The story of Commodore begins as the story of two companies, and three men.
Born Idek Tramielski, Jack Tramiel was a Polish Jew who, with his parents, had spent World War II imprisoned at Auschwitz. Tramiel's father perished in Auschwitz but Jack and his mother survived and emigrated to America in 1948. In 1955 Tramiel moved to Canada and founded Commodore International Limited. Commodore began assembling Czechoslovakian typewriters in Canada, and soon moved into the typewriter manufacturing business. After Commodore was embroiled in controversy after its primary investor was indicted on charges of fraud Jack sold a sizeable shareholding in the business to investor Irving Gould. Gould was to play a major role in the future of the company. After the controversy in Canada, Commodore shifted to California and began the manufacture of LED calculators.
Meanwhile MOS Technologies was a company that manufactured calculators and calculator chips for Texas Instruments. In 1975 MOS took on former Motorola chip architect and designer Chuck Peddle. While at Motorola Peddle had worked on the Motorola 6800 microprocessor and was convinced of the market potential for a low-cost processor similar to the 6800. He failed to convince Motorola management who forbade him to pursue the idea. Peddle resigned from Motorola and joined with MOS Technologies with the goal of producing a 6800 compatible processor for a mere $25 compared to the 6800's hefty $300 price tag. Together with Bill Mensch, another Motorola chip designer poached by Peddle, and other former Motorola engineers, MOS Technologies produced the 6501 8 bit microprocessor.
The 6501 was designed as a drop-in replacement for the 6800, but had several improvements. Most notably it could operate at faster clock speeds, had improved addressing modes and was cheaper to produce. The 6501 had met Peddle's target of a $25 processor. Motorola was unhappy with their $300 product competing with an almost identical product selling for $25 and the 6501 was soon subject to a lawsuit from Motorola. The result was the 6502 - an identical chip but with a different pin-out that couldn't be used as a drop-in replacement for the 6800. MOS went on to produce a highly successful personal computer based on the 6502, called the KIM-1.
Under Tramiel's iron-fisted leadership Commodore Business Machines was starting to buy up companies that could supply Commodore with the parts for its calculator business. One of the many Commodore purchases was MOS Technologies, and Chuck Peddle joined Commodore as its Chief Engineer. Commodore had been struggling with declining calculator sales and Peddle sold Tramiel on the idea that personal computers would be the next big market. Peddle was tasked to lead a Commodore/MOS research and development lab, and the Commodore PET 2001 hit the market in 1977 along with competitors from Tandy (TRS-80 Model 1) and Apple (Apple II). The PET series was extremely successful, outselling the competition through the 1970s, but with only black and white text (and special "PETSCII" graphic characters) and bulky package which included a built-in monochrome monitor it was best suited for business use than as a home computer.
In 1979 Tramiel realised that the Apple II, which had colour graphics and a more home-friendly packaging, was starting to gain momentum. He tasked Peddle to design a small, low-cost machine to better compete in the home market, to be unveiled at CES in 1980. Named the TOI Peddle's team designed a machine which with a good specification, but required expensive static RAM chips. In the meantime another MOS engineer, Robert Yannes, had produced a demonstration machine using another MOS chip which could do 22 column colour text, but wasn't a real computer. Tramiel was impressed with this machine and insisted that it become the next Commodore computer. Much of the TOI design was used to produce this new machine, which was eventually handed to the team at Commodore Japan to complete. It was released in Japan an 1980 as the Commodore Vic-1001 - later sold in the US as the Vic-20.
CPU: MOS 6502 @ 1Mhz
RAM: 5KB, 3.5KB available to programs.
Graphics: 176 x 184, up to 16 colours (VIC 6560 chip)
Sound: 3 voice, 3 octave
A lengthy interview with Chuck Peddle by Earl Evans of the Retrobits Podcast part 1, part 2, part 3 and part 4.
Commodore: a Company on the Edge by Brian Bagnall is a well researched history of Commodore. (Also on Amazon)
Transcript of a 1995 interview with Bill Mensch.
