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This spring Microsoft will turn 50. From modest beginnings in Albuquerque, New Mexico, it has turned into one of the biggest business on the planet, credited with changing the computing market and, with it, our daily lives.

Microsoft innovation first went on sale over here in the 1980s and, in 1982, Bytes Computer Supplies opened in Surrey, specialising in floppy disks and other accoutrements from the American group.

Today, Bytes Technology, as it is now known, is a ₤ 1.1 billion company with about 1,200 workers and 6,000 clients.

It floated on the Stock Exchange in December 2020, a fortnight before Britain's very first Covid Christmas. Shares were priced at ₤ 2.70, market reaction was enthusiastic and, by January 2024, they were trading at more than ₤ 6.50. The past year has been less worthwhile, and today shares are simply ₤ 4.65. At this level they are underestimated and ought to rebound through 2025 and beyond.

Back in the 1980s, Bytes' variety was small. Early tech geeks used Microsoft to compose easy files and develop spreadsheets on their computers, and Bytes offered the kit that made it possible.

Ever since the computer world has actually altered beyond recognition, with Microsoft alone using hundreds of services, from Outlook and Teams to develop ware, cloud storage and, recently, Copilot, an artificial intelligence tool.

In safe hands: Bytes Technology has sales personnel who understand their items inside out

Individuals can buy much of these products straight, but organizations tend to go through representatives, called resellers, who offer lower costs, recommendations and support when things go awry.

Bytes is the number one Microsoft reseller in the UK, with clients varying from the police, fire service and local authorities to Harvey Nichols, Trainline and Findus food group.

Customers tend to utilize in between 500 and 2,500 personnel - large sufficient to require plenty of IT however not so big that they can arrange whatever out themselves. That is where Bytes enters its own.

Technology has actually ended up being a vital tool for personal companies and the general public sector alike, but services have actually ended up being so intricate that even IT groups need experts to assist them exercise what to buy, when to buy and how to utilize what they have actually purchased.

Bytes personnel are extremely trained, often beginning there as graduates and spending years with the company.

To an outsider, discussions between these salesmen and their clients can seem like PhD interactions - or gobbledegook. To those in the know, such in-depth settlements are an important part of company success.

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Bytes president Sam Mudd prides herself available high-level service to new and existing clients and, although Microsoft is a major partner, she works with a variety of suppliers, covering almost every innovation need, including cyber security.

A veteran staffer, Mudd took the helm last spring after previous president Neil Murphy resigned, having actually bought shares in Bytes without telling the board.

Investors took scare, Bytes stock dropped and, although Murphy was later cleared, the shares have remained depressed.

Mudd is undeterred, having actually invested current months preparing a growth plan developed to drive sales and profits over the next five years.

Potential is clear. Despite its number one position, Bytes has simply a 4 percent share of the marketplace so there need to be lots of opportunities to expand.

Despite wobbles on Wall Street, demand asystechnik.com for software application is increasing too, with with forecasters recommending annual growth of about 10 percent.

Brokers anticipate Bytes to increase 19 percent to ₤ 73 million in the year ending February 28, climbing up to ₤ 87 million by 2027.

The group has a history of paying normal and special dividends too, forking out 8.7 p in ordinaries and 8.7 p in a one-off unique last year, and expected to deliver 19.6 p for 2025, rising to 21.5 p next year.

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Midas verdict: Recent arise from Microsoft and other tech titans might have dissatisfied financiers, but the days when we managed completely well without IT are long gone.

Bytes helps business, charities and the general public sector to navigate the digital minefield.

With a strong track record and a credibility for providing on its guarantees, the company should prove resilient, even in today's uncertain times.

That makes the shares a buy, at ₤ 4.65.

Traded on: Main market Ticker: BYIT Contact: bytesplc.com