Compaq began in 1982 and became a leading maker of IBM-compatible personal computers, notably with the Compaq Portable. The company used clean-room techniques to achieve BIOS compatibility, expanded into consumer lines in the 1990s, and was acquired by Hewlett-Packard in 2002, after which its products were integrated into HP's lineup.

Early years and founding

Compaq was founded in 1982 by Rod Canion, Jim Harris and Bill Murto. The company set out to build IBM-compatible personal computers and quickly became known for engineering that prioritized compatibility and portability.

The portable breakthrough

In 1983 Compaq shipped a portable IBM-compatible system, the Compaq Portable, which proved the market for PC-compatible machines outside IBM. The company used a clean-room reverse-engineering approach to produce a BIOS compatible with the IBM PC architecture, allowing Compaq systems to run the same software as IBM machines without infringing copyrights.

Compaq's early success rested on engineering discipline, aggressive product release cycles and a focus on delivering consumer and business systems that matched IBM compatibility with lower price points.

Consumer lines and the 1990s

Through the 1990s Compaq expanded into consumer and retail channels with product lines such as Presario and business lines like the Deskpro and Armada. These lines helped Compaq remain a major PC vendor into the late 1990s and early 2000s, competing on price and distribution as the PC market matured.1

Acquisition by Hewlett-Packard

In 2002 Hewlett-Packard completed a merger that brought Compaq into HP. The acquisition consolidated two of the world's largest personal-computer vendors and led to a reorganization of product portfolios. Over the following years HP integrated many Compaq products and operations; the Compaq name was largely folded into HP's broader brand and product strategy.

Legacy and relevance today

Compaq played a key role in establishing the IBM-compatible PC ecosystem and in popularizing portable PC designs. Its emphasis on compatibility, value and distribution helped shape the consumer PC market. Although Compaq no longer operates as an independent company, its engineering and market strategies influenced subsequent PC design and business models.
  1. Confirm reported first-year shipment numbers for the Compaq Portable (commonly cited figures such as 53,000 units).
  2. Verify the specific vendor or licensing arrangement used to produce Compaq's BIOS (e.g., Phoenix Technologies involvement or other contractors).
  3. Confirm the timeline and launch year for the Presario consumer line and other major product milestones.
  4. Confirm current (2025) status and use of the Compaq brand by HP in specific markets or product lines.

FAQs about Compac Computers

Who founded Compaq and when?
Compaq was founded in 1982 by Rod Canion, Jim Harris and Bill Murto.
What made Compaq important in the early PC market?
Compaq proved that fully IBM-compatible systems could be built by other manufacturers. Its portable Compaq Portable demonstrated compatibility and portability, helping build the PC-compatible ecosystem.
How did Compaq achieve BIOS compatibility with IBM PCs?
Compaq used a clean-room reverse-engineering approach to develop a BIOS that was compatible with IBM PC software without copying IBM's copyrighted code.
What happened to Compaq after 2002?
Hewlett-Packard acquired Compaq in 2002 and integrated its product lines and operations into HP. The Compaq brand was largely folded into HP's broader PC business.
Does the Compaq brand still exist?
After the acquisition the Compaq name was largely phased into HP's branding. HP has used the Compaq name on some products in certain markets, but the company no longer exists as an independent entity.