The crazy world of 8-Bit personal computing truly kicked off in 1972 with the release of the Intel 8008 microprocessor. The impact of which can still be felt today — in fact, some of the designs of modern “x86” processors are built upon the foundation that the 8008 built.

But did you know…

• Another company managed to get a working 8-Bit microprocessor before Intel?

• The Intel 8008 had almost no design similarities to the Intel 4004 (and was not a successor)?

• The initial functional design of the Intel 8008… was not actually made by Intel?

It’s all true. The history of the Intel 8008 — the CPU that formed the basis for the 8080, 8086, and the entire x86 processor family — is wild and woolly. To say the least.

So buckle up, buttercup. This is one heck of a ride.

Not based on the 4004

Let’s get this out of the way, right up front.

The Intel 4004 microprocessor was released in 1971 (the year before the 8008). The 4004 is a 4-Bit processor, while the 8008 is an 8-Bit processor.

These facts led many to believe that the 8008 was an upgraded, 8-bit version of the 4004. An easy assumption to make.

However…

The 8008 microprocessor was not based on the 4004. The 8008 was, in fact, a completely different design — not originally designed by Intel — that happened at roughly the same time as the 4004.

These two chips are wildly different — the fact that the “4004” and “8008” have similar names is nothing but marketing.

So, if the 8008 was not originally designed by Intel… where the heck did it come from?

Well… San Antonio, Texas. Obviously.

Computer Terminal Corp

A company down in Texas named “Computer Terminal Corporation” was building a programmable computer terminal with an 8-bit CPU design.

A truly cool looking machine, with a massively widescreen CRT monitor: The Datapoint 2200.

Fun historical tidbit: One of the goals of the Datapoint 2200 was to replace the IBM Punch Card. Towards that end, the widescreen monitor on the Datapoint 2200 was almost exactly the same dimensions (displaying 12 rows of 80 characters) as those Punch Cards.

But this was 1969.

Which meant that there were no off-the-shelf CPUs that those nerdy Texans could use to build their 8-Bit machine. So they did what any good nerds would do… they built their own CPU design — using a wide array of individual components — on a large board.

The result is an “8-Bit CPU” (on a big ole’ board) powering the world’s first personal computer.

Historical Argument Time: Whether or not the Datapoint 2200 qualifies as the first “personal computer” has been debated for decades. One thing is certain… it is the first mass produced, programmable computer terminal. You could program in BASIC and run your programs locally. And, considering the size of the machine, it fits the definition of a Personal Computer — before any others were mass produced — in the opinion of The Lunduke Journal.

Obviously, this approach to the CPU board had some down-sides.

The vast number of individual an unique components on the CPU board for the 2200 meant that shortages or changes in any individual part could cause delays, re-designs, or wild pricing fluctuations. Plus it meant that building each CPU board was a time-intensive process. Then there was the heat issue. That board generated a lot of heat.

To resolve these issues, Computer Terminal Corporation began working with two companies. Both competing to shrink large portions of the Datapoint’s 2200 8-Bit CPU into as small a number of chips as possible.

Those companies: Intel and Texas Instruments.

The TMX-1795 & Intel 1201

Intel and Texas Instruments were in a fierce competition to build the first 8-Bit microprocessor… based (very, very closely) on the designs of the Datapoint 2200. Both companies were, quite literally, miniaturizing the 2200’s CPU board design into a single chip.

It was a race. And these companies needed to move fast.

The first company to complete a functional microprocessor was Texas Instruments, with the TMX-1795.

Unfortunately for Texas Instruments, Computer Terminal Corporation was disappointed by the performance of the TMX-1795 (as it performed far slower than the Datapoint 2200’s larger, custom CPU board).

A few months later, Intel would also cross the finish line: providing the Intel 1201 CPU for evaluation to be used in the Datapoint 2200.

The Intel 1201, just like Texas Instrument’s offering, was simply not performing well enough.

In the end, Computer Terminal Corporation opted to not use either microprocessor — sticking with their larger, in-house designed board for the final release of the Datapoint 2200.

Texas Instruments, which had accomplished something truly remarkable — the development of the world’s first 8-Bit microprocessor (based on the design of the Datapoint) — opted to shelve their TMX-1795 entirely. It never went into production and never got any public release… existing only as a handful of demo and prototype units.

Intel, on the other hand, had other ideas…

The deal with Intel

Not long after the Intel 1201 project had been dropped… Seiko approached Intel about the idea of using this new 8-Bit CPU in a desktop calculator. But… who owned the rights to the 8-Bit 1201 chip? Intel or Computer Terminal Corp?

Luckily for Intel, the deal with Computer Terminal Corporation was extremely vague. In fact, it existed entirely as notes on a purchase order. There was no other contract, whatsoever. Seriously.

One of the most critical deals in all of computer history exists as nothing more than a few lines on a purchase order. How crazy is that?

But, as luck would have it, we have an actual copy of that purchase order.

Note the purchase amount: $3,000,000. That’s for 100,000 Intel 1201 chips… at $30 each.

Now here’s where everything gets a bit... funky.  We're getting into brutal, cut-throat business here.

See that note scribbled at the top of the Purchase Order? “P.O. on hold - awaiting customer schedule.”

The reason for that note: Due to financial issues, Computer Terminal Corporation put a small delay on the CPU project. But then, when the project resumed, Intel missed the deadline (regardless of the delay). And the chip, when delivered, performed far slower than expected.

Plus… No Intel 1201 chips were ever delivered.

So… who owed who money? Based on the wording in the Purchase Order… it wasn’t at all cut and dried. This could have turned into a long legal battle to settle that question.

Intel used this opportunity to pressure Computer Terminal Corporation into giving the entire intellectual property of the 1201 chip to Intel… in exchange for simply dropping the matter entirely.

Intel would then, almost immediately, turn around and begin selling a slightly modified 1201 CPU (now called the “8008” for marketing purposes).

The 8008’s legacy

That new 8008 CPU would eventually lead to the 8080, 8086, 80286, and the full line of x86 processors that would almost totally define Intel and the PC industry for the next several decades.

While the 8008 was not the only 8-Bit CPU to exist — the Z80, the 6502, and so many others appeared in the years that followed — the impact that it had on the world of computing is truly mind-boggling.

And the company that did all the initial design — Computer Terminal Corporation — didn’t see a penny for it. They, literally, gave it to Intel. And, boy-oh-boy, did Intel run with it.

Because it deserves to be marveled at… here is a detailed die shot of the Intel 8008. Ain’t it purdy?

So, there you have it.

The world’s first 8-Bit CPU… really wasn’t the world’s first. Texas Instruments beat Intel by a few months… but they never went into production.

Historical Tidbit: Even though the TMX-1795 never went into production, Texas Instruments filed several patents on it over the course of the next few years. And, being as both the TMX-1795 and the 8008 were based on the exact same system (the Datapoint 2200)… this laid the groundwork for lawsuits galore.

And Intel isn’t really the company responsible for creating the instruction set and architectural design of the 8008 — which formed the basis of almost their entire processor line for decades. That honor goes to Computer Terminal Corporation… of San Antonio, Texas.

Wild, right?

Explains why this poor lady, from an original Datapoint 2200 advertisement, has the "I just got forced into giving away all of our hard work to Intel" look.

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