Early Designs and Cray's Big Plan
CDC started business by selling subsystems, mostly drum memory systems, to other companies. Cray joined the next year, and he immediately built a small transistor-based 6-bit machine known as the "CDC Little Character" to test his ideas on large-system design and transistor-based machines. "Little Character" was a great success.
In 1959 CDC released a 48-bit transistorized version of their 1103 re-design as the CDC 1604, with the first machine delivered to the U.S. Navy in 1960. Legend has it that the 1604 designation was chosen by adding CDC's first street address (501 Park Avenue) to Cray's former project, the ERA-Univac 1103.
A 12-bit cut-down version was also released as the CDC 160A in 1960, often considered among the first minicomputers. The 160A was particularly notable as it was built as a standard office desk, which was unusual packaging for that era. New versions of the basic 1604 architecture were rebuilt into the CDC 3000 series, which sold through the early and mid-1960s.
Cray immediately turned to the design of a machine that would be the fastest (or in the terminology of the day, largest) machine in the world, setting the goal at 50 times the speed of the 1604. This required radical changes in design, and as the project "dragged on" — it had gone on for about four years by then — the management got increasingly upset and it demanded greater oversight. Cray in turn demanded (in 1962) to have his own remote lab, saying that otherwise, he would quit. Norris agreed, and Cray and his team moved to Cray's home town, Chippewa Falls, Wisconsin. Not even Bill Norris, the founder and president of CDC, could visit Cray's laboratory without an invitation.
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