That's your interpretation. Microsoft and Apple were intertwined in each other's affairs from the beginning.
Apple helped Microsoft along when Microsoft was stumbling. Jobs bundled Microsoft's Applesoft Basic into Apple II computers, keeping Microsoft solvent as Apple II computers sold by the millions (Gates own confession). Microsoft then sold the Microsoft Z-80 SoftCard for Apple II computers, which made them a bundle of money (I bought one myself in the early 1980s to run CP/M code on my Apple II). There were a number of software and hardware products Microsoft sold for Apple products. Jobs then allowed Gates to inspect Macintosh code, which led Gates to copy it and create Windows.
True, that later on Gates invested millions in Apple stock that helped Apple get over a near bankruptcy (caused before Jobs came back to Apple and rescued the company). But Gates himself admitted that the tremendous profits made on the stock was a fantastic deal for him - because of Apple's tremendous growth. Just keeping it real.
“True, that later on Gates invested millions in Apple stock that helped Apple get over a near bankruptcy (caused before Jobs came back to Apple and rescued the company). But Gates himself admitted that the tremendous profits made on the stock was a fantastic deal for him - because of Apple’s tremendous growth. Just keeping it real.”
If what I said is true then why the long-winded speech? ;-)
Roadcat, that has been disproved so many times, I am getting tired of typing the proofs of its falsity. Microsoft never invested in Apple to bail them out or to help them "get over a near bankruptcy." At the time of the purchase of the $150 Million in Preferred Stock, Apple had just completed the third profitable quarter after having just one quarter of loss, during which they had posted $64 million in mostly paper losses. Apple had over $2 Billion in liquid assets in the form of cash in the bank and short term debentures. They had just purchased NeXT for $450 million, hardly the move of a company teetering on the edge of bankruptcy. . . and certainly not one that would be approved by the FEC if the acquiring company were near bankruptcy.
A company who is "bailing out" another company ALWAYS attaches strings to the bailout funding, among which are controls on what is done with the money, including acquisition of VOTING STOCK, not NON-VOTING preferred stock. The other control they would most likely use is insisting on taking one or two seats, if not more, on the Board of Directors of the company being helped. Microsoft did not do this, nor was it offered. So that takes us back to the peculiarities of Microsoft's Preferred stock: this Apple Preferred Stock was "special" in that it was, authorized by Apple's Board of Directors for this transaction only as " Apple Computer Restricted-Convertible Preferred Stock." In this case, Apple issued Preferred Stock which was NON-VOTING to Microsoft that could be eventually converted to common stock in a ONE for ONE conversion, but the Preferred Stock was "restricted" from being converted for a minimum of five years until after the other agreements had run their course. It was also restricted because the Preferred stock could not be sold until it was converted to common stock, at which time it could be sold. Microsoft sold it all as soon as they could.
Too bad. Had Microsoft not sold it, it would have been worth around $46 BILLION today! A 30,667% return on their "investment in Apple."
No, Roadcat, what actually went down here was Microsoft making a downpayment on what would eventually total almost $2 Billion in royalty payments and licensing for the settlement of a patent and copyright fight that Apple essentially won that was concluded with an out of court settlement that Steve Jobs brokered with Microsoft. The three agreements that settled the lawsuits and pending lawsuit were unsealed several years ago and are available for those who diligently hunt them down. . . and are interesting reading. The three contracts all required Microsoft and Apple to do certain things beginning with the payment of the $150 million and ending with the dismissing of the lawsuits and the issuance of the $150 million in Preferred Stock. . . and Apple comes out smelling like a rose, and Microsoft comes out with the short end.
Microsoft pays $150 Million in cash money to Apple, licenses the software at issue in the suits from Apple for five years and other IP from Apple for other lucrative license costs for five years, continues development and publishing of MS Office for Mac, and licenses TO Apple all of Microsoft's iP in perpetuity gratis, in exchange, Apple agrees to bundle MS Internet Explorer browser along with Netscape Navigator with all new Macs, license the software in suit to Microsoft, not say nasty things about Microsoft, accept all that nasty old money from Microsoft in the form of a purchase of Preferred Stock, Dismiss those pesky lawsuits with prejudice, and print up a real pretty piece of engraved paper saying we accept $150 million from Microsoft (cost about $5 to do on Really Nice Paper) and deliver it to Microsoft. . . Oh, and keep quiet about all the rest of the money Apple will be getting for the licenses for the use of certain patents for Quicktime used in Windows Movie Player. SHHHHHH hush. Sign, Seal, File with the courts for ten years not to be released.
Forensic Accountants have found the almost $2 Billion transferred between Microsoft and Apple in the five years post "Preferred Stock Purchase" as the rest of the licensing was played out. Apple used it for Research and Development in the iPod, iMac and seed money for the iPhone development.