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Internal strategy memos from this period, known as the Halloween documents, describe the company's potential approaches to stopping open source momentum. By the late 1990s, Microsoft came to view the growing open source movement as a threat to their revenue and platform. Microsoft successfully expanded in personal computer and enterprise server markets through the 1990s, partially on the strength of the company's marketing strategies.
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Within a year of founding Microsoft, Bill Gates wrote an open letter that positioned the hobbyist act of copying software as a form of theft. The technology company Microsoft was founded in this period and has long been an embodiment of the proprietary paradigm and its tension with open source practices, well before the terms "free software" or "open source" were coined. Following an antitrust suit that forced the unbundling of IBM's hardware and software, a proprietary software industry grew throughout the 1970s, in which companies sought to protect their software products.
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The paradigm of freely sharing computer source code-a practice known as open source-traces back to the earliest commercial computers, whose user groups shared code to reduce duplicate work and costs. In 1976, Microsoft co-founder Bill Gates expressed frustration with most computer hobbyists who were using his company's software without having paid for it. Since 2017, Microsoft is one of the biggest open source contributors in the world, measured by the number of employees actively contributing to open source projects on GitHub, the largest host of source code in the world. This proved a short lived phenomenon because by 2019 there were over 10 million new users of GitHub. This acquisition led a few projects to migrate away from GitHub. Microsoft is among the site's most active contributors. Microsoft acquired GitHub, the largest host for open source project infrastructure, in 2018. Linux-based operating systems power the company's Azure cloud services. NET Framework, and made investments in Linux development, server technology, and organizations, including the Linux Foundation and Open Source Initiative. Microsoft open sourced some of its code, including the. In the 2010s, as the industry turned towards cloud, embedded, and mobile computing-technologies powered by open source advances-CEO Satya Nadella led Microsoft towards open source adoption although Microsoft's traditional Windows business continued to grow throughout this period generating revenues of 26.8 billion in the third quarter of 2018, while Microsoft's Azure cloud revenues nearly doubled.
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From the 1970s through 2000s under CEOs Bill Gates and Steve Ballmer, Microsoft viewed the community creation and sharing of communal code, later to be known as free and open source software, as a threat to its business, and both executives spoke negatively against it.
Microsoft, a technology company historically known for its opposition to the open source software paradigm, turned to embrace the approach in the 2010s.
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