The IBM personal computer launched a revolution when it was released in August 1981. For almost a decade, the term 'personal computer' had been used freely in industrial technology circles to describe complex calculating machines in a general sense. IBM turned this phrase into a multi-billion dollar market. IBM's breakthrough was the result of the passionate work of 12 programmers, who were led by the visionary designer, Don Estridge.

Instead of going through normal company development channels, the group of 12 cannibalized parts from other machines and systems and constructed the first PC within a year. The success of so-called Project Chess catapulted IBM computers into the lead of the race for the home computing market. By 1984, IBM computers were utterly dominant.

That said, other companies, such as Compaq, borrowed IBM's concept of open source retro-engineering. In November 1982, Compaq came out with a new personal computer which looked very much like IBM's PC. Partially in response to Compaq's copycat move, IBM adopted a policy of purposely crippling its lower end PCs to encourage consumers to invest in pricier models. This so-called 'rationalizing' tactic backfired and forced many consumers over to lesser well-known brands, such as Apple.

Throughout the 1980s and 1990s, IBM repeatedly ignored partnerships with entrepreneurs like Steve Jobs and Bill Gates. As a result of IBM's obstinate policies, smaller firms, like Microsoft and later Dell Computer, jumped way ahead of the company and cornered the personal computing market. That said, IBM wasn't totally defeated. Today, it manufactures some really top-notch PCs and laptops.