William
Henry Gates III (born October 28, 1955) is the co-founder, chairman,
and chief software architect of Microsoft Corporation, the world's
largest software company (as of March 2006). He is also the founder
of Corbis, a digital image archiving company. According to Forbes
magazine, Gates is the richest person in the world, with a net worth
of about US $50 billion, as of March, 2006.
Gates
is one of the best-known entrepreneurs of the personal computer
revolution. He is widely respected in business circles for his
intelligence, foresight, and ambition. He is also widely criticized
as having built Microsoft's business through unfair, illegal,
or anticompetitive business practices. Government authorities
in several countries have found some of these practices illegal,
as in United States v. Microsoft.
Since
amassing his fortune, Gates has pursued a number of philanthropic
endeavors, donating large amounts of money (about 51% of his total
fortune) to various charitable organizations and scientific research
programs through the Bill & Melinda Gates Foundation, founded
in 2000. He, his wife Melinda and U2's lead singer Bono were collectively
named by Time as the 2005 Persons of the Year. That same year
he was given the honor of Knight Commander of the Order of the
British Empire by Queen Elizabeth II.
Bill
Gates was born in Seattle, Washington to William H. Gates, Sr.
and teacher Mary Maxwell Gates. His family was wealthy; his father
was a prominent lawyer and his maternal grandfather, J. W. Maxwell,
was a national bank president. Gates has two younger sisters,
Kristanne and Libby.
According
to a widely repeated story, Maxwell set up a million (or multi-million)
dollar trust fund for Gates the year he was born. Gates commented
on the story in a 1994 interview with Playboy:
PLAYBOY:
Did you have a million-dollar trust fund while you were at Harvard?
GATES: . . . . My parents are very successful, and I went to the
nicest private school in the Seattle area. I was lucky. But I
never had any trust funds of any kind, though my dad did pay my
tuition at Harvard, which was quite expensive.
A 1993 biography by Stephen Manes and Paul Andrews calls the trust
fund story one of the "fictions" surrounding Gates'
fortune.
Gates
excelled in elementary school, particularly in mathematics and
the sciences. Bill Gates went to Lakeside, Seattle's most exclusive
preparatory school where tuition in 1967 was $5,000 (Harvard tuition
that year was $1760). Lakeside rented time on a DEC PDP-10, which
Gates was able to use to pursue an interest in computers, a rare
opportunity at the time. Gates was a member of the Boy Scouts
of America and attained the rank of Life Scout. While in high
school, he and Paul Allen founded Traf-O-Data, a company which
sold traffic flow data systems to state governments. He also helped
to create a payroll system in COBOL, for a company in Portland,
Oregon.
According
to a press inquiry he scored 1590 on his SATs, which allowed Gates
to enroll in Harvard University pursuing a Bachelors of Science
in Computer Science in 1973, where he met his future business
partner, Steve Ballmer. During his second year at Harvard, Gates
(along with Paul Allen and Monte Davidoff) co-wrote Altair BASIC
for the Altair 8800. Gates dropped out of Harvard during his third
year to pursue a career in software development. On December 13,
1977, Gates was briefly jailed in Albuquerque for racing his Porsche
911 in the New Mexico desert.
Microsoft
After reading the January 1975 issue of Popular Electronics that
demonstrated the Altair 8800, Gates called MITS (Micro Instrumentation
and Telemetry Systems), the creators of the new microcomputer,
to inform them that he and others had developed a version of the
programming language BASIC for the platform. This was untrue,
as Gates and Allen had never used an Altair previously nor developed
any code for it.
Within
a period of eight weeks they developed an Altair emulator that
ran on a minicomputer, and then the BASIC interpreter. Allen and
Gates flew to MITS to unveil the new BASIC system. The demonstration
was a success and resulted in a deal with MITS to buy the rights
to Allen and Gates's BASIC for the Altair platform. It was at
this point that Gates left Harvard along with Allen to found Micro-Soft,
which later became Microsoft Corporation.
In
February 1976, Gates published his often-quoted "Open Letter
to Hobbyists". In the letter, Gates claimed that most users
were using "stolen" pirated copies of Altair BASIC and
that no hobbyist could afford to produce, distribute, and maintain
high-quality software without payment. This letter was unpopular
with many amateur programmers, not just those few using copies
of the software.
In
the ensuing years the letter gained significant support from Gates'
business partners and allies which gave rise to a movement that
led to closed-source becoming the dominant model of software production.
Despite Microsoft's reliance on closed source, Gates has said
that he collected discarded program listings at Harvard and learned
programming techniques from them.
It
has been pointed out that Microsoft often produces products that
incorporate ideas developed outside Microsoft, such as GUIs, the
BASIC programming language, or compressed file systems, without
paying royalties to the companies that developed them. Some of
these matters have gone to court. Apple v. Microsoft concluded
that Microsoft had not infringed Apple's intellectual property
(partly because Apple had, apparently, licensed parts of the Macintosh
user interface to Microsoft); Stac Electronics prevailed in its
claim against the DoubleSpace file system. The BASIC question
has not been litigated, but the trend in US law is that copyright
does not extend to publicly documented programming languages.
When
IBM decided to build the hardware for a desktop personal computer
in 1980, it needed to find an operating system. Microsoft did
not have any operating system at this point. The most popular
microcomputer operating system at the time was CP/M developed
by Digital Research in Monterey. CP/M allowed software written
for the Intel 8080/Zilog Z80 family of microprocessors to run
on many different models of computer from many different manufacturers.
This
device-independence feature was essential for the formation of
the consumer software industry, as without it software had to
be re-written for each different model of computer. Bill Gates
referred IBM to Gary Kildall, the founder of Digital Research,
but when they did not reach immediate agreement with him they
went back to Gates, who offered to fill their need himself. He
licensed a CP/M-compatible OS called QDOS ("Quick and Dirty
Operating System") from Tim Paterson of Seattle Computer
Products for $56,000, and IBM shipped it as PC-DOS.
Later,
after Compaq licensed Phoenix Technologies' clone of the IBM BIOS,
the market saw a flood of IBM PC clones. Microsoft was quick to
license DOS to other manufacturers, calling it MS-DOS (for Microsoft
Disk Operating System). By marketing MS-DOS aggressively to manufacturers
of IBM-PC clones, Microsoft went from a small player to one of
the major software vendors in the home computer industry. Microsoft
continued to develop operating systems as well as software applications.
In
the early 1980's they created Microsoft Windows which was similar
to Apple Computer's Macintosh OS graphical user interface (GUI),
both based on the human interface work at Xerox PARC. The first
versions of the Windows OS did not sell well as stand-alone applications
but started to be shipped pre-installed on many systems, reducing
the incentive of users to buy competing products regardless of
quality.
Because
of this, by the late-1980s Microsoft Windows had begun to make
serious headway into the IBM-compatible PC software market. The
release of Windows 3.0 in 1990 was a tremendous success, selling
around 10 million copies in the first two years and cementing
Microsoft's dominance in operating systems.
By
continuing to ensure, by various means, that most computers came
with their software pre-installed, Microsoft eventually went on
to become the largest software company in the world, earning Gates
enough money that Forbes Magazine named him the wealthiest person
in the world for several years. Gates served as the CEO of the
company until 2000 when Steve Ballmer took the position. Gates
continues to serve as a chairman of the board at the company and
also as a position he created for himself entitled "Chief
Software Architect". Microsoft has thousands of patents,
and Gates has nine patents to his name.
Since
Microsoft's founding and as of 2006, Gates has had primary responsibility
for Microsoft's product strategy. He has aggressively broadened
the company's range of products, and wherever Microsoft has achieved
a dominant position he has vigorously defended it. Many decisions
that have led to antitrust litigation over Microsoft's business
practices have had Gates's approval. In the 1998 United States
v. Microsoft case, Gates gave deposition testimony that several
journalists characterized as evasive.
He
argued over the definitions of words such as "compete",
"concerned", "ask", and "we." BusinessWeek
reported, "early rounds of his deposition show him offering
obfuscatory answers and saying 'I don't recall' so many times
that even the presiding judge had to chuckle. Worse, many of the
technology chief's denials and pleas of ignorance were directly
refuted by prosecutors with snippets of e-mail Gates both sent
and received."
Gates
meets regularly with Microsoft's senior managers and program managers.
By all accounts he can be extremely confrontational during these
meetings, particularly when he believes that managers have not
thought out their business strategy or have placed the company's
future at risk. He has been described shouting at length at employees
before letting them continue, with such remarks as "That's
the stupidest thing I've ever heard!" and "Why don't
you just join the Peace Corps?" However, he often backs down
when the targets of his outbursts respond frankly and directly.
When he is not impressed with the technical hurdles managers claim
to be facing, he sometimes quips, "Do you want me to do it
over the weekend?"
Gates's
role at Microsoft for most of its history has been primarily a
management and executive role. However, he was an active software
developer in the early years, particularly on the company's programming
language products. He has not officially been on a development
team since working on the TRS-80 Model 100 line, but he wrote
code as late as 1989 that shipped in the company's products.
Personal
life
Bill Gates married Melinda French of Dallas, Texas on January
1, 1994. Melinda has given birth to three children, Jennifer Katharine
Gates (1996), Rory John Gates (1999) and Phoebe Adele Gates (2002).
Bill Gates' house is one of the most expensive houses in the world,
and is a modern 21st century earth-sheltered home in the side
of a hill overlooking Lake Washington in Medina, Washington.
According
to King County public records, as of 2006, the total assessed
value of the property (land and house) is $125 million, and the
annual property tax is just under $1 million. Also among Gates's
private acquisitions is the Codex Leicester, a collection of writings
by Leonardo da Vinci which Gates bought for $30.8 million at an
auction in 1994 and a rare Gutenberg Bible.
In
2000, Gates founded the Bill & Melinda Gates Foundation, a
charitable organization, with his wife. The foundation's grants
have provided funds for college scholarships for under-represented
minorities, AIDS prevention, diseases prevalent in third world
countries, and other causes. In 2000, the Gates Foundation endowed
the University of Cambridge with $210 million for the Gates Cambridge
Scholarships. The Foundation has also pledged over $7 billion
to its various causes, including $1 billion to the United Negro
College Fund; and as of 2005, had an estimated endowment of $29.0
billion.
He
has spent about a third of his lifetime income on charity, although
some question his intentions. Journalist Greg Palast suggests
that the Gates Foundation is used to make tactical donations to
hide media sensitive humanitarian side effects of treaties, such
as the Agreement on Trade-Related Aspects of Intellectual Property
Rights (TRIPS), which Gates has supported. TRIPS requires countries
to agree to respect drug and other patents, therefore preventing
the local manufacture of existing pharmaceuticals still under
patent such as AIDS drugs in Africa.
Gates
has received two honorary doctorates, from the Royal Institute
of Technology, Stockholm, Sweden in 2002 and Waseda University
in 2005. Gates was also given an honorary KBE (Knighthood) from
Queen Elizabeth II of the United Kingdom in 2005, in addition
to having entomologists name the Bill Gates flower fly, Eristalis
gatesi, in his honor.
Microsoft's
CEO Steve Ballmer has stated that Gates is probably the most "spammed"
person in the world, receiving as many as 4,000,000 e-mails per
day in 2004, most of which were junk. Gates has almost an entire
department devoted to filtering out junk emails. In an article,
Gates himself has said that most of this junk mail "offers
to help get out of debt or get rich quick", which "would
be funny [given his financial state] if it weren't so irritating".
Influence
and wealth
Gates is widely considered one of the world's most influential
people. He was listed in the Sunday Times power list in 1999,
named CEO of the year by Chief Executive Officers magazine in
1994, ranked number one in the "Top 50 Cyber Elite"
by Time in 1998, ranked number two in the Upside Elite 100 in
1999 and was included in The Guardian as one of the "Top
100 influential people in media" in 2001.
Gates
has been number one on the "Forbes 400" list from 1993
through to 2006 and number one on Forbes list of "The World's
Richest People" in 1996-2006, except for 1997 when the Sultan
of Brunei was included despite Forbes' usual policy of excluding
heads of state. In 2004, he became a director of Berkshire Hathaway,
the investment company headed by Warren Buffett, the second wealthiest
person in the world according to Forbes and a longtime friend
of Gates.
Since
2000, Gates's wealth has declined due to a fall in Microsoft's
share price and the multi-billion dollar donations he has made
to his charitable foundations. According to a 2004 Forbes magazine
article, Gates gave away over $29 billion to charities from 2000
onwards. These donations are usually cited as sparking a substantial
change in attitudes towards philanthropy among the very rich,
as philanthropy eventually became the norm for the very rich.
Gates
has not generally engaged in conspicuous consumption beyond his
lavish home, with its gardens and art collection. Gates also owns
a home on Mustique, an exclusive island in the Grenadines, and
a 300 foot yacht named Ice. In contrast, his former associate
Paul Allen has used his wealth in perhaps a more typical manner—owning
sports teams, vintage airplanes, and multiple residences. Gates
also claimed, in 2005, that he has gone to work every day since
1975, which in recent years includes both his role at Microsoft,
and his leadership position at the Gates Foundation.
Popular
culture
Bill Gates has been the subject of numerous parodies in film,
television, and video games, often serving as an archetype for
fictional megalomaniacal leaders of powerful corporations. Examples
include The Simpsons episode "Das Bus", Family Guy episode
"Screwed the Pooch", and the film Antitrust. Alternatively,
but less frequently, these references portray a hacker genius.
Gates
is often characterized as the quintessential example of a super-intelligent
"nerd" with immense power. This has in turn led to pop
culture stereotypes of Gates as a tyrant or evil genius, often
resorting to ruthless business techniques. Gates has been caricatured
several times on Saturday Night Live by Chris Kattan and Mark
McKinney. In an episode of Pinky and the Brain, Gates was apparently
a robotic body controlled by the Brain's rival Snowball, who used
the profits of Microsoft to take over the world.
He
was also shown on South Park: Bigger, Longer & Uncut, and
was shot in the forehead in the movie. He returned later in the
South Park episode "The Entity", complete with a bullet
hole in his forehead. Several films and television shows have
portrayed either the real Bill Gates or a fictionalized version
of him, often according to these clichés, including an
episode in the first season of the X-Files involving a man who
lived inside a house that was operated by a computer (which, as
it turned out, had a mind of its own).
Two
films, the 1996 documentary Triumph of the Nerds and the 1999
docudrama, Pirates of Silicon Valley explore Gates' role in the
development of the personal computer. At Live 8, Gates appeared
and made a speech before introducing Dido. |