The IBM PCjr was IBM's first attempt to enter the markets for relatively-inexpensive educational and home computers.
The PCjr's code name was "peanut", and it was referred to as such by several trade magazines.
The popular 1980s adventure game series King's Quest was originally developed for the PCjr, as IBM had commissioned Sierra On-Line for a game that would take advantage of the PCjr's expanded graphics and sound capabilities for the product's launch.
However, the PCjr was never well received. A prime target of criticism was its keyboard; IBM chose to use a chiclet keyboard, similar to that of a pocket calculator, with wide spaces between keys to leave room for instructional overlays bundled with software packages. However, it was widely criticized as feeling cheap and being difficult to type on. IBM eventually replaced it for free with a conventional keyboard. Regardless of the keys' design, with only 62 keys, it lacked the numeric keypad and separate function keys of the IBM PC, and the layout was more awkward than that of most of its competitors. In addition, the wireless functionality did not work as well as expected; in practice, range only extended to about two or three feet from the machine, and batteries drained very quickly.
At $669, the PCjr's price was not competitive. It cost more than twice as much as the Commodore 64 and the Atari 8-bit family; its price was close to that of the Coleco Adam, but the Adam also included two tape drives, a printer, and software. With the exception of the Apple II, it was possible to purchase a complete system (computer, disk drive, printer, and monitor) from almost any of IBM's competitors for less than the PCjr's entry price.
Many people compared the PCjr unfavorably to the IBM PC rather than to the machines against which it was directly competing. While compatibility with the IBM PC's large software library was a key selling point, in practice the PCjr proved incompatible with many popular PC applications, in part due to memory limitations and in part due to architectural differences.
Arguably, the PCjr's technical capabilities may have justified its higher price tag: it was a 16-bit machine competing in an 8-bit world, offered better memory expansion, had a built-in 80 column display, and was faster than any of its competition. However, reviewers of home computers at the time cared much less about raw power and more about price, available software, and the quality of the keyboard. Moreover, while the PCjr may have been superior to its competitors in running office suite software, it was clearly inferior to the Commodore 64 and the Atari 8-bit family as a gaming platform; unlike them, it had very limited color capabilities (due to its CGA-derived graphics chip) and no support for hardware sprites. Also, the sound chip was nowhere near as advanced as the MOS Technology SID found in the C64 (although it rivaled Atari's POKEY). Since gaming capabilities were important to many home computer buyers of the time (who often purchased the machines as replacements for older game consoles), this was another strike against the PCjr.
The PCjr was more difficult to expand than many of its intended competitors. It was not designed to add a second floppy drive, a hard drive, or easily expand memory beyond 256K, which made it difficult to deliver on the promise of running business software for the IBM PC. Add-ons to provide a second floppy drive or a 20-megabyte hard drive were only available from third parties, and these were not available right away. Many IBM and third-party add-ons attached to an expansion slot on the computer's right side, similar to the design of the discontinued TI 99/4A; thus, as with the TI, multiple add-ons proved very clumsy.
Unable to compete with the C64 and Apple Computer's IIe and IIc, let alone the forthcoming Atari ST and Commodore Amiga, IBM withdrew the PCjr from the marketplace in mid-1985.
IBM returned to the home market in 1990 with its much more successful IBM PS/1 line. The words "IBM compatible" carried much more marketing weight in 1990 than they did in 1984.
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