[HN Gopher] The Rise and Fall of Adam Osborne
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       The Rise and Fall of Adam Osborne
        
       Author : dshipper
       Score  : 37 points
       Date   : 2024-03-04 16:30 UTC (6 hours ago)
        
 (HTM) web link (every.to)
 (TXT) w3m dump (every.to)
        
       | aqme28 wrote:
       | Would have thought that Steve Job's biggest rival was Bill Gates.
        
         | Max-q wrote:
         | In the early 80s Bill Gates sold some basics and DOS. His world
         | dominance started 10 years later with Windows 3.0 and 3.1.
        
           | garius wrote:
           | So at this time, Gates actually has a DOS deal in place with
           | Lore Harp over at Vector Graphic - one he'll renege on when
           | IBM come knocking.
           | 
           | That'll come up in the next piece, as I'll be looking at Lore
           | and the Vector 1.
           | 
           | But yes. Agreed. His real rise to dominance won't occur until
           | the IBM PC explosion.
        
         | gumby wrote:
         | Gates and Jobs were not at all rivals during the short time
         | Osborne Computers existed. I don't think there even was an MS-
         | DOS back then; IIRC, the Osborne 1 ran CP/M.
         | 
         | (I almost wrote "Osborne-1" but conveniently there is an
         | Osborne 1 sticker on my desk and I happened to glance at it!)
        
         | vidarh wrote:
         | Later. Not then.
         | 
         | In 1977, the "trinity" of dominant home computers was the
         | Commodore PET, Apple II, and TRS-80, and Microsoft was a tiny
         | startup.
         | 
         | Microsoft didn't enter the OS space until 1980 - before that
         | they sold and licensed BASIC interpreters, and they were small
         | enough that Commodore/Tramiel infamously managed to buy a fixed
         | price (single payment) license that they hung onto for many
         | years to avoid having to negotiate a new deal for newer
         | versions. They got in the region of $50k or something like
         | that.
         | 
         | In 1980 they licensed Unix and launched Xenix. It was first in
         | 1981 PC DOS/MS DOS made its appearance. At that point they had
         | only 100 employees. By 1983, Microsofts revenue finally reached
         | $55 million.
         | 
         | In 1981 Commodore saw an explosion in their unit sales with the
         | VIC-20, while Apple milked far higher revenue per unit instead.
         | 
         | For comparison to MS $55m in 1983, Commodore had revenues of
         | $125 million in 1980, $186 million in 1981 and $681 million in
         | 1983, before reaching its all time peak of $1.2bn in 1984 (they
         | exceeded $1bn again once more in 1990)
         | 
         | Apple had $118 million in revenue in 1980 and $1.51B in 1984.
         | 
         | It was first towards the end of the 1980's that Microsoft
         | became dominant.
        
         | joezydeco wrote:
         | Microsoft sold a BASIC interpreter to Apple, they wrote some
         | games (Olympic Decathalon!) and even sold a 16KB RAM expansion
         | card and Z80 coprocessor for a while.
        
       | Max-q wrote:
       | In 1981, where the article starts, Steve Jobs biggest competitor
       | was Jack Tramiels Commodore. VIC 20 was the best selling computer
       | at the time, and became the first computer to sell one million
       | units. The year after the C64 came out and continued to outsell
       | the Apple 2.
       | 
       | Why Commodore is left out of history is a mystery...
        
         | ethbr1 wrote:
         | Because victors write history.
         | 
         | And in 2024, Apple's PR budget is a lot bigger than
         | Commodore's.
        
         | simne wrote:
         | Looks like anti-monopoly regulations.
         | 
         | > VIC 20 was the best selling computer at the time
         | 
         | So subject for anti-monopoly investigation.
         | 
         | At that time already happen ATT case, GE case. So IBM, Intel
         | and all other big companies tried to establish semi-rival, like
         | AMD for Intel in 1980s, or to make things look like total
         | freedom (IBM PC, lot of S/360 clones).
         | 
         | Commodore was not successful in making semi-free market.
         | 
         | https://en.wikipedia.org/wiki/United_States_v._AT%26T
         | 
         | https://en.wikipedia.org/wiki/United_States_v._General_Elect...
         | .
        
           | vidarh wrote:
           | I have no idea what this is meant to have to do with
           | anything.
           | 
           | > So subject for anti-monopoly investigation.
           | 
           | No, it wasn't.
        
         | garius wrote:
         | Oh don't worry. I'll get to Commodore (and Tramiel) later in
         | the article series.
         | 
         | I just wanted to tackle Adam first as he had a more personal
         | relationship with Jobs.
        
           | Max-q wrote:
           | Thanks, good to know. Looking forward to it!
        
       | gumby wrote:
       | > Adam Osborne, creator of the Osborne 1
       | 
       | I think this is a correct way to put it, but FWIW on HN: the
       | person who actually designed the device (not just the hardware)
       | was the legendary Lee Felsenstein.
       | https://en.wikipedia.org/wiki/Lee_Felsenstein
        
         | garius wrote:
         | Yes. As I cover in the piece, it's Felsenstein he singled out
         | to physically design it. The two men knew each other from
         | Homebrew and Osborne collared him at the West Coast Computer
         | Faire, bringing him onboard for a share of the company and a
         | basic subsistence salary until they could ship.
        
           | FullyFunctional wrote:
           | The piece is brilliant and gives great insight.
           | 
           | It had previously been reported (and exposed here) that the
           | "Osborne effect" wasn't what killed the company, but (IIRC)
           | quality issues with parts (floppy drive?) that delayed the
           | Executive. Regardless, essentially the fall of the Osborne
           | Computer Corp. is the age old story of a company growing
           | faster than its organization and eventually collapsing.
        
             | garius wrote:
             | It's really complex.
             | 
             | I get into it as much as I can at the end, but the Osborne
             | Effect absolutely plays a part. It's just not in the way
             | that got press at the time (i.e. the Executive being
             | announced too early).
             | 
             | Basically Adam repeatedly triggered mini-Osborne Effects,
             | with product variants. None of which should have been
             | enough to take the company down. But bad financial
             | management had killed the company's runway, they'd
             | exhausted funding from their VC backers, and they had no
             | ability to raise covering loans from banks until they could
             | IPO.
             | 
             | So what should have been a minor ripple in their finances
             | ended up just taking the whole company down.
             | 
             | I honestly think, based on my research, that if they'd
             | managed to secure the IPO - having sorted out their
             | accounts first - then they'd have survived the IBM PC-clone
             | transition. They were already pivoting to deal with it.
             | 
             | They just ran out of time.
        
       | stevage wrote:
       | What an amazing article.
       | 
       | I'm fascinated that anyone has the time and resources to write
       | articles like this and get paid somehow?
        
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