So You Want to Buy a Computer (from 1981)

Dr. Lawrence J. Magid is Director of Publications at Information Unlimited Software. He recently authored the EasyWriter Word Processing Manual published by IBM for their entry into the personal computer market.

My first job in the tech world was in 1981, fresh from graduate school, when Information Unlimited Software (IUS) hired me to write the EasyWriter word processing manual that IBM would release with its first PC. After the PC was released, IUS asked me to write this computer buying guide. Larry Magid. August 2026

by Lawrence J. Magid
1981 – Information Unlimited Software

DON’T BE MYSTIFIED

When you enter the computer marketplace you are besieged by foreign sounding terms. Like any group, computer enthusiasts have their own jargon. Knowing buzz words such as RAM, ROM, DOS and BYTE does not prove that one is an expert. And your lack of knowledge of such terms will not handicap you in your ability to choose and use a computer system. Nevertheless, there are two terms that are critical to any understanding of computers. One is the familiar word, “hardware.” The other is the not so familiar concept of “software.”

Hardware is the machine that you can physically look at and touch. Software is the program that makes a computer do what you want it to do. Think of computer “hardware” as your stereo system. No matter what you paid for the system, it would be useless if it could not play your favorite records. Software is very much like the music you play on your stereo. Luckily for music fans, you can play almost any record on almost any stereo. Not so with computers. Each computer has an operating system that is capable of “playing” only certain software, and there are no generally accepted industry standards.

Although many software publishers develop their software to run on a variety of machines, there are no programs that run on all machines. What runs on one computer may not run on another. That is why you should make your software decisions before you buy your hardware.

WHY PEOPLE BUY COMPUTERS

There are as many reasons to buy a computer as there are people who buy them. While most computer owners discover applications they never dreamed of, shoppers usually have at least one application in mind when they make their purchase. Some of the more common applications include word processing, data management, entertainment,

TYPICAL APPLICATIONS

Word Processing is computerized typing. With IUS’s EasyWriter™, for example, writers can make changes as they go along, inserting words and moving paragraphs at will. You can write and edit the document on the screen and, when it is done, print out as many copies as you need. It is also possible to print “personalized form letters” and to transmit documents over telephone lines to other computers, hence, “electronic mail.”

There are many types of Data Management Systems, but a common application involves sorting information into logical categories so it can be used efficiently. IUS’s Datadex™ Business Management System, for example, allows users to define how they want their data entered, sorted and reported. A common application might be a complete accounting of one’s expenses to help prepare a tax return.

Another type of data management program is the “spread sheet,” such as Visicalc™. These programs are especially useful when comparing the relationship between variables. If you were budgeting automobile expenses, for example, a spread sheet program would allow you to instantly judge the impact of a change in fuel prices, taxes, miles per gallon or any other factor.

Entertainment programs include the “video games” that one sees at shopping malls as well as the more heady games such as chess. Depending on the software, almost any computer is capable of playing anything from Scrabble to Space Invaders.

Educational Software is still in its infancy. Computer Assisted Instruction can aid children and adults in many different learning situations. There are programs to teach math and reading, to prepare for college entrance examinations, and much more. IUS’s Tellstar™ teaches people about the stars and other heavenly bodies.

Computer Literacy is an important new concern. Learning to use a computer may, in the future, prove to be as valuable as learning to drive. Some people have purchased home computers with no other application in mind other than to become part of the information revolution.

SOFTWARE

What you can do with your computer depends on what software will run on it. So, your first question should be, “What do I want to use the computer for?” This does not mean that you have to envision every possible use for your computer. However, one of the nice things about computers is their versatility. The same computer that runs word processing software can also run software that will manage research data, calculate your mortgage payments, educate your children, or help you determine how much interest you will earn from a savings plan. Each of these applications requires different software. You should think about what you want to do and ask your computer dealer to recommend the hardware and software to accomplish those tasks. It is not enough for the dealer to say, “This machine can do what you want.” The dealer should be able to tell you what software, or additional hardware, you need to accomplish your task, how much it will cost, and when he or she can get it for you.

When you evaluate software, you must look at its quality. Software is written by people called “programmers.” Many programmers are skilled, creative and competent artists. A few are after a fast buck and others, though well intentioned, produce products that do not do what they say they will do. Buy your software as carefully as you would buy an expensive piece of equipment. Because software can sometimes be illegally copied, many dealers are reluctant to take back software once it is purchased. Talk to your dealer, ask to see competitive brands, read reviews, and talk with people who have used it. It’s not enough to ask for software by function. There is excellent software and there is junk.

HOW TO CHOOSE A SOFTWARE COMPANY

Some companies that make computers also make software. Do not assume, however, that the best software for a particular computer is necessarily published by the company that makes the computer. It is possible that better and/or less expensive software has been published by a software specialty house. RCA makes record players and records. If you had an RCA record player, would you feel obligated to buy all of your records from RCA?

Be sure that the software you purchase is produced by a company with a good reputation for quality, support and customer service. Find out their policy regarding revisions and updates. What will it cost for an updated version of the program? What will the publisher do if defects are found in the program? Does the publisher have a technical support staff capable of answering customer and dealer questions?

When you buy software, you are establishing what may be a long term relationship with the publisher. Your dealer may sell you the software, but in the long run the publisher is responsible for keeping it up-to-date and providing you and your dealer with technical support. Learn all you can about an expensive piece of software before you buy it. Have your dealer demonstrate it. Make sure the dealer lets you try it out. And be certain that the documentation is clear and easy to understand. Even the best programs are useless if you don’t know how to operate them.

SOFTWARE PRICES

It can take a team of programmers years to produce a good piece of software. Once a program is written, it must be documented by a technical writer. There are additional costs for testing and debugging. A substantial amount of money is then invested in distribution and customer support. Finally, the publisher must be prepared to update and revise the software and the documentation. Whatever the cost, the value of software, is what it does for you or your business and how long it takes to pay for itself in time saved, mistakes avoided and jobs better-done.

The cost of developing the software is, of course, passed on to the purchaser. You can pay as little as $5.00 or as much as $5,000 for a single program. Although a publisher considers many factors when deciding what to charge for a product, a primary factor is the relationship between the development and support costs versus the number of units the publisher expects to sell. This is one of the reasons why it is sometimes a disadvantage to buy an obscure brand of computer. If the software publishers know that there is a limited market, they are less likely to develop software and more likely to charge a higher price for every program sold.

BUYING HARDWARE

You can purchase a micro-computer for as little as $200 or as much as $20,000. Before you buy the bargain computer, make sure that it will do everything you need. The advertised specials often do not include all the necessary components. Some systems are unnecessarily expensive.

Tell the salesperson what you want to do with the computer, and ask him or her to demonstrate the system, performing the tasks you require.

When you buy a computer, you are buying a series of components. Even if the system is totally self-contained, it is an amalgam of separate parts. A computer system consists of a central processing unit, a memory, a disk or tape storage system, a T.V. screen or monitor, a keyboard, and, most likely, a printer.

CENTRAL PROCESSING UNIT (CPU)

The CPU is the “brains” behind the computer. As you shop for computers you will hear about the “Z-80,” “80-88,” “6502,” and many other processors. Each has its strong and weak points. Although it is interesting to learn about the various CPU’s, the actual one you choose is important primarily in terms of what the system will do for you. Again, that depends on your application and the software.

MEMORY

Like most things you buy, computers have their specifications. One of the most important is the computer’s Random Access Memory (RAM). The memory is the amount of information that can be stored in the computer at any given time. Memory is measured in thousands of bytes and is referred to in “K’s,” short for kilobytes. A “K” of memory is equivalent to about 1,000 characters. A 16K computer has enough memory to hold 16,000 characters. Some of that memory is taken up by programs and other housekeeping systems that the computer uses. While some games and simple applications will work with as little as 4K, most business and many personal uses require from 32K to 64K.

PERMANENT STORAGE

It is important to distinguish between memory and permanent storage. Whatever is in your computer’s memory is lost as soon as the power is turned off, as with most electronic calculators. That is one of the reasons for “permanent memory,” or mass storage.

DISKETTES

Diskettes are the most popular storage medium for micro-computers. Because they are very flexible, they are sometimes called “floppy disks,” or “floppies.” They are also called “disks” or “discs.”

A diskette is like a small flexible record. Like a record, it stores information. To use a diskette, you must have a diskette drive, an option that adds from $400 to $900 to the cost of most computer systems. As I will explain later, a diskette drive is almost mandatory for many applications. In fact, many users buy two diskette drives so that they can take full advantage of some of the powerful software, and to make backup copies of their important information.

Micro-computers use 5¼ inch or 8 inch diskettes. The 8 inch diskettes generally hold more information, but the drives that run them are considerably more expensive than 5¼ inch drives. Different systems squeeze different amounts of information on the same size diskettes. Typical 5¼ inch diskette systems will store from 90 to 140 thousand bytes of data (100,000 bytes is the equivalent of 20,000 words or about 80 pages of text). That is a lot of information to store on a piece of plastic that weighs ½-ounce and retails for as little as $3.00.

HARD DISK

Businesses with very large amounts of data, might consider purchasing a “hard disk” system. These systems, which start at about $4000, can hold between 5 and 20 million bytes of information.

CASSETTES

It is also possible to store computer data on standard audio cassettes. The advantage of cassettes is that you can use a standard portable cassette player to load and store your programs and data. This saves the cost of a disk drive. The disadvantages of cassettes are that they are very slow and often unreliable. In addition, there is very little good business software available on cassettes.

Whatever system you use for storage, you can usually upgrade. Most personal computers can be made to accept cassette, diskette, or hard disk systems.

YOUR HARDWARE DEPENDS ON YOUR SOFTWARE

Here are some common software applications, beginning with the most demanding, and the minimum hardware needed to run them.

WORD PROCESSING

If you want to do word processing, I recommend that your system include, at least the following:

1. A 48,000 character (48K) memory.

Although invisible to the user, word processing software places a big demand on your computer. To do word processing, your computer needs a long set of instructions. Most word processors require at least 48K, a few work with 32K and some require more.

2. A typewriter quality keyboard.

Be certain you are comfortable with the keyboard. If you are buying a computer for a business, have your fastest and most demanding typists test both the keyboard and the word processing software, which should be able to keep pace. The keyboard will be a little different than an office typewriter, though it should be of the same or better quality.

3. A computer capable of clearly displaying at least 64 (preferably 80) columns of text.

The size of your computer’s display is measured in horizontal columns and vertical lines. The size is controlled by the computer, an external terminal, or a device that can be plugged into the computer. The monitor (screen) does not control the size of the display, although it will affect the quality of the display. An ideal display would show you an 8½ by 11 inch page, requiring 80 columns by 66 lines. A few dedicated word processors have a 66 line screen. Most computers display 24 lines. That is usually sufficient since you can scroll your display up and down to view different sections of the text.

Although there are word processing software packages that run on computers with 32, 40 or 64 column screens, most typists prefer an 80 column display.

The number of characters and lines that can be displayed varies widely among personal computers. Ask your dealer how many columns and lines can be displayed on the screen. If it is less than 80, ask if there is a device that can modify the display (there are several optional 80 column cards that plug into the Apple II™, for example).

4. A good terminal or monitor (not a TV).

For word processing you need a good monitor. A TV set might work, but it is not good for your eyes if you are doing extensive word processing. TV screens are usually inadequate for 80 column displays.

5. A printer that prints on 8½ by 11 inch bond paper (not special “thermal” paper).

If your typed output must look as if it were typed on an expensive office typewriter, then you need a “letter quality” daisy wheel printer. Letter quality printers range in price from $1,400 to $4,000. However, if you are satisfied with copy that looks as if it were typed on a portable electric typewriter, you can probably get away with a “dot matrix printer.” Good matrix printers start at about $400.

DATA MANAGEMENT

The hardware configuration for a system that does data management is similar to one that does word processing. The differences are that you may be able to use a system with a 32 or 40 column display and you may also be able to use an inexpensive black and white T.V. set rather than a monitor. You will probably not need a letter quality printer, though some printer is almost a necessity. Be certain that the computer has the memory and permanent storage capacity to handle the program and data base.

ENTERTAINMENT AND EDUCATION

There are many entertainment and education applications that run on the stripped down systems. It is possible to enjoy using a computer equipped only with a cassette tape input system, and a simple keyboard. Many computers can be connected to your T.V. Some, if connected to a color T.V. will produce a color display.

Think about your future needs when buying such a system. Consider an inexpensive system that can later be expanded as your needs, budget, and interest expand.

COMPUTER LITERACY

If your sole purpose is computer literacy, you can’t go wrong. Any computer will challenge you and at times frustrate and anger you. Just be sure that you do not buy a system that is too esoteric or hard to use. Be careful not to get turned off by a computer that is too technical. There are plenty of “friendly” ones on the market.

EXPANDABILITY

Think about your future needs. How much memory can you add to your computer? How many disk drives will it accept? Can it be expanded and updated as new equipment becomes available? Is there a growing line of software that will run on your computer?

Ask about companies that manufacture equipment that interfaces with your computer. There are many companies that make equipment designed to expand or improve the performance of other companies’ computers. Often these “peripheral devices” are of excellent quality and make a substantial improvement in the performance of the system. Just like you can connect one company’s record player to another company’s speakers, it is often possible to interface computer components manufactured by different companies. Just be certain that all your hardware and software work together properly before you invest your time and money.

WHERE TO BUY YOUR COMPUTER

The best place to buy a computer is from a knowledgeable dealer who can help match your needs with the necessary software and hardware. The dealer should also be able to provide you with training, service and advice. If you do not have access to stores that specialize in computers, you can increase your options by looking at mail order advertisements. You can sometimes save money and sales tax by ordering through the mail. Although manufacturers will usually honor the warranty for equipment purchased through the mail, the mail order firm is not as likely to be as helpful as a dealer if you need service or have questions.

WHEN SHOULD YOU BUY A COMPUTER?

The most common reason for delaying a computer purchase is the feeling that “they are about to release something better and/or cheaper.” Although computers are constantly getting better there have been very few drastic price reductions during the last two years. Some computers have actually increased in price. Nevertheless, in this fast growing market there will always be new products “just around the corner.”

Before you decide to wait, take a look at what is available now. Of course there are going to be exciting innovations, but just as you will no doubt own more than one car in your lifetime, your first computer will probably not be your last.

So when is the best time to buy? When you decide you need a computer and when you find one that meets your needs at a price you can afford. If you are ready for a computer, there is a computer ready for you.