IIGS.

Unlike the PCjr, clones were as fast as or faster than the IBM PC and highly compatible so users could bring work home; the large DOS software library reassured those worried about orphaned technology.

In 1987 IBM unsuccessfully attempted to regain leadership of the market with the Personal System/2 line and proprietary MicroChannel Architecture.

[63] Shortly after the IBM PC was released, an obvious split appeared between systems that opted to use an x86-compatible processor, and those that chose another architecture.

Many of these systems were eventually forced out of the market by the onslaught of the IBM PC clones, although their architectures may have had superior capabilities, especially in the area of multimedia.

The IBM Personal Computer (model 5150)
Internal view of an IBM PC compatible computer