It all began with an idea: A young engineer from the famous Massachusetts Institute of Technology had seen the novel computer Whirlwind, that worked in a way which was fundamentally different to the common Eniac computer generation at the Lincoln Laboratory.
While ENIAC computers used batch processing, the new computer implemented the idea of interactive computing.
At first sight he recognized the advantages of the new form of computer interaction and the possibilities that existed for even inexperienced computer users. The name of this man was Ken Olsen. His aim was to build an all-purpose interactive computer for all purposes.
In August 1957, he founded a small company with three collaborators. He named the new company Digital Equipment Corporation. This name was chosen to obscure his real intention. The big and well-established enterprises like IBM should think that DEC just builds auxillary devices.
Three years later, in 1960, Digital presented the first commercial, interactive, mini-omputer. This was the first PDP system (Programmable Data Processor). It used a word length of 18 bits, at a cost of approx. US$ 120,000. Only 53 units were sold.
The start of mass-produced mini computers represened the next milestone. In 1965, Digital presented this first mass produced PDP, the PDP-8. It was sensationally cheap and costed only US$ 18,000.
Successors of this hit series were the PDP 8I (1967, the first computer featuring TTL ICs), PDP 8L (1968, low cost version), PDP 8e (1970, the first computer with a bus system), later, the PDP 8a and DEC Mate Systems were produced.