> It was such an unexpected thing. I mean we had totally assumed that this was going to be a level playing field, that PC- DOS was going to be priced the same as CP/M, the same as the UCSD P-System, and that we were going to let the market, the users decide which one, which clearly it wasn’t. And Gary described that day later on in his memoirs as kind of the day innocence was gone.

This seems like a rather unrealistic expectation when one has per-device royalties and the other hasn’t. Of course, that probably can’t fully explain the magnitude of the price difference-which may indeed have involved some underhandedness on IBM’s part-but a vendor who charges a reseller more for a product than its competitor and then complains that reseller sells its product for a higher price the competitor’s, is being a bit silly