In the early 1980s, as Microsoft was carving its place in the tech world, co-founder Paul Allen made a bold design choice for the Microsoft Mouse: two green buttons on a beige chassis. This decision, made before Allen left the company in 1983, sparked a notable exchange with Apple co-founder Steve Jobs during a visit to Palo Alto. Jobs, a staunch advocate for the minimalist one-button mouse, dismissed Allen’s approach, prioritizing simplicity above all else.
Allen, however, saw things differently. “At Microsoft, we aimed to balance simplicity with functionality,” he wrote in his 2011 memoir, Idea Man. “An extra feature, like a second button, was worth it if it made a device more powerful and useful.” That philosophy of blending innovation with practicality became a hallmark of Microsoft’s early years and a testament to Allen’s influence.
As Microsoft approaches its 50th anniversary in 2025, the company’s veterans are reflecting on Allen’s pivotal role in shaping its trajectory. Alongside Bill Gates, Allen co-founded Microsoft in 1975, inspired by a Popular Electronics cover featuring the Altair 8800. Allen’s urgency—rushing to tell his childhood friend Gates that they were “being left behind”—ignited the vision that led to Microsoft’s creation. From developing BASIC for the Altair to pushing the company into applications beyond operating systems and programming languages, Allen’s contributions were foundational.
“Paul deserves immense credit for what Microsoft became,” said former CEO Steve Ballmer at GeekWire’s recent Microsoft@50 event. “His genius, his drive, his insight—without those, there’s no Microsoft. It’s that simple.”
A Partnership Born in a Seattle Computer Room
Allen and Gates’ collaboration began at Seattle’s Lakeside School, where they bonded in the computer room over a time-share system. Allen, two years Gates’ senior, challenged his friend to tackle complex programming problems. “Paul loved throwing challenges my way,” Gates recalled in an interview. “After I aced a math exam, he said, ‘Oh, you think you’re so smart? Can you figure this out?’ That’s what pulled me in.”
Their partnership deepened when Allen returned to help Gates complete a sophisticated scheduling program for Lakeside after the death of Gates’ friend and collaborator, Kent Evans. This early work laid the groundwork for their future endeavors, blending technical ingenuity with ambitious vision.
A Departure and a Lasting Legacy
Allen’s tenure at Microsoft ended in 1983 after a battle with Hodgkin’s disease and a painful moment when he overheard Gates and Ballmer discussing reducing his company stake—a decision they later apologized for. Though he left Microsoft, Allen’s influence endured. The Microsoft Mouse, with its two-button design, became one of the company’s longest-lasting products, evolving through optical, wireless, laser, and Bluetooth iterations.
Post-Microsoft, Allen’s curiosity and ambition led him to diverse ventures. He invested in technology, owned sports teams like the Seattle Seahawks and Portland Trail Blazers, and launched transformative initiatives. His legacy lives on through the Allen Institute for Bioscience, the Allen Institute for Artificial Intelligence, and the Paul G. Allen School of Computer Science & Engineering at the University of Washington. These organizations reflect his commitment to advancing science, technology, and education.
Allen passed away in 2018 at age 65, following a recurrence of non-Hodgkin lymphoma. Yet, his vision continues to shape the tech world. In a 2005 interview with the Seattle Post-Intelligencer for Microsoft’s 30th anniversary, Allen reflected on the modest dreams he and Gates shared. “We talked about maybe having dozens of employees,” he said, recalling their early days writing BASIC. “I was always reading about new tech and hardware, while Bill was poring over Fortune, imagining what it’d be like to run a big company. It’s incredible how those dreams came true.”
The Two-Button Mouse: A Symbol of Allen’s Vision
Allen’s decision to champion the two-button mouse encapsulated his approach: practical innovation that empowered users. While Jobs’ one-button mouse became iconic for its simplicity, Allen’s design prioritized functionality, a choice that resonated through decades of Microsoft hardware. “Every one of those mice had more than one button,” Allen proudly noted in Idea Man, underscoring the lasting impact of his perspective.
As Microsoft celebrates 50 years, Allen’s contributions—from co-founding the company to shaping its early products and culture—remain a cornerstone of its success. His ability to dream big while grounding those dreams in technical innovation helped transform a small startup into a global tech titan, leaving a legacy that continues to inspire.
FAQs
What role did Paul Allen play in founding Microsoft?
Paul Allen co-founded Microsoft with Bill Gates in 1975, inspired by the Altair 8800 featured in Popular Electronics. His urgency to develop software for the microcomputer era sparked Microsoft’s creation, starting with BASIC.
How did Paul Allen influence the Microsoft Mouse?
Allen championed the two-button design for the Microsoft Mouse in the early 1980s, prioritizing functionality over simplicity. This contrasted with Steve Jobs’ one-button mouse, and the Microsoft Mouse became a long-lasting product.
Why did Paul Allen leave Microsoft?
Allen left in 1983 after battling Hodgkin’s disease and overhearing Gates and Ballmer discuss reducing his stake in the company. Both later apologized, but Allen chose to pursue other ventures.
What was the significance of Allen and Gates’ partnership at Lakeside School?
At Seattle’s Lakeside School, Allen and Gates met in the computer room, collaborating on projects like a scheduling program. Their early work honed the skills that led to Microsoft’s founding.
What were Paul Allen’s contributions to Microsoft beyond software?
Allen pushed Microsoft to expand into applications beyond operating systems and programming languages, broadening its scope and setting the stage for products like the Microsoft Mouse.
What did Paul Allen do after leaving Microsoft?
Allen invested in tech, owned sports teams like the Seattle Seahawks, and founded the Allen Institutes for Bioscience and Artificial Intelligence, as well as the Paul G. Allen School of Computer Science & Engineering at the University of Washington.
How did Allen reflect on Microsoft’s growth?
In a 2005 interview, Allen said he and Gates initially dreamed of a small company with dozens of employees. He was amazed at how their modest vision grew into a global tech giant.
How is Paul Allen’s legacy preserved today?
Allen’s legacy continues through the Allen Institutes, which advance bioscience and AI research, and the University of Washington’s Allen School, alongside his contributions to Microsoft’s early success.
Conclusion
Paul Allen’s legacy at Microsoft is a story of vision, innovation, and resilience. From co-founding the company with Bill Gates to championing the two-button Microsoft Mouse, Allen’s contributions shaped Microsoft’s rise from a scrappy startup to a tech titan. His departure in 1983 marked the end of his direct involvement, but his influence endures through Microsoft’s products and his transformative initiatives in science, technology, and philanthropy. As Microsoft celebrates its 50th anniversary in 2025, Allen’s ability to balance bold dreams with practical innovation remains a defining force, reminding us how a single idea—like two green buttons—can leave a lasting mark.
