Re: Apple "Mystery House;" Microsoft suppression of innovation

[Mitch Stone <mstone@vc.net>]

In reply to Brett Glass's message sent 4/26/98 11:14 AM:

>At the Computer Bowl this Friday night, I was reminded during a
>conversation of a little-known event that occurred during the days of the
>Apple ][ computer. It is said that Apple, after declining an offer to buy
>Visicorp (and Visicalc) for about $1 million, decided to develop its own
>spreadsheet. Steve Wozniak ("Woz"), the engineering wizard who designed the
>Apple ][, its floppy drive controller, and most of its software, went to
>work on the project, which was code-named "Mystery House" (perhaps because
>they kept on adding more and more features to it). But the product was
>never sold; it was dropped as part of a bargain with Microsoft.

This incident is mentioned in passing in Cringely's book. The product was 
developed by Woz and Randy Wigginton, mainly because they disliked 
VisiCorp's Terry Opdendyk and the huge royalty they were charging Apple 
for VisiCalc.

>Some years later, Apple developed a powerful version of BASIC for the
>Macintosh. But again, this product never saw the light of day. Apple once
>again dropped the product -- reportedly because Microsoft refused to renew
>a software license unless Apple did so.

In 1985, Gates threatened to pull licensing of Microsoft BASIC for the
Apple II if Apple did not kill MacBASIC (the vast majority of Apple's
revenue was still coming from the Apple II line at that time). Apple had
little choice, and complied. One of the chief programmers on the Apple
project, Donn Denman, became suicidal nearly killed himself in a
motorcycle accident shortly after Scully axed MacBASIC.

In the "look and feel" suit, Apple also claimed in court documents that
Microsoft threatened to withdraw support for Mac applications if Apple
did not grant Microsoft a license for certain Mac interface elements.
Scully says as much in his autobiography. Microsoft vehemently denies all
of this.

>A competitive BASIC interpreter for the Amiga is said to have been dropped
>for similar reasons.
>
>Microsoft has, lately, been trying to convince the public that it is
>"innovative." But these stories seem to suggest that in fact Microsoft has
>done the opposite, and has in fact worked to discourage the release of
>innovative products by other companies. (It is now said that Microsoft
>holds meetings for venture capitalists at which it mentions product areas
>that it might want to enter -- thus discouraging them from funding
>businesses in those areas.)
>
>Does anyone on this list have more details about the above events? Or about
>others in which Microsoft can be shown to have nipped innovative products
>in the bud? A compendium of such stories might be very useful in debunking
>Microsoft's claims regarding innovation.

The Dead Products Society? A great idea. Of all the dozens and dozens 
acquisitions they've made over the years, it would be difficult to know 
precisely which ones were integrated into MSFT products, and which were 
deep-sixed. Verification would require a certain amount of detective 
work, but well worth the effort.

   Mitch Stone
   Editor, Boycott Microsoft
   http://www.vcnet.com/bms 
 +---
   There are people who don't like capitalism, and there 
   are people who don't like PCs, but there's no one who 
   likes the PC who doesn't like Microsoft. --- Bill Gates