Microsoft Corporation is an American multinational technology company that develops software, cloud-computing platforms, artificial-intelligence products, business applications, gaming services, hardware and online services.

Its major products and businesses include Microsoft Azure, Windows, Microsoft 365, Copilot, Teams, Dynamics 365, Power Platform, LinkedIn, GitHub, Bing, Microsoft Edge, Surface, Xbox, Activision Blizzard and Microsoft Advertising.

Microsoft is headquartered in Redmond, Washington, United States. Its shares are publicly traded on the Nasdaq Stock Market under the ticker MSFT.

The company’s mission is:

To empower every person and every organization on the planet to achieve more.

Full history of Microsoft Corporation

1975: Founding of Microsoft

Microsoft was founded on 4 April 1975 by childhood friends Bill Gates and Paul Allen.

The company was initially established in Albuquerque, New Mexico, to develop and sell a version of the BASIC programming language for the Altair 8800, one of the earliest commercially successful personal computers.

The business was originally called Micro-Soft, combining “microcomputer” and “software.” The hyphen was later removed, creating the Microsoft name.

1976–1979: Early software expansion

Microsoft registered the Microsoft trade name in 1976.

During its early years, the company developed programming languages and software tools for several emerging personal-computer manufacturers.

In 1979, Microsoft moved its headquarters from Albuquerque, New Mexico, to Bellevue, Washington.

1980–1981: Partnership with IBM and MS-DOS

Microsoft’s major commercial breakthrough came in 1980 when IBM selected the company to provide the operating system for its first personal computer.

Microsoft acquired and modified an existing operating system, which was eventually released as MS-DOS.

Rather than transferring full ownership to IBM, Microsoft licensed MS-DOS to IBM while retaining the right to license the operating system to other computer manufacturers. This decision helped Microsoft become the dominant supplier of personal-computer operating systems.

Microsoft incorporated as Microsoft Corporation in 1981. Bill Gates became president and chairman, while Paul Allen became executive vice president.

1983–1985: Microsoft Word and Windows

Microsoft introduced its first computer mouse and launched Microsoft Word in 1983.

On 20 November 1985, the company released the first version of Microsoft Windows. Windows provided a graphical interface that operated on top of MS-DOS, allowing users to interact with programs through windows, icons, menus and a mouse.

1986: Public listing and Redmond headquarters

Microsoft moved to its corporate campus in Redmond, Washington, in 1986.

On 13 March 1986, Microsoft conducted its initial public offering. Its shares began trading on the Nasdaq Stock Market.

The public offering created substantial wealth for early employees and provided Microsoft with additional resources for research, development and expansion.

1989–1990: Microsoft Office and Windows 3.0

Microsoft introduced the first version of Microsoft Office for Macintosh in 1989 and released a Windows edition in 1990.

Microsoft Office combined productivity applications such as:

• Microsoft Word
• Microsoft Excel
• Microsoft PowerPoint
• Microsoft Mail, which later evolved into Outlook

The launch of Windows 3.0 in 1990 significantly improved Microsoft’s position in the personal-computer market.

1995: Windows 95 and internet expansion

Microsoft released Windows 95 on 24 August 1995. The operating system introduced several features that became central to personal computing, including the Start menu and taskbar.

The launch helped make Windows the dominant desktop operating system worldwide.

Microsoft also expanded into internet technologies during the 1990s, including the introduction of Internet Explorer and the MSN online service.

2000: Leadership transition

In January 2000, Bill Gates stepped down as chief executive officer. Steve Ballmer, who had joined Microsoft in 1980, became CEO.

Gates continued as chairman and chief software architect, concentrating on long-term technology strategy.

2001: Windows XP and Xbox

Microsoft released Windows XP in 2001. The operating system combined Microsoft’s consumer and business Windows product lines and became one of the company’s most widely used operating systems.

Microsoft also entered the video-game console market with the launch of the original Xbox in November 2001.

The Xbox business later expanded into consoles, gaming subscriptions, cloud gaming, game development and digital content.

2005–2010: Xbox, enterprise software and cloud foundations

Microsoft launched the Xbox 360 in 2005 and continued expanding its enterprise server, database and productivity-software businesses.

During this period, the company invested heavily in:

• Business software
• Online services
• Search technology
• Data centres
• Enterprise communications
• Cloud-computing infrastructure

Microsoft launched Bing in 2009 as its principal internet-search engine.

In 2010, the company formally introduced the commercial version of Microsoft Azure, marking a significant step in its transition from packaged software to cloud computing.

2011: Acquisition of Skype

Microsoft acquired Skype for approximately US$8.5 billion in 2011.

The acquisition expanded Microsoft’s capabilities in internet calling, messaging and video communication. Skype later influenced the development of Microsoft’s broader collaboration and communication services.

2012–2013: Surface, Windows 8 and organisational change

Microsoft introduced the first Surface devices in 2012, entering the market for Microsoft-designed personal-computing hardware.

It also released Windows 8, which introduced a touch-focused interface designed for tablets and personal computers.

In 2013, Microsoft announced a major organisational restructuring intended to improve coordination across its software, hardware and services businesses.

2014: Satya Nadella becomes CEO

Satya Nadella became Microsoft’s chief executive officer on 4 February 2014, succeeding Steve Ballmer.

Under Nadella, Microsoft placed greater emphasis on:

• Cloud computing
• Subscription services
• Cross-platform software
• Open-source development
• Artificial intelligence
• Enterprise security
• Collaboration tools

The company adopted a “mobile-first, cloud-first” strategy and expanded the availability of Microsoft applications on competing operating systems.

2014: Acquisition of Mojang

Microsoft acquired Mojang, the developer of Minecraft, for approximately US$2.5 billion.

Minecraft subsequently became one of Microsoft’s most important gaming properties, with products spanning video games, education, consumer merchandise and entertainment.

2015: Windows 10

Microsoft released Windows 10 in July 2015.

Windows 10 was designed to operate across personal computers, tablets and other devices. Microsoft also shifted toward providing Windows as an evolving service supported through regular updates.

2016: Acquisition of LinkedIn

Microsoft announced the acquisition of LinkedIn for approximately US$26.2 billion in 2016.

The acquisition gave Microsoft ownership of one of the world’s largest professional-networking platforms and expanded its presence in:

• Recruitment
• Professional advertising
• Online learning
• Sales intelligence
• Business networking
• Talent management

2016–2017: Microsoft Teams and cloud growth

Microsoft introduced Teams in 2016 and released it broadly in 2017.

Teams brought workplace chat, online meetings, calling, document collaboration and application integration into the Microsoft 365 environment.

During this period, Azure and Microsoft 365 became increasingly important to Microsoft’s growth.

2018: Acquisition of GitHub

Microsoft acquired GitHub for approximately US$7.5 billion in 2018.

GitHub operates a major software-development and code-collaboration platform used by individual developers, open-source communities, businesses and public institutions.

The transaction strengthened Microsoft’s relationship with software developers and expanded its presence in open-source development.

2019: OpenAI partnership

Microsoft entered a strategic partnership with OpenAI in 2019 and invested in the development of advanced artificial-intelligence systems.

The partnership involved Microsoft Azure becoming a major cloud-computing platform for OpenAI workloads. Microsoft subsequently expanded the partnership through additional investments and commercial agreements.

2020–2021: Remote work and cloud acceleration

Demand for Microsoft Teams, Azure, Microsoft 365, Windows and cloud-security products increased substantially during the global transition to remote and hybrid work.

Microsoft expanded Teams beyond workplace messaging into a comprehensive communications and collaboration platform.

In 2021, Satya Nadella was appointed chairman of Microsoft’s board while continuing as CEO.

2022: Acquisition of Nuance Communications

Microsoft completed its acquisition of Nuance Communications for approximately US$19.7 billion in 2022.

Nuance specialises in conversational artificial intelligence and clinical documentation technologies. The acquisition strengthened Microsoft’s AI and healthcare-industry capabilities.

2023: Acquisition of Activision Blizzard

Microsoft completed its acquisition of Activision Blizzard in October 2023 for approximately US$68.7 billion.

The transaction added gaming businesses and intellectual property that included:

• Activision
• Blizzard Entertainment
• King
• Call of Duty
• Warcraft
• Diablo
• Overwatch
• Candy Crush

The acquisition made Microsoft one of the world’s largest gaming companies by revenue.

2023–2025: Copilot and generative AI expansion

Microsoft integrated generative-AI technologies into a growing range of products under the Copilot brand.

Copilot products and features were introduced across:

• Microsoft 365
• Windows
• Azure
• GitHub
• Dynamics 365
• Power Platform
• Security products
• Consumer applications

Microsoft also expanded its investment in AI infrastructure, cloud data centres, AI chips, developer tools and responsible-AI systems.

Microsoft at 50

Microsoft marked its 50th anniversary in 2025.

For its financial year ended 30 June 2025, Microsoft reported:

• Revenue of approximately US$281.7 billion
• Operating income of approximately US$128.5 billion
• Net income of approximately US$101.8 billion
• Microsoft Cloud revenue of approximately US$168.9 billion
• Approximately 228,000 full-time employees
• Azure annual revenue exceeding US$75 billion

These figures are contained in Microsoft’s 2025 Annual Report