Developing the Entrepreneurial Spirit



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Introduction

Microcomputer technology was first introduced in this country in the mid 1970s. Two entrepreneurs, Stephen Jobs and Steve Woznaik, working in their garage as teenagers, put together one of the first working models of a microcomputer. They were two energetic and bright teenagers interested in innovation and entrepreneurship (although at the time they probably did not realize that they were either). Many of the large computer companies at that time, such as IBM, Hewlett Packard, Digital Equipment Corporation, G. E. and other manufacturers of computers dismissed these two entrepreneurs. However, in a period of a few short years the Apple computer hit the market with tremendous success. The Apple computer was gaining entry into the home market and to the school environment. The major manufacturers of computing were still making computer systems that sold in the range of $250,000 to several million dollars. All of a sudden IBM and others realized the potential market for the home, school and small office environments. IBM began immediately to set in motion a process that would bring to market an IBM PC. These early PCs would sell in the price range of five to ten thousand dollars.


In order for IBM to market a personal computer, it needed an operating system. Thus, Bill Gates, another young entrepreneur, was building languages such as FORTRAN and Basic. IBM approached Bill Gates concerning the development of a disk operating system. While Bill did not have the disk operating system himself, he knew of a colleague who had been working on the development of a personal disk operating system. Thus, Bill was able to secure the rights for this software package for $50,000 and then in turn sold it to IBM under a contractual arrangement. This action made Bill Gates a rich man.
These early microcomputers were stand-alone machines and had as their basic applications word processing, spreadsheet and database. A number of interesting games were also developed for both the Apple and the IBM models.
Both Apple and IBM began to aggressively market to the individual PC market in the early 1980s. In fact, in 1982, the Time Magazine Man of the Year Award went to a microcomputer. Excitement about desktop computing was contagious. The school market opened up quickly, as did the small business market. For the first time in the history, small businesses and schools could have the same computer power as large corporations. All of these early versions were non-networked systems. The only way to transfer software and applications were through the 5 ¼ disk and later the 3 ½ inch disk. This meant that data transfer was very cumbersome and slow.
As the technology grew and the marketplace increased, IBM and others began to network several microcomputers to one file server. Under this arrangement, the software could be shared among all users without actually having a copy of the software reside on the desktop computer. Computer enthusiasts thought this was absolutely the state of the art computer application. Networks were introduced into public school systems in laboratory arrangements and in small and large companies. The home market was still primarily a single desktop computer.
In order to facilitate the networking arrangement, it became necessary for end users to pull miles of wiring throughout buildings. Twisted pair and fiber optics became the talk of the day. Technologists enthusiastic about distributing computing throughout the building were very excited about the new technology.
Universities throughout the country also caught onto the wave of technology. Fiber optics cables connected buildings throughout the campus. Millions and millions of dollars were spent on wiring buildings and pulling underground cables through tunnels that connected buildings across major highways. People were very excited about this new technology and the ability to connect with each other.
This technology, of course, made it possible for the Internet to grow exponentially. In the days of dial-up connections, Internet was slow and cumbersome. But all of a sudden, with fiber optics, the Internet made it possible to connect with any person in the world at any time of day or night. This was a phenomenal application for the microcomputer.
Today, just a few short years after the major impact of fiber optics, we now have wireless technology. Written text, spoken word, graphics and color can all be transmitted miraculously through the air. The wireless technology market has grown exponentially in the past few years. Everybody now has a cell phone and most everybody has a PDA and many other people have laptop and tabletop computers that transmit wireless through the air. What a great and miraculous invention. Many fortunes have been made from the wireless technology craze and the entire structure of telecommunication and computing companies have been changed by this new innovative technology. And, of course, we are only in the very beginning start-up stage of wireless technology.

  1. Learning vignette -- Talking to the Air

Two freshman students walked out of their first math class on Small Town College at Somewhere Tennessee and began immediately to look for the computer lab in order to solve some quadratic equations. As the new students tried to find their way around the buildings and the flower garden on campus, they thought about how nice it would be to be able to sit out underneath the trees and solve their quadratic equations wireless. However, Small Town College did not have a wireless environment. The two freshman students shared the first same names. One was named Steve Wonder and second was named Steve Wilson. The two students were intellectually very bright and could possibly represent the new generation of Edison. As Steve and Steve worked in the computer lab, they became more and more interested in wireless technology than they did in solving quadratic equations. The next day after their math class they approached the professor, Dr. Smithson, and asked permission to conduct a study on how to make the campus wireless. The professor agreed, but also emphasized that they still would have to solve the quadratic equations. Professor Smithson recommended that the two freshman students make an appointment with the Dean and discuss this idea with him.


The two students set up a meeting with the Dean. Both students were very elegant speakers and had obtained a vast knowledge of technology in their high school careers. They made a compelling case to the Dean to permit them to pursue their interest of developing a plan for making the campus wireless. The Dean agreed to permit the students to pursue this venture, but stipulated that the plan must also contain a business arrangement whereby the model could be used as a business plan for other small universities. The Dean also stipulated that the students would have to gain consensus from other students and the faculty and to present their final results at the spring Board Meeting.
The students were delighted at this opportunity and began immediately to develop a plan for wireless technology.



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