Altos Computer Systems
An early American computer manufacturer specializing in low-cost multi-user microcomputer and Unix systems.
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Overview
Altos Computer Systems was an American computer manufacturer established in 1977 by David G. Jackson and Roger William Vass Sr. The company became known for building small, relatively affordable computers that allowed several people to work through attached terminals. Its systems occupied an important middle ground between single-user microcomputers and much larger minicomputer installations, serving businesses, offices, industrial organizations, original-equipment manufacturers, and other institutional customers. Altos began with single-board Z80 systems and multi-user derivatives of CP/M. Its early machines used operating environments such as AMEX, Altos's own multi-user executive, as well as Oasis and MP/M. The company emphasized practical business computing rather than consumer home computers. Its hardware typically integrated disk controllers, serial communications, and storage in compact systems intended to support several users without the cost of a conventional minicomputer. The ACS 8000 was an early representative product. Based on the Z80, it could support up to four users through bank-switched memory and could run AMEX, Oasis, or MP/M. Although its processor and limited expansion capability constrained performance, its lower price helped Altos establish a niche in multi-user order-entry and office systems. The subsequent ACS 8600 family moved to Intel's 8086 processor and expanded support for CP/M-86, MP/M-86, Oasis-16, and Xenix. By 1983, Altos was regarded as a leading supplier of 8086-based Unix systems. Altos broadened its range with Motorola 68000 systems, including the ACS 68000, and with increasingly capable Intel-based models such as the 586, 886, 1086, 2086, 3068, 3086, and Series 2000. These products supported from several users to several dozen terminals and ran combinations of Xenix, Unix System III, Unix System V, Pick, MP/M-86, and later Altos Unix, a rebadged version of SCO Unix. The company also supplied VT100-compatible terminals and participated in the emerging network-server market, including systems associated with 3Com Ethernet products. Altos became a public company through a 1982 NASDAQ initial public offering that raised $59 million. Its later growth was challenged by changing enterprise-computing economics and increasingly strong competition from companies such as Compaq and Sun Microsystems. Sales stagnated toward the middle of the decade, and the company recorded its first loss in the fiscal year ending June 1989. Around the period immediately before its acquisition, approximately 128,000 Altos systems were installed worldwide. Acer acquired Altos in 1990 for $94 million. The acquisition was understood to be driven substantially by Altos's United States distribution channels rather than by its technology alone. Altos subsequently sold Unix servers derived from Acer hardware, and Acer later combined the two companies' server activities under the Acer Altos name. The original Altos Computer Systems therefore ceased to operate as an independent company, although the Altos name continued in Acer's server branding for a period.
History
Altos Computer Systems was founded in the United States in 1977 by David G. Jackson and Roger William Vass Sr. Company history describes Jackson developing an early single-board microcomputer in a rented room on Stevens Creek Boulevard. He named the company after Los Altos Hills, California, where he lived. Altos initially pursued original-equipment manufacturing and business-system customers, rather than competing primarily in the emerging consumer personal-computer market. The company's early hardware centered on the Zilog Z80 processor. Its Sun-Series 8000 single-board computer combined processing with disk-control and serial interfaces and could run CP/M or Oasis. Altos avoided the S-100 expansion-bus approach used by many contemporary systems. This reduced cost and produced a compact design, but also limited expansion. The company soon adapted its technology to multi-user operation through AMEX, or Altos Multiuser Executive, a CP/M-derived operating environment. The ACS 8000 could support up to four users and was also compatible with Oasis and MP/M. Its relatively low system prices helped it appeal to businesses that needed shared computing but could not justify the price of a traditional minicomputer. Altos's next major stage was the ACS 8600 family. Initially announced as the ACS 16000, the system was launched in 1981 with an Intel 8086 processor and an 8089 communications coprocessor. It supported CP/M-86, MP/M-86, Oasis-16, and Xenix, and continued to use 8-inch floppy and hard-disk technology. The 8600 line gave Altos a stronger position in commercial multi-user computing, and by 1983 the company was described as a leading vendor of 8086-based Unix systems. In 1982, Altos introduced the Motorola 68000-based ACS 68000, designed for as many as 16 users and initially supplied with Unix System III. The machine was sold in part through OEM channels because suitable business software was limited. Its Unix compatibility nevertheless connected Altos with the growing market for so-called supermicrocomputers. Altos also invested in Informix, owning a significant minority position at the database company's initial public offering. During the 1980s, Altos expanded across several processor families and operating systems. The Altos 580, 5-5, and 5-15 offered lower-cost Z80-based systems. The 586 used a 10-MHz 8086 and supported up to eight terminals with Xenix or MP/M-86. The 986 variant added memory and serial capacity and was associated with network disk-server configurations using 3Com Ethernet technology. Later 486, 886, 1086, and 2086 models used Intel processors and Xenix, while the 3068 used Motorola 68020 technology and supported Pick or Unix System V. The 3086 expanded support to as many as 32 users. Altos also supplied compatible terminals, commonly styled as Altos II through Altos IV. The Series 2000, introduced in 1987, moved Altos into 80386-based systems and used Xenix System V. The company later offered Altos Unix, based on SCO Unix, as well as a rebadged Portable NetWare implementation. In 1988, the 68x Series 030 introduced a 68030-based design that could support two 25-MHz processors and continued to target Pick installations. Altos's public-company period began with its 1982 NASDAQ offering, which raised $59 million. The company later faced increasing competition from Compaq, Sun Microsystems, and other suppliers of servers and workstations. Flat sales led to layoffs in 1986, and Altos reported a $5 million loss for the fiscal year ending June 1989. By the time of its acquisition, roughly 128,000 Altos systems had reportedly been installed worldwide. Acer acquired Altos in 1990 for $94 million. The transaction was associated primarily with Acer's interest in Altos's United States distribution channels. Following the acquisition, Altos-branded products included Unix servers derived from Acer hardware, but the original company no longer operated as an autonomous manufacturer. Acer later consolidated the server operations under the Acer Altos brand, leaving Altos as a historical computer-company name and a legacy server brand within Acer's broader portfolio.
- 1993
Acer Altos server branding is consolidated
[1]Acer unifies its server line with Altos's activities and markets systems under the Acer Altos name.
- 1990
Acer acquires Altos
[1]Acer purchases Altos for $94 million, after which Altos loses its independent corporate identity.
- 1988
68x Series 030 is introduced
[1]Altos introduces a 68030-based system supporting up to two processors and continuing its focus on Pick environments.
- 1987
Series 2000 introduces 80386 systems
[1]Altos moves into 80386-based systems running Xenix System V.
- 1986
Altos refreshes its 286 product line
[1]The company announces the 686 and 3086, including a high-end configuration supporting up to 32 users, while also reporting workforce reductions.
- 1985
286 and 68020 systems expand the range
[1]Altos announces the 886, 1086, 2086, and 3068 families for larger terminal counts and more capable Unix or Pick deployments.
- 1982
Altos goes public and introduces the ACS 68000
[1]Altos completes a $59 million NASDAQ IPO and adds a Motorola 68000 Unix system aimed at multi-user installations.
- 1981
ACS 8600 launches
[1]The ACS 8600 enters the market with an Intel 8086 processor, multi-user operating-system support, and Xenix compatibility.
- 1979
Sun-Series 8000 and AMEX multi-user plans emerge
[1]Altos promotes a Z80-based single-board system and outlines a CP/M-derived multi-user executive intended to support several users.
- 1977
Altos Computer Systems is founded
[1]David G. Jackson and Roger William Vass Sr. establish Altos in the United States to develop and sell small computer systems.
Products and positioning
A business and institutional computer supplier focused on affordable multi-user systems, terminal-based computing, and Unix- or Xenix-compatible servers.
Multi-user microcomputer · 1979
Sun-Series 8000 / ACS 8000
Altos's early Z80-based systems used integrated disk and communications hardware rather than the S-100 bus. The ACS 8000 supported as many as four users through bank-switched memory and could run AMEX, Oasis, or MP/M. Its relatively low system cost made it suitable for office and order-entry applications, although its processor performance and lack of expansion slots limited its capabilities.
8086 multi-user computer · 1981
ACS 8600
The ACS 8600 family used Intel's 8086 processor and an 8089 communications coprocessor. It supported CP/M-86, MP/M-86, Oasis-16, and Xenix, while retaining 8-inch disk technology. The product line represented Altos's transition from early Z80 systems to more capable 16-bit commercial computers and helped establish the company as a significant 8086-based Unix supplier.
Unix multi-user computer · 1982
ACS 68000
Introduced in 1982, the ACS 68000 used an 8-MHz Motorola 68000 and was designed for as many as 16 users. It initially ran Unix System III and was offered with 40-MB and later 80-MB disk configurations. The system was sold substantially through OEM channels because business-application support was less developed than on some competing platforms.
Xenix multi-user computer and network server · 1983
Altos 586 and 986
The Altos 586 used a 10-MHz Intel 8086, supported up to eight terminals, and ran Xenix or MP/M-86. The 986 variant increased memory and serial-port capacity. Altos positioned these systems for multi-user office computing, and 3Com developed Ethernet-related technology associated with the 986 as a network disk server for IBM PC and XT environments.
286-based multi-user computer · 1985
Altos 886, 1086, and 2086
Announced in 1985, these Intel 80286 systems were designed for approximately eight, ten, and twenty terminal users respectively. They ran Xenix 3.0 and added tower-case designs on the larger models. Their separate communications architecture allowed Altos to scale the number of attached terminals while maintaining the company's established multi-user business-computing model.
68020 multi-user computer · 1985
Altos 3068
The Altos 3068 was based initially on a 12-MHz Motorola 68020. It supported both Pick and Unix System V and was released in 1985 for customers requiring more capable multi-user systems. The design also served as the basis for the Tandem LXN, illustrating Altos's role as an OEM and platform supplier.
80386 Unix/Xenix system · 1987
Altos Series 2000
Released in 1987, the Series 2000 was Altos's first product family based on the Intel 80386. It ran Xenix System V and marked the company's move toward higher-performance 32-bit systems. Later Altos 386- and 486-based products could also use Altos Unix, a rebadged version of SCO Unix, and were positioned as business servers rather than consumer PCs.
68030 multi-processor system · 1988
68x Series 030
Introduced in 1988, the 68x Series 030 used Motorola 68030 technology and could support up to two 25-MHz processors. It continued to offer the Pick operating system and extended Altos's range of higher-end multi-user systems based on Motorola processors.
Computer terminal
Altos terminals
Altos sold terminal products identified as Altos II through Altos IV. These were generally VT100-compatible terminals intended to provide user access to Altos multi-user computers and other compatible host systems.
Brand decisions
1990
Acer acquisitionM&ABackground
Altos faced stronger competition in the server market and had reported its first loss in the fiscal year ending June 1989.
Action taken
Acer acquired Altos Computer Systems for $94 million, with distribution capabilities in the United States reportedly a major attraction.
Aftermath
Altos ceased to function as an independent company, while its name continued for a time in Acer's Unix-server business and later in Acer Altos branding.
Acquisition price. $94 million (1990 acquisition)
1982
Public offering to fund expansionStrategyBackground
Altos was expanding its multi-user computer business and broadening its hardware and operating-system platforms.
Action taken
The company completed an initial public offering on NASDAQ and raised $59 million.
Aftermath
Altos continued expanding into Motorola-based Unix systems, Intel-based Xenix machines, terminals, and network-server applications.
IPO proceeds. $59 million raised (1982 initial public offering)
Recent events
- 1993
Acer and Altos server lines are unified[1]
M&A
After the acquisition, Acer combined its server line with Altos's activities and marketed systems under the Acer Altos name.
- 1990
Acer acquires Altos Computer Systems[1]
M&A
Acer acquired Altos for $94 million. The transaction was chiefly associated with obtaining Altos's United States distribution network, while Altos's independent corporate identity subsequently diminished.
- 1989
Altos reports its first annual loss amid server-market pressure[1]
Other
For the fiscal year ending in June 1989, Altos reported a $5 million loss, described as its first loss, as competition intensified in the server market.
- 1986
Altos reduces workforce during a period of flat sales[1]
Leadership change
The company announced approximately 50 layoffs as sales remained flat, reducing its workforce to about 700 employees.
- 1982
Altos completes NASDAQ initial public offering[1]
Other
Altos Computer Systems became publicly traded on NASDAQ and raised $59 million in its initial public offering. Its shares subsequently traded under the symbol ALTO.
Sources1 sources
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