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Murphy: Oh yeah, yeah D Murphy: And you know Jackie developed this thing with Martha [the wedding planner] and then they started thinking about making it broadly available You know, it s the feature creep thing well, we gotta have this and we gotta have that, and so there s a lot of that Smolin: And you have navigation and consistency and all that D Murphy: And it s gotta be bulletproof so people don t screw it up Smolin: Right So is it single or multiuser J Murphy: Single It can be networked, I mean it s one of those things that most of them are used to, our users do not have networks, so it s built to be single user, but it can be networked..

Livingston: That s impressive. Gruner: Because it was hardware. We went public in December of 86. Morgan Stanley and Hambrecht & Quist took us public. That was a very positive experience. We found a lot of plain, simple wisdom from some of the venture capitalists we had particularly Tom Perkins. Tom was on our board. Even at that point he was quite wealthy, very successful. And he made almost every single board meeting. He had to make them in Boston by taking a red-eye from San Francisco to Boston, coming into a meeting at, say, 9:30 in the morning, going to a 4- to 5-hour typically boring board meeting, then flying back that night. And he was in his early 50s at that time. He always had great insights, and always tinged with a nice touch of humor, too.

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We had other great members of the board. We felt that most of the venture capital community added a lot of value also in terms of contacts, we were very positive about that. We grew very quickly, and at one point we had a market valuation of approaching half a billion dollars, about $450 to $475 million.

Livingston: Wow. Gruner: That was back in the 80s. But then we absolutely hit the wall. Livingston: Why Gruner: A couple of things happened. We were significantly late on one of the

D Murphy: The way the [back-end database] relinker works it s a standard relinker You can make it multiuser Jackie has to lead people through doing that, installing it, and setting it up for multiuser Smolin: So who buys this wedding program J Murphy: Professional wedding planners It s priced higher than what a bride would pay for software, so it s professionals Smolin: So it s mostly to individuals Do any of these wedding planners have organizations where they have staff of people, and many planners, or do you sell it mostly to individuals one at a time J Murphy: It s mostly individuals Some of them will have like two or three people in the office that may or may not be using separate computers and need it networked together.

next generations of our computers You would think that high-performance computers designed out of the most advanced parallel processing technology, with a number of patents behind it, would be a highly differentiated product In reality, it was just the opposite of that High-performance computers are the ultimate commodity The reason is that the customer comes in and says, Here s my benchmark; here s my program Run this on your computer and tell me how long it takes to run So they wind up buying a computer based on performance divided by dollars, megaflops per dollar It s just like buying a tank of gas.

The Update method simply checks whether the user wants to save or load a file and opens the Guide dialog box: protected override void Update(GameTime gameTime) { GamePadState gamePadState = GamePad.GetState(PlayerIndex.One); if (gamePadState.Buttons.Back == ButtonState.Pressed) this.Exit(); KeyboardState keyState = Keyboard.GetState(); if (!Guide.IsVisible) { if (keyState.IsKeyDown(Keys.S)) Guide.BeginShowStorageDeviceSelector(FindStorageDevice, "saveRequest"); if (keyState.IsKeyDown(Keys.L)) Guide.BeginShowStorageDeviceSelector(FindStorageDevice, "loadRequest"); }

When you miss a generation when you miss a major product cycle or you re late significantly, and the competition has caught up with you and they re providing performance that s better or the same as yours you re at a very significant loss because that s really all that matters We were selling engineering or scientific computers Ease of use, reliability, and all those things were small factors The major factor was, How fast is your machine and what s it cost The other thing that affected us, that we just simply weren t smart enough to turn on a dime, was the workstation.

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