Skip to main content

IBM vs Microsoft: Founders, CEOs and History

IBM was founded in 1911 by Charles Ranlett Flint and is led by Arvind Krishna. Microsoft was founded in 1975 by Bill Gates, Paul Allen and is led by Satya Nadella.

Company facts

IBM

Founded
1911
Headquarters
Armonk, New York
Current CEO
Arvind Krishna
Employees
264,300

Microsoft

Founded
1975
Headquarters
Redmond, Washington, United States
Current CEO
Satya Nadella
Employees
223,000

Founders

IBM

  • Charles Ranlett Flint

    IBM possesses the most historic, foundational founding story in the entire history of modern computing, tracing its corporate lineage back to the genesis of data processing in the late 19th century and the aggressive, well-known leadership of a single, strong…

IBM founders in full

Microsoft

  • Bill Gates

    Microsoft was founded in 1975 in Albuquerque, New Mexico, by Bill Gates and Paul Allen, childhood friends from Seattle who had spent their teenage years finding ways to get free time on mainframe computers.

  • Paul Allen

    Paul Allen co-founded Microsoft and was crucial to its earliest technical and strategic decisions. He helped develop Altair BASIC, gave the company its original name, and participated in the operating-system opportunity that led to MS-DOS.

Microsoft founders in full

CEOs and their tenures

IBM

  1. Louis V. Gerstner Jr.1993–2002

    Chairman and CEO

    Gerstner was the first IBM CEO hired from outside the company, coming from RJR Nabisco and American Express. He cut costs, cut mainframe prices, kept the company whole, and grew services into IBM's largest business.

    Source
  2. Samuel J. Palmisano2002–2011

    Chairman, President and CEO

    IBM focused on higher-margin services and software during his tenure. Ginni Rometty succeeded him in 2012.

    Source
  3. Virginia M. Rometty2012–2020

    Chairman, President and CEO

    IBM sold or exited lower-margin businesses under Rometty and bought Red Hat for about $34 billion. Arvind Krishna succeeded her in 2020.

    Source
  4. James J. Kavanaugh2018–present

    Senior Vice President, Finance and Operations, and Chief Financial Officer

    Kavanaugh is IBM's main voice on free cash flow targets, which reached $14.7 billion in FY2025.

    Source
  5. Arvind Krishna2020–present

    Chairman and CEO

    Krishna, a long-time IBM Research and software executive, led the Red Hat acquisition before becoming CEO.

    Source
IBM CEO history in full

Microsoft

  1. Bill Gates1975–2000

    Co-founder and CEO

    Gates built Microsoft's licensing model: software sold to many hardware makers rather than tied to one.

    Source
  2. Steve Ballmer2000–2014

    CEO

    Ballmer grew revenue from about $23 billion in FY2000 to about $78 billion in FY2013 and built the enterprise server and sales business that Azure later scaled on.

    Source
  3. Satya Nadella2014–present

    Chairman and CEO

    Nadella made Azure and Microsoft 365 the company's core, opened Microsoft to Linux and open source, and positioned it early in generative AI through OpenAI.

    Source
Microsoft CEO history in full

Timeline: IBM and Microsoft side by side

  1. 1911IBM

    Computing-Tabulating-Recording Company Founded

    Charles Ranlett Flint merged the Tabulating Machine Company, International Time Recording Company, Computing Scale Company, and Bundy Manufacturing Company to form CTR - the company that would become IBM.

  2. 1924IBM

    Renamed to International Business Machines

    Under Thomas J. Watson Sr. CTR was renamed International Business Machines Corporation (IBM), reflecting the company's growing international presence and ambition beyond tabulating machines.

  3. 1952IBM

    IBM 701 - First Commercial Computer

    IBM launched the 701, its first commercially available electronic computer, marking the company's decisive entry into the electronic computing era and beginning its dominance of the mainframe market.

  4. 1964IBM

    System/360 Launch

    IBM launched the System/360, a compatible family of computers spanning all price points. The $5 billion investment was the largest privately funded project at the time and established the mainframe industry standard for decades.

  5. 1975Microsoft

    Microsoft Founded

    Bill Gates and Paul Allen founded Microsoft after recognizing that the Altair 8800 needed usable programming software. Their first product, Altair BASIC, turned a hobbyist computer kit into a programmable platform.

  6. 1981IBM

    IBM Personal Computer Launch

    IBM introduced the IBM PC, which standardized personal computing architecture and created the PC industry. The open architecture decision inadvertently created the Wintel duopoly that would ultimately commoditize IBM's own PC business.

  7. 1981Microsoft

    MS-DOS Ships With IBM PC

    IBM introduced its personal computer with MS-DOS 1.0 and other Microsoft products. The milestone mattered because Microsoft's operating-system work moved from a small software supplier's project into the emerging corporate PC standard.

  8. 1985Microsoft

    Windows Launch

    The release of Windows 1.0 began Microsoft's long move from command-line operating systems to graphical personal computing. The first version was not an instant blockbuster, but it gave Microsoft a user-interface path that could evolve with PC hardware.

  9. 1986Microsoft

    Microsoft IPO

    Microsoft went public on the Nasdaq in March 1986.

  10. 1990Microsoft

    Office Suite Release

    The bundling of Word, Excel, and PowerPoint into Microsoft Office created a productivity suite that became central to business work. The bundle simplified enterprise purchasing and made file compatibility a competitive weapon.

  11. 1993IBM

    Lou Gerstner Arrives - Turnaround Begins

    Louis V. Gerstner Jr. Became CEO as IBM posted $8 billion in losses. His decision to keep IBM intact rather than break it up, and to pivot toward services, saved the company and redefined its business model for the next two decades.

  12. 1995Microsoft

    Windows 95 Released

    Microsoft released Windows 95 in August 1995.

  13. 1997IBM

    Deep Blue Defeats Kasparov

    IBM's Deep Blue supercomputer defeated world chess champion Garry Kasparov, becoming the first computer to beat a reigning world champion in a full match and establishing IBM's brand in artificial intelligence.

  14. 1998Microsoft

    U.S. Antitrust Case

    The U.S. Department of Justice accused Microsoft of using Windows power to suppress browser competition. The case mattered because it placed Microsoft's platform tactics under public and legal scrutiny at the height of its PC strong position.

  15. 2010Microsoft

    Azure Commercial Launch

    Azure gave Microsoft a way to compete in cloud infrastructure as enterprise customers began shifting workloads away from company-owned servers.

  16. 2014Microsoft

    Satya Nadella CEO

    Satya Nadella became CEO and moved Microsoft away from a strategy that forced every product to serve Windows. He prioritized Azure, Microsoft 365, open source, Linux support, cross-platform software, and a more collaborative developer posture.

  17. 2016Microsoft

    LinkedIn Acquisition

    Microsoft agreed to acquire LinkedIn in 2016 for $26.2 billion in cash. The deal mattered because it added a professional identity network to a company already strong in Office, Dynamics, cloud services, recruiting tools, advertising, and enterprise sales.

  18. 2018Microsoft

    GitHub Acquisition

    Microsoft acquired GitHub for $7.5 billion in stock, reversing years of developer skepticism toward the company. The acquisition placed Microsoft inside the daily workflow of software developers across languages, clouds, and operating systems.

  19. 2019IBM

    Red Hat Acquisition Closes

    IBM completed the $34 billion acquisition of Red Hat, the largest software acquisition in history at the time. The deal anchored IBM's hybrid cloud strategy and provided the OpenShift platform as the foundation for enterprise Kubernetes.

  20. 2021IBM

    Kyndryl Spinoff

    IBM spun off its managed infrastructure services business as Kyndryl Holdings, removing approximately $19 billion in low-margin revenue to focus the remaining company on higher-margin software and consulting.

  21. 2023IBM

    Watsonx Platform Launch

    IBM launched watsonx, its enterprise AI and data platform combining foundation models (Granite), data management (watsonx.data), and AI governance (watsonx.governance). The platform represents IBM's AI strategy for the generative AI era.

  22. 2023Microsoft

    AI Leadership

    Microsoft's expanded OpenAI partnership and Copilot product rollout placed the company at the center of enterprise generative AI adoption.

  23. 2023Microsoft

    Activision Blizzard Acquisition Closes

    Microsoft completed the Activision Blizzard acquisition after intense regulatory review. The deal added Call of Duty, World of Warcraft, Diablo, Overwatch, Candy Crush, and other franchises to Microsoft Gaming.

  24. 2026IBM

    Confluent Acquisition Closes

    IBM completed its roughly $11 billion acquisition of Confluent, adding real-time data streaming used by more than 6,500 enterprises to its AI and hybrid cloud software.

Acquisitions

IBM

  • Confluent2026$11B
  • HashiCorp2025$6.4B
  • Apptio2023$4.6B
  • Red Hat2019$34B
  • PricewaterhouseCoopers Consulting2002$3.5B
  • Lotus Development Corporation1995$3.5B
All IBM acquisitions

Microsoft

  • Activision Blizzard2023$68.7B
  • Nuance Communications2022$19.7B
  • ZeniMax Media2021$7.5B
  • GitHub2018$7.5B
  • LinkedIn2016$26.2B
All Microsoft acquisitions

Questions about IBM vs Microsoft

Who is the CEO of International Business Machines Corporation and Microsoft Corporation?

International Business Machines Corporation is led by Arvind Krishna and Microsoft Corporation is led by Satya Nadella. Both serve as the top executive responsible for the company's strategy, operations, and financial performance.

When was International Business Machines Corporation founded vs Microsoft Corporation?

International Business Machines Corporation was founded in 1911 — 64 years before Microsoft Corporation, which was founded in 1975. International Business Machines Corporation's longer operating history gives it a deeper track record but also potentially more institutional inertia compared to the younger Microsoft Corporation.

How many employees does International Business Machines Corporation have compared to Microsoft Corporation?

International Business Machines Corporation employs approximately 264,300 people, while Microsoft Corporation employs approximately 223,000. International Business Machines Corporation has the larger workforce at 264,300 employees, compared to Microsoft Corporation's 223,000. A higher headcount does not necessarily imply greater efficiency — it often reflects differences in business model (e.g., manufacturing vs. software).

Where are International Business Machines Corporation and Microsoft Corporation headquartered?

Both International Business Machines Corporation and Microsoft Corporation are headquartered in United States, meaning they operate under the same primary regulatory and tax environment.

Who founded International Business Machines Corporation and Microsoft Corporation?

International Business Machines Corporation was founded by Charles Ranlett Flint. Microsoft Corporation was founded by Bill Gates, Paul Allen.

Which company has a longer operating history — International Business Machines Corporation or Microsoft Corporation?

International Business Machines Corporation has been operating for approximately 115 years, making it the more established of the two companies. Microsoft Corporation has been in operation for around 51 years. A longer operating history often signals greater institutional resilience and brand recognition, though it can also mean slower adaptation to new market conditions.

Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the IBM vs Microsoft overview

Content is for informational purposes only. Not financial advice. Data sourced from SEC filings, annual reports, and public records. See our full disclaimer and methodology.