In recent years, Microsoft has broadened its product categories to include different types of media, such as CD-ROMs and it's TV news network (together with NBC) called MSNBC. In the mid-90s, Microsoft was caught somewhat by surprise by the sudden explosion of the Internet, but it quickly re-created itself to make the Internet the core element of its product line. Most observers were amazed by how quickly such a large company could adapt.

Many people have criticized Microsoft for monopolistic policies and it has been investigated several times by the U.S. Justice Department. Currently, it is in a fierce battle with Netscape Communications and other companies for control of the corporate desktop. Microsoft wants Windows to retain its role as the standard operating system for PCs, whereas Netscape and some of its allies, such as Sun Microsystems, would like to see Windows give way to a new model of computing in which PCs run small Java applets locally, with the bulk of the operating system functionality performed by Internet servers.