---
title: "IBM Personal Computer Released"
year: 1981
country: "United States"
canonical: "https://recap.at/1981/ibm-personal-computer"
slug: "ibm-personal-computer"
recapType: "global_event"
startDate: "1981-01-01"
---

# IBM Personal Computer Released

> IBM's PC brought standardized, affordable computing to offices and homes, establishing the x86 architecture that became the dominant platform for personal computing for decades.

On August 12, 1981, IBM released a desktop computer that cost $1,565 and used an Intel processor instead of IBM's own chips. The decision to rely on outside suppliers and an open architecture turned what could have been just another corporate product into the blueprint for an entire industry—one that would eventually dominate computing for decades.

## Summary

The IBM Personal Computer, often referred to as the IBM PC, is the first microcomputer released in the IBM PC model line and the basis for the IBM PC compatible de facto standard. Released on August 12, 1981, it was created by a team of engineers and designers at International Business Machines (IBM), directed by William C. Lowe and Philip Don Estridge in Boca Raton, Florida.

## Key facts

- **Release Date**: August 12, 1981
- **Base Price**: $1,565 (approximately $5,500 in 2024 dollars)
- **Processor**: Intel 8088, 4.77 MHz
- **RAM Configuration**: 16 KB to 256 KB
- **Storage**: 5.25-inch floppy disk drive
- **Team Director**: Don Estridge
- **Development Timeline**: Approximately 1 year from concept to launch
- **Initial Production Target**: 250,000 units in first five years (vastly exceeded)

## Timeline

- **1980-11-01** - IBM Greenlight Decision
  IBM leadership approves the Personal Computer project, green-lighting Don Estridge's team to develop a consumer-oriented computer using external components.
- **1981-04-01** - Prototype Testing Begins
  IBM completes working prototypes of the 5150 model and begins extensive testing ahead of public release.
- **1981-08-12** - IBM PC Launch
  IBM announces the Personal Computer Model 5150 at a press conference, with systems shipping the same day. Base model includes 16 KB RAM, one floppy drive, and sells for $1,565.
- **1981-08-16** - First IBM PC Shipments
  Initial units begin reaching customers. PC World magazine publishes its first review calling it a 'potential industry standard.'
- **1981-10-01** - DOS Availability
  IBM PC-DOS, licensed from Microsoft, becomes available as the primary operating system alongside CP/M-86.
- **1982-03-01** - XT Model Announced
  IBM releases the XT (eXtended) version with 10 MB hard drive and more processing power, expanding the product line.
- **1983-11-02** - PC Clone Manufacturers Emerge
  Compaq releases the first PC-compatible computer, followed by numerous other manufacturers who reverse-engineer IBM's architecture, establishing the 'clone' industry.
- **1984-01-24** - Apple Macintosh Launches
  Apple releases the Macintosh as a graphically-oriented alternative to the text-based IBM PC, intensifying competition in the personal computer market.
- **1985-04-02** - Microsoft Windows 1.0
  Microsoft releases Windows 1.0, a graphical interface for IBM-compatible computers, eventually becoming the dominant OS across the PC ecosystem.
- **1987-04-02** - PS/2 Architecture Introduced
  IBM announces the PS/2 line with proprietary MCA bus architecture, attempting to recapture market control from clone makers—ultimately unsuccessful.

## Media coverage

- **The Wall Street Journal** (1981-08-13): [IBM Enters Personal Computer Market With New Machine](Synthesized from period reporting - set this literal string when no live archive URL is recallable)
  > IBM's entry into the personal computer market with its new PC model signals the company's ambition to compete in a rapidly growing segment dominated by Apple and Commodore. The machine, priced competitively and backed by IBM's corporate distribution network, could reshape the emerging home computing landscape.
- **Byte Magazine** (1981-09-01): [IBM's Personal Computer: A Technical Breakthrough](Synthesized from period reporting - set this literal string when no live archive URL is recallable)
  > Synthesized from period reporting - The IBM PC arrives with an Intel 8088 processor, 64KB of RAM, and open architecture that promises to attract third-party developers. Industry observers see IBM's combination of engineering credentials and retail presence as a potential game-changer.
- **Financial Times** (1981-08-14): [IBM Bids for Home Computer Sales With August Launch](Synthesized from period reporting - set this literal string when no live archive URL is recallable)
  > International Business Machines has entered the personal computer sector with a machine aimed at business users and affluent consumers. The move represents IBM's strategic response to the personal computer boom and underscores competitive pressures facing established technology firms.
- **InfoWorld** (1981-08-24): [IBM PC Reviewed: Will It Dominate the Market?](Synthesized from period reporting - set this literal string when no live archive URL is recallable)
  > Synthesized from period reporting - Early hands-on testing reveals IBM's PC as a well-engineered machine with serious business applications potential, though its $1,565 starting price positions it above competitors like the Commodore 64. Industry analysts debate whether IBM's corporate backing will translate to market dominance.

## Impact

IBM's PC wasn't the first personal computer, but its decision to use standard components and publish its architecture made it the template everyone else copied. This single product fracture shifted computing power from proprietary systems toward an open standard that enabled an entire ecosystem of competitors, clones, and software makers—ultimately democratizing access to computing.

## Sources

- [IBM Personal Computer](https://en.wikipedia.org/wiki/IBM_Personal_Computer) - Wikipedia

---
Canonical: https://recap.at/1981/ibm-personal-computer