Created in 1975 by Bill Gates and Paul Allen, Microsoft has grown into one of the most influential technology companies in history. As it celebrates its 50th anniversary on April 4, 2025, the company’s journey is marked by innovation, dominance, setbacks, and reinvention. Here’s a closer look at Microsoft’s legacy through key numbers and milestones.
From Office to 365: A Software Revolution
Microsoft Office changed the way businesses and individuals worked when it launched in 1989. What started as a suite of productivity tools—Word, Excel, and PowerPoint—quickly became essential in workplaces worldwide. By 2011, Microsoft pivoted to a cloud-based model with Office 365, offering subscription services and making the software more accessible across platforms, including MacOS.
The gamble paid off. As of December 2024, Office 365 boasted 86.3 million consumer subscribers, according to Microsoft’s latest quarterly earnings report. The shift from traditional software licensing to a recurring revenue model has been one of the company’s most successful transitions.
Internet Explorer: From Market Leader to Obsolescence
There was a time when nearly every internet user relied on Microsoft’s Internet Explorer. Launched in 1995, the browser reached a staggering 95% market share in the early 2000s, dominating the online experience.
But with great power came great problems. Security vulnerabilities plagued Internet Explorer, leading PC World to infamously call version 6 “the least secure software on the planet.” Over time, competitors like Mozilla Firefox and Google Chrome eroded its market position. Microsoft eventually retired Internet Explorer in 2022, fully replacing it with Microsoft Edge.
The Windows Empire
Windows remains Microsoft’s most defining product. First introduced in 1985, it quickly became the world’s most widely used operating system. Windows 95, released in 1995, revolutionized personal computing with a user-friendly interface and Start menu.
Despite occasional missteps—such as the underwhelming reception of Windows Vista and Windows 8—the company’s operating system continues to dominate. Windows 10, launched in 2015, became one of the most widely adopted versions. The most recent iteration, Windows 11, introduced in 2021, brought a redesigned UI and enhanced security features.
A look at market share numbers tells the story:
| Windows Version | Release Year | Peak Market Share |
|---|---|---|
| Windows 95 | 1995 | 57% (1997) |
| Windows XP | 2001 | 76% (2007) |
| Windows 7 | 2009 | 62% (2015) |
| Windows 10 | 2015 | 78% (2021) |
| Windows 11 | 2021 | 24% (2024) |
Despite its success, Microsoft’s operating system faced regulatory scrutiny. The U.S. government’s antitrust lawsuit in the late 1990s accused the company of monopolistic practices, particularly bundling Internet Explorer with Windows. While Microsoft reached a settlement in 2001, the case reshaped how the company approached software integration.
Big Bets on AI and Cloud Computing
Microsoft’s transformation over the past decade has been defined by two key areas: artificial intelligence and cloud computing. The company’s Azure cloud platform, launched in 2010, has become a major growth engine, competing directly with Amazon Web Services (AWS) and Google Cloud. By 2024, Azure contributed nearly 40% of Microsoft’s total revenue.
In AI, Microsoft has made aggressive moves, investing $13 billion into OpenAI, the research lab behind ChatGPT. This partnership has positioned Microsoft as a leader in generative AI, embedding AI-powered features across its products, including Bing and Microsoft 365.
The Road Ahead
As Microsoft turns 50, its legacy is undeniable. The company has evolved from a software provider into a cloud powerhouse and AI innovator. While it faces competition from tech giants like Apple, Google, and Amazon, its ability to adapt has kept it relevant for half a century.
Whether it’s through Windows, Office, or the next big AI breakthrough, Microsoft remains a force to be reckoned with.
