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

Microsoft innovation initially 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 understood, is a ₤ 1.1 billion company with about 1,200 employees and 6,000 clients.

It drifted on the Stock Exchange in December 2020, a fortnight before Britain's first Covid Christmas. Shares were priced at ₤ 2.70, market action was enthusiastic and, funsilo.date by January 2024, they were at more than ₤ 6.50. The previous year has actually been less rewarding, and today shares are simply ₤ 4.65. At this level they are underestimated and must rebound through 2025 and beyond.

Back in the 1980s, Bytes' variety was small. Early tech geeks used Microsoft to write simple documents and produce spreadsheets on their computer systems, and Bytes sold the package that made it possible.

Ever since the computer world has actually altered beyond acknowledgment, with Microsoft alone offering numerous services, ai from Outlook and Teams to develop ware, cloud storage and, recently, Copilot, an expert system tool.

In safe hands: Bytes Technology has sales staff who understand their products completely

Individuals can buy much of these items straight, but services tend to go through representatives, called resellers, who provide lower costs, suggestions and support when things go awry.

Bytes is the top Microsoft reseller in the UK, with customers varying from the police, fire service and regional authorities to Harvey Nichols, Trainline and Findus food group.

Customers tend to utilize in between 500 and 2,500 staff - big enough to need a lot of IT but not so large that they can arrange whatever out themselves. That is where Bytes enters into its own.

Technology has become a crucial tool for private organizations and the general public sector alike, but services have become so complicated that even IT teams require professionals to assist them work out what to buy, when to buy and how to utilize what they have actually purchased.

Bytes staff are highly 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 understand, such extensive negotiations are a vital part of service success.

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Bytes president Sam Mudd prides herself available top-level service to brand-new and existing customers and, although Microsoft is a significant partner, she deals with a variety of suppliers, covering almost every technology need, including cyber security.

A long-time staffer, Mudd took the helm last spring after previous chief executive Neil Murphy resigned, having purchased shares in Bytes without telling the board.

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

Mudd is undeterred, having actually invested recent months preparing a development plan designed to drive sales and earnings over the next five years.

Potential is clear. Despite its top position, Bytes has simply a 4 per cent share of the market so there should be plenty of chances to broaden.

Despite wobbles on Wall Street, need for software application is increasing too, with with forecasters recommending yearly development of about 10 per cent.

Brokers expect Bytes revenues 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 regular and special dividends too, handing over 8.7 p in ordinaries and 8.7 p in a one-off unique last year, and anticipated to provide 19.6 p for 2025, increasing to 21.5 p next year.

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Midas verdict: Recent arise from Microsoft and other tech titans might have disappointed financiers, however the days when we handled perfectly well without IT are long gone.

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

With a strong performance history and a reputation for providing on its pledges, the company should show durable, even in today's uncertain times.

That makes the shares a buy, at ₤ 4.65.

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