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The Invention of the MMO

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Why This Matters

The article traces the origins of the massively multiplayer online world back to the Commodore 64, a cheap home computer whose game-friendly chip choices made it the best-selling desktop in history. It's a reminder that transformative computing platforms often arrive disguised as low-status consumer toys, and that affordability, not raw power, drove gaming out of the arcade and into open-ended virtual worlds.

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Behind the first massively multiplayer virtual world was a home computer that was comically underpowered by today’s standards. Introduced in November 1982, the Commodore 64 was named for its then-generous 64 kilobytes of memory. In its twelve years on the market, it became the best-selling desktop computer in history. A conservative estimate puts its sales at 12.5 million machines worldwide.

The C64 sold for $595 in the US, compared to about $1500 for an Apple II with just 48 kilobytes of memory, and £399 in the UK. The computer, which looked like a thick keyboard, could use a TV as a monitor. Its operating system and the BASIC programming language were built into its hardware, requiring no disk to boot up. Typical for the time, an external drive to store and read software on floppy disks cost extra. Commodore, declared CEO Jack Tramiel, made ‘computers for the masses, not the classes’.

The C64’s low price was made possible by an unusual selection of chips. The CPU was a cheap, efficient, stripped-down industrial controller. The sound chip was designed for music synthesizers, the graphics chip for video games. The result was an inexpensive machine whose sound and 16-color palette were ahead of their time.

In the 1980s, its gaming chops made the C64 low status. ‘The dismissive label of “game machine” implied that because the C64 was good for playing games, it was “too much fun” to take seriously and could not also be used for ‘serious’ things like word processing (which it was used for)’, writes video game scholar Jesper Juul in Too Much Fun, a 2024 history of the Commodore 64. ‘The label also meant that if you wanted to be “serious”, you should get a much more expensive computer with nearly identical capabilities except for the ability to play good games’.

But the C64’s cultural implications were quite serious. It helped move video gaming out of arcades, where sessions had to end quickly so players would feed more coins into the machines. It permitted open-ended play at home, enabling a far wider range of games, including one that heralded, for good and ill, today’s hyperconnected world.

Four years after the C64’s introduction, a cosmetically refreshed version dubbed the Commodore 64C came bundled with new software, including a word processor, and offered the option of a Mac-like icon-based operating system. Crucially, it included a telecom program connecting C64 users to a dedicated information network called QuantumLink. Known familiarly as Q-Link, the system offered access at significantly lower prices than competitors like CompuServe.

By buying transmission capacity after business hours, the company paid pennies on the dollar. Unlike its competitors’ terminal setup, it also used then-exotic client-server architecture, requiring less back-and-forth transmission and permitting more users at the same cost. The result was a connection price that started at $3 an hour in 1986, when the business-oriented CompuServe was charging $8 off-peak and $22.50 during weekdays. (Q-Link’s hourly rate soon rose to $3.60 and eventually higher still but remained cheaper than competitors.)

Q-Link encouraged real-time interactions among C64 owners. Like CompuServe subscribers, they could use online chat, join forums, and play games together, including chess, blackjack, and hangman, with other users. But Q-Link’s most revolutionary game took a few more years to roll out. Developed at Lucasfilm’s games division, it was called Habitat.

Observers at the time, including Q-Link’s marketing team, had trouble explaining what it was. One journalist called Habitat a ‘world simulation game’, another ‘an adventure game…which will involve players from all over the country playing the game at the same time’. A feature in Compute! magazine described it as ‘an intriguing combination of telegaming and straight online chatting’. Author Kathy Yakal wrote that ‘Habitat, unique to this point in the history of computer entertainment, is an early version of the kind of entertainment often predicted by industry futurists: the interactive motion picture’.

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